EMPIRICAL TEST OF LINDER’S EFFECT IN THE IRAN PATTERN OF INTERNATIONAL TRADE

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YAZDANPARAST Z.; KARIMZADEH M.; FALAHI M.A.

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Journal: Journal of Economic Research and Policies Year:2016 | Volume:23 | Issue:76 Page(s): 167-186

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Title

EMPIRICAL TEST OF LINDER’S EFFECT IN THE IRAN PATTERN OF INTERNATIONAL TRADE

Author(s)

YAZDANPARAST Z. | KARIMZADEH M. | FALAHI M.A. | Issue Writer Certificate

Keywords

EXPORTQ2

IMPORTQ2

LINDER THEORYQ2

PER CAPITA INCOME GAPQ2

Abstract

One of the IMPORTant goals in the developing countries such as Iran is economic growth and development. These countries must consider sufficiently to the foreign trade section. In the recent time the success or failure of the economy of countries strictly depend on the situation of the domestic economy. Because of the interaction with the global economy has become inevitable. According to many survey, state of countries in international economy and trade with the outside world is vital. Since the present study uses panel data model to examine bilateral trade between Iran and partners by LINDER THEORY in period 2006-2010. Linder believe that, the level of per capita income in a country gives a certain pattern of tastes in a country. In fact, the Linder demands overlap model theory estates the bilateral trade between countries with similar per capita income are more than countries with different per capita income. Our results indicate that the negative and significant effect between the volume of trade (EXPORTs and IMPORTs) and the difference income per capita between the two countries. In the other words more difference country’s per capita income, the volume of trade between the two countries will decrease. The second hypothesis, which suggests a negative relationship between distance and trade volume, in Iran is rejected.

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APA: Copy

KARIMZADEH, M., YAZDANPARAST, Z., & FALAHI, M.A.. (2016). EMPIRICAL TEST OF LINDER’S EFFECT IN THE IRAN PATTERN OF INTERNATIONAL TRADE. JOURNAL OF ECONOMIC RESEARCH AND POLICIES, 23(76), 167-186. SID. https://sid.ir/paper/89521/en

Vancouver: Copy

KARIMZADEH M., YAZDANPARAST Z., FALAHI M.A.. EMPIRICAL TEST OF LINDER’S EFFECT IN THE IRAN PATTERN OF INTERNATIONAL TRADE. JOURNAL OF ECONOMIC RESEARCH AND POLICIES[Internet]. 2016;23(76):167-186. Available from: https://sid.ir/paper/89521/en

IEEE: Copy

M. KARIMZADEH, Z. YAZDANPARAST, and M.A. FALAHI, “EMPIRICAL TEST OF LINDER’S EFFECT IN THE IRAN PATTERN OF INTERNATIONAL TRADE,” JOURNAL OF ECONOMIC RESEARCH AND POLICIES, vol. 23, no. 76, pp. 167–186, 2016, [Online]. Available: https://sid.ir/paper/89521/en

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