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Volume 0, Issue 0 (1-2024)
Abstract

The present study evaluated the effects of reducing agricultural tariffs in different scenarios on food security and macroeconomic variables that using a computable general equilibrium model and data from Afghanistan's social accounting matrix. The effects of reducing tariffs were evaluated at 80%, 60%, 40%, 20%, and 100% (full liberalization). The results of this study showed that imports and consumption of cereals, fruits, vegetables, and livestock are gradually increased for households. Additionally, the increased purchasing power of households led to an increased demand for food, which improved food security and ultimately the health of households and society. Therefore, support for special facilities in the field of eliminating tariffs on agricultural products is essential.
Dr Esmaiel Abounoori, Dr Anahita Roozitalab,
Volume 0, Issue 0 (12-2024)
Abstract

Aim and Introduction
Inequality is a multidimensional phenomenon that affects various aspects of households' lives. The economic well-being of individuals depends not only on their income but also on other factors such as access to healthcare, education, transportation, etc. Therefore, one-dimensional methods (income-focused) are insufficient for measuring inequality. The multidimensional approach to inequality considers different aspects of individual welfare, unlike the one-dimensional approach. The concentration of population and activities in some provinces of Iran, along with macroeconomic indicators (inflation and unemployment), exacerbates inequality. These inequalities affect various dimensions of people's lives and endanger their economic welfare. The primary aim of this study is to examine the effects of inflation and unemployment on multidimensional inequality in the provinces of Iran and their reciprocal effects on each other, using a multidimensional Gini coefficient estimated from the household budget microdata of the Statistical Center of Iran for the years 2000-2021.
Methodology
In this study, the multidimensional Gini coefficient by Kumar Banerjee (2010) has been estimated for 9 dimensions of welfare. Then, the effects of inflation and unemployment, along with variables such as per capita real government expenditure and per capita real financial facilities as indicators of financial development, will be analyzed using a spatial econometric model. The mathematical form of the multidimensional Gini coefficient (MGI) is as follows:
Here, the mathematical formula would be inserted) In this equation: represents the non-increasing rank of the unit under study in the individual's overall welfare vector, and represents the sample size. The range of this index fluctuates between zero (completely equal distribution) and one (completely unequal distribution). For measuring multidimensional inequality in this study, the multidimensional Gini coefficient by Kumar Banerjee (2010) has been used which is based on the microdata from the household expenditure (income) survey of the Statistical Center of Iran and involves data mining processes such as aggregating groups of beverages and tobacco, ready meals with food expenditure groups,‌ and communications with transportation, and extracting data related to each household code in each province using R Studio 2020 software. The model is based on the spatial econometric method with spatial panel data, defined using a proximity method in which provinces sharing a border have an element of one and otherwise zero. The adjacency matrix (spatial weight) is normalized, where neighboring provinces carry the most weight, and distant provinces carry the least.
Findings
The results of estimating the multidimensional Gini coefficient for the provinces during 2000-2021 show that most provinces have experienced a high rate of inequality. Provinces such as Bushehr, Khuzestan, Kermanshah, Kurdistan, Markazi, Qazvin, Qom, Semnan, Sistan and Baluchestan, West Azerbaijan, Zanjan, and Yazd are in an unfavorable condition compared to the country, and most of these provinces are border regions. Over these 22 years, Sistan and Baluchestan with 77.66% have the highest rate of multidimensional inequality, while Isfahan with 60.85% has the lowest among the provinces. Additionally, the findings indicate that inflation, unemployment, per capita real government expenditure, and per capita real disbursed financial facilities have a significant positive effect on multidimensional inequality in the provinces of Iran. The proximity of provinces has also worsened the inequality conditions in the   neighboring provinces.
Discussion and Conclusion
Four variables including unemployment, inflation, per capita real government expenditure, and per capita real disbursed financial facilities have a significant positive effect on the multidimensional Gini coefficient, worsening income distribution. The most significant impact is seen with per capita real government expenditure, which is not allocated effectively to enhance welfare and improve economic conditions, thus not improving income distribution and reducing inequality. The effects of the other variables are in the following order: per capita real disbursed financial facilities, unemployment, and inflation. It is recommended to consider all welfare dimensions in the household consumption basket, create equal conditions for access to bank facilities, allocate a specific quota of facilities to lessdeveloped provinces, allocate government expenditures to expand public services and infrastructure in deprived provinces, consider the interactive effects between provinces in policymaking, and implement effective policies to improve welfare conditions and balanced income distribution across all provinces

