IMPACT OF FREE TRADE ON AGRICULTURE: EVIDENCE FROM CAMEROON

Sotamenou Joël () and Nehgwelah Glory ()
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Sotamenou Joël: University of Yaounde II
Nehgwelah Glory: University of Yaounde II

Journal of Smart Economic Growth, 2018, vol. 3, issue 2, 55-70

Abstract: This paper investigates the impact of free trade on agriculture in Cameroon. In order to achieve this purpose, annual data for the periods between 1980 and 2015 were tested using the Fully Modified Ordinary Least Square (FMOLS) method. The results show that between 1995 and 2015, the post-liberalization period, free trade policies in Cameroon give room for easy movement of agricultural products thus increase in agricultural production. Other indicators like agricultural capital formation, foreign direct investment, permanent crop land, interest rates and real effective exchange rate also show a positive and significant impact on agricultural value added, meaning increase in investment in the sector affects agricultural production positively.

Keywords: free trade; agriculture; FMOLS; Cameroon (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:seg:012016:v:3:y:2018:i:2:p:55-70

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