Shahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220Effect of Taxing Interest Bank Deposit on Macroeconomic Variables in the Presence and Absence of the Capital Market: A DSGE ApproachEffect of Taxing Interest Bank Deposit on Macroeconomic Variables in the Presence and Absence of the Capital Market: A DSGE Approach13510492310.48308/jem.2024.235271.1909FAMohsenSahariPhD Candidate in Economics, Faculty of Administrative Sciences and Economics, University of Isfahan, Isfahan, IranMohammadVaez BarzaniAssociate Professor of Economics, Faculty of Administrative Sciences and Economics, University of Isfahan, Isfahan, IranRasoulBakhshi DastjerdiAssociate Professor of Economics, Faculty of Administrative Sciences and Economics, University of Isfahan, , Isfahan, IranHadiAmiriAssociate Professor of Economics, Faculty of Administrative Sciences and Economics, University of Isfahan, , Isfahan, IranJournal Article20240407One of the primary sources of government expenditure is tax revenue. In recent years, the introduction of new tax bases has become a topic of interest for economic policymakers in the field of taxation. The reliance of some countries on oil revenues has caused harmful consequences for their economies, and taxing the interest on bank deposits, as a new tax base, could reduce dependency on oil revenues in these countries. In this study, with a case study of Iran, the efficiency of the capital market during the imposition of a tax on bank deposit interest is simulated using the DSGE model. Its impact on macroeconomic variables is explored using seasonal data from 1991 to 2021. The results show that when the capital market is not included in the model, although government revenues increase, production deviates negatively from its steady-state level. Therefore, this type of tax cannot be used as a sustainable source of revenue. On the other hand, when the capital market is incorporated into the model, the fluctuation range of economic variables decreases, and the production variable shows a positive deviation from its steady-state level. This highlights the positive role of the capital market in reducing economic fluctuations during the imposition of a tax on deposit interest. Thus, when a monetary shock occurs, the presence of a complementary market, such as the capital market alongside the banking system, can help to moderate fluctuations in macroeconomic variables to some extent.One of the primary sources of government expenditure is tax revenue. In recent years, the introduction of new tax bases has become a topic of interest for economic policymakers in the field of taxation. The reliance of some countries on oil revenues has caused harmful consequences for their economies, and taxing the interest on bank deposits, as a new tax base, could reduce dependency on oil revenues in these countries. In this study, with a case study of Iran, the efficiency of the capital market during the imposition of a tax on bank deposit interest is simulated using the DSGE model. Its impact on macroeconomic variables is explored using seasonal data from 1991 to 2021. The results show that when the capital market is not included in the model, although government revenues increase, production deviates negatively from its steady-state level. Therefore, this type of tax cannot be used as a sustainable source of revenue. On the other hand, when the capital market is incorporated into the model, the fluctuation range of economic variables decreases, and the production variable shows a positive deviation from its steady-state level. This highlights the positive role of the capital market in reducing economic fluctuations during the imposition of a tax on deposit interest. Thus, when a monetary shock occurs, the presence of a complementary market, such as the capital market alongside the banking system, can help to moderate fluctuations in macroeconomic variables to some extent.https://ecoj.sbu.ac.ir/article_104923_ee03ddad01bec9e8b8f0a07f9320f5ff.pdfShahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220The Effect of Political Risk, Uncertainty, and Economic Complexity on Ecological Footprint in Oil-Exporting Developing CountriesThe Effect of Political Risk, Uncertainty, and Economic Complexity on Ecological Footprint in Oil-Exporting Developing Countries377410492510.48308/jem.2024.235137.1906FAKarimEslamloueyanProfessor of Economics, Faculty of Economics, Management and Social Sciences, Shiraz University, Shiraz, IranFatemeŮŽAsadiMA in Economics, Faculty of Economics, Management and Social Sciences, Shiraz University, Shiraz, IranMahboubehJafariAssistant Professor of Economics, Faculty of Economics, Management and Social Sciences, Shiraz University, Shiraz, IranJournal Article20240316The main goal of this study is to investigate the effects of political risks, uncertainty, and economic complexity on the ecological footprint in a selection of developing countries. We estimate our model using the Systemic Generalized Moments method (SYS-GMM) for a panel of 22 oil-exporting developing countries. The method allows us to resolve the possible endogeneity problem. Other control variables include economic growth, human capital, and trade openness. The estimation results show that reducing political risks increases the quality of the environment. Moreover, an increase in the world uncertainty index improves the quality of the environment because it reduces investment and output growth in oil-exporting developing countries and, hence, decreases the use of natural resources. In addition, we also