Mr Firas Sabah Alivi, Dr Sara Ghobadi, Dr Saad Makassees, Dr Hossein Sharifi Renani,
Volume 0, Issue 0 (12-2024)
Abstract

Aim and Introduction:
Vulnerable employment, a segment of the informal economy, includes home-based businesses that emerge due to a lack of opportunities for formal employment. These businesses often operate without essential benefits such as medical insurance, social security, bonuses, and pensions, which exposes workers to economic instability. Consequently, many individuals engaged in vulnerable employment seek loans and financial assistance to expand their business activities and transition to the formal sector. Banks, as the primary providers of such loans, request collateral from borrowers – typically in the form of property documents – to ensure repayment and mitigate financial risk. Strengthening legal rights related to loan collateral enhances banks’ confidence in issuing loans, thereby increasing access to credit for vulnerable workers.
Due to the oil-dependent nature of OPEC economies and their reliance on oil revenues, many of these countries often lack robust production infrastructures capable of generating sufficient formal employment opportunities. This study aims to analyze the effect of strengthening loan-related legal rights on vulnerable employment in OPEC member countries, including Iran, Iraq, Algeria, Angola, Congo, Gabon, Kuwait, Saudi Arabia, the United Arab Emirates, Venezuela, Guinea, Libya, and Nigeria, during the period from 2013 to 2021.
Methodology:
Following the approach of Herkenhoff et al. (2021), this study employs a model in which the independent variables include the strength of legal rights related to loans, oil revenues, secondary school enrollment rates, and the urbanization ratio. Given the study’s objective of analyzing the threshold effects of legal loan rights on vulnerable employment, the Panel Smooth Transition Regression (PSTRmouseout="msoCommentHide('_com_1')" onmouseover="msoCommentShow('_anchor_1','_com_1')">[A1] ) method is used to estimate the model.
Results and Discussion:
The analysis identifies a 6.22% threshold in the legal rights index, distinguishing two distinct regimes. In the first regime, the strength of legal loan rights does not significantly impact vulnerable employment. However, in the second regime, a higher index value reduces vulnerable employment, suggesting that more substantial legal loan rights facilitate the transition of workers from the vulnerable to the formal sector. Additionally, oil revenues and secondary school enrollment rates exhibit a negative effect on vulnerable employment, while the urbanization ratio has a positive effect.
Conclusion:
The findings of this study indicate that strengthening legal loan rights has contributed to a reduction in vulnerable employment, which is a subset of informal employment. This shift has contributed to growth in formal sector employment.  Banking regulations and enhanced requirements for obtaining collateral have increased banks’ confidence in lending, as they are better able to mitigate the risk of non-repayment. However, this system primarily benefits individuals who can pledge valid collateral, such as real estate and housing documents. Given the high value of such collateralized assets, borrowers are more likely to invest their loans in business development, transitioning their employment from the informal to the formal sector. In addition to securing stable employment, they also gain access to social benefits such as insurance and social security. This financial stability enables them to make timely loan repayments, preventing defaults and preserving their financial credibility.
Based on these findings, it is recommended that governments and banking authorities in the investigated countries implement strict laws and regulations to guarantee loan security and identify factors contributing to bank insolvency. Such measures would help prevent financial resource mismanagement in the banking sector and reduce the probability of bank failures. Strengthening financial regulations and risk management strategies would facilitate lending, ultimately promoting employment growth in the formal sector and reducing the prevalence of vulnerable employment.
Furthermore, the study reveals that oil revenues negatively impact vulnerable employment, which may be attributed to increased government spending on productive investments and formal job creation. This suggests that redirecting oil revenues toward investment, production, and employment generation—rather than short-term expenditures—can facilitate the transition of workers from the informal to the formal sector. Thus, policymakers are encouraged to prioritize long-term economic strategies that allocate oil revenues to sectors that foster sustainable employment opportunities.
The findings also highlight the positive effect of education on labor force transition. Higher levels of education and training result in a more skilled workforce, increasing their acceptance and employability in formal job markets. Therefore, governments should allocate additional resources to public education, provide free schooling, and expand access to higher education for economically disadvantaged groups. Promoting scientific education and fostering a culture that values learning can further enhance workforce skills and economic mobility.
Finally, the study finds that urbanization has had a positive effect on vulnerable employment, indicating that increasing urbanization has not been accompanied by industrial advancements or skill development, thereby failing to support the expansion of the formal sector. Instead, urbanization in the studied countries has often been driven by unfavorable business environments, weak regulatory frameworks, and a lack of political transparency, contributing to the growth of the informal economy. To address these challenges, policymakers should focus on improving governance, strengthening legal and economic structures, and fostering a business-friendly environment that supports formal employment

