Financial Economics
Year:2014 | Volume:8 | Issue:28|Papers Count:8

Governments due to their role and tasks in the economy are forced to bear the costs. But effects of government spending and thus size of government on economic growth in a country is less clear. In this context, this paper study government size (ratio of total government expenditure to GDP) on economic growth in Iran has been considered. For this purpose, a Cobb-Douglas function that is function of the size of government, human capital and physical capital by applying ARDL method and data years 1368 to 1391 is estimated and extracted impact factor size of government in the short term and long term. The results indicate that the enlarging of government size has positive effect on economic growth in Iran in both periods, but it is more effective in the long term. Therefore, government size is as instrument for planning economic growth in the long run as capital human. The error correction coefficient also shows that distortions and imbalances in Iran economic' per capita production moves slightly towards long-run equilibrium.

One of the most essential ways to develop oil-based economies is to develop and enable non-oil exports. In this regard, steel industry among the other noticeable industries can performs a vital role. Despite the numerous studies on the non-oil export function and its determinants, the steel industry has not been specifically taken into consideration. This study examines the effect of real exchange rate misalignment on the steel industry exports from 1992 to 2012. For this purpose, Mobarakeh Steel Corporation has been selected among the Iranian steel companies. In this study steel exports has been considered as a function of three variables: real variable exchange rate, exchange rate misalignment and steel production. The two variables, real exchange rate and exchange rate misalignment, have been estimated by using the theory of purchasing power parity and ARDL technique has been applied to estimate this model.The results of this study indicate that the steel export is mainly dependent on exchange rate variables. However, although steel production variable has a positive effect on export, this effect is not significant. Results suggest that, in order to increase steel export, the exchange rate misalignment should be decreased and gradually be eliminated.

The market structure determination models have a vital importance in theorizing and experimental works and that`s why they constitute a large scope of microeconomics, industrial economics and applied economics literature. This paper determines the limits for 9 index including, biggest firm market share (C1), four big firms market share (C4), Hannah and Kay Index (HKI) presuming 0.6, 1.5 and 2.5 for α, Enkaoua Jacomin with two function of Silog (Si) and Si3 and Shannon entropy, using the numerical simulation for assumed firms with different market share. Then the formulas concerning identification of four kind of market like Perfect Competition, Oligopoly, Monopoly and Monopolistic Competition are proposed employing the Fuzzy logic zones in triangular shape.

Financial liberalization has a basic role in improving Total Factor Productivity (TFP) and economical growth of both developed and developing countries. It leads to providing modifications in financial substructures reinforcing financial system, increasing in goods trade and promoting TFP in other economic sectors. In addition, liberalization of financial service trade makes access to capital, technical knowledge and modern management methods possible, in financial service sector which is effective for promoting TFP in this section. In this study by method panel data by using data from 1995 to 2009 for a set of 20 developing countries was an attempt to investigate the impact of services trade liberalization on total factor productivity. The obtained result from model estimate shows a significant and positive relationship between financial liberalization and total factor productivity.

In this article we analyzed the technical efficiency of banks in IRAN during 1382-1390. The data set is balanced panel of 15 banks that belonging to two different ownership group. In this research we consider total deposit variable as output and to measure technical efficiency. We utilize six different model of stochastic frontier approach with different temporal assumptions. Also we use the information of the total volume of assets, number of bank branches, education level of employees and private dummy variables to explain the differences in the inefficiency among the banks.The result indicated that the bank efficiency is time invariant and the private banks group is more efficient than state group banks. Moreover, with the exception of education variable, other inefficiency explanatory variables were significant.  

The aim of this paper is to examine the relationship between Economic capabilities and making decision policies in some developing countries to decrease fluctuations in macroeconomics levels. To doing This, we considered real exchanghe rate and economic growth as variables which show uncertainty in the whole of economy. since, uncertainity makes the whole of economics unstable, the government try to create stability conditions via administration fiscal and monetary policies, But doing this ,will be create some costs in macroeconomic level. In this paper, based panel data model, and GARCH method, we measure uncertainity factor and test its impact on capabilities and fluctuations of economic variable in Iran during 1980 to 2009. The findings show that uncertainity makes economic policy costly via more government expenditure and decrease economic resistance in some developing contries.

In financial literature, interaction between financial system development and economic performance has been confirmed. Financial development in bank oriented financial system required increase in bank branches, because banks try to establish new branches in different regions to provide demand deposit, and earn gains from lending and they incorporate in money supply process by deposit taking. Thus this paper deals with the relationship between money supply and increase in banks branches.Using data from 1352-89, this paper base on regression analysis study the effects of development of banks and other factors that influences the money supply. Results suggest that increase in bank branches decreases the ratio of the currency to money. Also inflation expectations, real GDP and real interest rate of investment deposits include in model and findings show that effects of the variables is according to theory.

Protection policy and its effective factors is one of the important issues in the international political economy area. Tariffs and other form of protection methods that are used as a tool to support the domestic economy are the consequences of political pressure in interest groups. On the other hand, political–economy–theoretic models reveal that macroeconomic variables are important tools for protection and tariff rate. Hence finding the relation between political pressure (that influenced by macroeconomic variables) and the level of protection (because of the frequent changes and fluctuation in policy in macroeconomic indicators in the country) are an incredibly important issue. In this research, time series data during 1357-1388 and ARDL model are used in order to investigate the relationships between macroeconomics variables, tariff and the test of endogenous average tariff. The results showed that GDP variables and relative price of imports have a negative and meaningful relationship both in short and long term in relation with average of tariffs. Unemployment rate and inflation were meaningful only in level of 10 per cent and had a positive and negative relationship with average respectively. Also, trade balance was not significant both in short and long term. Hence, averages of tariffs are influenced by macroeconomic variables and its tariff endogenous.