AN ECONOMIC ANALYSIS OF EFFECT OF THE ECONOMIC DEVELOPMENT INDICATORS IN AGRICULTURAL LOCAL PRODUCTS IN IRAQ FOR THE PERIOD 2000-2019

Abstract

This research aims to study the measurement of the most important factors affecting agricultural production in Iraq for the period 2000-2019. Both descriptive and quantitative methods were used in analyzing the gross domestic product, per capita income, agricultural worker productivity, agricultural exports, and their impact on the agricultural production in Iraq. It should be noted that the model data was transformed into logarithmic form, and the analysis using Eviews software showed that the signal of the GDP was negative during the study period, which is contrary to economic theory. The reason for this is that the increase in this variable was not directed towards the agricultural sector, but towards other sectors, and it was statistically significant. However, the signal of per capita income was positive, consistent with economic theory, despite not being statistically significant. The signal of agricultural worker productivity was also positive and statistically significant, consistent with economic theory. As for the agricultural export variable, its signal was negative, contrary to economic theory, due to the fluctuation of agricultural product prices and the difficulty of new exporters entering the market, especially small farmers. The research recommended the necessity of directing the support towards the agricultural GDP and working on establishing a free market at the country's borders to facilitate export procedures.