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mouseout="msoCommentHide('_com_1')" onmouseover="msoCommentShow('_anchor_1','_com_1')" style="text-align: justify;"> [A1]The written abbreviation is for “the Panel Smooth Transition Regression”


Volume 6, Issue 1 (7-2002)
Abstract

The poorest segments of the world’s population are located in the rural areas of the developing countries, often with little or no agricultural land. While wage labour in the agricultural sector may provide subsistence employment, the majority of the rural poor will have to depend on non – farm employment. Rural industrialization is widely recognize as a dynamic force of development. Employment generation, income distribution, diversify the rural economy and narrow down spatial inequity in socio – economic development have traditionaly been considered as prim objectives of rural industrialization. This article is an attempt to show, can industrialization be best adapted for the development of the rural areas in developing counteries? We discuss how developing countries have faired in two last decade or so in promoting rural industrialization as a means to improve the living conditions of the people in their rural regions. We have analysed different approaches to rural industrialization and its impacts in developing countries. the consequences of research show that the rural indu-strialization as a part of rural integrated development approach could achieve the most important goals of development in rural areas. Rural industrialization has alleviated rural poverty through the employment generation.
Saleh Ghavidel,
Volume 8, Issue 1 (4-2008)
Abstract

The goal of this paper is to examine Impact of the economical, cultural and Environmental variables such as unemployment rate, educational level and Share of rural, on the Iran self-employment rate. We use panel information data for all provinces in Iran. Using data provided by the 1996 - 2003 period from central statistic of Iran. We find for most provinces there is negative relationship between the unemployment rate and Self- employment rate, and negative for educational level. Thus unemployment and Self-employment are alternative for together in Iran Labour Market. In Iran, increase of educational cause the promotion employment in public or wage sector. Other result in case of Iran is Positive effect on Self-employment rate such as share of rural population. However, in this paper I argue that Self-employment sector have to high employment capacity in Iran Labour market.

Volume 8, Issue 3 (10-2004)
Abstract

Mohammad Ali Khorsandian Assistant Professor, Faculty of Law and Polotical Science, Shiraz University  In the Iranian Civil Law, like French law, contract agreement is one kind of hire or personal employment. But there are some contracts that their nature is near sale. Sale is a contract for transferring the possession of objects, but transferring the possession of interest is subject to hire agreements. In contracts that contractor undertakes to work, also presents materials, therefore we confuse between the nature of sale and contract agreements. For distinction between these two agreements, authors suggest several criteria: 1.Some scholars put this contract in sale category, 2.Some, accept complex contract in this case, 3.The other believe that this contract is always Contract agreement and 4.The last solution is consideration of the intention of client from agreemts or, 5.Consideration of the economical value of the work and materials or finding primal engagement. Each criterion has some limitations. It seems in the first step that we must distinguish the primal obligation and if we couldn’t find it, must define the contract as an in specific-contract.
, Alireza Karbasi,
Volume 9, Issue 3 (10-2009)
Abstract

