Vahid Farzam; Fateme Taleghani; Robabeh Khilkordi
Abstract
The employment and access to job is one of the most basic needs of a community so that the increase in employment is seen as one of the indicators of development in societies. Given the importance of the issue, the aim of this study is to evaluate the effect of exchange rate overshooting on employment ...
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The employment and access to job is one of the most basic needs of a community so that the increase in employment is seen as one of the indicators of development in societies. Given the importance of the issue, the aim of this study is to evaluate the effect of exchange rate overshooting on employment in agriculture, industry and service sectors in Iran during 1973- 2011 using the seemingly unrelated regression and vector error correction model. The results of vector error correction model indicate that due to expansion in money supply exchange rate increases and divergence from equilibrium path occurs which finally leads to adjustment in the long run. Also, the results of seemingly unrelated regression model show that employment in industry and service sectors is respectively negatively and positively affected by exchange rate overshooting, yet the impact of this overshooting on employment in agriculture sector is not significant. In this regard, the demand of labor in the industry sector compared to service and agriculture sectors was the most sensitive to exchange rate overshooting. In addition, capital stock in industry and service sectors has a positive impact on employment in each sector.
Hassan Sobhani; Hamid Azizmohammadloo
Volume 7, Issue 24 , October 2005, , Pages 1-31
Abstract
Investment is perceived as a major factor in job creation in almost all sectors of the economy and by the policymakers. In this paper, we investigate if investment has the same effect on the job creation in all the Iranian manufacturing sub-sectors using the data with two-digit ISIC codes.
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Investment is perceived as a major factor in job creation in almost all sectors of the economy and by the policymakers. In this paper, we investigate if investment has the same effect on the job creation in all the Iranian manufacturing sub-sectors using the data with two-digit ISIC codes.
Research findings reveal that the first to fifth strongest effects are among the “textile, wearing apparel and leather products", "wood and products of wood", "food, beverage and tobacco products", "machinery, equipment and metal instruments products", and "non- metallic mineral products", respectively. As for the "basic metal", "chemical products" and "paper, publishing and printing ", there is no significant statistical relationship between investment and employment.
Hamid Abrishami; Reza Mohseni
Volume 4, Issue 13 , February 2003, , Pages 1-32
Abstract
International trade theory argues that developing countries benefit from primary specialization because of the existence of comparative advantages and the utilization of the countries relative abundant factors. But at the same time, international specialization implies a high commodity ...
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International trade theory argues that developing countries benefit from primary specialization because of the existence of comparative advantages and the utilization of the countries relative abundant factors. But at the same time, international specialization implies a high commodity dependency which were criticized by some development economists. It is believed that international specialization of commodity implies a high economic dependency to export earnings. However, since export commodity prices were not predictable then high instability in prices caused export earnings instability. Prices or earnings variability induce macroeconomic fluctuations mainly defined as the national income instability.
This article analyzes the relationship between oil export earnings instability and economic growth in IRAN.
With regards to instability concept, macroeconomic consequences can be avoided and this problem can also be transmitted to other economic sectors.This article follows Feder's(1982) growth model and uses Johansen's (1988) cointegration system approach to analyze the effects of export earnings instability.Results show that export earnings instability does not affect the gross domestic product(GDP) in the long run, but it does effect it in the short run.
