Showing 19 results for Revenue
Volume 1, Issue 1 (12-2018)
Abstract
Abstract
Aims: Today, due to a large change in economic, political, and other relations, the spatial structure of cities, especially metropolises, is subject to rapid changes. Regarding the influence of structural components, especially the component of politics (power), on space, on
one hand, and the existence of oil revenues and structural features of Iran on the other hand, consideration of the spatial transformations of metropolises is necessary in terms of politics and power. The aim of this study was to investigate the pattern of spatial transformations of Tehran and Tabriz metropolises in the context of Iranian oil economy.
Instruments and Methods: In this analytical-descriptive study, the required data, information, and concepts related to the indices explaining the spatial transformations of Tehran and Tabriz metropolises were collected directly with access to some information sources, including the Central Bank site and the Statistical Center. In the theoretical foundation, the most part of the study was done in library. Pearson correlation coefficient and Simultaneous regression test were used to determine the relationship between oil revenues of the country and building approval certificates issued by the municipality of Tehran and Tabriz.
Findings: The oil revenues had a direct correlation with the number of building approval certificates issued in Tabriz (r=0.5663; p=0.0025) and Tehran (r=0.7440; p=0.0005). The oil revenues could explain 56.63% of the building approval certificates issued in Tabriz and 74.44% of the building approval certificates issued in Tehran.
Conclusion: Production, spatial transformations, and construction activities in Tehran and Tabriz metropolises are directly affected by oil revenues.
Volume 8, Issue 1 (4-2008)
Abstract
Health Systems aim to improve health by delivering health care services. But sometimes in low-income countries, people become poor when they use these services. So, it is required to analyze the experience of health system financing in the selected countries and develop strategies to improve the efficiency of health system financing.
The objective of the paper is to identify the main determinants of health care expenditures in 10 OECD countries over the period 1998-2004. The major determinants of health care expenditures which are theoretically identified comprise the total government revenue earned from health care system, social security expenditures on health, Out-of-pocket expenses on health, and the ratio of ex ante payments of private sector on health over the total health expenditures.
The stylized facts of the study shows the principles of equity-base health policy planning are notification of financing mechanisms in health sector, identity of financing model according to the county socioeconomic conditions, financial capacity, infrastructure, capability of implementing selected policies, political responsibility and accountability for these policies.
Seyed Aminollah Taghavi Motlagh, Gholamreza Daryanabard, Arezoo Vahabnezhad,
Volume 10, Issue 2 (4-2021)
Abstract
The socio-economic data of shrimp fleet in Bushehr province for 2019, were collected in order to determine the role of this fisheries in creating employment, income and development of coastal areas of the Persian Gulf. The data were collected using a questionnaire. The fishing fleet of shrimp in Bushehr province includes 470 vessels, that, in addition to shrimp, catch fish and other aquatic animals outside the shrimp fishing season.
Based on the analyzes, the number of fixed job created by shrimp fishing fleet in Bushehr province, were 3756.2. The total number of jobs created (fixed, temporary and seasonal) was calculated to be 3934.2. Fixed job and the total number of job opportunities created (fixed, temporary and seasonal) by each vessel were 8.0 and 8.4 people, respectively. Analyzes showed that more than 98% of the annual income and livelihood of crews and their families depend on shrimp fleet. The annual working hours of each of the personnel working on the vessels were calculated to be 2110.2 hours, which in 2019 was about 2% less than the full-time equivalent working hours on a national scale (2107 hours) and 3% more than the full-time equivalent working hours on an international scale (2000 hours).
Volume 10, Issue 4 (3-2021)
Abstract
Pricing as a basis of revenue management can ensure the maximum expected profit of any business if managed effectively. In competitive markets of perishable products, the prices are vitally set in a dynamic manner according to the product life cycle by different discounts or price recovery strategies. Consequently this study develops an optimization model on dynamic pricing with the aim of maximizing revenue and diminishing the related costs. Considering the product freshness and its impact on demand, the model determines the pricing policy including the increasing or decreasing rate of the price during the sales horizon consist of several time periods equal to the product life cycle. Moreover, replenishment and inventory costs are incorporated in defining the pricing policy for each period. The proposed model implemented for the OK chain store, which results in a suitable pricing policy (decreasing) in line with the revenue increase for the meat and vegetable products of the whole store.
