fereshteh majidzadeh; nazar dahmardeh
Abstract
Existence of natural resources can increase corruption through rent-seeking behaviors if there is no strong institutional framework. In the present study, the role of institutional quality in the impact of natural resource rents on the financial development of Iran in the period 1984-2019 has been investigated. ...
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Existence of natural resources can increase corruption through rent-seeking behaviors if there is no strong institutional framework. In the present study, the role of institutional quality in the impact of natural resource rents on the financial development of Iran in the period 1984-2019 has been investigated. For this purpose, first to extract the indicators of institutional quality and financial development from the model of principal component analysis and then from the Markov switching model to investigate the effect of natural resource rents on financial development in the country in two cases with and without considering Institutional quality index has been used. Increasing the rent of natural resources has had a negative and significant impact on financial development in low regime of the financial development. Economic growth and trade openness have also had a positive and significant impact on all levels and regimes of financial development. Increasing the rent of natural resources in terms of improving the institutional quality index has had a positive and significant effect on financial development in a low regime. Increasing the inflation has had a negative and significant effect on financial development in all regimes of financial development. It shows that improving the quality of institutions in the country is not able to eliminate the Dutch disease and the curse of resources completely, and this issue with the non-significant impact of natural resource rents in terms of improving the institutional quality index in the high regime of financial development in the country is visible.
Economic Growth
kaveh Derakhshani Darabi; yousef mehnatfar
Abstract
Since the 1990s, the role of institutions and the quality of governance along with social capital has been widely recognized as the factors of development. Therefore, the main purpose of this study is to examine the role and contribution of institutional arrangements and social capital on the development ...
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Since the 1990s, the role of institutions and the quality of governance along with social capital has been widely recognized as the factors of development. Therefore, the main purpose of this study is to examine the role and contribution of institutional arrangements and social capital on the development process.So, in this study, the role and importance of these factors is examined along with economical and technical factors in the process of industrial development using the hierarchical analysis approach. The results show that the social capital and institutional quality factors which are included with the headings of policy and political factors, cultural and social factors, and management and human resources factors are respectively calculated with the weight of 0.31, 0.14, 0.11, as the first priority, the third priority and the fourth priority of the barriers to industrial development. The results also show that the financial and technical factors with the weigh of 0.12 and 0.08, respectively, are the second and sixth priorities. The infrastructure deficiency and limitations in access to resources and raw materials, respectively, with a coefficient of 0.1 and 0.05 are the fifth and seventh priorities.
