THE EFFECTS OF HUMAN CAPITAL CAPITAL AND R&D IN TFP GROWTH: THE CASE OF IRAN

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AMINI ALI REZA; HEJAZI AZAD Z.

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Journal: Iranian Journal of Economic Research Year:2008 | Volume:10 | Issue:35 Page(s): 1-30

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Title

THE EFFECTS OF HUMAN CAPITAL CAPITAL AND R&D IN TFP GROWTH: THE CASE OF IRAN

Author(s)

AMINI ALI REZA | HEJAZI AZAD Z. | Issue Writer Certificate

Keywords

TOTAL FACTOR PRODUCTIVITYQ2

HUMAN CAPITALQ2

RESEARCH AND DEVELOPMENTQ2

ACTUAL AND POTENTIAL OUTPUTQ3

Abstract

In this study, we examine factors influencing the TOTAL FACTOR PRODUCTIVITY (TFP) in the Iranian economy. These factors are: the percentage of higher education employees as proxy for HUMAN CAPITAL, the government RESEARCH AND DEVELOPMENT capital stock and the ratio of actual output to potential output as the index of capacity utilization. We estimate TFP using TFP using the ARDL (Auto-Regressive Distributed Lag) method covering data over the period the period 1968-2004. The results indicate that in the long run, the percentage of higher education employees, the government RESEARCH AND DEVELOPMENT capital stock and the capacity utilization have had positive and significant effects on productivity. In this period, in spite of increasing trend in HUMAN CAPITAL and the government R&D capital stock, TFP accounts for only five percent of the long run economic growth. The reasons for this meager share of TFP growth are growth is reduced the degree of competitiveness, misallocation and inefficient use of resources in the economy.

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APA: Copy

AMINI, ALI REZA, & HEJAZI AZAD, Z.. (2008). THE EFFECTS OF HUMAN CAPITAL CAPITAL AND R&D IN TFP GROWTH: THE CASE OF IRAN. IRANIAN ECONOMIC RESEARCH, 10(35), 1-30. SID. https://sid.ir/paper/2650/en

Vancouver: Copy

AMINI ALI REZA, HEJAZI AZAD Z.. THE EFFECTS OF HUMAN CAPITAL CAPITAL AND R&D IN TFP GROWTH: THE CASE OF IRAN. IRANIAN ECONOMIC RESEARCH[Internet]. 2008;10(35):1-30. Available from: https://sid.ir/paper/2650/en

IEEE: Copy

ALI REZA AMINI, and Z. HEJAZI AZAD, “THE EFFECTS OF HUMAN CAPITAL CAPITAL AND R&D IN TFP GROWTH: THE CASE OF IRAN,” IRANIAN ECONOMIC RESEARCH, vol. 10, no. 35, pp. 1–30, 2008, [Online]. Available: https://sid.ir/paper/2650/en

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