Economic Growth In Iran Research Articles

The Effect of Climate Change on Economic Growth (Dynamic Computable General Equilibrium Model Approach in Iran)

Climate change is one of the most important issues affecting different economic sectors. Although this phenomenon has had a larger effect on the agricultural sector due to the heavy dependence of agriculture on weather conditions as compared to the other economic sectors, other economic sectors such as the industry, mining and service sectors are also influenced by weather changes due to their intra-sector dependence on the agricultural sector. Accordingly, the effect of climate change on the economic growth of Iran was examined in this research using the DynamicComputable General Equilibrium (DCGE) model. Our investigation revealed that the decrease in the precipitation in the twenty-year horizon (2011 to 2030) will reduce consumption in all sectors. Moreover, while production in the agriculture and mining sectors declines, it escalates with a descending trend in the industry and service sectors. Based on our findings, as a result of the decreased investment in the other sectors, investment in the agriculture, industry, and mining sectors decreases, whereas it rises in the service sector. Given the research results and the challenge of climate change facing this country, the Iranian government must devise a master practical plan to adapt to and confront this phenomenon and reduce its adverse effects.

Relationship between CO2 and Iran's economic growth with an emphasis on household welfare index (an economy with oil and economy without oil)

Economic growth emphasizes the expansion of economic activity, while economic development focuses on improving the quality and sustainability of economic growth and social welfare. Environmental concerns have shifted the focus of countries from nominal growth to real growth. Sustainable development and climate change reduction are the policy principles in many welfare countries. Considering the emission of carbon dioxide in different production sectors of IRAN, the main purpose of this study was to determine the relationship between the volume of carbon dioxide emissions and economic growth by emphasizing the welfare index of households in two sectors of the economy based on oil income and without reliance. The oil revenue in Iran was obtained using time series data from 1981 to 2018. The results of the analysis showed a significant relationship between economic growth and carbon dioxide emissions in both cases (with oil and without). In other words, increasing the amount of carbon dioxide emissions led to increased economic growth in Iran. In the oil based economy, carbon dioxide emissions have led to a nominal increase in economic growth due to their negative effects on the household welfare index. The results of the estimate showed that the impact of pollution on household welfare ultimately reduced the rate of economic growth. In fact, when carbon dioxide emissions only increased the country's economic production without contributing to economic growth, there was no growth leading to sustainable development, even though it might lead to a short-term production boom. It may reduce the general level of prices, but the negative effects it has on the environment and people’s well-being can lead to reduced economic growth in the long run.

How much Has ICT Contributed to Iran Economic Growth

In recent decades, an increasing emphasis has been placed on the role of productivity improvement in economic growth, especially in developing countries such as Iran. In this context, one of the main factors influencing the productivity and efficiency is information and communication technology (ICT). International experiences in economic growth, from supply side point of view, imply that ICT deployment has played a significant role in value added creation, especially in economic sub-sectors which are more ICT -intensive. In this paper, we are going to assess the ICT impact on economic growth in Iran in a quantitative framework by using provincial data. In so doing, we apply parametric & non-parametric approaches (Panel Data & DEA techniques) in order to understand the average impact of ICT on economic growth (known as ICT productivity) as well as the relative status of provinces in terms of ICT contribution to economic growth (known as economic efficiency). Results of estimations imply that ICT could positively contribute to the economic growth and the relative economic efficiency of provinces in value added creation. Meanwhile, upon omitting ICT from our basic model, the efficiencies of provinces collapse significantly.

How do Real Exchange Rate Movements Affect the Economic Growth in Iran

This paper, through an asymmetric and non-linear framework, NARDL Model, investigates how real exchange rate movements affect the economic growth of Iran. In other words, whether the movements in the real exchange rate is an indicator of economic growth changes. Working on the monthly data of Gross Domestic Production (GDP) and Real Exchange Rate indexes from November 2009 to November 2019, this study shows asymmetric and negative relationships between exchange rate and economic growth both in the long run and short run. Although, in the long run, the magnitude of effects both positive and negative components of exchange rate on economic growth were significantly more than those of short run, the stability of the results have indicated that the roots of existing nonlinear and asymmetric relationships among these variables are so strong that change in time horizon, from the short run to long run, has also not been able to change them.

Social Networks, Exchange Rate Fluctuation, and Economic Growth: ARDL Approach

Abstract This study aimed to investigate the effects of social network propaganda on exchange rate and also exchange rate fluctuations on Iran economic growth. This study uses annual data to analyse the long-run and short-run relationship between variables for the period of 1993–2018. Data were collected from the Central Bank of Iran. The autoregressive distributive lag (ARDL) method proposed by Pesaran, Shin, and Smith (2001) was used. The results of long-run analysis show that a 1% increase in negative propaganda of social media about the exchange rate leads to a 3.8% decline in long-run economic growth. Also, a 1% increase in exchange rate fluctuations results in a 3.5% decrease in economic growth. Research findings also indicate negative short-run impacts of social networks on the excitement of the foreign exchange market and, ultimately, on economic growth.

