general equilibrium model

Open Access Article

1 - Evaluating the environmental and economic impacts of Carbon Tax Using Computable General Equilibrium Model (CGE)
جمشید پژویان حسن معین نعمتی

This paper deals with environmental, welfare and employment effects of Carbon Tax. Carbon tax as a policy instrument, internalizes the external cost of air pollution in price of fuel. The very objective of carbon tax is not only to reduce fuel consumption and hence redu More

This paper deals with environmental, welfare and employment effects of Carbon Tax. Carbon tax as a policy instrument, internalizes the external cost of air pollution in price of fuel. The very objective of carbon tax is not only to reduce fuel consumption and hence reduce harmful emissions made by economic agents, but also to lessen the tax burden on wage earners and reduce labor cost which in turn provides incentives for job creation. This study uses Computable General Equilibrium Model which is revenue neutral, i.e. total tax income is taken constant in the model. The model is a non- linear equation system. GAMS as a Software along with input – output table pertaining to Iranian economy is used to solve the mode. The model was calibrated to base year 1378[1].  The findings in this study indicate that the use Carbon Tax as a policy instrument to alleviate the Burdon of tax on labor income, would improve qualitavely the environmental standards and reduce the environmental concerns besides to positive impact on employment and welfare gains.   Manuscript profile

Open Access Article

2 - Investigation of Markov Dynamic General Equilibrium Marking Model (MS-DSGE) in order to Develop Iran's Monetary-Economic System
Mohammad Ghasemi Kiomars Soheili Shahram Fattahi

10.30495/jsm.2022.1971216.1697

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Open Access Article

3 - The Role of Economic and Environmental Policies on Preventing Air Pollution
Marziyeh Sadat Vahabzadeh Moghadam Karim Eami Farzaneh Haju Hassani

10.30495/eco.2023.1976456.2719

The purpose of the article is to investigate the role of economic and environmental policies on preventing air pollution using the Dynamic Stochastic General Equilibrium (DSGE) model during the period of 1990-2019. Based on the results of the model, the economic policy More

The purpose of the article is to investigate the role of economic and environmental policies on preventing air pollution using the Dynamic Stochastic General Equilibrium (DSGE) model during the period of 1990-2019. Based on the results of the model, the economic policy shock causes a sudden increase in economic growth and consumption and then their decrease; However, the economic policy shock increases air pollution. The shock of environmental policies, firstly, increases consumption and economic growth and then decreases them. Investment also decreases as a result of the shock of environmental policies. Based on the results of variance analysis, the role of economic policies for the country's economic situation and creating air pollution is greater than environmental policies. The role of environmental policies in reducing air pollution is less than the role of economic policies in increasing air pollution. It is suggested that when the government increases its expenditures, it imposes green taxes or carbon emission taxes at a lower rate than the increase in government expenditures so that the economic growth of the country will continue to be maintained along with the reduction of environmental pollution. Manuscript profile

Open Access Article

4 - Modeling the Effects of Indirect Taxes on the Welfare of Income Deciles in Iran with the Computable General Equilibrium Application
Akbar Khodabakhshi Saeideh Roustaei

10.30495/eco.2022.1963255.2673

After oil revenues, taxes are the second and most important source of government expenditure in Iran's economy. On the other hand, considering the importance of social justice as one of the main goals of the government, the effects of imposing taxes on households are al More

After oil revenues, taxes are the second and most important source of government expenditure in Iran's economy. On the other hand, considering the importance of social justice as one of the main goals of the government, the effects of imposing taxes on households are also very important. Therefore, this research, using a calculable general equilibrium model, seeks to investigate the welfare effects of imposing indirect taxes on different income deciles in Iran. For this purpose, two scenarios have been applied and the reactions of households with different income deciles to these scenarios have been investigated. In the first scenario, a uniform tax was imposed on all goods and services at a rate of five percent and in the second scenario, a tax on food at a zero rate, a tax on some luxury goods at a rate of 14 pecent and a tax on other goods at the same rate of 5 percent. EV index was also used to measure welfare. The results of the model show that the imposition of indirect taxes in the first scenario worsens the welfare of low-income households, while the second scenario improves the welfare of poor households and worsens the welfare of rich households. However, in the first scenario, the GDP was higher than in the second scenario. Therefore, it is recommended to choose a tax policy using an integrated tax system, we will see efficiency and economic justice. Manuscript profile

Open Access Article

5 - Evaluation of Nominal Wage Rigidities' Sensitivity in Dynamic Stochasic General Equilibrium by Considering the Stock Price Bubbles
Kiomars sohaili shahram fatahi narges rahmaniani

The main goal of this study is to introduce a general stochastic dynamic equilibrium model with sensitivity analysis for the wage rigidity in Iran's economy using the seasonal data from 1995-2014. The results showed, capital market dynamics influence the real sector of More

