PEYKE NOOR JOURNAL
Year:2005 | Volume:2 | Issue:4 (ECONOMICS)|Papers Count:11

Economists usually use the two forces of market supply and demand for examining the pedogogical problems in Economics. As in the micro market for any competitive good, and upward sloping supply curve along with a downward sloping demand curve determine equilibrium in the market, in the macro market for final goods and services, a positively-sloped aggregate supply curve along with a negatively-sloped aggregate demand curve determine the equilibrium in the market. By using these two curves in this market, macroeconomists analyze the effects of supply and demand shocks as a whole and the impacts of monetary and fiscal policies on prices and output in particular.Under these conditions, the controversy between the two Keynesian and Classical Schools is revealed in the shape of aggregate supply curve and also the shape of aggregate demand curve which upon combining the latter curve with the different shapes of aggregate supply curves, opposite results can be obtained in regard to the effectiveness of monetary and fiscal policies used.In the debate running between the two schools of thought, first the Classical long-run perspective stands for and aggregate supply curve which is completely inelastic at the full – employment level of output and therefore an increase or decrease in the aggregate demand, assuming fully flexible prices, would adjust the aggregate quantity demanded to conform with agrregate supply; second the Keynesian short-run view corresponds with an aggregate demand schedule which, due to the presence of “liquidity trap” in Keynesian money market, is completely vertical and therefore inelastic and assuming a completely inelastic Classical aggregate supply curve, and excess or shortage of supply, supposing full flexibility in prices, should, as a rule, cause necessary changes in prices and proceed to adjust the aggregate quantity supplied to conform with aggregate demand, but it is not so.The main objective of this article is first to derive the diminishing aggregate demand curve from the IS-LM model and also on the basis of “real balance or wealth effect” or “Pigou Effect” which will be analytically presented, and second to evaluate the following conditions for deriving such a diminishing aggregated demand curve: 1) When under Keynesian Economics, the investment function is completely inelastic relative to the interest rate and also when the money demand function becomes completely elastic at a given, minimum interest rate, the aggregate demand curve loses its diminishing slope and becomes completely inelastic with its slope being equal to infinity. 2) In times of severe recessions, when markets are not active but still, prices ususally decline: with decreasing  prices, if consumers predict that prices would decrease more in the future, under the present recessionary conditions, the diminishing slope of aggregate demand schedule turns into an increasing one. 3) Deriving a negatively-sloped aggregate demand from the IS-LM model is not devoid of problems, as it is benig accompanied by removing the assumption of rigid prices and wages. 4) When money supply is assumed to be endogenous in Keynesian money market, the derivation of a negatively-sloped aggregate demand curve is uncertain.

According to Economics Literature and different studies, there is a causal relationship between exchange rate and export in the short-run. However, researchers and investigators have not given enough attention to this fact that exchange rate fluctuations and a constant change in exchange rate can automatically affect export over time. Therefore, exchange rate fluctuations will cause ambiguity in future export prices and will influence exporters’ expectations of uncertainty.Accordingly, fluctuations in the rate of exchange over time cause risk and uncertainty and therefore decrease exports in general and non-oil exports in particular.The purpose of this paper is to bring forward the effects of uncertainty due to exchange rate fluctuations on non-oil exports. Thus, we have defined an appropriate index to measure the risk because of exchange rate fluctuations and then have incorporated this index into the function of non-oil exports, which in turn has been defined according to the specifications of Iranian Economy.Since some variables of the model were non-stationary, we have used cointegration approach and Autoregressive Distributed Lag (ARDL) with error correction. The model indicates that there is a negative long-run relation between non-oil exports and exchange rate fluctuations.

Productivity has an effective role in increasing production and competitiveness. In this study, indexes of labor, capital and energy productivity have been measured and analyzed for the period 1346 to 1381. In this period, the above indexes have been increased with an annual growth rate respectively 5.2, 1 and 0.3 percent. Total factor productivity increased 2.5 percent yearly and its contribution in value added growth was 32.4 percent. The findings of this study indicate that real wage ,real rental capital cost, ratio of technical-scientific and professional employments to total employment and ratio of real output to potential output have had a positive effect and per capita capital a negative effect on TFP.  In addition, adjustment speed  was fairly slow (about 3 years), because labor market was inflexible.

The purpose of the present paper is to investigate the relation between information and communication technology (ICT) and labor productivity and wage. The statistical population considered includes 56 different industries of Tehran province, which are indicated by three- digit ISIC codes. The sampling units were 259 firms in industries selected, using random stratified sampling method.  Determining the sample size in each ISIC code by NEYMAN allocation method, the questionnaire was distributed among the firms and results were gathered. The sample size for wage information was 2600 individuals. In this research, two hypotheses were tested. First, the hypothesis of the positive relation between ICT and the labor productivity was tested, using Cobb- Douglas production function and cross-sectional data for the year 1381, applying ordinary least square (OLS) method. Second, the hypothesis of the positive relation between ICT and the wage was tested by wage semi-logarithmic function.In the Cobb-Douglas production function for ICT as independent variable, we used three proxy variables: the ratio of computer users to total labor (PCLR), the ratio of internet users to total labor (INTLR) and the ratio of the firms using internet to total number of firms (INTR). The coefficients of PCLR and INTLR variables were not significant at 0.05 level of significance, but INTR were significant at this level. In the wage semi-logarithmic, function the dummy variables of computer and internet users in the workplace were used as a proxy for the ICT variable. The test results showed a significant relationship between the wage and the information and communication technology.

