Document Type : Research Paper
Authors
1 Associate Professor in Energy Economics, Faculty of Economics and Administration Sciences, University of Mazandaran, Babolsar, Iran
2 Master's Student in Economics, Department of Economics, Faculty of Economics, University of Tehran, Tehran, Iran.
3 Master of Economics, Department of Theoretical Economics, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, Iran
4 Master of Economics, Department of Economics, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, Iran.
Abstract
In the present research, economic well-being was first calculated using the combined index of economic well-being based on four components of consumption flow, wealth stocks, income distribution and economic security. Then, using the autoregressive with linar and non-linear distributed lag approach while explaining the asymmetric effect of subsidy on economic well-being, the optimal level of subsidies in maximizing economic well-being was calculated in the period from 1973 to 2022. The results of calculating the economic well-being index show that from 1975 until the end of the war, the trend of economic well-being was decreasing, and then it started to increase until the sixth plan, so that its average went from 20.9 in the first plan to 60.3 in the fifth plan and has recorded an average of 8 in the sixth program. Also, the size of the subsidy (relative to the total government expenditure) shows that the average size of the subsidy increased from 1973 to the end of the war and also in the first to fourth development plans and then decreased until the sixth plan. The results of long-run estimates show that increases and decreases in subsidy expenditures have a direct effect on economic well-being. In such a way that the direct effect of reductions in subsidy expenditures on economic well-being is greater than the effect of increases in it, which is a confirmation of the existence of an asymmetric effect of subsidy expenditures on economic well-being. Also, the calculation of the optimal amount of subsidy ...
Keywords
Main Subjects
)