find that economic complexity increases the ecological footprint. In other words, higher complexity might result in lower environmental quality in oil-exporting economies. Furthermore, higher per capita GDP growth rate, human capital, and trade openness increase the ecological footprint. It means these variables are likely to increase environmental degradation in oil-exporting countries. Our results might have important policy implications for policymakers. Our research emphasizes the significance of mitigating political risks to enhance environmental quality.The main goal of this study is to investigate the effects of political risks, uncertainty, and economic complexity on the ecological footprint in a selection of developing countries. We estimate our model using the Systemic Generalized Moments method (SYS-GMM) for a panel of 22 oil-exporting developing countries. The method allows us to resolve the possible endogeneity problem. Other control variables include economic growth, human capital, and trade openness. The estimation results show that reducing political risks increases the quality of the environment. Moreover, an increase in the world uncertainty index improves the quality of the environment because it reduces investment and output growth in oil-exporting developing countries and, hence, decreases the use of natural resources. In addition, we also find that economic complexity increases the ecological footprint. In other words, higher complexity might result in lower environmental quality in oil-exporting economies. Furthermore, higher per capita GDP growth rate, human capital, and trade openness increase the ecological footprint. It means these variables are likely to increase environmental degradation in oil-exporting countries. Our results might have important policy implications for policymakers. Our research emphasizes the significance of mitigating political risks to enhance environmental quality.https://ecoj.sbu.ac.ir/article_104925_b0a7cfa054b1f10e45a9c83531e865ad.pdfShahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220The Effect of Gender Wage Discrimination on Poverty in Iran's ProvincesThe Effect of Gender Wage Discrimination on Poverty in Iran's Provinces7511210492410.48308/jem.2024.235774.1917FAMarziehShakeri HosseinAbadPhD Candidate in Economics, Faculty of Economics, Management and Accounting, Yazd University, Yazd, IranZahraNasrollahiProfessor of Economics, Faculty of Economics, Management and Accounting, Yazd University, Yazd, IranJournal Article20240521Numerous empirical and theoretical evidence emphasizes that poverty is one of the main obstacles to development. Therefore, the eradication of poverty is the challenge which is facing the international community in the effort to create a peaceful and just world, and the first priority of the United Nations Sustainable Development Goals is "ending poverty in all its forms". In fact, if conscious participation in development is considered not a privilege but a right, one of the most important obstacles to this right is poverty. The first step in effectively dealing with a problem is to know its determining factors. The present research is devoted to the investigation of factors affecting poverty with an emphasis on gender wage discrimination in Iran's provinces during the 2006-2021 with five-year intervals. After determining the Foster, Greer and Thorbecke poverty indices, the Neumark decomposition method is used to calculate gender wage discrimination. The variables of mobile phone penetration rate, the share of government construction expenditure, dependency ratio and inflation rate are entered as control variables in the model, and effective factors on poverty indicators are investigated using the panel data model. The results show that the effect of wage gender discrimination, dependency ratio and inflation rate on poverty is positive and significant, and the effect of mobile phone penetration and the share of government construction expenditures on poverty is negative and significant. The results indicate that measures that reduce gender wage discrimination can also be effective in reducing poverty.Numerous empirical and theoretical evidence emphasizes that poverty is one of the main obstacles to development. Therefore, the eradication of poverty is the challenge which is facing the international community in the effort to create a peaceful and just world, and the first priority of the United Nations Sustainable Development Goals is "ending poverty in all its forms". In fact, if conscious participation in development is considered not a privilege but a right, one of the most important obstacles to this right is poverty. The first step in effectively dealing with a problem is to know its determining factors. The present research is devoted to the investigation of factors affecting poverty with an emphasis on gender wage discrimination in Iran's provinces during the 2006-2021 with five-year intervals. After determining the Foster, Greer and Thorbecke poverty indices, the Neumark decomposition method is used to calculate gender wage discrimination. The variables of mobile phone penetration rate, the share of government construction expenditure, dependency ratio and inflation rate are entered as control variables in the model, and effective factors on poverty indicators are investigated using the panel data model. The results show that the effect of wage gender discrimination, dependency ratio and inflation rate on poverty is positive and significant, and the effect of mobile phone penetration