The Effects of Inflation Taxation on Resource Allocation and Welfare in Iran's Economy: Presentation of a Neoclassical Endogenous Growth Model with Leisure and Production Externality
Hojjat
Izadkhasti
Assistant Professor of Economics, Faculty of Economics and Political Sciences, Shahid Beheshti University
author
Saeed
Samadi
Associate Professor of Economics, Faculty ofAdministrative SciencesandEconomics, University of Isfahan
author
Rahim
Dallali Isfahani
Professor of Economics, Faculty ofAdministrative SciencesandEconomics, University of Isfahan
author
text
article
2015
per
How inflation taxation affects resource allocation and welfare has received a great deal of attention. So far, this debate has been controversial. In this paper we examine how nominal money growth as a means of public finance affects resource allocation and welfare in a neoclassical endogenous growth model with leisure and money in the utility function and production externality. The present study is different from other studies in two aspects: first, in a dynamic optimization model, equations related to consumption and real money balances relative to GDP, leisure, capital stock, production and welfare level in a steady state extracted in form of the parameters in model. Second, for each of them, derives sensitivity analysis regarding the rate of inflation tax. The results obtained from sensitivity analysis indicate that in a steady state without externality of production, by increasing inflation tax rate, the ratio of consumption to GDP remains constant, but increase labor, capital stock and production. With decrease the ratio of real money balances to GDP and leisure, the level of social welfare in steady state decreases. Considering production externality, capital stock and production increase more rapidly, welfare level in steady state increases.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
253
280
https://jte.ut.ac.ir/article_55082_1f6578a0c4c53514776077d0ed6c9c14.pdf
dx.doi.org/10.22059/jte.2015.55082
A survey of the effective factors on reputation of monetary authority of Iran
Iman
Bastanifar
Assistant Professor, University of Isfahan, Department of Administrative Science and Economics, Faculty of Economics
author
text
article
2015
per
Reputation of a monetary’s authority, is an agents believe on his to control of deviation between targeting inflation and observed inflation. On one hand , a Monterey’s authority, can throw agent’s trust to his polices, leading to lower inflation expectations and inflation. But on the other hand, government pressure on the monetary authority to do discretionary monetary policy( such as creation of money and loan, or government decision to deal with unemployment, or decreasing the real value of debts and compensate government budget deficits ,mostly in a rescission situation) would lead to higher deviation between targeting inflation and observed inflation.In this survey, in order to test and analysis the reputation of the monetary’s authority, chisel-prone’ credibility and Autoregressive Integrated Moving Average(ARIMA) lin-log models of time series based on the model of Barro and Gorden (1983) have been used by using two tailed of t student, during the years of 1979 to 2009(end of forth developing plan). The results show that monetary’s authority was not reputational during second, third and fourth developing plan. Also, oil price by one lag, real GDP and unemployment by 3 lags have positive effects and discretionary monetary policy(creation of money and loan) and previous lack of reputation by two lags have negative effects on the reputation of a monetary’s authority.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
281
304
https://jte.ut.ac.ir/article_55083_ae78512cb28e1109f5ffc1fe91d88244.pdf
dx.doi.org/10.22059/jte.2015.55083
Dual models application of interval Data Envelopment Analysis for interval data
(Case study: Butchery units of Zabol city, Iran)
Fatemeh
Rastegaripour
Assistant Professor of Agricultural Economic, University of Torbat-e-Heydarieh, Torbat-e-Heydarieh, Iran
author
Ahmad Ali
Keikha
Associate Professor of Agricultural Economics, University of Zabol, Zabol, Iran
author
text
article
2015
per
In this research, interval efficiency of butchery units of Zabol city using model of interval Data Envelopment Analysis was measured, and factors of effective on it was studied. Data for this research obtained via completing questionnaires and use of method of sampling randomized for 2010 years. The results showed that efficiency maximum of 50% of butcheries is less than 40% and efficiency minimum of 80% of butcheries is less than 20%. Average of efficiency minimum and maximum is 13.5% and 47.2% respectively. Also interaction effect of variables was studied on average of extensions efficiency. The results of linear regression with method of square minimum showed that each one from variables of experience, studies and Zabol sheep race had significant and positive correlation with efficiency. With due attention to low efficiency of butchery units of Zabol city and consumers emphasis to see slaughter was suggested establishment of livestock sale units with slaughter units under control of hygiene and health department, and also establishment of meat hygienic distribution units with complete equipment’s in city exits. Moreover since manager’s experience has much effect on efficiency of butchery units, so increase of young manager’s information via education classes regarding marketing and meat grade is necessary.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
305
325
https://jte.ut.ac.ir/article_55084_37ff16b5ebb0c82c5431f4977c615a68.pdf
