Ahmad Googerdchian; Fatemeh Rahimi
Volume 3, Issue 9 , April 2013, , Pages 24-9
Abstract
The process of technology growth through internal research and development (R&D) is slow and expensive in developing countries. Technology has an inevitable role in production and industry; therefore countries will be able to benefit from spillovers effects through bilateral trade. In other words, ...
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The process of technology growth through internal research and development (R&D) is slow and expensive in developing countries. Technology has an inevitable role in production and industry; therefore countries will be able to benefit from spillovers effects through bilateral trade. In other words, every country and to be more specific, developing countries can have access to high-tech followed by growth and productivity in less expense through trade with developed countries. In this respect, growth and productivity of any country can be affected by investment in domestic R&D as well as R&D of trade partners. This research is an investigation of the effect of R&D spillovers and innovation of Iran trade partners on the country's economic growth from 2000 to 2009. According to gravity model, the results show that all the included variables - GDP of partners, population, spillovers of domestic and foreign R&D as well as innovation - have significant influence on Iran's economic growth.
Morteza Sameti; Homayoun Ranjbar; Monireh Hematzadeh
Volume 3, Issue 9 , April 2013, , Pages 40-25
Abstract
This study seeks to investigate the relationship between the development of financial sector and real sector in an economy under the asymmetric information because true growth is conditioned to the development of the financial structure, so that, countries with more developed financial sector, enjoy ...
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This study seeks to investigate the relationship between the development of financial sector and real sector in an economy under the asymmetric information because true growth is conditioned to the development of the financial structure, so that, countries with more developed financial sector, enjoy a higher rate of growth than the other countries. In this study the economic growth criterion denotes the development of the real sector, and variables such as ratio of the value of the stock exchange to GDP has been introduced as a criterion of development of financial sector. Also, logarithm of variance of the stock exchange price index and bank credits of the private sector index have been applied as a criterion of asymmetric information in the fiscal and money market. This model is estimated by applying panel data method for selected developed and developing countries in 1993-2008. The results depict the higher effectiveness level of financial market in comparison with money market in the developed countries, also financial structure of the developed countries differs from the developing ones because of a high level and evolved information symmetry in the developed countries, while in the developing countries, the money market is stronger than the stock exchange.
Mahdi Fadaee; Shayesteh Kazemi
Volume 3, Issue 9 , April 2013, , Pages 84-71
Abstract
One of the ways to create jobs is increasing the capacities of jobs through new investments. The aim of this research is to analyze the effects of foreign direct investment (FDI) on job creation in Iran. Thus, 1970-2010 statistical data have been used to survey the relationship between foreign ...
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One of the ways to create jobs is increasing the capacities of jobs through new investments. The aim of this research is to analyze the effects of foreign direct investment (FDI) on job creation in Iran. Thus, 1970-2010 statistical data have been used to survey the relationship between foreign direct investment and employment in a theoretical and experimental frame. By specifying an econometric model, the relations between the variables have been estimated by ARDL model. The results of research show that, foreign direct investment directly and meaningfully influences the economic growth to the extent that it improves the process of job creation opportunities in short run (0.1286) and long run (0.1261). Error correction coefficient (ECM) obtained in this model shows that in each period 10/2 percent of inequelibrium will justify and close to the long run imbalances. CUSUM and CUSUMSQ structural stability tests show that the estimated coefficients are stable over the period.
Reza Najarzadeh; Farzad Rahimzadeh
Volume 3, Issue 9 , April 2013, , Pages 98-85
Abstract
Undoubtedly, the Internet has affected the country's economic and financial interactions. Therefore, in this paper, the effect of Internet on economic growth has been studied. To this end, data of 140 countries collected in the period 1995 to 2010 and after review of data stationary and their cointegration ...
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Undoubtedly, the Internet has affected the country's economic and financial interactions. Therefore, in this paper, the effect of Internet on economic growth has been studied. To this end, data of 140 countries collected in the period 1995 to 2010 and after review of data stationary and their cointegration with Pedroni Cointegration test, model is estimated by panel data approach. The model estimation results show that the rate of Internet access, capital stock, labor force, trade openness and per capita spending on education have positive and significant effects and inflation and government consumption spending have the negative impact on per capita GDP growth.