Reviewing the Effect of Infrastructural Investment on Economic Growth in Iran from 1983 to 2013

Introduction: investment is one of the most important components of today’s modern society. The key role that investment plays in the formation of the economic structure of a society has made it a main focus in most of the economic discussions about the role of infrastructural investment. Direct investments on infrastructures paves the way for production facilities, stimulates economic activities and also improves competitiveness by reduction the costs of business and transportations. However, over the past few years, since the developed countries have undergone some technological advancements and evolutions in fields such as new methods of production and storage, electronic business and since these countries have paid special attention to the external effects of this infrastructure especially in the environment, a new view has been developed which is based on the decrease in the effectiveness of the relationship between investing in this infrastructure and economic growth among economists. However, in developing countries, this view doesn’t hold true because this infrastructure has not been sufficiently developed in these countries. Methodology: the present study aims to review the effect of infrastructural investment on Iran’s economic growth. In this respect, the production function economic growth model has been expressed and infrastructural investment has been reviewed as an important infrastructure as an overall variable. Results:In order to identify the effect of the infrastructures on Iran’s economic growth, two variables have been used, i.e. physical infrastructures and Information and Communication Technology. In order to estimate the aforementioned model, the autoregressive disturbed lag method in the time span of 1983 to 2013. Conclusion: The findings of this research have shown that in this specific time period, the reviewed infrastructures including Information and Communication Technology and physical infrastructure have had a positive and significant impact on Iran’s economic growth.

Effects of Inflation and Employment Inverse on Economic Growth in Iran (1992-2012)

This study attempted to explore the role of inflation and unemployment inverse on the Iranian economic growth during 1992-2012. Methodology: Moreover, the effects of inflation and unemployment inverse on economic development were examined within short and long term periods through an autoregressive distributed lag (ARDL) model. The model was assessed through Microfit 4.0 and Eviews 6. Results: The results indicated that inflation and unemployment inverse left a negative impact on the long-term economic growth. It implies that inflation and unemployment inverse in the long-run led to lower economic growth, which can more than ever propel the Iranian authorities to pay greater attention to the importance of inflation, unemployment and devising new plans for mitigation of the two trends. Conclusion: The results can be employed by all Iranian officials, especially those involved in economic and social institutions and organizations, so as to take measures for mitigation of inflation and enhancement of employment rate, and eventually realize maximum economic growth.

The relationship of renewable energy consumption to stock market development and economic growth in Iran

This paper investigates the relationship of two types of renewable energy consumption (total hydropower, wind, solar and nuclear energies, and total combustible renewable and waste) to stock market value and economic growth in Iran. An autoregressive distributive lag (ARDL) model was used for data from 1990 to 2014 and results show that stock market value affects both groups of renewable energies in the long run. Growth rate significantly affects total hydropower, wind, solar, and nuclear energies in both the short and long run, although it is only significant in the short run for combustible renewable and waste energies. Neither type of renewable energy consumption affects growth in either the short or long run.

The Impact of Income Inequality on the Economic Growth of Iran: An Empirical Analysis

The Impact of Income Inequality on the Economic Growth of Iran: An Empirical Analysis

The Optimal Public Expenditure in Developing Countries

The Optimal Public Expenditure in Developing Countries

Investigating the Impact of Tax Revenues (Tax Expenditures) on Iran's Economic Growth

Investigating the Impact of Tax Revenues (Tax Expenditures) on Iran's Economic Growth

Resistance economy, fiscal and monetary policy and its impact on economic growth in Iran

Resilient economy, a new approach to mainstream economics, has been emerged from the internal developments of the Iranian economy with regard to the power relations in the world. In this paper, the protectionism approaches to economics are discussed and the dimensions of a typical resilient economy are redefined. These dimensions are endogeneity, justice, democracy, outward-orientation, food security, reliance on knowledge, economic power, social capital, and environmental sustainability. The corresponding indicators were extracted from international reports, and Iran’s rank is determined among the selected economies mentioned in Iran Vision 2025, including the selected countries in the Middle East and North Africa (MENA) and Economic Cooperation Organization (ECO). According to calculations, Iran ranks the eleventh among 21 countries. It possesses a better situation in terms of economic power and endogeneity but has a worse position in terms of outward-orientation, democracy, justice, and food security. In this study, the rule of law, innovation index, and environmental sustainability affect positively the resilience index. In order to achieve a resilient economy, Iran needs to expand trade and political ties with the selected countries and the world, strengthen democratic foundations, eliminate corruption and discrimination, prioritize food security, invest in the knowledge economy, guarantee the rule of law, and protect the environment.JEL Classification: B17, D63, D83, F13

The Role of Insurance Development in Financial and Economic Growth in Iran

The insurance sector in Iran is one of the most booming sectors of the economy and is growing at the rate of 10-20 percent per annum. In Iran, insurance is a flourishing industry, with several national and international players competing with each other. Iranian insurance companies offer a comprehensive range of insurance plans. In this investigation, we examine the impact of insurance in the process of financial development and economic growth. According to the obtained results, there is a unidirectional causality relation from insurance development to financial growth. Therefore, we conclude that insurance development is an important prerequisite for stimulating financial growth in Iran.

