Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia

This article empirically examines the impact of R&D and climate change on the WesternAustralian Agricultural sector using standard time series econometrics. Based onhistorical data for the period of 1977–2005, the empirical results show that both R&Dand climate change matter for long-run pro...

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Main Authors: Salim, Ruhul, Islam, Mohammad Nazrul
Format: Journal Article
Published: Blackwell Publishing Asia 2010
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/4764
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author Salim, Ruhul
Islam, Mohammad Nazrul
author_facet Salim, Ruhul
Islam, Mohammad Nazrul
author_sort Salim, Ruhul
building Curtin Institutional Repository
collection Online Access
description This article empirically examines the impact of R&D and climate change on the WesternAustralian Agricultural sector using standard time series econometrics. Based onhistorical data for the period of 1977–2005, the empirical results show that both R&Dand climate change matter for long-run productivity growth. The long-run elasticityof total factor productivity (TFP) with respect to R&D expenditure is 0.497, while thatof climate change is 0.506. There is a unidirectional causality running from R&Dexpenditure to TFP growth in both the short run and long run. Further, the variancedecomposition and impulse response function confirm that a significant portion ofoutput and productivity growth beyond the sample period is explained by R&Dexpenditure. These results justify the increase in R&D investment in the deterioratingclimatic condition in the agricultural sector to improve the long-run prospects ofproductivity growth.
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institution Curtin University Malaysia
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publishDate 2010
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spelling curtin-20.500.11937-47642019-04-30T03:27:45Z Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia Salim, Ruhul Islam, Mohammad Nazrul productivity growth R&D expenditure generalized impulse response function cointegration climate change This article empirically examines the impact of R&D and climate change on the WesternAustralian Agricultural sector using standard time series econometrics. Based onhistorical data for the period of 1977–2005, the empirical results show that both R&Dand climate change matter for long-run productivity growth. The long-run elasticityof total factor productivity (TFP) with respect to R&D expenditure is 0.497, while thatof climate change is 0.506. There is a unidirectional causality running from R&Dexpenditure to TFP growth in both the short run and long run. Further, the variancedecomposition and impulse response function confirm that a significant portion ofoutput and productivity growth beyond the sample period is explained by R&Dexpenditure. These results justify the increase in R&D investment in the deterioratingclimatic condition in the agricultural sector to improve the long-run prospects ofproductivity growth. 2010 Journal Article http://hdl.handle.net/20.500.11937/4764 10.1111/j.1467-8489.2010.00514.x Blackwell Publishing Asia unknown
spellingShingle productivity growth
R&D expenditure
generalized impulse response function
cointegration
climate change
Salim, Ruhul
Islam, Mohammad Nazrul
Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title_full Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title_fullStr Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title_full_unstemmed Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title_short Exploring the impact of R&D and climate change on agricultural productivity growth: the case of Western Australia
title_sort exploring the impact of r&d and climate change on agricultural productivity growth: the case of western australia
topic productivity growth
R&D expenditure
generalized impulse response function
cointegration
climate change
url http://hdl.handle.net/20.500.11937/4764