The Examination of adjustment policies effects on economic growth in Iran

Subject Areas : Applied Economics

تقی  ترابی ¹ (مسئول مکاتبات)
سکینه  صفری ² (ندارد)

Received: 2010-06-01 Accepted : 2010-12-29 Published : 2010-09-23

Keywords: Economic adjustment policies, Economic growth, Public &amp, Private investmen, Labor force, Export, exchange rate, Average import tariff rate, Pooled data method,

Abstract :

In examining of adjustment policies on economic growth and with using indicators of external and internal equilibrium and the reform of motivations and economic institutes was cleared  that the government policies for obtain internal equilibrium have no significant effect on economic growth while the non oil exprot , the ratio of private investment to GDP and the quality variable of economic liberalization have positive effects on economic growth.Since the efficiency of private investment is graeter than to the efficiency of public investment, thus continuing the trend of privatization is seen desirable. The coefficient of liberalization dumy variable is positive but real exchange rate and average import tariff rate coefficients have no significant effect on the economic growth. Thus supply side policies are preferred than to exchange rate reforms. Also using tariff instrument considering to the comparative advantage of commodities under long-run strategies as a component of economic adjustment policies is suggested and must be preferred liberalization policies than to privatization policies and it’s necessary to provide required beds to increase the corporation of private sector.