Authors

• Aliakbar Arabmazar ¹
• Ali Askar Qasemi Rad ²

¹ Professor, Faculty of Economics, Shahid Beheshti University

² MA in Economics

Abstract

In this paper، the effects of bank facilities and the real rate of foreign exchange on the agricultural products exports haves been investigated modeled and studied via a macro dynamic model. Time span of this study is 1358_1385 (1979_2006). The results of this study show that، due to the first shock of increasing real rate of foreign exchange، exports of agricultural products increases but the percentage of this increase is in a relatively smalsmall amountl، and it decreases through time. as time passes it shows that exports of agricultural products doesn't increase but decreases. It means that the effect of the shock in the long run is negative.Examining the effect of increasing bank facilities onto the export of agricultural products shows that the influence of the first shock in the beginning years is almost zero but in the last years of the time span becomes positive. This examination also shows that increasing the bank facilities causes higher rate of increase in the export of agricultural products. In fact، T the credit policy in agricultural sector is a midterm or long term policy، so the effect may not be clear in the first years of the policy implementation but as time passes it becomes noticeable. Finally combining merging these two policies shows that the effect of simultaneous implementation of two policieshas a positive effect on the export of agricultural products is positive. 

Keywords

• Real rate of foreign exchange
• b Bank facilities
• e Exports
• a Agricultural products