There are several controversies over the interactional effects of e-commerce on economic growth. During recent years, economists’ point of views in this respect have got closer to each other, and most of them maintain a positive relation between e-commerce adoption and economic growth.In the article, after presenting an introduction, the theoretical and empirical literature is being considered with an emphasis on new studies. Then, some initial hypotheses relating to the adoption of e-commerce by developing countries will be considered. Finally, the model will specified. The main objective of the model is fitting relationship between e-commerce and economic growth. The specification includes three stages: First stage analyzes correlation between key variables. The relationship between “the number of internet hosts per 10000 inhabitants” and “gross domestic fixed capital formation” (as an index for physical capital), “gross enrolment ratios (tertiary) (as an index of human capital), and “the number of telephone lines per 1000 inhabitants” (as an index for e-commerce infrastructures).In the second stage, the main objective is designing a composite measure of investment for the full data set of 208 countries during 1999-2001, by using principal component analysis. The method let us delete high correlation variables with “the number of internet hosts per 1000 inhabitants”, so, a 207´207matrix is formed and the composite measure is made.In the third stage, the growth model is fitted by estimating the relationship between GDP and the number of internet hosts, and then the composite measure of investment (CMI) in the form of an econometric model (Panel Data) is estimated.The results show a positive effect of e-commerce on economic growth, and emphasize on the different effects of e-commerce on growth in developed and developing countries. Finally, concluding the comments will be presented.

Besides presenting changes in paradigms, determination of goals and the structure of economic activities as a result of several factors indicated, such as innovations and technical advancements, this paper demonstrates that, based on the axioms of Economics, economic agents have inclined toward future markets instead of present markets, and have also inclined toward earning prestige and commercial fame for their brand instead of ownership and reducing risk and uncertainty.In this connation and the related basic definitions, contracting which is one of the appropriate approaches to preforming economic activities, has been addressed first of all. Then, based on economic considerations, Scientific principles have been explained in the realm of which the contracting approach has been formed, and economic agents have worked. These economic principles are: work allotment, economies of scale, mergers and risk.In the end, it has been concluded that following a rational behavior, the economic agents who have accepted the new paradigms, and thereby exploiting the contracting approach, can obtain economic benefits such as distribution of the risk of activities, increased contribution in economic activities, increased social capital and the development of a professional culture. Furthermore, based on the theoretical issues that were presented, and the empirical studies, the contracting approach is recommended for perfoming some of the existing various activities.

The oil export provides the required foreign exchange for imports on one hand and constitutes a major portion of the whole exports on the other hand. Also, a considerable part of consumer spending and government investment is financed by oil export revenues. Besides, the imports of capital goods for public and private sector investment depend, to a large extent, on Oil export.Viewing the fact that Iranian Economy is substantially dependent on oil export, the purpose of this paper is to investigate the effects of the oil sector on economic growth-including both the effect of oil export volatility and the impact of its stability. The results of this paper indicate that oil export will mainly exert its effects on economic growth through imports.

In this study, first and second degree approximations of bivariate  Lagrange interpolation is applied to make employment time series in construction sector for period of time 1345-1379 that there is missing data. Wage and value added in constant price 1376 is used for interpolation. Interpolation function is made from two first degree polynomials. These polynomials use from two and three nods, respectively. In addition, a two degree polynomial is introduced that uses from 3 nods. The best estimation obtained from a combination of polynomials, that is, interpolation function is a multivalued function that for each given period of time uses  one of polynomials. Then employment function is estimated that indicates R-square adjusted is 97.1 percent and all signs of coefficients  estimated are reasonable.

The main purpose of the present paper is to estimate the impact of electronic commerce on the growth of GDP and labor productivity. Using the growth accounting model and econometric techniques and developing cross-sectional data including industries with three digit ISIC codes, the effects of three types of measurements for electronic commerce including electronic purchase and sale, usage of Internet and usage of PC, the coefficients of regression equations/ models have been estimated. The results of the estimated models, which have included three measures and three regressions for each of the models, show that the impact of electronic commerce on the growth of GDP and labor productivity is insignificant.These results are compatible with those obtained from the other studies done about the developing countries. Although, electronic commerce in the developed countries has a positive and significant effect on economic growth as well as labor productivity, the same in developing countries, according to the empirical results obtained from different studies, is not true and the latter results show that the effect has been insignificant.However, with regard to Iran too, if we are to generalize the results obtained from the industrial sector to the whole economy, due to the fact that our country is in the readiness stage for electronic commerce, the obtained results can be justified.