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Climate change impacts on agriculture: A panel cointegration approach and application to Tunisia

BEN ZAIED, YOUNES and Zouabi, Oussama (2015): Climate change impacts on agriculture: A panel cointegration approach and application to Tunisia.

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Abstract

This paper proposes to model the long run impact of climate change on olive output in Tunisia, the third largest olive-oil producing country in the world, using panel cointegration techniques. The long run analysis reveals that temperature increase and inappropriate working tools reduce olive output in semi arid areas. Therefore, we propose an appropriate training for workers to develop their skills and public policy subsidizing the innovation of used capital stock at least in the south. We propose encouraging the development of drought tolerant olive trees, especially in the south of Tunisia where global warming has caused a severe drought .

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