2024-03-29T08:01:30Z
https://ijes.shirazu.ac.ir/?_action=export&rf=summon&issue=654
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
Evaluation of Social Cost of Monopoly in Iranian Industries: Leibenstein Approach
Forough
Jahantigh
Mohammad Nabi
Shahiki Tash
Mosayeb
Pahlavani
The main objective of this research is to evaluate the social costs of monopoly in Iranian concentrated industries during 1996-2006. Leibenstein approach has been employed to evaluate the social costs. Leibenstein believed that most monopolistic industries operate inefficiently because of being in the safe margin. Hence, he proposed that the costs of inefficiency be added to the welfare triangle. Results show that "manufacture of tobacco products, recycling, mnufacture of medical, precision and optical instruments, watches and clocks, manufacture of coke, refined petroleum products and nuclear fuel, manufacture of fabricated metal products, except machinery and equipment " have imposed the most social cost on the society due to their inefficiency and deadweight loss of the welfare triangle. The social cost that these industries imposed on the society is equal to 100.47, 54.701, 41.039, 39.509 and 31.241 percent of the sales, respectively. In other words, a social cost of 24.01 percent of the sales is imposed on consumers in Iran by the concentrated industries.
Social Cost
Monopoly
Concentration
Leibenstein
Welfare Triangle
Inefficiency
Iran
2015
05
05
1
26
https://ijes.shirazu.ac.ir/article_3773_55b166c53b4e0453f8e3d7bb52c6e79c.pdf
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
A New Framework for Hegemonic Analysis of Monetary Policy: The Case of Iran
Iman
Bastanifar
Mohammad
Vaez Barzani
Monetary policy rule might be helpful to avoid the problem of time inconsistency provided there is a commitment to the rule. The commitment is the ability of a government to bind future policies. However, it doesn’t include intrinsic motivations. Therefore, hegemony, which includes both intrinsic and extrinsic motivations, better solves the problem of time inconsistency. In this paper, we explain the nature of hegemony and discuss why hegemony is preferred to commitment. We have used an index of hegemony to evaluate monetary policy and estimate the hegemony of Supervisory Packages on Monetary Policy (SPMP) of Islamic Republic of Iran for the period 2008-2011 by using fuzzy logic. The results show that an optimal hegemonic policy is better than the optimal commitment policy if and only if adjusted total effect of intrinsic motivation on an agreed-upon social objective function is positive. The results show that the hegemony index of central bank which consists of a combination of three sub-indexes such as "regional equity", "commitment ordering" and "diversity of economic activities" is relatively low and needs to be increased to ensure economic stability.
Iran
Hegemony
commitment
Monetary Policy
Fuzzy Logic
2015
05
05
27
52
https://ijes.shirazu.ac.ir/article_3774_aae7b711293e3ba8ce39991bbeed9cbf.pdf
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
The Impact of Fuel Subsidy Targeting in Iran Using a CGE Model
Hiva
Rahiminia
Beitollah
Akbari Moghada
Mohammad Reza
Monjazeb
Despite the implementation of the first phase of fuel subsidy targeting in December 2010, there are still debates over the economic impact of this project in Iran. A CGE model is used to analyze the impact of fuel subsidy targeting in Iran in four different scenarios. The data are used in the framework of SAM for the year 2001. In all scenarios, indirect subsidies are removed completely and replared with direct subsidies to households, manufacturing and service sectors and government institutions.­­ The findings of this paper show that the effect of fuel subsidy targeting on economic variables depends on the way this policy is implemented. We find that an increase in the income of low-income household results in an increase in the production level of basic goods. Moreover, the result shows that the mining industry, glass and other non-metallic minerals and other service sectors have comparative advantages. In all senatrios, the elimination of in direct subsidies results in stagflation. The inflation rate resulted from this policy is predicted to be between 16.1 to 21.1 percent. Furthermore, in all senariors, higher direct payments of subsidies to households are associated with higher growth and inflation rates and lower balance of payments.