The main goal of this study is to introduce a general stochastic dynamic equilibrium model with sensitivity analysis for the wage rigidity in Iran's economy using the seasonal data from 1995-2014. The results showed, capital market dynamics influence the real sector of Iranian economy. The monetary policy shock has a significant impact on macroeconomic variables and stock prices. The volatilities in stock prices helps to explain the Iranian business cycles. In the case of bubble in asset prices, credit constraint in firms was decreased and their opportunity cost decreases and causes a downward pressure on the marginal costs and finally inflation decreases. By assuming wage rigidity, possibility of wage adjustment with regard to monetary shock decreases and the reaction of labour and labour supply is been more strict. And changes in production is slower than when the wage perfect flexibility exist.  Based on the results, using of the model with wage rigidity in order to better simulate the real world is suggested. Manuscript profile

Open Access Article

6 - Evaluation of Home Bias in Consumption and Exchange Rate Fluctuations (DSGE Approach)
Mohammad Akbari mohammad javad sharifzade ali ranjbaraki

The aim of this study is to evaluate the result of the exsictance and change in consumer home bias on macroeconomic variables (such as consumption and inflation), in the event of exogenous shocks to the economy. In order to do so, seasonal data of the period 1394-1370 a More

The aim of this study is to evaluate the result of the exsictance and change in consumer home bias on macroeconomic variables (such as consumption and inflation), in the event of exogenous shocks to the economy. In order to do so, seasonal data of the period 1394-1370 and a dynamic stochastic general equilibrium model has been used. After designing the model, parameters of the suggested model are estimated by Bayesian approach. Reviewing the impulse response functions in the event of exogenous shocks (such as oil revenue shock and technological shock) shows that, with home bias exsictance in the model, inflation and consumption volatility will reduced due to the increased volatility of exchange rate. Based on the results it is recommended that, In order to control endogenous variables (including inflation), In the event of exogenous shocks, especially oil revenue shock, the exchange rate should be allowed to fluctuate more. Manuscript profile

Open Access Article

7 - Modeling the Effects of Green Tax on Health Sector Costs Using a Computable General Equilibrium Model
Mohammad Ali Torki Harchegani Nazar Dahmardeh

Abstract The purpose of this paper is to consider the effects of green taxes on health costs in Iran. Accordingly, to achieve this goal, a computable general equilibrium model was used taking into account the interactions between energy, economy, environment and health More

Abstract The purpose of this paper is to consider the effects of green taxes on health costs in Iran. Accordingly, to achieve this goal, a computable general equilibrium model was used taking into account the interactions between energy, economy, environment and health sectors simultaneously. The model was calibrated with data from the Social Accounting Matrix of 2011 and the endogenous variables of the model were calculated using the GAMS software using MCP technique. The results showed that by increasing the green tax rates, the health costs caused by the reduction of air pollution would be significantly reduced. Also, the financial impact on health indicators included mortality, morbidity and non-health effects of air pollution were estimated 62, 26.4 and 11.6 percent, respectively. Based on the results, implementation of green taxes can be reduced the health costs of air pollution. Manuscript profile

Open Access Article

8 - اثر تغییرات بارندگی بر متغیرهای اقتصادی با استفاده از مدل تعادل عمومی
زینب معین الدینی حمید محمدی حسین محرابی بشرآبادی

اقتصاد ایران  به متغیرهای اقتصادی بسیاری وابسته است که در رشد و توسعه آن کشور نقش دارند. از طرفی، بارندگی یکی از عوامل مهم  آب و هوایی است که روی برنامه های مهم  اقتصادی از جمله بخش کشاورزی موثر است. تغییرات بارندگی بر متغیرهای اقتصادی بسیاری تاثیرگذار اس More

اقتصاد ایران  به متغیرهای اقتصادی بسیاری وابسته است که در رشد و توسعه آن کشور نقش دارند. از طرفی، بارندگی یکی از عوامل مهم  آب و هوایی است که روی برنامه های مهم  اقتصادی از جمله بخش کشاورزی موثر است. تغییرات بارندگی بر متغیرهای اقتصادی بسیاری تاثیرگذار است که در این مطالعه به ارزیابی بعضی از آنهاپرداخته شده است. هدف از این تحقیق ارزیابی شوکهای بارندگی بر متغیرهای اقتصادی با استفاده از روش تعادل عمومی است که این شوکها شامل؛ بهترین سناریو، برای بیشترین بارندگی، بدترین سناریو برای کمترین بارندگی و سناریوی نرمال برای متوسط بارندگی میباشند. یه منظور ارزیابی این تغییرات بر  بخش کشاورزی، مجموعه ای از کالاهای تولیدی بخش کشاورزی به صورت جداگانه مطرح شد و برای سایر بخشهای اقتصادی با  هم تجمیع گشت. نتایج تحقیق نشان داد که تولیدات بخش کشاورزی در بهترین سناریو به میزان 14 درصد افزایش یافته است. در بدترین سناریو میزان مصرف همه کالاها کاهش، قیمت همه کالاها  به جز بخش صنعت افزایش و سرمایهگذاری خصوصی و دولتی نیز تغییر یافته است. Manuscript profile