Volume 13, Issue 1 (4-2013)
Abstract
Tourism plays a growing role in developing countries and is considered as a way of government deficit reduction, gaining foreign exchange and creating jobs. In addition, it is viewed as a channel of getting away from single product economies. In fact, tourism is an industry with multi-dimensional impacts on different sectors of economy. Therefore, it can also be viewed as an important development factor in Isfahan province. In this study, the impacts of international tourist expenditures on income generation, allocation, distribution, consumption and savings in different economic sectors of Isfahan province has been analyzed using Social Account Matrix (SAM) technique, supported by input-output matrix. The results show that financial sector has a very poor performance in this regard in terms of generating revenues coming from international tourists. Although the government sector has the highest share regarding the initial allocation of income, but due to the transactions happening among structural sectors, households have been the main gainers of this income generation. In fact, almost 84% of the generated revenues in this way have been consumed.
Volume 13, Issue 3 (9-2013)
Abstract
In oil-abundant countries, oil revenues, due to various reasons such as mismanagement, can influence the economic and social conditions and hinder development.
This paper examines the relationship between oil revenues and social capital in Iran during 1976-2007. To do this, the Autoregressive Distributed Lags (ARDL) approach and bound testing approach for co-integration are used to analyze data and estimate the model. The results indicate that oil revenues as an indicator for abundance of the natural resources have significant and negative influence on social capital. In addition, GDP per capita has positive impact on social capital in Iran.
Volume 13, Issue 15 (3-2014)
Abstract
The purpose of this study is thermo-economic analysis of a combined fuel cell and micro gas turbine power plant cycle for using in small scale CHP systems. Since the fuel cell is the main source of power generation in hybrid systems, in this study, complete electrochemical, thermal and thermodynamic calculations are performed to obtain more accurate results; and unlike most studies, the cell temperature is not assumed constant. The performance analysis of the hybrid system shows that increasing the pressure and air to fuel ratio, causes to loss of electrical efficiency and increase in the electricity price because of reduction in cell and turbine inlet gas temperatures. The other results of this study show that considering the economic life of the system, making use of this type of hybrid systems is economical and generates less electricity price in comparison with micro gas turbine.
Volume 14, Issue 3 (9-2014)
Abstract
Iran’s economy is vulnerable to fluctuations in oil price. This study examines the impact of oil shocks on economic growth using Vector Auto-Regressive (VAR) method. The Mork’s (2010) method was used to test hypothesis of symmetry in negative and positive shocks. The results show that, the effects of negative and positive shocks on economic growth are asymmetric. In addition, the results of variance decomposition of economic growth indicate that the effects of positives shocks in explaining economic growth fluctuations are greater than negative ones. On the other hand, the results from impulse response functions show that positive and negative shocks have positive and negative effects on economic growth, respectively; however, the size of positive shocks impact on output growth is far more than that of negative shocks in the long-run. Moreover, the estimated VAR model shows that there is a high and positive correlation between oil revenues and gross domestic product (GDP), which confirms again dependency of national economy to oil revenues.
Volume 16, Issue 2 (8-2016)
Abstract
In this paper, we try to analyze the effects of oil boom and management of oil revenues by government in a sustainable manner on optimal path of Iranian macroeconomic variables by designing a dynamic computable general equilibrium (DCGE) model. This paper considers several scenarios of utilizing oil revenues in terms of allocating these revenues between savings in the form of oil fund on the one hand and consumption of oil revenues on the other hand. The results show that the a 50 percent increase in world oil price leads to higher optimal level of GDP, but the level of GDP excluding oil exports is reduced. According to the results, the long-term reaction of Iranian economy in the face of permanent shocks of oil price is consistent with the theory of Dutch disease. Due to the Dutch disease, production factors are decreased in tradable sectors and increased in oil and non-tradable sectors. However, the increase in employment in the oil and non-tradable sectors will not compensate for the fall of employment in the tradable sectors, thus total employment will decline. The analysis of oil revenue management shows that saving oil revenue in an oil fund leads to higher level of total consumption and gross domestic product in the long run. Saving oil revenues in an oil fund not only ensures precautionary measures against the so-called Dutch Disease syndrome, but also leads to increase in total employment.
