Open Journal of Marine Science

Volume 6, Issue 4 (October 2016)

ISSN Print: 2161-7384   ISSN Online: 2161-7392

Google-based Impact Factor: 0.95  Citations  

Analyzing Direct and Indirect Effects of Economic Sanctions on I. R. Iran Economic Growth: Focusing on the External Sector of the Economy

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DOI: 10.4236/ojms.2016.64038    4,350 Downloads   5,918 Views  Citations
Author(s)

ABSTRACT

In this paper, we analyze direct and indirect effects of economic sanctions on I. R. Iran’s economic growth from 1979 to 2012 focusing on the external sector of the economy. Our data for variables except for sanction are derived from 1966 to 2012 and a dummy variable is used for each sanction’s beginning years. The designed model is based on the endogenous growth models in which we analyze the effects by 2SLS econometric method. Our findings indicate that economic sanctions have not directly affected Iran’s economic growth so much. These effects have been indirect through restricting total imports, capital goods imports, imports of intermediate goods and primary products and also the export leading to decreased economic growth of the country.

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Ezzati, M. (2016) Analyzing Direct and Indirect Effects of Economic Sanctions on I. R. Iran Economic Growth: Focusing on the External Sector of the Economy. Open Journal of Marine Science, 6, 457-471. doi: 10.4236/ojms.2016.64038.

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