Farzaneh Samadian; Farshad Momeni; hossien amiri
Abstract
This paper examines the impact of oil revenues and institutions on the capacity of job creation in member-countries of Organization of the Petroleum Exporting Countries (OPEC). The main research question is that how can be injecting unplanned oil revenues into the economy of OPEC members and through ...
Read More
This paper examines the impact of oil revenues and institutions on the capacity of job creation in member-countries of Organization of the Petroleum Exporting Countries (OPEC). The main research question is that how can be injecting unplanned oil revenues into the economy of OPEC members and through what channels and mechanisms lead to inflict the productive capacities of these countries and limit job creation in these economies. In this regard, the hypothesis of research highlights the negative impact of oil revenues in an inefficient institutional framework on job creation capacity of oil exporting country’s economy. Accordingly, due to the severe Interweaving conditions of economy and policy in petroleum exporting countries, the theoretical model used in this study is based on the doctrine of institutional economics and to estimate the model and to test the hypothesis, we use data for 12 OPEC member countries over the period 2002-2014 in a panel-data econometric model.The results indicate that abundance of oil revenues in OPEC countries with inefficient infrastructure and institutions leads to decline in employment capacity. Statistical evidence also confirms the de-capacitation of employment in the economies of OPEC member countries through channels such as undermining the quality of institutions and over-reliance on imports in these countries.Based on these evidence, we come to the point that inconsiderate infusion of oil revenues in OPEC member countries in an inefficient institutional framework, limits the capacity of employment and in this way, their opportunities to achieve economic growth have become a threat to their development and growth.
Mahmoud Motevaseli; Zeynab Aeeni; Jila Torabi
Abstract
Today entrepreneurship has become one of the most important factors affecting economic development in many countries. However, it is very important to direct entrepreneurial actions toward productive activities. Baumol's theory of productive versus unproductive entrepreneurship highlights the role of ...
Read More
Today entrepreneurship has become one of the most important factors affecting economic development in many countries. However, it is very important to direct entrepreneurial actions toward productive activities. Baumol's theory of productive versus unproductive entrepreneurship highlights the role of institutional environment in directing entrepreneurial actions toward either productive, unproductive, or even destructive outcomes. So, to establish institutions that support productive entrepreneurship, it is necessary to find the means which have an impact on institutional and regulatory environment. Although many studies have been conducted based on Baumol's theory so far, only a small number of researches proposed solutions for establishment of legal and regulatory institutions required for the development of productive entrepreneurship. Hence, this study is aimed at proposing a synthesized theory derived from Baumol's theory of entrepreneurship and the theory of collective action. Our synthesized theory can be utilized as a rule-making approach to address this challenge. This synthesized theory highlights the role of both the government’s and entrepreneurs’ collective action in formation of regulatory and legal institutions which in turn can influence productive entrepreneurship. The proposed theory suggests that the order which is created upon the collective action can play an effective role in emergence and expansion of productive economic development.
Saeid Eisa Zade; Jahan Bakhsh Mehranfar; Mahdi Ferdosi
Volume 12, Issue 47 , January 2013, , Pages 153-174
Abstract
In this paper, we try to explain cross-country differences in the level of entrepreneurship using self-employment and innovation as proxy variables. For this purpose, we use a comparative approach to explore empirically the ways in which institutions have influenced self-employment and innovation. In ...
Read More
In this paper, we try to explain cross-country differences in the level of entrepreneurship using self-employment and innovation as proxy variables. For this purpose, we use a comparative approach to explore empirically the ways in which institutions have influenced self-employment and innovation. In this paper, we make the assumption that national patent grants represent innovation and that national self-employment rates represent job replacement. Then, we investigate the relationship between the institutional setting, in terms of economic freedom measures, and entrepreneurship which is measured by proxy variables of self-employment and innovation in a panel data setting covering selected countries for the time-period of 1990-2009. The empirical findings show that indices of corruption perception, business freedom and trade freedom are negatively correlated with self-employment rate. On the other hand, investment freedom and freedom from government intervention have positive effect on self-employment. Interestingly, we found that institutional factors that determine self-employment and innovation may act in opposite directions: what encourages self-employment might discourage innovation and vice-versa.
Saeid Eisa Zade; Jahan Bakhsh Mehranfar
Volume 12, Issue 44 , April 2012, , Pages 199-212
Abstract
This paper investigates the relationship between the institutional setting, in terms of economic freedom, and entrepreneurship, as measured by self-employment in a panel data setting covering selected countries and the time-period 1990-2009. The measure of economic freedom includes five indices; size ...
Read More
This paper investigates the relationship between the institutional setting, in terms of economic freedom, and entrepreneurship, as measured by self-employment in a panel data setting covering selected countries and the time-period 1990-2009. The measure of economic freedom includes five indices; size of government, the legal structure and security of property rights, access to sound money, the freedom of trade internationally, and the regulation of credit, labor and business. The empirical findings show that a small public sector, better legal structure and security of property rights tend to increase in entrepreneurship. Also, we find that the freedom of trade internationally and less regulation of credit, labor and business is negatively correlated to self-employment rate.
