Measuring the Impact of Agricultural Policy on Green Beans Crop in Egypt Using a Partial Equilibrium Model

Moataz Eliw Mostafa Ahmed (1) * and  Hala Mohamed Ali Shehata (2)

(1). Department of Agricultural Economics, Faculty of Agriculture, Al-Azhar University, Assuit, P.O. Box 71524 Egypt.

(2). Department of Agricultural Economics, Faculty of Agriculture, Minia University, Egypt.

(*Corresponding Author:Dr. Moataz Ahmed. E-mail: moatazeliw@azhar.edu.eg).

Received: 28/11/2021                          Accepted: 14/02/2022

Abstract: 

This research aimed to study the production, consumption and export capacity of the green beans crop in Egypt, which are cultivated area, total production, Domestic consumption, the quantity and value of exports during the period (2000-2019), besides identify the economic variables that affect the exported quantity of green beans, in addition to identifying the impact of the policies of State intervention in the fields of production, consumption, and government revenue, and its impact on the economic well-being of society. Other objectives include determining the causes of price imbalances, estimating the value of subsidies received by green beans producers and consumers or taxes imposed on producers, and evaluating the impact of government intervention policies on bean production. green and its consumption, on government revenue. The research also applied econometric analysis by building a simultaneous equations model in order to measure the interactions and overlaps between the study variables using the three-stage least squares method. The results showed that the amount of exports of the green bean crop during the period (2000-2019) ranged between a minimum It amounted to about 5,829 thousand tons in 2002, and a maximum of about 49,673 thousand tons in 2008, with an annual average of about 25,123 thousand tons, while the value of exports of the green bean crop ranged between a minimum of about 1.9 million dollars in 2001 and a maximum of about 63.6 million dollars in 2010, while the average value of exports amounted to about 30.77 million dollars. The results also showed that the average net economic product loss for the green bean crop amounted to about 15.27 million dollars, where the economic loss in production reached its maximum value in 2004 with a value of about 57.92 million dollars At the same time, the implicit taxes imposed on the product reached a maximum value of about 93.5%, and vice versa. In 2019, the economic loss and implicit taxes reached the lowest value. With a value of $1.89 million, or about 60.5%, during the study period.

Keywords: Partial Equilibrium Model, Agricultural Policy, Green Beans Crop, Egypt.

Full paper in Arabic: pdf