THE JOURNAL OF PLANNING AND BUDGETING
Year:2015 | Volume:20 | Issue:2|Papers Count:8

The aim of this paper is analyzing the effect of government fiscal and budget decentralization on the size of the local states (provinces) and provinces economic development. For this, fiscal, budget and economic data were collected to 30 provinces for period of ten years 1381-1390. The results by using panel data, doing regression and LLc test show that fiscal decentralization and pool income has positively and meaningfully effect on the size of local states (provincial). In addition. Results show that fiscal decentralization provincial practitioner labor and provincial reconstructive budget has been positively and meaningfully effect on economic growth.

The main objective of this study is to evaluate the impact of oil revenue shock on macro-economic variables, in the context of a DSGE model while considering features such as the requirements of infrastructure development and public investment inefficiencies in Iran. The research findings based on RBC model, show that oil revenue shock has increased the consumption, government spending (such as the current and capital expenditures) and have decreased the inflation in the short term, although because the oil shock transferred to demand side, this situation leads to decrease the inflation in medium term. Results revealed that when the oil revenue shock increases, the “National Development Fund” and consequently the share of credit granted to private sector will be raised. Besides, because of the structure of Iran’s economy including large unproductive activities and the crowding out effect of government activity in economy the increase in oil revenue has little effect on growth and development of production in non-oil producing sectors. Furthermore, the research findings also show that when the public investments inefficiency decrease, the investment in oil revenues has more positive effects on macro-economic variables such as public sector production.

Unconformity with the financial rules, and the way in which the resources stemmed from oil export are introduced into government budget are two crucial issues which has been turned to be a sever impediment with respect to stabilization of financial policy. Majority of studies demonstrate the necessity for designing the fiscal rules to prevent the oversizing of government as well as to hinder the fiscal instabilities in short term. Such rules can be set either in the form of quantitative indexes aimed to limiting political intervention or in the form of procedural rules working toward the improvement of performance of budgetary institutions and management of public sector. Foreign Exchange Reserve Account, National Development Fund, and goal setting for deficit of operational balance are major fiscal rules designed in Iran. In practice, however, they failed to restrict government in utilizing the resources from oil export. Current study addresses the existing fiscal rules and experience of other countries and then proposes three fiscal rules including setting ceiling for budget deficit without oil and its annual reduction, setting ceiling for spending Rials from oil recourses in budget and its annual adjustment and associating the expenditure increase with the growth of non-oil revenues.

Import tax is one of the government revenue sources that some of its portion is not accessible to government due to tax evasion. In this study, the factors affecting tax evasion in import, have been identified by using the combinatorial model of artificial neural network and simulated annealing algorithms that is capable to analyze the nonlinear systems. For this purpose, four explanatory variables representing tax evasion in the Iran’s economy include tax burden on imports, the size of governments, tax payers’ real income and trade were considered in specified final model. The results from optimization of tax evasion using simulated annealing algorithms indicate that the optimum of the burden tax on imports, government size, economic openness and real income per capita are 6.18 percent, 13.2, 6.69 Million Rials, 1.29 percent, respectively; Also, the minimum tax evasion in the period under analysis amounts to 21.48 percent.

Monetary policies are the main instruments of macroeconomic and understanding their impacts is an important step in planning and national and regional development. In this study the effects of monetary shocks in coin price was studied by time series for 1981-2012. For this, GARCH technique was used to modeling and calculates the monetary shock. Also the relationship between monetary shocks, the world price of gold, oil revenues and exchange rate with coins price of Iran were analyzed using the ARDL model. Results show that in long-run exchange rate has negative effect and other variables have direct and meaningful effect on coin price of Iran.

Nowadays, the majority of economists believe that by taking advantages of the patterns of institutional development, economic progress can be brought to the country. In this case, however, it’s inexorably important to understand the principles of institutional economics. Hence, in this research we try to consider moral principles of institutional approach as well as the principles of philosophy in ontology and anthropology areas. Considering the vast domain of institutional economics, we will focus on those areas which represent the key differences between this approach and other orthodoxies. Our analysis demonstrates that three concepts of evolutionism or social Darwinism, bounded rationality and moral motivations in behaviors, respectively, have the biggest effect on differentiating principles of institutional models from other methods.

The advent of the industrial revolution in the 17th century in Europe was concurrent with the governance of the safavid dynasty in Iran. In that period, Iran succeeded to achieve growth and prosperity comparable to what other powerful societies did in that time; but this did not last long. Iran’s economic situation deteriorated and at the beginning of development of capitalism in Europe, imbalance between Iran and the west began to heighten. In this study, we investigate the reasons of vicissitudes of the economic performance in safavid era; also we try to answer why there were no structural changes in the Iran’s economy, in the level of institutional analysis. To this end, we use the institutional approach, specifically focusing on North’s ideas about the order of open and limited accessibility. The results demonstrate that in safavid era, due to the lack of law, flaw of civil institutions and absolute sovereignty of autocratic monarchy, there was no open access to political and economic markets, and this fact hindered the technical progress and technological development. Furthermore, the unsafety of artisans and craftsmen, and at the presence of high transaction costs, there were no proper room for productive investments and creative production of new commodities and services. Whereas, in Europe there was a gradual progressive transition to proper environment and appropriate contexts which provided the rule of law and open accessibility to political and economic markets; this in turn helps to the advancement of formation of facilitating institutions which motivates investments, market activities and industrial production.

Looking at the history of studies conducted in the framework of law and economics as long has always pointed to this approach. So that the whole studies carried out in this area, to be included multiple intellectual views. But the turning point of this study that provided the background for the development of this approach over the past, Published institutional economic ideas was in this field. The Commons is one of the founders of institutional economics is that for many years he attracted the attention of institutional ideas and influence of its own economists. The point of this paper is that what is Commons analytical approach to economic issues? Institutional glance what caused the difference in economic analysis? And what are the implications of his ideas in the field of law and economics? This paper is based on textual analysis for addressed this question. Commons with his unique vision of the concept of the institution in the form of collective action could change the economic analysis from the goods to exchange, brought a new approach, that can be as the approach mentioned exchange, to the scope of the knowledge of human. The emergence of economic Institutionalism and legal arguments exchange and costs, on the other hand, using economic methods to analyze the laws and regulations in recent decades, has made this field of study more than before. Due to the importance of the ideas of Commons in this area, the explanation and analysis of the article is based on his ideas. As a result, Commons approach is based on his idea about the prevalence of conflicts, trying lawmakers and courts to resolve these conflicts, the evolution of rights as a consequence of the ongoing processes of conflict resolution and the going concerns as a the context of exchange.