Agricultural sector is one of the most significant sectors in Iran. This sector accounts for a significant share of GDP, employment and non-oil exports in the economy. Moreover, it produces food and also raw materials used to produce manufacturing products. Therefore, the effects of macro policies on agriculture need to be well understood. This study aims to investigate the effects of exports and tax policy on agricultural employment in Iran during the period 1979 – 2005. Autoregressive distributed lag (ARDL) approach is used to estimate the empirical model. The findings of this study show that direct tax has significant and negative effect on agricultural employment while exports have significant and positive effect.
Alireza Naseri, Mehdi Basakha, Mohammad Hasanzadeh, Arashk Masaeli,
Volume 9, Issue 4 (3-2010)
Abstract

Considering changes in economic conditions and global priorities in the last decade, development objectives such as poverty reduction and income distribution were typically cast in terms of economic growth. Therefore, poverty reduction through rural development was at the center of government development plan. The objective of this study is to analyze the impact of government spending on the rural economic development. The development indicators included in the model comprise agricultural production, non-farm employment and poverty reduction. To this end, the elasticity of the above indicators is estimated with respect to rural infrastructures such as education, transportation, telecommunication and electricity capacity and then linkage between rural infrastructures and government spending are identified. A system of simultaneous equations approach is used to model and estimate the equations using the data over the period 1981-2005. Results of estimate indicate that government spending have positive and significant impact on the poverty reduction and non-farm employment.
Ebrahim Ali Razini, Amir Reza Soori, Ahmad Tashkini,
Volume 11, Issue 2 (8-2011)
Abstract

The goal of this paper is investigating the relationship between unemployment rate and government size in Iran. For that, we have used some VAR models, which include the following variables: government size which is measured by total government outlays as a percentage of GDP, unemployment rate, real GDP growth rate, inflation rate, and minimum wage. The results reveal that a large government sector would raise unemployment, and an increase in GDP growth rate, inflation rate and minimum wages are likely to decrease unemployment rate.
Nader Mehregan, Saied Garshasbi Fakhr,
Volume 11, Issue 4 (1-2012)
Abstract

This paper, using an economic analysis of crime, focuses on the relationship between crime and income inequality in Iran. The results indicate that there is a significant relationship between crime and income inequality in Iran. This means that by increasing income inequality in Iran the robbery as a crime will increase as well. In addition the findings reveal that there is a direct relationship between robbery and the proportion of people in urban areas, divorce and unemployment rate, but there is a negative relationship for households’ monthly income in Iran.

Volume 12, Issue 1 (6-2022)
Abstract

EOR, as a field of research, has increasingly been recognized as the loci of research on organizational behavior, human resource management, and employment relationships. There is a research demand to integrate the academic literature to reach a better understanding of EOR. Adopting the methodology of systematic literature review proposed by Centobelli etal.(2017), the present research provides a comprehensive analysis of eighty pieces of EOR research published from 1990 to 2020. Findings in the final table is tabulated and presented. theoretical gaps were identified in the current EOR research: a lack of research on the organizational context, on the integration of micro- and macro-level, and on the multidimensional analysis of individual behavior, organizational context, and employment relationships. Finally, management strategies as well as strengths and limitations of the study are discussed.