Jahangir Biyabani; Asghar Abolhassani Hastiyani; Bita Shayegani; Mahdi Haghgou
Volume 3, Issue 9 , April 2013, , Pages 112-99
Abstract
The important role of export in economic growth and development and its impact on different economic sectors constitute a broad and significant issue upon which a large number of economists have been concentrating their minds, and has even branched out extensively into other scientific fields. In this ...
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The important role of export in economic growth and development and its impact on different economic sectors constitute a broad and significant issue upon which a large number of economists have been concentrating their minds, and has even branched out extensively into other scientific fields. In this regard, developing countries benefit from potential endowments due to relative advantages and huge amount of resources and have expertise in raw materials production and international specialization has led these countries to be dependent on raw materials export earnings. Likewise, considering that export's commodity prices are unpredictable, their fluctuations lead to export earnings be violated. Consequently, the economy as a whole would negatively or positively be affected and these result in instability of economic growth. For this purpose, this study aims at investigation of relationship between export earnings' volatilities and economic growth. Therefore, using estimation of St. Louis growth model over period 1976-2010, and Auto-Regression Distributed Lags (ARDL), effects of export earnings' volatilities on economic growth was evaluated. The findings of this study indicate significant negative impact of export earnings' volatilities on economic growth.
Batool Rafat; Saeedeh Beyk Zadeh
Volume 2, Issue 8 , December 2012, , Pages 22-9
Abstract
Economic integration is one of the most challenging issues of the countries in present time on which there are many disagreements. Investigating its effects and consequences from different views including, political, economic, social, and cultural aspects has attracted many scientists, economists, and ...
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Economic integration is one of the most challenging issues of the countries in present time on which there are many disagreements. Investigating its effects and consequences from different views including, political, economic, social, and cultural aspects has attracted many scientists, economists, and cultural workers across the world. These investigations need quantification and exertion of proper indices for measuring this phenomenon. By introducing globalization index of KOF, this paper tries to represent its effects on economic growth and employment rate among ECO, simultaneously. We use international data during 2001-2010 and gravity model was evaluated by panel data method in this paper. Also for simultaneous analysis, 2 SLS method was used. The results show that gross productions of ECO countries have had a positive and significant effect on the rate of bilateral trade among the countries . Trade effects on economic growth of their countries has been proved to be positive and significant as well. Employment had positive and significant effects on economic growth .
Mehdi Taghavi; Sholeh Bagheri; Parisa Mohajeri
Volume 1, Issue 4 , December 2012, , Pages 54-37
Abstract
Many studies have shown positive contribution of financial sector development to economic growth. However some new results indicate that the previous findings do not hold especially in recent years. The main purpose in this study is to examine the structural break between the financial sector development ...
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Many studies have shown positive contribution of financial sector development to economic growth. However some new results indicate that the previous findings do not hold especially in recent years. The main purpose in this study is to examine the structural break between the financial sector development and economic growth in different countries with different levels of income by using the index of bank credit to private sector. For this purpose we use an empirical endogenous growth model and a panel data consisting of 45 countries for 48 years, and test for nonlinearity. We found endogenously structural changes in the relationship of different income groups. The results confirm that the structural changes have occurred, and that the points of structural changes vary with the level of economic development.
Akbar Komijani; Gholamali Haji
Volume 2, Issue 7 , September 2012, , Pages 20-9
Abstract
In this article growth resources for Iran will be assessed for the period of 1959 – 2010 in format of two models. In the first model in addition of labor and capital from export, government expenditure and terms of trade in the production process will be used as effective inputs. Inserting export ...
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In this article growth resources for Iran will be assessed for the period of 1959 – 2010 in format of two models. In the first model in addition of labor and capital from export, government expenditure and terms of trade in the production process will be used as effective inputs. Inserting export was because of offering improvement of production technique training of skilled labor and work wild improvement was because of open economy and also inserting government spending and also terms of trade was because of dependence of government budget to oil and open economy of country. In the second model, economy will be divided to, two sectors of export and non – export that each of these sectors has a separate production function. In this model growth not only occurs because of labor and capital in export sector but also reallocation of resources from non – export sector to export sector will be effective in growth. In both models there is a positive and significant relation between export and economic growth. In both models Bruesch-Godfrey statistic indicates to the lack of serial correlation between residual terms also Bruesch-Pagan-Godfrey statistic indicates to lack of infinite consistency residual term variance.
