Mirnaser Mirbagheri hir; Ali Salmanpourzonouz
Abstract
Pollution tax is one of the most important tools of the government to reduce pollution and increase the welfare of society. Direct environmental or pigouvian tax, by affecting the revenues of producers, seeks to impose a tax on polluting products to reduce pollution. Accordingly, the main purpose of ...
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Pollution tax is one of the most important tools of the government to reduce pollution and increase the welfare of society. Direct environmental or pigouvian tax, by affecting the revenues of producers, seeks to impose a tax on polluting products to reduce pollution. Accordingly, the main purpose of this study is to calculate the optimal pollution tax rate taking into account environmental considerations using an endogenous growth model in the Iranian economy. In this study, an endogenous growth model with a stochastic production function is used. After developing the model and solving it by Hamilton-Belman-Jacobi random method and achieving the relationship determining the optimal rate of pollution tax, using the parameters of the Iranian economy, the model was calibrated and the optimal amount of pollution tax was calculated. The results of model estimation show that the optimal rate of pollution tax for the Iranian economy is 5.3% of total production. Also, the interest rate or capital gain rate in Islamic economy and its fluctuations, production fluctuations, change of pollution function parameters, the rate of the optimal pollution tax rate. The affect results of the sensitivity analysis for the Iranian economy indicate that with increasing environmental preferences, interest rates and production fluctuations, the optimal pollution tax rate should increase in the optimal state of social welfare. Also, with increasing capital gain rate fluctuations, to remain in the optimal situation, the pollution tax rate must be reduced.
Ali Mohammadipour; Ali Salmanpourzonouz; Seyed Fakhreddin Fakhrhosseini
Abstract
The purpose of this study was to investigate the impact of price shocks on selected energy carriers in household consumption basket and firm production functions (both supply and demand side of economy) simultaneously on macroeconomic of Iran. The stochastic dynamic general equilibrium model consisting ...
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The purpose of this study was to investigate the impact of price shocks on selected energy carriers in household consumption basket and firm production functions (both supply and demand side of economy) simultaneously on macroeconomic of Iran. The stochastic dynamic general equilibrium model consisting of households, firms, foreign trade and government and central banks has been calibrated and simulated for the Iranian economy. The data related to the estimation of the research model were seasonally available for the period 1996-2006. The final model equations were linearized around the stable state using linearized stochastic equations by the method of Uhlig (1999: 40) as a spatially-state model in the Matlab programming environment. The results of the simulation and analysis of the model's immediate reaction functions show that all price shocks in selected energy carriers, while increasing production costs and creating inflationary conditions, reduce total consumption, total investment and total demand, and after reducing the production of non-oil products and total production, employment decreases. The results of variance analysis also show that most of the changes in employment (compared to production) are due to diesel fuel and electric shocks, respectively, so that 1,08 percent of employment changes (compared to non-oil production), due to diesel fuel shock and 1,01 percent due to electric shock. The severity of the adverse effects created at the employment level during the first 10 periods following the energy price shocks is significant, indicating the need to pay special attention to the unemployment rate when the subsidy targeting law is fully implemented.