Abolfazl Shahabadi, Tayebeh Khatami,
Volume 13, Issue 1 (4-2013)
Abstract

Self-employment is a crucially important subject in an economy, especially for a country with high unemployment rate. This paper studies the determinant factors of self employment in Iran during 1996-2006 using a panel data method. The results show that unemployment rate per province, the ratio of 15-65 age bracket to total population of the country, and the share of each province to total GDP aren't statically significant. While the ratio of urban population to total population for each province has a negative coefficient in self-employment equation, the ratio of R&D expenditure to GDP and literacy rate has a positive one.
Mostafa Emadzadeh, Karim Azarbayjani, Saeed Samadi, Masuod Sadeghi,
Volume 13, Issue 3 (9-2013)
Abstract

On one hand, the skill-based technologies increase productivity and output, reduce inflation and raise income. On the other hand, human skills are essential for implementing, adopting, utilizing physically and practically of modern and imported technologies and serve a complementary role in this respect. In the present paper, an attempt has been made to evaluate the relationship between the domestic research and development capital stock and technology imports with skilled and unskilled workers in Iran from 1971 to 2006. To do this, a translog cost function was estimated with seemingly unrelated regression method. The results indicate that the technology and its spillover are complementary to the skilled labor and substitute for the unskilled worker. In addition, the results illustrate the existence of a complementary relationship between capital and skilled labor and a substitution one with capital and unskilled worker.
Mahmood Mahmoudzadeh, Soheila Sobhani,
Volume 13, Issue 3 (9-2013)
Abstract

The impact of social security expenditure on the labor market (wages and employment) has been regarded in economic researches. This paper evaluates the short-run and long-run effects of social security expenditure on wage and employment using Autoregressive Distributed Lags (ARDL) approach during 1979-2007. Our findings indicate that the insurance contribution deductions from the employees have negative impact on the real wage in both short-run and long-run and decrease their purchasing power. Moreover, employer's social security expenditure has a negative but insignificant effect on employment. In addition, labor productivity and economic growth are the main factors affecting the labor market.  
Marzieh Esfandyari, Nazar Dahmardeh, Hossein Kavand,
Volume 14, Issue 1 (3-2014)
Abstract

The substantial share of informal employment in Iran, on the one hand and the growing use of dynamic stochastic general equilibrium models in analyzing economic policies by central banks and eliminating the flaws of these models, on the other hand, necessitate designing a dynamic stochastic general equilibrium model with dual labor market based on Iran's economy. To do so, the current study divides labor market into formal and informal sectors. In addition, it classifies firms in formal and informal ones regarding the type of the production function and labor. The annual data used in the model are collected from the Central Bank and the Statistical Center of Iran during 1974-2010. After calibrating and solving the model with numerical method, the shock effects of total factors productivity, government expenditure, oil revenue, and money growth on real variables of the model have been analyzed with and without nominal wage rigidity. The results of the study suggest that the informal sector of the labor market in different business cycles acts as a buffer with countercyclical shift. The money is not neutral in the short run due to lack of rigidity in a model of monopolistic competition, so money supply affects real variables of economy.
Hamid Sepehrdoust, Saber Zamani Shabkhaneh,
Volume 15, Issue 1 (4-2015)
Abstract

Various socio-economic factors affect employment. In this regard, offering credit facilities has attracted the attention of economic policy-makers. This study aims to evaluate the impact of credit facilities on employment in Iranian industrial cooperatives. For this purpose, the Constant Elasticity Substitution(CES) production function and panel data regression analysis are used to analyze the relationship between credit facilities and  employment in provincial industrial cooperatives during the period 2006-2010. The results show that the offering credit facility is of significant effect on employment. The elasticity coefficient of employment with respect to credit facilities and technical services facilities is 0.1. In addition, the elasticity of employment with respect to credit facilities of fastest-growing and entrepreneur firms is 0.05. These figures indicate the different effects of facilities on employment in industrial cooperatives, and fastest-growing and entrepreneur firms. 
Iman Haqiqi, Marzieh Bahaloo Horeh,
Volume 15, Issue 3 (11-2015)
Abstract

