Socio-Political and Environmental Study of Iran's Industrial Growth between 1979-2017
Mohammad Taheri
1
(
Islamic Azad University, North Tehran Branch)IAUNTB(
)
kiya parsa
2
(
)
Nasser Mikaeilvand
3
(
Department of Industrial Engineering, North Tehran Branch, Islamic Azad University, Tehran, Iran
)
Keywords: Industrial Production, Industrial Export, Error Component 3 Stage least square, simultaneous panel data model, Socio-Economic systems engineering.,
Abstract :
We construct a simultaneous panel data system of equations and estimate it with error component 3SLS (with TSP and Eviews), to assess the performance of industrial subsystems of Iran in terms of social (gini), political (democracy) environmental (CO2 emission) and economic variables. Results show that industrial value added increases results in more pollution (in terms of CO2), and gdp, too, while at the same time value added and export increases reduce gini coefficient. But even increasing real wages increase gini. When gini coefficient increases, the real wages of labor will reduce sharply. Increasing tariff rates increase the demand for labor and exports, and reduce imports of subsectors, while increase in interest rates boost value added and exports. Also results show that human capital accumulation has positive impact on production and reduce imports of subsectors. In sum, it can be said that the industrial subsectors, which define in terms of ISIC2 digit codes has very complex development path which pose serious challenges for policy makers to program an industrial policy favorable for the economy and other sectors of it.
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