How to create an online investment and its impact on economic growth in Iran and comparing it with seven developed and developing countries including China, Japan, Malaysia, Korea, Indonesia, India and Singapore

This research is a description of correlational type in terms of applied purpose and methodology, because it seeks to discover the relationships of each of the variables of the research and It is applicable because its expected results can be applied in Iran. The statistical population of this study includes data on Iran and the seven developed and developing countries of China, Japan, Malaysia, Korea, Indonesia, India and Singapore, which are data for 2016 and 2017. According to the limited population of the statistical community, the whole number method has been used to determine the sample size. In this research, the tools for evaluating and measuring the considered variables are time series. To analyze the data of this research, Excel software has been used. The outcomes indicate that Internet investment affects economic growth in Iran and the seven developed and developing countries of China, Japan, Malaysia, Korea, Indonesia, India and Singapore.

Contribution of tourism to economic growth in Iran's Provinces: GDM approach

The aim of this paper is to present a methodology for the decomposition of economic growth by industry which allows between provinces comparisons in Iran. The authors use the growth of real GDP per capita as a measure of economic growth and disaggregate it into economic growth created by tourism and economic growth created by other industries. A Growth Decomposition Method (GDM) is used for measuring the contribution of tourism to an economy's growth for Iran from period 2005–2014. The results show that the impact of tourism on economic growth is positive. Thus, for Iran it appears that tourism on the whole support the growth of the general economy. Results of the average contribution of tourism to economic growth in provinces in Iran show that, khorasan razavi had the highest contribution to economic growth, Gilan took the second place and Ardabil was third with more than 1% and further 28 provinces it still had a positive contribution although less than 1%.

The Relationship Between Increasing Public/Private Sector Investment and Economic Growth in Iran

The form and the extent of government intervention in the economy are important issues in each country. Because of the importance of the subject, the present article examines the relationship between government investment expenditures, private sector investment and other related macroeconomic variables with economic growth from 1989 to 2013. For examining the long- and short-run relationships between model variables, the Autoregressive Distributed Lag (ARDL) approach and the standard Granger-causality relationship have been used. Based on the long- and short-run Granger-causality relationship, a one-way causality relationship from economic growth to government sector investment expenditures and a one-way causality relationship from the government sector consumption expenditures to government sector investment expenditures exist. Moreover, research findings show a two-way inverse Granger causality relationship between private sector consumption expenditures and government sector investment expenditures in both long- and short-run. Finally, there is no causality relationship between government sector investment expenditures and private sector investment expenditures.JEL Classification: H11-H50-E22-O43

The Effects of Technology Spillover on the Economic Growth of Iran’s Sports Industry

The Effects of Technology Spillover on the Economic Growth of Iran’s Sports Industry

The Role of Insurance Development in Financial and Economic Growth in Iran

The Role of Insurance Development in Financial and Economic Growth in Iran

Quality of Life of Afghan Immigrants in Tehran city

AbstractBy 2015, there were more than two million Afghan immigrants, both legal and illegal, living in Iran. Although, over the recent years, there has been a growing interest among social scientists, policymakers and national and international institutes in investigation of the quality of life (QoL) of immigrants, research on the QoL of Afghan immigrants in Iran is still in its infancy. The present article aims to study the QoL of Afghan immigrants in Iran and identify its influential dimensions and factors. This study relies on a perception survey of 347 Afghan households in Tehran city. Based on the 5‐point Likert Scale, the mean of overall life satisfaction of the Afghan immigrants was found as 3.22, which shows satisfactory QoL of Afghan immigrants in Iran. The highest level of satisfaction, with a mean value of 3.96, is related to public transport access followed by satisfaction in social relations with friends, relatives and fellow immigrants living in Iran, and access to cultural centres such as the mosque, library, and cinema. The lowest level of satisfaction, with a mean value of 1.90, was seen at border services like entry and exit from Iran, followed by the Iranian government policy towards Afghan refugees, and saving abilities. In addition, the most important predictors of immigrants' QoL include indicators of health, security, work status, and income, which are closely interrelated with the main reasons for Afghans' immigration to Iran. After immigration to Iran, the QoL status of the immigrants has improved significantly, especially in the fields of security and education; nevertheless, their employment in jobs with low skill and income, along with the decrease in the economic growth of Iran over the recent years, have caused problems for the economic and financial status of the immigrants. The results and findings of this study will be useful for designing and implementing plans and policies necessary to improve QoL of Afghan immigrants in Iran.

Renewable energy, nonrenewable energy consumption, and economic growth

ABSTRACTThis study examines the relationship between economic growth, renewable energy consumption, energy consumption, financial development, and trade openness over the period 1979–2014 in case of Iran, using Autoregressive Lag (Distributed ARDL) approach and Granger causality test. The renewable energy consumption has a negative impact on economic growth in the short run and the long run.We find the unidirectional causality from renewable energy consumption to economic growths apply to determine the causality between variables. This finding implies that economic growth is favorable for the development of the renewable energy sector, which in turn helps boost economic growth in Iran.