The Importance of Oil Sector in Input Preparation for Manufacturing Sectors and its Changes in Iran: An Input-Output Analysis



This paper explores the importance of oil sector in providing input for economic sectors and also its changes during the last decades in Iran. To that end, the partial and total forward linkage between oil sector and other domestic production sectors as well as their changes are examined using the input-output tables of the years 1986 and 2001. And also based on the information on hand, performance of oil sector through the years 1965, 1969, 1973, and 1974 have been studied as well. Results of the research however, indicate a poor linkage between oil sector as an input provider and other economic sectors. Though this linkage has grown slowly from 1986 to 2001, due to its initial weaknesses as well as a faster growth in other sectors. The rank of oil sector among all other production sector in providing input has also dropped in 2001 compared to 1986.
JEL Classification: C670، Q320، Q380