Theoretical and Applied Economics
No. 3 / 2015 (604), Autumn
A survey of the effect of trade openness size on inflation rate in Iran using ARDL
Ferdowsi University of Mashhad, Iran
Mohammad Javd RAZMI
Ferdowsi University of Mashhad, Iran
Zahra TAGHIZADEGAN
Ferdowsi University of Mashhad, Iran
Abstract. The purpose of this study is to examine the relationship between trade openness size and inflation rate in Iran using ARDL method for the period 1973 to 2010. There is a robust negative relationship across countries, first documented by Romer (1993), between a country’s openness to trade and its long-run inflation rate. Given that Iran’s economy is dependent on oil incomes and as these incomes influence on inflation, non-oil trade openness has been used in this study. The results show that this variable has negative significant effect on inflation through this period. Other control variables i.e. Growth of Liquidity, exchange rate and output gap affect inflation in the expected directions.
Keywords: Openness; Globalization; Inflation; Exchange Rate.
Download the full article: 
Contents
- A Structural VAR analysis of Fiscal shocks
on current accounts in Greece
Aviral Kumar TIWARI
Suresh K G
Mihai MUTAȘCU
- Is CPI a suitable tool for inflation targeting? A critical view
Selim KAYHAN
Muhsin KAR
Ahmet ŞAHBAZ
- A new beginning for SMEs development?
Dan Costin NIȚESCU
- About the conceptualization of social innovation
Cornel IONESCU
- Economic models of voting: an empirical
study on the electoral behavior in Romanian
2012 parliamentary elections
Mihai UNGUREANU
Andra ROESCU
- Revisit Export and GDP Nexus in China and Taiwan:
A Rolling Window Granger Causality Test
Ming-Hsien YANG
Chih-She WU
- Sustainability of balancing item of balance of payment
for OECD countries: evidence from Fourier Unit Root Tests
Serkan TAŞTAN
- The European Union brand and its appeal
to young Europeans – an in-depth perspective
from Romanian student
Alina-Daniela MIHALCEA
Alexandra VIȚELAR
- Analysis of final consumption and gross investment influence
on GDP – multiple linear regression model
Constantin ANGHELACHE
Alexandru MANOLE
Mădălina Gabriela ANGHEL
- A survey of the effect of trade openness size
on inflation rate in Iran using ARDL
Mostafa SALIMIFAR
Mohammad Javd RAZMI
Zahra TAGHIZADEGAN
- A labor utility index to measure worker welfare
and labor market performance
David HUDGINS
Deniz GEVREK
- Financial development and economic growth
in emerging market: bootstrap panel causality analysis
Yusuf Ekrem AKBAS
- Liquidity ratios. A structural and dynamic analysis,
during 2006-2012, of the companies having the business line
in industry and construction, listed and traded
on the Bucharest Stock Exchange
Diana Elena VASIU
Nicolae BALTEȘ
Iulian Nicolae GHEORGHE
- The Romanian banking sector restructuring
and the economic recovery
Cătălin Emilian HUIDUMAC PETRESCU
Alina POP
- Towards a sustainable economy
Silvia Elena IACOB
Constantin POPESCU
- The role and influence of the political factor in establishing
the financial and budgetary balance and on national stability
Tiberiu Valentin MAVRODIN
- The factors that affect on foreign direct investments in Turkey
(sectoral comparisons)
Eren ÖĞRÜL
Mehmet ERYİĞİT