dx.doi.org/10.22059/jte.2015.55084
Identification and evaluation of the factors that influencing the decision of Tehran citizens to enter to family practice, using a discrete choice experiment
Seyyed Mohammad Hadi
Sobhanian
Ph.D in Economics, Tehran University
author
Jafar
Ebadi
Professor of Economics, Tehran University
author
Mohsen
Mehrara
Professor of Economics, Tehran University
author
text
article
2015
per
Despite the relative success of the health system and the promotion of health indicators over the last two decades, Iran's health system still faces serious problems. One of the most important of them, is the inequity in access to health. Theoretical studies and empirical evidences indicate that implementation of the referral system and family physician plan, is one of the main strategies to overcome inequity in the health and appropriate using of scarce resources in this area. In order to successful execution of the family physician, it is necessary, in addition to reform some known problems, the important factors influencing the decision of participants in the project have been identified by using scientific studies and methods and policy makers develop a package that is designed with maximum compliance to the preferences of the target population in order to increase the likelihood of successful implementation.This study is conducted for this purpose. The results indicate that,the visit,behavior of physician, the time of examination has been spent by doctor and being on call are attributes that influence the decision of citizens to enter to family physician. As we expected, increasing in visit, reduces the willingness to entrance to plan. The respectful behavior that given by the doctors, spending the appropriate time for patients and being On-call, increase the utility of citizens and the probability of their entrance to plan.The willingness to pay for behavior of physician,the time of examination and the attribute of On-call are estimated respectively 9579 , 9947 and 3750 Toman.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
327
357
https://jte.ut.ac.ir/article_55085_169a4aec067d373b50c372b7ab748fae.pdf
dx.doi.org/10.22059/jte.2015.55085
Survey the asymmetric correlation between stock return, trading volume and volatility of Tehran stock exchange market
(DCC-GARCH Approach)
Mohammad Nabi
Shahiki Tash
Associate Professor, Department of Economics, University of Sistan and Baluchestan
author
Mohammad
Mirbagherijam
PhD student of economics, University of Sistan & Baluchestan; Faculty member of Islamic Azad University, Iranshahr Branch
author
text
article
2015
per
In this research the asymmetric and non-linear correlation between the market returns and trading volume variables has modeled with the DCC-GARCH approach; and the impacts of market shocks, weekend and calendar effects on the market returns and trading volume are surveyed. The estimation results of parameters of the model by the maximum likelihood method show that previous day’s market return has a positive impact on the growth rate of trading volume, but the impact of trading volume growth rate at previous period on return changes is negative. Shocks on the stock market, weekends and calendar effects and the bad news affect the volatility of the stock returns and trading volume growth. Furthermore, the results of this study indicate that the impacts of positive and negative shocks and good and bad news on the volatility of trading volume growth rate and on the changes in market returns and on the correlation between them is asymmetric; and the correlation between changes in market returns and trading volume growth is non-linear and time-varying.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
359
387
https://jte.ut.ac.ir/article_55086_862dcb4e52a8d3bbfce1c4e2ad470995.pdf
dx.doi.org/10.22059/jte.2015.55086
Selection of optimal monetary rule: what type of inflation targeting?
Alireza
Erfani
Associate Professor of Economics, Semnan University, Postal address: Semnan, Semnan University, Faculty of Economics and Management
author
Farzaneh
Sadeghi
Student of PhD, Semnan University
author
Neda
Samiei
Student of PhD, Semnan University
author
text
article
2015
per
The purpose of the paper is to survey and discuss inflation targeting in framework of monetary policy rules. This study design an optimal economy model for Iran which compare different cases of domestic and CPI inflation targeting, strict and flexible inflation targeting.In Relation to this, the optimal monetary policy rule was designed using three constraints Neo-Keynesian Phillips curve, aggregate demand function and CPI inflation function,that have been estimated by Generalized Method of Moments (GMM).In analysis, it seems that using inflation targeting in the case of strict targeting is the first preference among alternatives in making decision of policy makers for Iran. But this study suggests only one scenario for decision making in which use the CPI inflation target in sticky mode. Because the central bank will be impose the least possible losses.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
389
414
https://jte.ut.ac.ir/article_55087_266d5d958eb29b054ba342a71479a20d.pdf
dx.doi.org/10.22059/jte.2015.55087
Financial Frictions and Labor Market Fluctuations
(Case Study Iran's Economy as a Small Open Economy)
Asadollah
Farzin Vash
Associate Professor, Faculty of Economics, University of Tehran
author
Mohammad Ali
Ehsani
Assistant Professor, Faculty of Economics & Administrative Science
author
Hadi
Keshavarz
استادیار دانشگاه خلیج فارس بوشهر
author
text
article
2015
per