Volume 16, Issue 2 (8-2016)
Abstract
This paper investigates the short-term and long-term effects of oil revenues on economic corruption in Iran using Autoregressive Distributed Lags (ARDL) model during 1979-2011. Findings indicate that increase (decrease) in oil revenues by one percent increases (decreases) per capita economic corruption by 0.29 percent in the long run. In addition, increases in government regulations indicator and government size by one percent reduce the per capita economic corruption by 1.95 and 1.63 percent, respectively. Moreover, one percent increase in trade openness results in increase in economic corruption per capita by 1.26 percent.
Volume 16, Issue 4 (12-2016)
Abstract
The purpose of this study is to investigate the performance of budget designers in forecasting government revenues in the Iranian economy. For this purpose, three methods, including analysis with statistical indicators, equation of error component separation, and macroeconomic regression model have been used in order to analyze the prediction errors in tax, oil and gas revenues, and income from property and sale of public goods and services during 1973-2011. The results show that forecasts of all government revenues by budget designers were optimistic (over-estimated), on average, and the highest forecasting errors belonged to revenues from government ownership. The results of the second method show that the forecasting errors in four kinds of government revenues have been mainly nonsystematic and influenced by exogenous shocks and factors. Furthermore, the results of the third method, in which the factors affecting prediction of government revenue were evaluated using the seemingly unrelated regression equations (SURE), show that the non-oil GDP and the exchange rate had significant effects on the forecast of all government revenues. However, inflation and unemployment rates were effective only in predicting tax revenue and income from the sale of goods and services.
Volume 17, Issue 4 (3-2018)
Abstract
This paper aims to examine the replacement oil revenues with tax revenues in the Iranian economy. For this purpose, using dynamic stochastic general equilibrium (DSGE) approach, a small open economy model consisting of two tradable and non-tradable production sectors is designed. In government revenue side, various taxes such as consumption tax, and income tax arising from the supply of labor and capital rent are included in the model. Model parameters were estimated by Bayesian approach using quarterly data for the period 1988-2014. Two scenarios were designed in order to replace oil revenues with tax revenues. In the first scenario, the government only receives oil incomes, and oil price is determined exogenously. In the second one, oil earnings are totally saved in the National Development Fund (NDF), and government spends only tax revenues to meet current and capital expenditure. The results indicate negative impact of higher taxes on macroeconomic variables such as economic growth and private consumption in the short-term and positive impact on GDP, consumption and investment in the long- term.
Volume 18, Issue 2 (3-2016)
Abstract
The adverse effect of climate change on agriculture has increased the importance of weather index insurance, particularly in developing countries. By using several econometric models, this study estimated the price and evaluated its effectiveness in rainfall index insurance for rice and wheat in Nepal. Crop yields associated with seasonal rainfall in three crop reporting districts were applied for actuarial estimation. The primary findings suggest that well designed weather index insurance is helpful to reduce the yield risk and stabilize farm income for rice, but results vary across crops and districts. The study results imply that rainfall index insurance is a promising insurance product, particularly for rice. Implementation of rainfall index insurance could increase the investment in cereal production in Nepal.
Volume 19, Issue 4 (12-2019)
Abstract
The relationship between government spending and revenue during the budgetary disequilibrium can be considered as an important issue in public sector economics. This issue is of high importance in Iran, which oil revenue is the main source of government revenue. The aim of this study is to examine the response of government revenue and spending to budgetary disequilibrium in Iran using a three-variate model, accounting for oil revenue and testing the asymmetry of adjustment process during 1990-2016. The results support the tax-spending hypothesis for Iran. However, according to the long run relationship, the results show that oil revenue stimulates the government to spend more and to collect less tax, which confirms tax displacement hypothesis. Moreover, when the government faces a budget deficit, only government spending responds to budgetary disequilibrium. According to the findings, Iran should reduce its oil-dependence and improve its tax collection system in order to reduce budget deficit.
