Document Type : Research Paper

Authors

• Mohammad Mowlaei ¹
• Madiheh Ashtiani ²

¹ Assistant Professor, Bu-Ali Sina University

² M.A. student, Bu-Ali Sina University

Abstract

The amount of industrial employment is very important in economic studies and it is one of industrial development indexes. There are various factors that effect on demand of labour in industry sector. These factors interest the employers have more or less demand for workers. Thus, the study of these factors in form of labour demand function in industry sector is very important.  In this article, the labour demand function in industry sector is estimated during 1358-87 and the important degrees of these factors are studied in both static and dynamic models. The results of research show the demand for labour has a negative relation with the wage of labours, but it has a positive relation with the value added, capital stock and the labour productivity. Thus, regarding the importance of the above factors in economic policies, increase in demand for  labour is very necessary.

Keywords

• Labour demand function
• Iranian industry sector
• Static labour demand function
• Dynamic labour demand function