Analysis of Factors Affecting Tea Demand in Turkey Cover Image

ürkiye’de Çay Talebini Etkileyen Faktörlerin Analizi
Analysis of Factors Affecting Tea Demand in Turkey

Author(s): Meryem AYTEKİN
Subject(s): National Economy, Agriculture, Socio-Economic Research
Published by: Haci Mustafa Paksoy
Keywords: Tea industry; tea demand; Cointegration; VAR model; VEC model;

Summary/Abstract: The aim of this study is to investigate the short and long-term relationships of factors affecting tea demand in Turkey using annual data for the period 1995-2020. For this purpose, the model revealing the effects of tea price, coffee price and per capita income variables, which are thought to be effective on tea consumption per capita, was estimated with the Johansen cointegration method and Vector Error Correction model (VECM). According to the model prediction results, all the variables included in the model are statistically significant and have positive effects on per capita tea consumption. According to estimates, a 1% increase in tea price causing a 0.01% increase in per capita tea consumption in the long term, reflects the social and cultural importance of tea in Turkish culture. Additionally, according to the elasticity coefficient of per capita income (0.47), it has been determined that tea is a necessity in the examined period, and income increases have a limited effect on tea consumption. This demonstrates that tea is an integral part of daily life and plays a significant role in the social context.

  • Issue Year: 8/2023
  • Issue No: Spec. Iss.
  • Page Range: 299-312
  • Page Count: 14
  • Language: Turkish
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