mohammad bagher beheshti; Parviz Mohammadzadeh; azra jamshidi
Abstract
The main objective of this study is to investigate the dynamics of income distribution and to find evidence of convergence or divergence in per capita income in Iranian provinces by using newly developed methods for Exploratory Space–Time Data Analysis (ESTDA). In order to achieve this goal, per ...
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The main objective of this study is to investigate the dynamics of income distribution and to find evidence of convergence or divergence in per capita income in Iranian provinces by using newly developed methods for Exploratory Space–Time Data Analysis (ESTDA). In order to achieve this goal, per capita income data were collected for the period from 1997 to 2014. Then, using the markov chain and the spatial markov chain, the transition probability matrix is estimated at different time periods. The results show that in an 18-year period in Iranian economy, there was a very small possibility that poor provinces (in terms of per capita income) could increase their per capita income. Also, the values of asymptotic distribution show very weak tendency to divergence in per capita income of Iranian provinces during period 1997 to 2000. According to the high probability of 77% for staying at each level of per capita income, one can claim that there is no strong evidence of convergence or divergence in the distribution of per capita income between provinces of Iran. Also, the estimation results of the spatial transition probability matrix show that the moves between income classes for each province depends on the performance and status of neighboring provinces.
firuz fallahi; Parviz Mohamadzadeh; Ali Rezazadeh; Siavash Mohammadpoor; Mohammad Hossein Shararkhah
Volume 12, Issue 46 , October 2012, , Pages 117-140
Abstract
The main objective of this paper is to investigate the asymmetric effects of the parity rate shocks in U.S. Dollar and Euro against Iranian Rial on the output and price in Iran during 2000:3-2007:3 period. For this purpose, the fluctuations of U.S. Dollar and Euro value against Iranian Rial have been ...
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The main objective of this paper is to investigate the asymmetric effects of the parity rate shocks in U.S. Dollar and Euro against Iranian Rial on the output and price in Iran during 2000:3-2007:3 period. For this purpose, the fluctuations of U.S. Dollar and Euro value against Iranian Rial have been defined as the difference between actual real exchange rate and fitted values of real exchange rate estimated by using a Markov Switching approach. Using Johansen’s co-integration test, the existence of long-run relationship between the variables of the model has been examined and both of the Lambda Max and Lambda Trace statistics confirmed that there is at least one co-integration vector between variables of the two main models of this study. Finally, asymmetric effects of U.S. Dollar and Euro shocks during positive and negative shocks on output and price level has been tested using LR test. The results show that positive and negative shocks of U.S. Dollar have an asymmetric effect on output and price level. The results also show that the fluctuations in the value of Euro against Iranian Rial have an asymmetric effect on price level and a symmetric effect on output.