Volume 20, Issue 1 (3-2020)
Abstract
In the orthodox economy, domestic and foreign security is one of the tasks of the welfare state and even of the minimalist state to protect private property rights. Military expenditure dependent on the stage of economic development may affect real economic variables differently. Within four models, this study uses wavelet coherence approach to assess the relationship between public order and military expenditure with oil revenues and private investment in Iran during the period 1959-2017. The results of the first model show that at four-year and 16-year time scales during the period 1969-1978, the growth of military expenditure and the growth of oil revenues are not only the co-phase but also the growth of oil revenues is a leading variable for the growth of military expenditure. The results of second model indicate that there is a coherence between the public order expenditure growth and the oil revenues growth in four-year horizons during 1960-1978, and they are also co-phase from 1997 to 2005. At time scales up to 8 years during 1993-2008, another type of relationship is observed. These variables are co-phase, but the public order expenditure growth is not a cause of oil revenues growth. The results of the third model show that the private investment growth and the public order expenditure growth act against each other, but they are co-phase in the long-run. The results of the wavelet power spectrum also show that the greatest energy of both periods is due to public order and military expenditure growth in the pre-revolution period.
Volume 21, Issue 1 (3-2021)
Abstract
In this research, the impact of social capital through influencing the efficiency of government expenditure is investigated using three-stage least-squares model in Iran during 2005: Q1 to 2018: Q2. The effects of exchange rate, stock market index and oil revenues on non-performing loans of public and private sectors are also examined. Results suggest that given the increased efficiency of government expenditure, social capital has a significant negative impact on non-performing loans of public and private sectors. In addition, exchange rate has a significant negative impact on banking system’s receivables from public sector and a significant negative impact on banks’ receivables from private sector. Stock market index has no significant impact on non-performing loans of both public and private sector, since stock market is not liquid enough and has low share in financing businesses. Economic growth has also no significant impact on non-performing loans of both sectors, which can be explained by the impact of improvement in business environment and individuals’ purchasing power on their ability to repay their loans. Thus, by stabilizing economy (controlling the fluctuations of exchange-rate, stock market and so forth) and by improving social capital, it is expected that efficiency of government expenditure is increased and non-performing loans of both sectors is decreased.
Volume 21, Issue 3 (9-2021)
Abstract
Dependency of Iranian Economy on oil revenues has provided conditions for imposing further sanctions on Iran. One way for Iran to get rid of sanctions is to sell its oil in currencies other than US dollar. In this regard, this article evaluates the risks for Iran if it, in selling oil, substitutes US dollar with currencies of its oil importing countries. We firstly apply Autoregressive Integrated Moving Average (ARIMA) and Self-Exciting Threshold Autoregressive (SETAR) models on Yuan and Rupee data for the period of 1990:01-2019:05 as well as on Euro data for the period of 1999:01-2019:05 and then based on the estimated models, forecast losses and gains for the period of 2019:06-2021:12 if Iran sells oil to China, India and Europe and receive payments respectively in Yuan, Rupee and Euro. Our forecasts indicate that selling oil to India and China and receiving oil revenue in Rupee and Yuan respectively will significantly decrease value of oil exports in range of 5-23 percent due to very likely devaluation of these currencies vs. the US dollar. Therefore, Iran must firstly use in its oil transaction relevant diplomacy with its oil importing countries, requesting them to share in risks of devaluation of their currencies vs. US dollar. Secondly, as a particular example, this article shows that political decisions may bring in economic consequences for the country. Therefore, Iranian authorities are expected to consider economic consequences of their political decisions more seriously and with sufficient transparency.
Volume 22, Issue 3 (9-2022)
Abstract
The 2008 global financial crisis and the new coronavirus disease (COVID-19) pandemic have attracted interest in the issue of fiscal policy. Since fiscal policy plays an important role in alleviating the costs of these crises, understanding the relationships between fiscal policy components is crucial and has important implications for choosing fiscal policies in the field of public economics. This study aims to examine the causal links between the fiscal policy components, i.e., government expenditures (current and development) and government revenues (tax and oil) in Iran, using quarterly data for the period of 1990:2-2019:1. For this purpose, first, we employ the time domain Toda-Yamamoto causality test to check the causal relationship among these variables. Then, due to the various characteristics of variables in the frequency bands, we implement a dynamic analysis through wavelet coherence approach and wavelet phase-difference in order to explore the joint time-frequency domain causal relationship between government revenues and expenditure categories. The results of the wavelet analysis show that the linkage between the government revenues and expenditures pairs is not the same across all time horizons and a strong heterogeneity in the revealed interrelationships is detected over time and across scales. Overall, the results reveal various causal effects and confirm the expenditure dominance hypothesis for oil revenue, and revenue dominance hypothesis for tax revenue at different frequencies.
