Evaluating the Welfare Effects of Diversity on Irananian Import

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Khalili Asl Maryam; RASEKHI SAEED; SHAHHOSEINI SOMAYEH

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Journal: Journal of Industrial Economic Research Year:2019 | Volume:3 | Issue:9 Page(s): 13-24

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Title

Evaluating the Welfare Effects of Diversity on Irananian Import

Author(s)

Khalili Asl Maryam | RASEKHI SAEED | SHAHHOSEINI SOMAYEH | Issue Writer Certificate

Keywords

Welfare gains from trade

Import variety

Iran

Abstract

According to Krugman, product variety has played a central role in models of trade and growth. This study investigates the welfare gains due to Iran import of new varieties from 2014 to 2018 with the use of Feenstra (1994) and Broda & Weinstein (2006) methods. The amount of product variety is measured by product-level import data according to 2-digit code Harmonized System classification. Empirical results show that increase (decrease) in imported varieties would lead to increase (decrease) in consumers welfare. With the implementation of extensive sanctions and reducing the variety of Iran’ s imports in 2014 and 2015, the gains of variety of imports will decrease. In 2016 and 2017, with the implementation of Barjam and the elimination of effective sanctions, the Variety of imported goods to Iran and as a result the gains of this variety will increase. In 2018, with the unilateral withdrawal of the United States from Barjam and the beginning of a new round of sanctions against Iran, the gains of the variety of imported goods are reduced and as a result, the welfare of consumers is reduced. Positive gains in 2017 confirm that between 2016 to 2017 due to the variety of imported products, the welfare of consumers increased by 0. 1 percent of GDP.

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APA: Copy

Khalili Asl, Maryam, RASEKHI, SAEED, & SHAHHOSEINI, SOMAYEH. (2019). Evaluating the Welfare Effects of Diversity on Irananian Import. JOURNAL OF INDUSTRIAL ECONOMIC RESEARCHES, 3(9 ), 13-24. SID. https://sid.ir/paper/408409/en

Vancouver: Copy

Khalili Asl Maryam, RASEKHI SAEED, SHAHHOSEINI SOMAYEH. Evaluating the Welfare Effects of Diversity on Irananian Import. JOURNAL OF INDUSTRIAL ECONOMIC RESEARCHES[Internet]. 2019;3(9 ):13-24. Available from: https://sid.ir/paper/408409/en

IEEE: Copy

Maryam Khalili Asl, SAEED RASEKHI, and SOMAYEH SHAHHOSEINI, “Evaluating the Welfare Effects of Diversity on Irananian Import,” JOURNAL OF INDUSTRIAL ECONOMIC RESEARCHES, vol. 3, no. 9 , pp. 13–24, 2019, [Online]. Available: https://sid.ir/paper/408409/en

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