Fuel Subsidy
Subsidy Targeting
CGE Model
Iran
2015
05
05
53
79
https://ijes.shirazu.ac.ir/article_3775_dde46448d3ef3dfca0ac60c8d7a1575a.pdf
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
The Effect of Real Exchange Rate Volatility on Strategic Investment in Iran
Hamid Reza
Horry
Elham
Rahimi
This study examines the impacts of real exchange rate fluctuations on the companies' strategic investments in Iran. The data of 92 listed companies in Tehran Stock Exchange during the period of 2002-2015areused. First, the volatility of exchange rate is estimated by the Generalized Autoregressive Conditional Heteroskedasticity (GARCH). The model is estimated by GMM and system GMM methods. The results show that the relationship between exchange rate volatility and companies' strategic investments has an inverse U-shaped. The estimation result of GMM method shows that the inflection points for volatility of exchange rate and its lag are 0.08% and 0.13% respectively. When we estimate the model with system GMM the inflection point for exchange rate volatility and its lag are 0.05% and 0.11%, respectively. Moreover, we find out that the first lag of investment and cash flow variables have had positive and significant effects on strategic investment.
Strategic investment
Tobin's Q
real exchange rate volatility
Iran
GMM
2015
05
05
81
100
https://ijes.shirazu.ac.ir/article_3776_464ee655c056c946d214c674b30c27e5.pdf
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
Non-Linear Relationships Among Oil Price, Gold Price and Stock Market Returns in Iran: A Multivariate Regime-Switching Approach
Siab
Mamipour
Fereshteh
Vaezi Jezeie
In this paper, the effects of oil and gold prices on stock market index are investigated. We use a cointegrated vector autoregressive Markov-switching model to examine the nonlinear properties of these three variables during the period of January 2003 - December 2014. The Markov-switching vector-equilibrium-correction model with three regimes representing "deep recession", "mild recession" and "expansion" provides a good characterization of the sample data. The results of the model show that the impact of oil price on stock returns is positive and significant in the short run. However, it has negative effects on stock market in the long run. Moreover, we find out that the relationship between gold price and stock market returns varies during the period under investigation depending on the market conditions. More specifically, the positive gold price shock decreases the stock market returns in the short run (10 months), while it increases the stock market returns in the medium and long run.
Stock Market Price
Oil Price
Gold Price
Markov Switching-Vector Error Correction Model (MS-VECM)
Iran
2015
05
05
101
126
https://ijes.shirazu.ac.ir/article_3777_0ddad146cd0815799b9c19b09ba30ba2.pdf
Iranian Journal of Economic Studies
IJES
2322-1402
2322-1402
2015
4
1
The Impact of Targeted Subsidies plan on Combination of Energy Consumption in Iran: The Case of Non-Metal Mineral Manufacturing Industries
Mohammad Ali
Feizpour
Mohammad
Khayyat Sarkar
Although the implementation of targeted energy subsidies plan has been considered by policymakers since the First 5-year Economic, Social and Cultural Development Plan in Iran, it is only partially implemented in 2010. This issue has great importance for industry sector that has benefited from subsidized energy prices. This research attempts to investigate the possible impact of implementing Subsidy Reform Plan on manufacture of non-metal mineral products industry by using Artificial Neural Network approach. This investigation focuses on new entered firms into this industry as one of the most energy intensive industries. The results indicate that by replacing subsidized prices with electricity real price, the consumption of this energy carrier will generally decline by 16 percent. Despite this, the large entrance of new firms has raised the energy consumption in some years. Therefore, the results show that targeted subsidies plan does not have a large impact on energy consumption in non-metal mineral manufacturing industries. Furthermore, we find out that the impact of this policy depends on combination of firms in each industry.
Targeted Subsidies
Energy Prices
New Firms
Artificial Neural Network
Iran
2015
05
05
127
146
https://ijes.shirazu.ac.ir/article_3778_6b1f9ed06089bf30316fcc9bef9aca14.pdf