The financial crisis of 2007 showed that the impact of financial markets on macroeconomic developments is deep. The labor market was affected by financial variables. This paper extends the New Keynesian model of a stochastic dynamic general equilibrium (DSGE) for the Iran economy in three context of an open economy, consider a financial frictions and frictions labor market, the impact of financial shocks (financial wealth shock, interest rates shock and investment-specific shock) with financial frictions on the labor market fluctuations are examined. The results indicate that financial frictions play an important role in influencing this shocks on the labor market fluctuations.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
415
447
https://jte.ut.ac.ir/article_55088_e301cad98dacbb4dbf845e82201bbcb9.pdf
dx.doi.org/10.22059/jte.2015.55088
Asymmetric Information in Iran’s Insurance Market: Case Study for Automobile Insurance in Iran Insurance Company
Gholamreza
Keshavarz Haddad
Associate Professor of Economics at Sharif University of Technology
author
Alireza
Sabouniha
Ph.D Student of Economics at Sharif University of Technology
author
text
article
2015
per
Asymmetric Information in Iran’s Insurance Market: Case Study for Automobile Insurance in Iran Insurance CompanyThis research aims to test the presence of asymmetric information by using the dynamic information of automobile policyholders in the Iran Insurance Company (IIC). The Conditional Independence test is conducted by Bivariate Probit model, the dynamic properties which are presented for bonus/malus system is tsted by a Dynamic Bivariate Probit model. Making use of a sample of 86637 policyholders in IIC, Our finding confirms positive correlation between risk and coverage in Bivariate Probit Model, which supports presence of asymmetric information. Also, there is a negative correlation between claim in the periods of t and t-1 in Dynamic Bivariate Probit model, where confirms that behavior of the insurance policy holders are subject to moral hazard.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
449
478
https://jte.ut.ac.ir/article_55089_ec03881ed2a6fd7dbd470afbb30475b5.pdf
dx.doi.org/10.22059/jte.2015.55089
Determining of Economic Efficiency of Industry of Iran during 1995-2010 (Metafrontier Approach)
Zahra
Montazeri
M.A. of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran,
author
Homayoun
Ranjbar
Assistant Professor at Department of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran
author
Majid
sameti
Associate Professor at Department of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran
author
text
article
2015
per
AbstractGiven the Importance of the Notion of Efficiency in the Country's Economic Growth, Measuring the Efficiency and the Technology Gap for Various Industries in order to achieve the Best Possible Resource Assignment, Following the Declared Policy Goals, is of Particular Importance for Those Countries, such as Iran, which are now at the early Stages of the Industrialization Process. Hence the Present Thesis is devoted to Determining the Efficiency Cost and the Metatechnology Ratio of the Industrial Activities in Iran. This is done for Three Groups with Different Levels of Technology during 1995-2010; we Use the Cost Frontier Function Based on the Likelihood Ratio Test between the Cobb- Douglas and Translog Functions and also the Stochastic Frontier Analysis and the Meta-Frontier approach. The Results Indicate that the Average Percentage of the Economic Efficiency of These Groups Ranges from 59.72 to 95.26; the Average Meta-Frontier Ratio from 0.5184 to 0.9782, and also the Average Percentage of the Meta-Frontier Efficiency Ranges from 30.79 to 87.37. The Results also show that the Average Percentage of Group and Meta-Frontier Economic Efficiency and also the Average Percentage of Metatechnology Ratio Corresponding to the Industries linked to Machinery Rank Better than those Industries Linked to Agriculture, Mining, Energy and Fuel. On the other hand, the Growth Process of the Metatechnology Ratio is clearer for the Industries Linked to Mining, Energy and Fuel during the Study Stage.JEL Classification: C23, C61, D24, L23
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
479
507
https://jte.ut.ac.ir/article_55090_0284cc4dff898f663f92be0adcf0341b.pdf
dx.doi.org/10.22059/jte.2015.55090
Military Spendings and Economic Growth in OPEC Selected Countries: Granger Causality Test in Heterogeneous mixed Panels Approach
Mohammad
Mowlaei
Assistant Professor, Bu-Ali Sina University of Hamedan
author
Abolghasem
Golkhandan
P.H.D student, Lorestan University
author
text
article
2015
per
This study investigates the causal linkages between military spending and economic growth in OPEC selected countries (i.e. Algeria, Angola, Nigeria, Venezuela, Iran, Kuwait, Saudi Arabia and Ecuador) by focusing country-specific analysis for the period 1995–2012. For this, the panel causality testing approach, the method developed by Emirmahmutoglu and Kose (2011) based on the vector autoregressive (VAR) model and Wald tests with the country specific bootstrap critical values, is applied. This test, accounts cross dependency and heterogeneity among the members of the panel and also, co-integration between variables. The results confirm the growth-military spending hypothesis for Algeria, Nigeria, Iran and Kuwait and verify the Neutrality Hypothesis for Angola, Venezuela, Saudi Arabia and Ecuador. Also, the growth-military spending hypothesis for the total panel is confirmed.
Journal of Economic Research (Tahghighat- E- Eghtesadi)
University of Tehran
0039-8969
50
v.
2
no.
2015
509
537
https://jte.ut.ac.ir/article_55091_ef17c87eb82f5429f983617f23aed92f.pdf
dx.doi.org/10.22059/jte.2015.55091