Financial Economics
Year:2015 | Volume:9 | Issue:30|Papers Count:8

Shadow Economy (SE) is a complex and effective phenomenon which is present all over the world's economies and therefore at least in recent decade, SE is in the spotlight of a remarkable collection of economic scientists and researchers and it's social sciences users. The main objective of this study can be served as an investigation and identification of the interactions of SE with economic growth and it’s dependence on the level of economic growth and development .In this way, in order to design hypothesis and research's models, according to the theoretical approaches an Inverted-U functional form has been considered which is called as the Kuznets's relation To test our hypothesis, the econometric panel-data approach is employed for the period of 1999 to 2007 in two blocks of 25 countries containing high developed and developing countries (including I.R.IRAN) under various assumptions about simultaneity problem. The results of estimations and Turning-Points calculations indicate that our two hypothesis cannot be rejected and there is a significant Kuznets's U-inverted relation between SE and economic growth. Furthermore, the relationship between SE and economic growth depends on the level of development. Other findings show that all 25 developing countries including I.R.IRAN, during 1999-2007 are in upward phase of the inverted-U curve and the neoclassical view about complementary relation between SE and economic growth cannot be rejected.

The high unemployment rate is one of the chronically problems in Iranian Economy. There is a large gap between natural and nominal rate of unemployment in Iran. In the recent years, the policy makers tried to decrease and control unemployment rate by undertaking monetary policies, but the outcome of such policies has increased the inflation rate significantly especially during 1979 up to 2009 .In this paper, we tested the relationship between inflation and unemployment rates based on Philip’s curve hypothesis. Our estimation in form of two models separately, shows that, there is significant relationship between inflation wage rates in current period with previous one. In addition, the rate of inflation in each period is a function of productions level and wage rate. Also, the previous level of inflation has influenced current level of inflation rate significantly.

In modern literature of international trade, institutional function and issuing efficient regulation from trade perspective are considered as the major reasons for economic development of the countries. Foreign direct investment (FDI) accumulation and export are the key determinant of foreign trade which lead to economic development in some countries. In this study, the effects of improving the Doing Business and other variables on FDI accumulation and export have been investigated between 2006 and2012 in G77 countries. The key factors in accumulation of FDI include: Doing Business, plenty of natural resources, Good Governance and Economic Freedom. Moreover, the determining factors in export development are as follows: Doing Business, accumulation of FDI and real foreign currencies exchange rate. The results further indicate that improvement of Doing Business and Good Governance has a positive relationship with accumulation of FDI, however, plenty of natural resources have a negative relationship with accumulation of FDI. The results of this study show that improvement of Doing Business, accumulation of FDI and real foreign currencies exchange rates have a positive relationship with the export development of selected G77 countries.

This paper has been tried to measure technical, allocative and economic efficiency of natural gas refineries of Iran during 2003-2009 with using nonparametric data envelopment analysis (DEA) and Malmquist index. For this purpose, the input based method with three inputs and two output is used. The results showed that the average technical, allocative and economic efficiency, of provinces of the country during 2003-2009, respectively is 95 percent, 98.1 percent and 93 percent. Among natural gas refineries for calculation of the productivity, two refinery, on average, have experienced during 2003-2009 positive growth, and 4 other refinery, have experienced negative growth in productivity. During the year, interest in total factor productivity refineries growers an average of 8.2 percent had negative growth, negative growth of 8 percent due to changes in Technology efficiency.

Security exchange has a particular spot in the country's financial system and development of capital market depends on this institutes activities within the country. Accumulating small amounts of deposits and available liquidity, and guiding them toward the producing goods and service process in the country are two significant usages of the security exchange. Investors who take part in the security exchange include a vast variety of people that always are trying to decrease risk and increase proportional return. Thus recognizing the factors which effect the return on securities has a material effect on more in deeps analysis and making more proper by the investors. So in this case we study the effect of five important macro-economic variables on the total risk and returns of the enterprises admitted in Tehran Security Exchange under cement, petro chemistry, and automobile industries within 1377-1390. The aim of this study is to recognize a balance relation between macro-economic variables and their effects on the total stock return. This thesis studies includes 2 hypotheses. This study suggested that there is not correlated relation between the total risk, returns of the stock and macro-economic variables for enterprises admitted in Tehran Security Exchange.

Capital formation is one of the important factors in economic development. Developing countries are usually known with poor economies or ventures descend. In these countries not only current reserves of capital is low but also the concentration of capital. Due to the lack of internal funds for financing in developing countries, is one of proposed solutions on an international scale is import of capital such as loans, credits and grants from developed countries. Therefore, the effect of foreign aid as a foreign financial flow to developing countries to promote economic development is essential and knowledge of these effects will lead to the right decisions for the optimal use of these contributions. This study investigates the impact of foreign aid on growth in per capita income. We employ panel data over the years 1987 to 2010 in selected developing countries from Asia and Africa deals. The result show the effectiveness of foreign aid on per capita income growth is negative but small.

Mechanization to overcome technical limitations and time constraints of climate on the one hand, it is possible to increase agricultural production. The sugar beet is one of the industrial products, which plays an important role in meeting the needs of the domestic sugar. In this study, to investigate the welfare effects of mechanization policy beet, sugar beet supply and demand functions using seemingly unrelated equations approach and is estimated using panel data. The results showed that the degree of mechanization has been increased from 1370 to 1390. In the implementation of this policy Producers gain more Welfare than consumers. Therefore, according to the development of mechanization would stimulate backward and forward linkages to other economic sectors will lead to greater accuracy policymakers.

Fluctuations in the real exchange rate, including factors that could affect macroeconomic performance and especially economic growth. It can be said that a factor in the analysis of the relationship between exchange rate volatility and economic growth has received little attention is the development level of countries’ financial markets. This study was aimed to investigate the effect of exchange rate fluctuations on economic growth considering rate of development of financial markets in selected Member Countries of OPEC over the period 1981-2010. The effects of inflation on economic growth have been studied as well. The results obtained by analyzing of panel data show that the effect of financial development on economic growth and the mutual effect of exchange rate fluctuations and financial development on economic growth is positive, but statistically view are not significant.