Open Access Article

9 - Analyzing the Effect of the Water Reduce Subsidies on GDP
Seyed Mahdi Hosseyni Javad Shahraki

The objective of this work is to analyze the effects of decrease in water subsidies (increase in the price of the water) on various economic sectors in order to promote the conservation of this resource based on the actual price of water. But over the past decades, vari More

The objective of this work is to analyze the effects of decrease in water subsidies (increase in the price of the water) on various economic sectors in order to promote the conservation of this resource based on the actual price of water. But over the past decades, various subsidizing methods hold the cost of water down. On the other hand, the indiscriminate use of these resources led the government to impose enormous costs. Determining the economic impact of subsidy reform can be an essential factor in the determination of water price reform scenarios. The methodology that will be used to explore the implications on the economy will be a computable general equilibrium model (CGE), previously designed for an analysis of the direct taxes of the Andalusian economy (Cardenete and Sancho, 2003), but now enhanced and extended to include emissions of pollutants and the introduction of environmental taxes (André, Cardenete and Velázquez, 2005). This model has been further modified to introduce the variations in the water price that this study investigates the effect of water subsidy reform on the economy based on six scenarios using computable general equilibrium model. Results show that by decreasing subsidies, GDP will reduce in all economic sectors. Government can prevent the decrease in production by redistributing incomes. Manuscript profile

Open Access Article

10 - WHEN DOES GOVERNMENT DEBT CROWD OUT PRIVATE INVESTMENT IN IRAN? DSGE APPOACH
طیبه نسرین دوست کریم امامی سید شمس الدین حسینی کامبیز پیکارجو

In this paper, the effect of government debt crowd out on private sector investment in the Iranian economy is investigated, using the New keynesian model in a stochastic dynamic equilibrium model (DSGE) and the Bayesian estimation solution method during the years 1997-2 More

In this paper, the effect of government debt crowd out on private sector investment in the Iranian economy is investigated, using the New keynesian model in a stochastic dynamic equilibrium model (DSGE) and the Bayesian estimation solution method during the years 1997-2017 .Financing government resources is important, especially in recent years, when government issues bonds and it is necessary to apply shocks and examine the effects of government policy. In this regard, several policy shocks have been applied to the system and the response between fiscal and monetary policies has been examined. The results show that direct government policy interventions are made, the effect of crowd out government debt on private investment is greater than in conditions where there is a market system or at least less government policy.Contrary to the conventional view, no systematic relationships between real interest rates and  private investment. Manuscript profile

Open Access Article

11 - Investigating the effect of electronic receipt and payment tools on reducing government and bank costs
Behzad Alinejadi Ahmed Sarlak Cambys HejbarKiani

10.30495/fed.2022.694722

AbstractToday To continue their economic life, financial institutions are required to adopt e-banking methods in order to be more competitive, reduce operating costs, increase profitability, and improve the quality of customer service. Electronic services and the develo More

AbstractToday To continue their economic life, financial institutions are required to adopt e-banking methods in order to be more competitive, reduce operating costs, increase profitability, and improve the quality of customer service. Electronic services and the development of e-banking are a big step towards reducing costs, reducing government spending and even controlling cost. This study aims to investigate the effect of e-banking in reducing banking operating costs and reducing government spending by using a random dynamic general equilibrium and considering the economic sectors of households, enterprises, government and monetary authority and information of private and public banks. To study in the period of 1375-1396. The results indicate that the use of electronic payment and receipt tools will lead to further reductions in bank costs, as well as lower energy prices and government spending.   Manuscript profile

Open Access Article

12 - The effects of electricity tariff liberalization on economic growth in the form of calculable general equilibrium model (CGE)
Aliakbar Mehrabian Abbas Memarnezhad Seyedshamsoldin Hosseini Farhad Ghafari

The purpose of this study was to investigate the effects of electricity tariff liberalization on value added and growth of different economic sectors based on designing a general equilibrium model that can be calculated for Iran and using the social accounting matrix in More

The purpose of this study was to investigate the effects of electricity tariff liberalization on value added and growth of different economic sectors based on designing a general equilibrium model that can be calculated for Iran and using the social accounting matrix in 2011. The government intended to organize the use of energy subsidies in addition to establishing justice in society by implementing the law on targeted subsidies. In this study, the policy of subsidy reform and electricity tariff liberalization has been studied in the form of two scenarios. The first scenario was a 50% reduction in subsidies paid in the electricity sector and the second scenario was the complete elimination of subsidies in the electricity sector. The results of this study showed that the change in electricity tariffs has led to an increase in value added growth in various economic sectors in both scenarios. Meanwhile, the sectors of oil and natural gas, food and electricity supply, water and gas have shown the highest growth in the second scenario compared to the first scenario, and the sectors of construction, wood and paper, non-metallic minerals and other industries. Manuscript profile

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