Labor entry/exit affects domestic labor and product markets. This paper analyzes the impacts of decline in domestic skilled labor and foreign unskilled labor entry on employment and sectoral production in Iran. For this purpose, we develop a multi-sector computable general equilibrium model with both skilled and unskilled workers. To calibrate the model, we construct a Micro Consistent Matrix as a modified Social Accounting Matrix (SAM). We consider a counterfactual scenario of 10% increase in unskilled labor and 10% decline in skilled labor. The simulation results show that decline in skilled labor and increase in unskilled labor would increase the wage rate of skilled labor. Except for agriculture, the employment of unskilled labor in other sectors will increase by 1.6% to 14.4%. However, the domestic income is decreased despite of increasing wage rate of the skilled labor. The production of all sectors also declines by 2.9% to 3.9%, in such a way agriculture, mining and industry sectors face with the highest decrease in production.
Ali Akbar Gholizadeh, Behnaz Kamyab,
Volume 15, Issue 3 (11-2015)
Abstract

The regional labor migration is responsive to regional differences of unemployment rate which is interrelated with fundamentals of housing market. This paper analyzes the relationship between labor and housing markets in 30 provinces of Iran. It uses Vermeulen and Ommeren (2005) model in a panel data for regions and an Autoregressive Distributed Lags (ARDL) model in the country over the period 1998-2011. The estimation results indicate that most of provinces with high housing prices on average have also low volatility in unemployment rates. The workers in high-unemployment regions are compensated through housing markets, since the prices of land and housing and living expenses are lower in these regions than ones with low unemployment. In addition, the propensity of households to get housing loan decreases and the housing price falls despite high risk of unemployment. The risk of getting unemployed raises the income uncertainty and reduces the housing price. This indicates a negative relationship between housing price and unemployment rate. The test for causality shows that this relationship is bidirectional in provincial level, so that provinces having high unemployment rates are compensated by better conditions of housing market which means low housing prices.  
Mansour Zarranejad, Abdolkarim Hosseinpoor,
Volume 16, Issue 1 (5-2016)
Abstract

One of the most controversial and relatively old subjects in economics is the optimal size of government and its impact on macroeconomic variables. Government size and extent of public enterprises are of crucial impacts on economy. Thus, one of the main objectives of the governments is to achieve full employment. This paper investigates the effects of government size on unemployment rate in Iran’s economy using annual data during 1959-2011. It applies Pesaran, Shin and Smith (PSS) bounds testing approach to estimate an Unrestricted Error Correction Model (UECM), which derives both dynamic and long-term relationships. The finding of the research shows that the government size has a significant positive effect on unemployment rate, indicating that reducing the size of government would lead to reduction of unemployment rate in Iran. With increases in size of government, the crowding out effect in the form of private investment is decreased. As a result, productivity growth and international competition are reduced, then the unemployment rate is increased. The estimation of the ECM model shows that the error term is negative and statistically significant. The Error Correction Term (ECT) is relatively low (-0.27) indicating a slow adjustment toward the equilibrium.
Maryam Farmani, Nazar Dahmardeh Ghaleno, Javad Shahraki,
Volume 16, Issue 2 (8-2016)
Abstract

In Sistan and Baluchestan province, unemployment rate has been increased from 9 percent in 1996 to 31.52 percent in 2006. Thus, in order to reduce unemployment rate and because of limitation of resources, the attention should be paid to activities, which create the highest employment opportunities. This research answers to these questions: What are the key economic sectors with regard to employment generation in Sistan and Baluchestan province? Do the growth-centered policies necessarily create the highest employment? In order to answer these questions, the linkage indexes related to production and employment, and input – output elasticities were calculated using the provincial input – output table in 2007. In addition, Multi – rank index (MRI) was calculated for the production and the employment generation in order to include all mentioned indexes simultaneously.  The findings show that the activities "Agriculture, hunting and forestry", "Mining", "Manufacturing", "Hotels and restaurants", "Wholesale and retail trade; repair of motor vehicles, motorcycles", "personal and household goods" and "Health and Social Work" are key sectors in creating employment. While key producing sectors are the "Agriculture, hunting and forestry", "Manufacturing", "Electricity, gas and water supply", 'Hotels and restaurants", "Wholesale and retail trade; repair of motor vehicles, motorcycles", "personal and household goods", "Transport, storage and communications" and "other community, social, personal and family services". Therefore, growth-centered policies do not necessarily create the most employment opportunities.  

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