Investigation of Impact of Financial Repression on Growth of the Capital Stock of Agricultural Sub-Sectors in Iran

This study investigates the effect of some indicators of financial repression، including DR (the gap between the official interbank exchange rate and the free market rate)، Cpi (the difference between Iran''s inflation rate and the inflation rate of the world) and G (the ratio of government debt to liquidity)، on capital stock growth in agricultural sub-sectors in Iran، during the period 1991-2011 using estimation of the demand function and panel data method. The results of the model indicate a significant negative effect of financial repression indicators on the development of the capital stock growth in all agricultural sub-sectors.