The contribution of macroeconomic factors in determining the economic growth, export and the agricultural output in agri-based asean economies

Abstract

The prime objective of the study can be looked at from the theoretical and practical perspectives thereby predicated on the researcher’s strong will to contribute to the body of knowledge by analyzing the economic impact of government spending on agriculture, unemployment rate, and crude oil price in the context of agriculture sector of non-oil for economic growth. Moreover, with the aims to bridge the literature gap in the knowledge of macroeconomic factors on the agriculture in Thailand; since the non-oil export has the potential of growth in terms of sales, profitability, rate of earnings and productivity if the factors militating against the non-oil exports are addressed. The ARDL method is employed to answer the research questions. The findings of the study ha highlight the fact that the this is not only to increase the agricultural sector’s contribution to GDP but can also help to cushion the effect of price shocks in the international oil (crude oil) market and promote non-oil export. In addition, to improve the outlook of other non-oil sectors such as the manufacturing sector where agricultural outputs are being required. Thus, important macroeconomic factors like the interest rate, agricultural land, unemployment rate, agricultural export, crude oil price, inflation rate, government spending, openness and exchange rate will be considered in the study. © 2020 by author(s) and VsI Entrepreneurship and Sustainability Center.