Document Type : ORIGINAL ARTICLE
Authors
1 Faculty Member of Economics, Shahid Bahonar University, Kerman, Iran
2 Ph.D. Student in Economics, Shahid Bahonar University, Kerman, Iran
Abstract
The level of GDP and its growth rate are the most important performance indices in macroeconomics. Therefore, investigation of the effective factors on economic growth is especially significant and one of the most important issues in the field of macroeconomics. The review of literature related to economic growth, showed that granularity in banking is one of the effective factors on economic growth.
This paper has studied the simultaneous effects of trade openness and granularity in banking on Iran’s economic growth. Generalized Method of Moments has been used to test the hypotheses. The data has been used in this research is Iran macroeconomics data and data related to Iran Banking network in the years 2001-2012. As expected, The results show that bank granular residual variable and simultaneous effect variable of trade openness and bank granular residual have a negative and significant effect on Iran’s economic growth.
Keywords
Main Subjects
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