and the share of government construction expenditures on poverty is negative and significant. The results indicate that measures that reduce gender wage discrimination can also be effective in reducing poverty.https://ecoj.sbu.ac.ir/article_104924_4d9db013aecbdeadac7a3c9795cfe731.pdfShahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220Investigation the Spillover of Volatility and Return Between Cross-Border Markets (Forex and Cryptocurrencies) and Stock Market in IranInvestigation the Spillover of Volatility and Return Between Cross-Border Markets (Forex and Cryptocurrencies) and Stock Market in Iran11316010492610.48308/jem.2024.234768.1896FAMajidAghaeiAssociate Professor of Economics, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, IranMahdiehRezagholizadehAssociate Professor of Economics, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, IranSamiraChawshanyMA in Economics, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar, IranJournal Article20240209The expansion of technology and the increasing development of global financial markets have transformed cross-border markets (Forex and cryptocurrencies) into one of the preferred markets for investors and traders in Iran. Given the growing interest of investors and traders in cross-border markets, this study examines the relationship between these markets and the stock market, as well as the spillovers of volatility and return among them in Iran during the period from February 2019 to March 2023 using daily data and the DCC-AR-EGARCH method. The results indicate that Forex, cryptocurrencies, and the Tehran Stock Exchange are symmetric, sensitive to crises, and affected by negative news, while the currency market (US dollar) is asymmetric and influenced by positive news. Also, Forex, cryptocurrencies, and currency markets have a correlation with the Tehran stock exchange, suggesting that the growth of one market leads to the growth of another. The results of investigating spillovers of return and volatility between markets under study based on the Diebold & Yilmaz and Barunik & Krehlik indices indicate that there is a spillover of return and volatility from the Forex, cryptocurrency, and currency markets to the Tehran stock exchange during the period under study. The Tehran stock exchange market is the largest return and volatility spillover recipient, while the cryptocurrency market is the smallest recipient of volatility spillover. The results of the Barunik & Krehlik frequency spillover index also suggest that the Forex market is the largest sender of return spillover, and the currency market is the largest sender of volatility spillover to the stock market in Iran. The estimated results of this index indicate the predominance of return spillover from the markets under study to the Tehran stock exchange in the short term.The expansion of technology and the increasing development of global financial markets have transformed cross-border markets (Forex and cryptocurrencies) into one of the preferred markets for investors and traders in Iran. Given the growing interest of investors and traders in cross-border markets, this study examines the relationship between these markets and the stock market, as well as the spillovers of volatility and return among them in Iran during the period from February 2019 to March 2023 using daily data and the DCC-AR-EGARCH method. The results indicate that Forex, cryptocurrencies, and the Tehran Stock Exchange are symmetric, sensitive to crises, and affected by negative news, while the currency market (US dollar) is asymmetric and influenced by positive news. Also, Forex, cryptocurrencies, and currency markets have a correlation with the Tehran stock exchange, suggesting that the growth of one market leads to the growth of another. The results of investigating spillovers of return and volatility between markets under study based on the Diebold & Yilmaz and Barunik & Krehlik indices indicate that there is a spillover of return and volatility from the Forex, cryptocurrency, and currency markets to the Tehran stock exchange during the period under study. The Tehran stock exchange market is the largest return and volatility spillover recipient, while the cryptocurrency market is the smallest recipient of volatility spillover. The results of the Barunik & Krehlik frequency spillover index also suggest that the Forex market is the largest sender of return spillover, and the currency market is the largest sender of volatility spillover to the stock market in Iran. The estimated results of this index indicate the predominance of return spillover from the markets under study to the Tehran stock exchange in the short term.https://ecoj.sbu.ac.ir/article_104926_b1fea41f42e93a196294f33600f3f00f.pdfShahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220The Impact of Economic Sanctions on Household Healthcare Costs: A Difference-in-Difference ApproachThe Impact of Economic Sanctions on Household Healthcare Costs: A Difference-in-Difference Approach16117810492710.48308/jem.2024.236139.1926FAMostafaNuriPhD Student in Economics, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, IranEsmaeelSafarzadehAssistant Professor, Economics, Faculty of Social and Economic Sciences, Al-Zahra University, Tehran, IranMehdiFathabadiAssistant Professor, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, IranSalehGhavidelAssociate Professor, Department of Economics, Firozkoh Branch, Islamic Azad University, Firozkoh Branch, IranJournal Article20240629The purpose of the present study was to investigate