Nader Mehregan; Asghar Sepahban Gharehbaba; Elham Lorestani Lorestani
Volume 2, Issue 6 , May 2012, , Pages 94-71
Abstract
In Lucas growth endogenous, we focus on human education that causes the weakness of decline return. Therefore the lack of autogenous technology cannot omit long term per capita growth. Human capital against autogenous growth model can be saved by investment i.e. people can choose how long they ...
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In Lucas growth endogenous, we focus on human education that causes the weakness of decline return. Therefore the lack of autogenous technology cannot omit long term per capita growth. Human capital against autogenous growth model can be saved by investment i.e. people can choose how long they invest on education. So it is supposed that human capital is an accumulated input with fix return. Finally from the model concluded that in shortage of autogenous technical progress the long term growth rate can be explained by accumulation of human capital. In this paper it is tried to search the effect of human education on growth rate in Iran by Lucas growth endogenous. The model that has been used in this paper is estimated by time series of 1959-2007 and five steps co-integration approach of Johansson and Vector Error Correction Model. Finally, based on two obtained co-integrated vectors, it is concluded that in long term there is a positive relationship between index of knowledge oriented employment and increase of physical capital's accumulation on Iran's economic growth. In addition, both of these vectors show that knowledge oriented employment has been very influential in the economic growth of the country in the long term.
Seyed Nezamuddin Makiyan; Azadeh Saadatkhah
Volume 2, Issue 5 , March 2012, , Pages 68-45
Abstract
This paper investigates the possibility of both linear and nonlinear effects of energy consumption on economic growth in Iran, using data for the period of 1959–2007 based on threshold regression. Some previous studies support the view that energy consumption may promote economic growth. However, ...
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This paper investigates the possibility of both linear and nonlinear effects of energy consumption on economic growth in Iran, using data for the period of 1959–2007 based on threshold regression. Some previous studies support the view that energy consumption may promote economic growth. However, the conclusion drawn from this study suggests that such relationship exists only where there is a low level of energy consumption in Iran. The evidence shows that, there are two break points (corresponding with three regimes) in economic growth function. For the low energy consumption regime (where per capita energy consumption is less than 5 barrels) we find that energy consumption has an important positive influence on economic growth with coefficient 0.09, which is not the case with the high or middle regime. In middle regime with per capita energy consumption between 5 and 8 barrels, the marginal effect of energy use on economic growth gets to 0.015. For the regime corresponding to per capita energy consumption above the threshold 8 barrels, the marginal effect of energy use is reduced to about zero. We show that a threshold regression provides a better empirical model rather than the standard linear model and policy-makers should seek to capture economic structures associated with different stages of economic growth.
Nooraddin Sharify
Volume 2, Issue 5 , March 2012, , Pages 238-207
Abstract
This paper investigates the possibility of both linear and nonlinear effects of energy consumption on economic growth in Iran, using data for the period of 1959–2007 based on threshold regression. Some previous studies support the view that energy consumption may promote economic growth. However, ...
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This paper investigates the possibility of both linear and nonlinear effects of energy consumption on economic growth in Iran, using data for the period of 1959–2007 based on threshold regression. Some previous studies support the view that energy consumption may promote economic growth. However, the conclusion drawn from this study suggests that such relationship exists only where there is a low level of energy consumption in Iran. The evidence shows that, there are two break points (corresponding with three regimes) in economic growth function. For the low energy consumption regime (where per capita energy consumption is less than 5 barrels) we find that energy consumption has an important positive influence on economic growth with coefficient 0.09, which is not the case with the high or middle regime. In middle regime with per capita energy consumption between 5 and 8 barrels, the marginal effect of energy use on economic growth gets to 0.015. For the regime corresponding to per capita energy consumption above the threshold 8 barrels, the marginal effect of energy use is reduced to about zero. We show that a threshold regression provides a better empirical model rather than the standard linear model and policy-makers should seek to capture economic structures associated with different stages of economic growth
Mahboobeh Jahadi; Zahra Elmi
Volume 1, Issue 2 , January 2012, , Pages 40-11
Abstract
Oil price fluctuations are one of the most important causes of economic crisis among both oil exporting and importing countries. Hence, study of oil price shocks on economy of oil exporting countries which oil revenues is the intensive generator is so vital. In this study, the effect of oil shocks on ...
