IJSRP, Volume 6, Issue 12, December 2016 Edition [ISSN 2250-3153]
Mary Kashif, Samreen Munnawar
This study estimated the impact of rural infrastructure investment on rice production in Pakistan by using Cobb Douglas production function for 1972-2014 in Pakistan. Different tests are used to check the stationarity of time series data. Autoregressive distributive lag (ARDL) technique is employed to estimate long run and short run relationship. It is observed that good infrastructure is encouraging the rice production in Pakistan. The study found that fertilizer usage, water availability for rice, area under rice production and health expenditure has positive whereas electricity consumption has negative effect on the rice production in the long run. However, impact of electricity on rice production is found positive in the short run but this impact is minute due to the unavailability of electricity, load shedding and some other reasons. All variables are affecting positively in the short run except fertilizer consumption.