THE EFFECT OF THE TEMPORARY AND PERMANENT INCOME SHOCK TO HOUSEHOLD’S CONSUMPTION IN IRAN USING BLANCHARD-QUAH METHOD

Q: How can I download an article?

To download an article from SID, first log in to the site, search for the article title, and click on the 'Download Article' option.

Q: How can I download an ISI article?

To download an ISI article on SID, enter the keyword or article title in the search bar, view the relevant results, click on the desired article, and select the 'Download Article' option.

Q: How can I access the SID database?

To access the SID database, visit SID.ir, create an account, and log in to access scientific resources.

Q: Is downloading articles from SID free?

Some articles on SID are available for free, while others require payment. Details are specified on the article's page.

MOWLAEI MOHAMMAD; ODAY ALI

مرکز اطلاعات علمی Scientific Information Database (SID) - Trusted Source for Research and Academic Resources

Journal Paper

Paper Information

Journal: JOURNAL OF APPLIED THEORIES OF ECONOMICS Year:2016 | Volume:3 | Issue:3 Page(s): 93-114

Download Full-Text

Persian Verion

View:

678

Download:

Cites:

Information Journal Paper

Title

THE EFFECT OF THE TEMPORARY AND PERMANENT INCOME SHOCK TO HOUSEHOLD’S CONSUMPTION IN IRAN USING BLANCHARD-QUAH METHOD

Author(s)

MOWLAEI MOHAMMAD | ODAY ALI | Issue Writer Certificate

Keywords

TEMPORARY AND PERMANENT INCOME SHOCKSQ1

HOUSEHOLD CONSUMPTIONQ1

BLANCHARD-QUAH METHODQ2

SVAR MODELSQ1

Abstract

TEMPORARY AND PERMANENT INCOME SHOCKS are the most important determinants of household’s consumption. According to Friedman's permanent income hypothesis, HOUSEHOLD CONSUMPTION always responds to permanent income shock more than temporary shocks. Given that these two components shock separately are unobservable, in this paper we use BLANCHARD-QUAH METHOD to decompose the income shocks into temporary and permanent and then by applying Structural Vector Auto-regression model to identify the effect of that two shock components on household's consumption in Iran during the 1974-2014 years. The results from the estimated model confirm the validity of the PIH in Iran. So that HOUSEHOLD CONSUMPTION almost entirely explained by permanent shocks income. But it does not show sensitivity to temporary shocks.

Cites

No record.

References

No record.

Cite

APA: Copy

MOWLAEI, MOHAMMAD, & ODAY, ALI. (2016). THE EFFECT OF THE TEMPORARY AND PERMANENT INCOME SHOCK TO HOUSEHOLD’S CONSUMPTION IN IRAN USING BLANCHARD-QUAH METHOD. JOURNAL OF APPLIED THEORIES OF ECONOMICS, 3(3), 93-114. SID. https://sid.ir/paper/257797/en

Vancouver: Copy

MOWLAEI MOHAMMAD, ODAY ALI. THE EFFECT OF THE TEMPORARY AND PERMANENT INCOME SHOCK TO HOUSEHOLD’S CONSUMPTION IN IRAN USING BLANCHARD-QUAH METHOD. JOURNAL OF APPLIED THEORIES OF ECONOMICS[Internet]. 2016;3(3):93-114. Available from: https://sid.ir/paper/257797/en

IEEE: Copy

MOHAMMAD MOWLAEI, and ALI ODAY, “THE EFFECT OF THE TEMPORARY AND PERMANENT INCOME SHOCK TO HOUSEHOLD’S CONSUMPTION IN IRAN USING BLANCHARD-QUAH METHOD,” JOURNAL OF APPLIED THEORIES OF ECONOMICS, vol. 3, no. 3, pp. 93–114, 2016, [Online]. Available: https://sid.ir/paper/257797/en

Related Journal Papers