An Economic Analysis of Supply Response of Barley Crop Area In Iraq (1990 - 2016)

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An Economic Analysis of Supply Response of Barley Crop Area In Iraq (1990 - 2016)

Journal Title: IOSR Journal of Agriculture and Veterinary Science (IOSR-JAVS) - Year 2018, Vol 11, Issue 10

Abstract

The research aims at estimating the farmers' response to the increase of barley cultivated area in the period (1990-2016) at the country level. The research was based on quantitative analysis method in estimating barley yield response functions using dynamic Nerlove Modelas well as estimation of short and long termflexible price offer. The estimated results showed the main variables in the response to the offer of barley cultivated area which is cultivated area of the previous year's which reached (0.74), the relative price of the barley crop modified by wheat prices for the previous year (0.553), as well as the production risk (- 0.03) and irrigation water which was (0.068). Where the drainage rate of the Tigris and Euphrates rivers was taken. The estimated flexibility showed that the flexible of the barley yield to its relative price was (0.553) in the short term and (9.74) in the long term. The flexibility of crop offer to irrigation water (0.068) in the short term and (0.262) in the long term, We find that all of flexibilities were less than one, which means that the offer of these crops is described as being inflexible. The research concluded that the government subsidy policy had achieved positive growth rates and that the positive response to the cultivated area of the barley crop for the change in its prices led to the possibility of increasing the production of this crop. The research recommends the need to pay attention to the development of a successful price policy to meet the requirements of society through attention to the results of economic derivatives, which contribute to increase of cultivation of this important crop.

Authors and Affiliations

Zahraa A. Mohammed

Keywords

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EP ID EP402448
DOI 10.9790/2380-1110011017.
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