Panel FMOLS Model Analysis of the Effects of Livestock Support Policies on Sustainable Animal Presence in Turkey

This paper studied the effects of livestock support policies applied in Turkey. The effects of the support policies were built upon the change in the cattle presence data. Full Modified Ordinary Least Square (FMOLS) model was used in the analysis. In the panel dataset which was created for the study, the time period was taken as the years between 2004 and 2014 and the cross-section was 26 sub-regions. The results of panel FMOLS test for both the total livestock supports and each support component presents important details. According to the results of the analyses, a 1.0% increase in livestock supports leads to a 0.3% increase in animal presence in Turkey. On the other hand, it is stated that the utilization rate of the support payments is high in the western regions, whereas it is comparatively low in the eastern and interior regions in Turkey although the appliance of the policies is carried out in the same way, since animal presence in western regions in terms of fertile races is higher. This situation reveals the importance of breeders of high conscience, educational level, and agricultural income besides organized associations and provincial organizations.