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Oil price fluctuations are one of the most important causes of economic crisis among both oil exporting and importing countries. Hence, study of oil price shocks on economy of oil exporting countries which oil revenues is the intensive generator is so vital. In this study, the effect of oil shocks on economic growth in selected OPEC member countries is studied; at first oil price shocks are extracted by Hodrick-Prescott filtering and then the effect of oil shocks on regarded variables are estimated by Vector Auto-regressive Model (VAR). The result of regression analysis show that Emirate and Iran are the most dependent to oil shocks; Indonesia and Ecuador is the least dependent. The experience of Indonesia shows that decreasing in oil dependence is not possible without taking correct policies.
total factor productivity of production؛
Davoud Behboudi; Jalal Montazeri Shoorekchali
Volume 1, Issue 3 , January 2012, , Pages 70-49
Abstract
The most attended aspect of the modern economics is its structure which relies heavily on knowledge and awareness. In this competitive world, paying attention to knowledge and relying on innovation is what makes institutions pioneers. In the early 20th century, Joseph Schumpeter and later almost all ...
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The most attended aspect of the modern economics is its structure which relies heavily on knowledge and awareness. In this competitive world, paying attention to knowledge and relying on innovation is what makes institutions pioneers. In the early 20th century, Joseph Schumpeter and later almost all theoreticians came to believe that the emergence of a phenomenon called job creators or in other words innovative job creators played significant roles in the economic development process and, in Schumpeter’s opinion, something that makes these people stand out is their innovation power particularly in new combinations. With regard to the deep technological gap between the developed and developing countries, Foreign Direct Investment (FDI) is one way to transfer modern technologies to the developing countries where these innovations could be applied through this transfer. Since the arrival of foreign direct investment to the developing countries brings about spillovers resulting in innovation expansion in these countries. In this article, the effects of Foreign Direct Investment (FDI) spillovers on innovation in developing countries are dealt with, considering that the panel data are arranged in the Pool method for the developing countries where the innovation information have been accessible.
Seyed Komail Tayebi; Mostafa Emadzadeh; Hajar Rostami
Volume 1, Issue 2 , January 2012, , Pages 94-71
Abstract
The process of skilled international migration from developing countries to developed ones has considerably grown during two recent decades. In 1970s, most economists agreed brain drain resulted in reducing human capital stock and thus hurt developing economies. However, according to the studies of the ...
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The process of skilled international migration from developing countries to developed ones has considerably grown during two recent decades. In 1970s, most economists agreed brain drain resulted in reducing human capital stock and thus hurt developing economies. However, according to the studies of the recent decades, positive effects of brain drain on the source economies have been controversial. In this paper, it is tried to explore the effect of brain drain on economic growth of source developing countries. More than 90 percent of skilled emigrants of the world live in 30 of OECD countries, while more than 90 percent out of this live in the U.S., England, Canada, German, Australia and France. Accordingly, this paper explores the effect of brain drain on economic growth of 79 developing countries where skilled people have immigrated to the target countries during 1991 to 2004. To this purpose, the paper has examined the effect by specifying a panel growth regression model. The empirical results have shown that the effect of brain drain on human capital stock of the source countries has been negative and significant, while its direct effect on the economic growth of such countries has not been statistically significant. It implies that brain drain reduces the economic growth of the selected developing countries by reducing their human capital stock.
Erfaneh Rasekh; Fariba Abedy
Volume 1, Issue 2 , January 2012, , Pages 112-95
Abstract
Relationship between economic growth and export growth from the perspective of macro economic and political issues is important. gricultural exports have a significant share of non-oil exports which enjoy a remarkable position in exchange. According to the importance of agriculture sector, in this study ...
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Relationship between economic growth and export growth from the perspective of macro economic and political issues is important. gricultural exports have a significant share of non-oil exports which enjoy a remarkable position in exchange. According to the importance of agriculture sector, in this study important and efficient factors of growth & development of agriculture sector are investigated and then the side and influence of each variable is estimated and analyzed by using econometrics and statistical time series techniques. So Feder applied model estimation is chosen. The model is estimated by Co-integration techniques and error correction mechanism using time series data (1355-1388). The results show that agriculture export index has a positive influence on added value index in this sector.
Economic Growth
Sohrab Delangizan; Ali Falahati
Volume 1, Issue 3 , January 2012, , Pages 163-136
Abstract
One of the most important macroeconomic discussions is the effects of monetary policies on the real section of economy. With this respect, the present article investigates the asymmetric or symmetric effects of monetary shocks on the economic growth of Iran. In this article, the relevant model extracted ...
