ECONOMIC RESEARCH REVIEW
Year:2011 | Volume:11 | Issue:1 (40)|Papers Count:12

Since the financial development can exert a significant effect on the distribution of income; in this paper we would investigate the relationship between the financial development and inequality in Iran. So, we estimate this relationship by applying the Generalized Method of Moment (GMM) Techniques and testing the alternative existing theories in the period of 1971-2006. Based on our results in this essay a negative and linear relationship between financial development and inequality is approved in Iran. However, empirical results show that there is little evidence supporting the non-linear inverted U-shaped hypothesis in Iran.

Fair distribution of income has been considered as the most important economic issues in different countries. In recent years, the quality of income distribution and the impact of macroeconomic policies on that has been more considered, especially after the issue of poverty reduction projects in the world. In today's world, the biggest factor causing poverty is not the lack of income, but it is the unfair distribution. Currently, majority of economists, considered the income distribution as one of the goals of government economic programs and the impact of fiscal policy on that as very important. This paper seeking for examination of the effect of fiscal policies on income distribution in IRAN. For this purpose we use a quantile regression model. In summary, the results show that the government's fiscal policies that impact on the Gini coefficient is not constant, but between different quantiles is different. While these policies in low quantiles do not have significant effects on income distribution, but their effects on the high quantile income distribution is quite significant.

The Economic integration is the most important phenomenon. Increasing of International trade is one of the most famous channels of economic integration. It is said that if this integration takes place, members may have a similar business cycles. In market oriented countries, the subject of business cycles has been attracted more attentions. The uprising trend of living standards followed by high unemployement, slower growth rate and then decreasing in living standards. However, with regard to the importance of the subject, we investigate, the similarity of business cycles among Iran, Turkey and Pakistan’s economies. Using Leamer approach and gravity model framework, our results show that there is a weak similarity among these countries.

Technological evolutions as one of basic resources of productivity growth plays a significant role in economic growth. Therefore, after world war, the determination of measure and bias of technological change has been subject of many research efforts.In this paper we have studied on the trend and bias of technological change in Iran’s industry by econometric approach from 1971 to 2008. We estimated a translog cost function in addition to equations system of cost share, using Seemingly Unrelated Regressions (SUR) approach. The results show that the rate of technological change has been -1.10 percent during the study years. It means that there is a decline in rate of cost of productive units over time. Furthermore, the results indicate that technological change has been biased towards the use of more energy and material, while labor and capital have been saved.

Dichotomy among different regions is a special characteristic of developing economies including Iranian economy. This dichotomy creates various problems, to remedy these problems, it calls for serious efforts to make harmony and balance among different regions. Due to shortages of capitals in under developed regions is resulted in vast amount of unused capacities. Therefore, it is suggested to enhance the level of investments by channeling financial resources to these regions. It is further identified that resource allocation ratio to gross domestic production compared even with other Middle East countries is very low. This low ratio is blamed for coexistence of inflationary and recessionary conditions. In this study, we try to determine factors which help to facilitate investment absorption in under developed regions.The developed and applied model is based on Wai and Wong model. This model has incorporated flexible acceleration pattern and their variable are adjusted from national level to provincial level. The hypothesis is tested for 28 provinces within 1998 -2004 by using pooled data. The results show that different provinces produce different impacts in investment.

The poultry industry is very important in Iran in comparison with other animal husbandry industries for its technical, economic and hygienic aspects. Despite the attempts made by the government to support this industry, still its products is not confidentially sufficient for growing domestic demands. Among the various factors, which influence the poultry industry, the preparation and relevant pricing of feed inputs are very critical issues.The purpose of this study is to investigate the short-run and long-run of the effective factors in chicken meat market in Iran during The monthly data of 1993- 2010 using Johansen-Juselius technique and VEC mechanism. The results showed that the price of poultry feed inputs have positive effects on price of chicken meat in both short-run and long run period. The results also indicated the high adjustment speed in the model, which reveals that chicken meat market could be regulated in the short-run period by appropriate policies.

