TY - JOUR
T1 - He impact of banking and external sectors on Mexican agriculture in the period 1995-2015
AU - Benavides-Perales, Guillermo
AU - Tellez-Leon, Isela Elizabeth
AU - Venegas-Martinez, Francisco
N1 - Publisher Copyright:
© 2018, Agricultural Economics. All Rights reserved.
PY - 2018
Y1 - 2018
N2 - Mexican agricultural production has been characterised by a lack of dynamism in recent years and is losing ground in terms of GDP. This may reflect the lack of funding from commercial and development banks. This research aims at studying the dynamics of the agriculture sector through econometric analysis using Vector Autoregressive (VAR) and Vector Error Correction (VEC) models in order to examine the short- and long-run relationships among agricultural production, terms of trade (ratio of agricultural prices and general price level), agricultural exports and lending from commercial and development banks. The main empirical findings, contrary to what was expected, is that even though there was a precarious level of funding from the banking sector, credit from commercial banking was higher than that from development banking in the last decades. Further, relative prices were found to have a negative relationship with agricultural exports, showing the importance of the external sector in agriculture.
AB - Mexican agricultural production has been characterised by a lack of dynamism in recent years and is losing ground in terms of GDP. This may reflect the lack of funding from commercial and development banks. This research aims at studying the dynamics of the agriculture sector through econometric analysis using Vector Autoregressive (VAR) and Vector Error Correction (VEC) models in order to examine the short- and long-run relationships among agricultural production, terms of trade (ratio of agricultural prices and general price level), agricultural exports and lending from commercial and development banks. The main empirical findings, contrary to what was expected, is that even though there was a precarious level of funding from the banking sector, credit from commercial banking was higher than that from development banking in the last decades. Further, relative prices were found to have a negative relationship with agricultural exports, showing the importance of the external sector in agriculture.
KW - Agricultural financing
KW - Agricultural policy
KW - Econometric modeling
UR - http://www.scopus.com/inward/record.url?scp=85040947057&partnerID=8YFLogxK
U2 - 10.17221/193/2016-AGRICECON
DO - 10.17221/193/2016-AGRICECON
M3 - Artículo
SN - 0139-570X
VL - 64
SP - 36
EP - 49
JO - Agricultural Economics (Czech Republic)
JF - Agricultural Economics (Czech Republic)
IS - 1
ER -