Examining the Relationship between Growth of Industrial Export Goods and Economic Growth in Iranian Provinces: Dynamic Panel Data Approach
Author(s):
Abstract:
Economic and trade relation between the regions and countries is highly effective in economic growth and welfare of them. The development of trade relationships lead to the optimal use of production capacities in various sectors of the economy especially total factor productivity and GDP. The purpose of this study is to investigate the relationship between export growth and economic growth in the industrial regions. To investigate the relationship between the variables a dynamic panel data (GMM) econometric method was used employing the data over. The data have been collected from annual census reports of over ten employees in manufacturing firms in 28 provinces of Iran from1379 to1390. The model estimation results indicated the presence of a two-way causality between the variables. The results showed that the growth of export goods had a positive affect on economic growth and outspreading manufacturing sector. So, one percent increase in manufacturing export goods lead to an increase in GDP and manufacturing sector about 0.035 and 0.095 percent, respectively. Also, the results revealed that the economic growth and the growth of manufacturing sector had a positive impact on growth of exports goods about 0.03 and 0.39 percent.
Keywords:
Language:
Persian
Published:
Journal ofof Regional Planning, Volume:6 Issue: 24, 2017
Pages:
15 to 26
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