the economic sanctions on urban households' expenditures in the healthcare sector. In this study, the statistical information prepared from the household budget of Tehran city in the period of 2011-2022 and the difference-in-difference regression method were used. In the first stage, economic sanctions lead to a reduction in health and pharmaceutical products, and as a result, health is reduced to these basic goods, which affects the acceptable population, especially women, children, and the elderly. The results of this study indicate that economic sanctions have reduced the cost of health and treatment in the household budget. The result obtained from the difference in the difference of the model indicates that due to the change in the results of the sanctions and also the net economic target households through the reduction in household purchases, it leads to a reduction in the costs related to health and treatment costs for households. So, it is suggested that government policies in the health and treatment sector should be targeted and identify low-income families so that this group can meet their medical needs in this situation.The purpose of the present study was to investigate the economic sanctions on urban households' expenditures in the healthcare sector. In this study, the statistical information prepared from the household budget of Tehran city in the period of 2011-2022 and the difference-in-difference regression method were used. In the first stage, economic sanctions lead to a reduction in health and pharmaceutical products, and as a result, health is reduced to these basic goods, which affects the acceptable population, especially women, children, and the elderly. The results of this study indicate that economic sanctions have reduced the cost of health and treatment in the household budget. The result obtained from the difference in the difference of the model indicates that due to the change in the results of the sanctions and also the net economic target households through the reduction in household purchases, it leads to a reduction in the costs related to health and treatment costs for households. So, it is suggested that government policies in the health and treatment sector should be targeted and identify low-income families so that this group can meet their medical needs in this situation.https://ecoj.sbu.ac.ir/article_104927_6b72806cb50c9473c1bd154a0aea3574.pdfShahid Beheshti UniversityJournal of Economics and Modelling2476-577514420240220Examining the Market Structure of Vegetable Oil Products in IranExamining the Market Structure of Vegetable Oil Products in Iran17920510492810.48308/jem.2024.235975.1921FAMortezaTahami Pour ZarandiAssistant Professor of Economics, Faculty of Economics and Political Science, Shahid Beheshti University, Tehran, IranKimiaMalekiMA in Economic System Planning, Faculty of Economics and Political Science, Shahid Beheshti University, Tehran, IranAliakbarArabmazarProfessor of Economics, Faculty of Economics and Political Science, Shahid Beheshti University, Tehran, IranJournal Article20240608Vegetable oil is a strategic product that relies heavily on imports and is significantly affected by international crises. Understanding its market structure can help improve market policies and provide better guidance for both producers and consumers. In this research, the market structure was analyzed using non-parametric concentration criteria, translog cost function estimation, and the Lerner index. During the period from 2015 to 2022, the results show that the Herfindahl-Hirschman Index (HHI) averaged 0.11, indicating a moderately competitive market. Out of a total of 59 firms in the industry, 54% of the market share is controlled by the four largest companies. The Lerner index for the three active firms listed on the Securities Exchange, estimated through two methods, price-cost margin and cost function estimation, was found to be approximately below 0.2. This suggests that these firms have limited pricing power. The findings indicate that the market structure aligns with monopolistic competition. It seems that government intervention in pricing the final product may not be necessary. Instead, the primary challenge remains ensuring the stable supply of crude vegetable oil inputs.Vegetable oil is a strategic product that relies heavily on imports and is significantly affected by international crises. Understanding its market structure can help improve market policies and provide better guidance for both producers and consumers. In this research, the market structure was analyzed using non-parametric concentration criteria, translog cost function estimation, and the Lerner index. During the period from 2015 to 2022, the results show that the Herfindahl-Hirschman Index (HHI) averaged 0.11, indicating a moderately competitive market. Out of a total of 59 firms in the industry, 54% of the market share is controlled by the four largest companies. The Lerner index for the three active firms listed on the Securities Exchange, estimated through two methods, price-cost margin and cost function estimation, was found to be approximately below 0.2. This suggests that these firms have limited pricing power. The findings indicate that the market structure aligns with monopolistic competition. It seems that government intervention in pricing the final product may not be necessary. Instead, the primary challenge remains ensuring the stable supply of crude vegetable oil inputs.https://ecoj.sbu.ac.ir/article_104928_482a001ecbb534d4b49d469d610145df.pdf