Volume 22, Issue 4 (12-2022)
Abstract
Introduction:
Exchange rate pass-through (ERPT) is one of the most important indicators for monetary policymakers that shows the impact of exchange rate volatility on price indices (such as CPI, PPI, etc.). The economic stability and inflation environment are two factors affecting ERPT. The lower the inflation environment, the lesser the ERPT. In an oil-exporting country, the long-run situation of oil revenues can be a state variable of the economy and affect the expectations of economic agents. Therefore, the purpose of this study is to investigate the effect of sanctions against Iran and oil revenues situation on the ERPT from 1990Q2 to 2021Q1.
Methodology:
Regarding the implementing date of sanctions (2012Q1), the sanction period is from 2012Q1 to 2021Q1. Considering Lucas' critique, the switching models are not appropriate, and separated models are preferred. Therefore, by using the Bai-Perron (2003) method and taking oil revenues as a state variable of economy, the rest of the period is separated into two periods. The first period (from 1990Q1 to 2000Q4) is the phase of shortage in oil revenues and the second period (from 2001Q1 to 2011Q4) is the phase of abundance in oil revenues. The inflation environment during sanctions and shortage in oil revenues was high, and it was low in the period of abundance in oil revenues.
The ERPT for each period was calculated using the Structural Vector Autoregressive (SVAR) model. Oil price gap is the exogenous variable and the endogenous variables are respectively as follows: USA GDP, USA CPI, domestic GDP, exchange rate, liquidity and domestic CPI. All variables are in the first difference of logarithmic form. The Cholesky decomposition were used. The optimal lags for each model were selected by Hannan-Quinn information criterion (HQ), Akaike information criterion (AIC) and Final Prediction Error (FPE).
In this model, ERPT is the ratio of the accumulated response of CPI to exchange rate structural shock.
ERPT=k=1nDLCPIkk=1nDLEXk (1)
To investigate the effect of endogenous variables shocks on domestic CPI, variance and historical decomposition are used. Finally, the autoregressive trend of imports for each period is calculated to explain the status of imports versus different oil revenues. These equations can explain the dependency of CPI to imports.
Results and Discussion:
Only the ERPT in the sanctions period has a long-run effect on the economy. This effect is about 43%. The ERPT is 9.9% for the period of shortage in oil revenues, 25.1% for the period of abundance in oil revenues and 10.1% for the sanctions period. Unlike most previous studies, the results show that the lower the inflation environment, the higher the ERPT, and the higher the inflation environment, the lower the ERPT. The main cause of these unexpected changes in ERPT is related to share of imports in consumption basket. The import trend, either in the sanctions or the shortage oil revenues period, was decreasing while in the abundant oil revenues period, was increasing.
The results of the variance and historical decomposition show that in the period of sanctions, the exchange rate structural shocks have the largest share in inflation shocks, while in the other two periods, the inflation structural shock has the largest share in inflation shocks.
Conclusion:
The central bank of Iran is using the nominal exchange rate as an anchor to limit inflation and, finally, increase the monetary policymaker's credibility. In Iran, increasing oil revenues leads to implementing the crawling peg exchange rate system instead of the managed floating exchange rate system, and consequently, not only the PPI inflation will be greater than the imported goods inflation, but also the imports will increasingly grow. Therefore, it is expected that the share of imports in the consumption basket grows and CPI will be more sensitive to imports. These results can explain the ERPT changes.
In order to increase the credibility of the monetary policy maker and reduce the ERPT sensitivity to oil revenue situations, instead of using the nominal exchange rate anchor, the central bank should be more independent, commit to implementing monetary policy. So, according to the real sector of the economy, the central bank should announce its goals in the short-run and commit to them and announce the status report at the appointed times, and in the medium run, the central bank should pursue only its goals implicitly and increase its credibility among economic agents by making the economy more predictable. The more independent the central bank is, the easier it will be to follow the above policy.