Finans Ekonomi ve Sosyal Araştırmalar Dergisi, cilt.6, sa.1, ss.178-190, 2021 (Hakemli Dergi)
The purpose of this paper is to determine whether the current water
supply can aid in achieving economic growth in Palestine through the
agricultural sector. Thus an attempt was made to answer the question
whether it is worthwhile for the Palestinian Authority (PA) to invest in
the agricultural sector to achieve a certain level of sustainable
development.
A time-series regression analysis is performed to investigate whether
the current amount of water can sustain economic growth in Palestine for
1998-2018. Findings have indicated that there is no relationship
between the agricultural sector and the two sources of water.
Meanwhile, there is a cointegration relationship between the
agricultural sector and the spring water.
Accordingly, water is not achieving economic growth in Palestine due to a
shrinking agricultural sector. Moreover, the Palestinian agricultural
sector faces several challenges during the expansion period, most
importantly in terms of the insufficient subsidies provided to the
Palestinian farmers by the PA.