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One of the most important macroeconomic discussions is the effects of monetary policies on the real section of economy. With this respect, the present article investigates the asymmetric or symmetric effects of monetary shocks on the economic growth of Iran. In this article, the relevant model extracted from macroeconomic literature of money in Iran's economy is being examined. The results demonstrate that money isn’t neutral in Iran's economy and the effects of monetary policies on growth of Iran's economy are asymmetric. The negative monetary shocks influence the economic growth more than the positive monetary shocks; so that the negative monetary shocks in boom cycles and the positive monetary shocks in recession cycles have more significant effect on the economic growth. According to the result, it can be demonstrated that the effects of monetary shocks on economic growth is larger and more asymmetric if the shocks are bigger, and the lower the monetary shocks, the less the effects, consequently the asymmetry of negative and positive shocks will be slight. Also there are information gaps between economic makers so that the expectations are not formed rationally in Iran. So according to the results, it can be concluded that Iran's economy is in agreement with the Keynesian economics.
Economic Growth
Mahdi Fadaee; Somayeh Nayeri
Volume 1, Issue 1 , January 2012, , Pages 159-133
Abstract
In economic growth and development analysis, cultural change has a special situation. Cultural indicators can affect on production factors and economic growth endogenously and exogenously. Nowadays, in economic literature capital divided to: Physical, Human, Cultural, Social and Natural capital. In this ...
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In economic growth and development analysis, cultural change has a special situation. Cultural indicators can affect on production factors and economic growth endogenously and exogenously. Nowadays, in economic literature capital divided to: Physical, Human, Cultural, Social and Natural capital. In this research, first, we survey cultural indicators, and then point to production factors especially on capital and theatrically factors and GDP. In this research we used Auto Regressive Distributed Lag (ARDL) model to analyze short and long run relations between variables and then test the stability of model by CUSUM and CUSUMQ. Error Correction model (ECM) model is used to show how the short run shocks justify in next periods. Findings show that the model was stable and cultural indicators during 1975-2005 had significant and positive effect on economic growth of Iran.
total factor productivity of production؛
Karim Azarbaiejani; Molood Raki; Homayoun Ranjbar
Volume 1, Issue 3 , January 2012, , Pages 201-165
Abstract
According to discussion of export growth and economic growth, export diversification issue has been considered by many policymakers to mean the increase of exports commodity and reducing its dependence on one source of income. In other words, regardless of the composition or concentration of a country’s ...
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According to discussion of export growth and economic growth, export diversification issue has been considered by many policymakers to mean the increase of exports commodity and reducing its dependence on one source of income. In other words, regardless of the composition or concentration of a country’s export, more export commodities means more diversified exports. In recent years, export diversification in developing countries that mainly rely on exporting a single product has become a political priority. This study makes use of the new growth and international trade theories and panel data methods to examine the impact of export diversification on total factor productivity (TFP) and economic growth during the 1999-2007 in D-8 countries. The research results show that export diversification has a positive and statistically significant effect on the TFP and economic growth. Therefore to create economic growth and sustainable development, Iran has to pay attention to the export diversification policy as well as other factors that affect TFP and economic growth.
Economic Growth
Reza Akbarian; Mahsa Famkar
Volume 1, Issue 1 , January 2012, , Pages 185-161
Abstract
This paper examines the association of income inequality and economic growth with public expenditures on education as an intermediary factor in Iran. Time series data from 1974-2005 and two stage least squares (2sls) method are used to estimate a simultaneous equation system. Public expenditures on education ...
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This paper examines the association of income inequality and economic growth with public expenditures on education as an intermediary factor in Iran. Time series data from 1974-2005 and two stage least squares (2sls) method are used to estimate a simultaneous equation system. Public expenditures on education and economic growth are dependent variables and population density, human capital, past public expenditures on education and income inequality are considered as explanatory variables in the model. The results are as follows: 1-There is a negative association between income inequality and economic growth with or without public expenditures on education as an intermediary factor. 2-Public expenditures on education are negatively associated with economic growth. 3-Although the sign of past public expenditures on education with public expenditures as an intermediary factor is positive, but the coefficient of past public expenditures on education is not significant in the growth rate equation. So a judgement can not be made about its relationship with economic growth.