Since the market structure and comparative advantages of exportable products affect economic growth & foreign exchange income of Iran, so, the analysis of factors affecting comparative advantages indices are very important. So, by using the indices such as RCA, RSCA, CR, HHI & the estimation of linear regression, we study the world market structure and comparative advantages of export of the most important countries & also the factors affecting export comparative advantages of two products, grapes & apple, of Iran.The structure of the world market for these two products are monopolistic. But the concentration index for the market of apple is more than grapes. Its trend in this period was decreasing which shows the world market is becoming more competitive.The estimation of the linear regression shows that the factors such as the world production (-), the export price for Iranian products (+), world import price of these products (-), concentration index (-) & the average of comparative advantage index of Iran competitors (-) affect the comparative advantage of these two Iranian products. To improve the Iranian export comparative advantage for these two products, we should implement appropriate export strategy and policies.

This paper examines the incidence of Dutch Disease symptoms in the agricultural sector of Iran, by applying SVAR modeling to quarterly data of twenty years span, from1989-2008. Our findings do not reveal any significant relation between oil prices, and value added of agricultural sector, but indicate a significant negative effect of oil price on the relative price of agricultural products. Therefore, the incidence of Dutch Disease cannot be rejected. Although, it seems that protective measures, in some extent, have been succeeded in insulating the production from harmful effects of decrease in the relative prices, but these measures, in no way will ensure the future development of the agricultural sector.

This study aims at investigating the impacts of increased export price of agricultural products on macroeconomic variables of Iranian Economy. To get the objective, Computable General Equilibrium (CGE) and Social Accounting Matrix (SAM) of 1380 was used. The results showed that with increase in export price of agricultural commodities, irrespective of exchange rate, GDP, private investment rate and tax revenues will increase, however, production and consumption of commodities will decrease under flexible exchange rate and will increase in nonflexible exchange rate regime. It was also revealed that investment use of commodities tend to decrease under flexible exchange rate and it is expected to increase as nonflexible exchange rate policy is imposed. Agricultural and nonagricultural prices will also decrease (increase) in flexible (nonflexible) exchange rate conditions.

Economic agents are constantly making decisions to maximize their expected utilities while accepting some risks. The question is that, how the efficient portfolio of the assets in a specific level of risk is formed to maximize the individual’s utility?To model the behavior of decision maker, economists and financial mathematicians consider both the variables which affect individual’s decision making behaviour, and the methods to include real world uncertainties. In the model presented in this paper the decision maker chooses between two types of assets: risky and riskfree. The returns on these two types are different and the utility of the decision maker is a function of his wealth (consisting of his initial wealth and the returns of his portfolio of the assets). The comparison between the results of financial modeling with decisionmaking theories under uncertainty within microeconomic literature reveals the impacts of three factors: degree of risk-aversion, relative return of assets and volatility of risky assets prices, on optimum portfolio allocation.

The purpose of this research is to measure and evaluate the financial performance of car industries and part producer companies as a whole group in Iran stock exchange market in order to rank these industries and factories.The research was executed for 21 companies financial information on their liquidity ratio, activity ratio, debt ratio, profitability ratio, and capital market during 5 financial period of 2003-2007. The entropy statistic results showed that return on investment (ROI) ratio, operating profit ratio, and current ratio, which possess values of 0.295, 0.137, 0.080 respectively, have a high priority in identifying better companies Meanwhile, the rank of companies have not fully consistent, so the validity of results have been investigated through comparision between companie's rank by ROI, TOPSIS, taxonomy and linear assignment. The results showed that TOPSIS and taxonomy with ROI had significant relationship. So, TOPSIS and taxonomy are better for financial evaluation of companies. The result of TOPSIS showed that "Lent Toormoz", "Charkheshgar" and "Iran Rikhtehgari" with the best financal performance in Iran stock exchange market ranked first to third, respectively.

The formation and appearance of the concept of knowledge-based economy seems bring changes in the national economies all over the world. Developed countries are experiencing a shift from traditional energy-based economies to knowledge economy based on of intellectual property factors. Innovation plays an important role in the economic structures of knowledge-based (developed) as well as developing economies.Assessing the eminent role of innovation in economic growth, this paper tries to investigate the importance of intellectual property rights on innovation. For this purpose, we use data of the period of1975-2005 of Islamic developing countries and employ panel data methodology to analyze intellectual property rights on innovation. Results indicate a positive significant effect of intellectual property rights on innovation in the Islamic developing countries.