Study of Cultural Status and Its Impact on Economic Growth in Iranian Provinces

Document Type : Research Paper

Authors

1 PhD candidate in Islamic Economics, Faculty of Economics, Allameh Tabataba'i University

2 Professor of Economics, Faculty of Economics, Allameh Tabataba'i University

3 Professor of Economics, University of Mazandaran

Abstract

Different cultural factors and indicators affecting economic growth should be identified and taken into consideration. Using their creative talents and cultural heritage, countries can support and improve economic growth and ultimately attain the welfare and prosperity of society. Cultural indicators can measure cultural status. The purpose of this study is to determine whether the cultural index affects economic growth in Iran's provinces. This index is calculated with regard to theoretical basics of Revealed Comparative Advantage (RCA). In this paper, based on regional accounts of 31 provinces, first the cultural index of provinces is computed and the its situation is compared among provinces. Then, the impact of the cultural indices’ advantage on Iran's economic growth is estimated using a dynamic panel data model and generalized method of moments (GMM) during 2000-2016. The statistical population consists of Iran’s provinces.  The estimation results show that the effect of the comparative advantage of the value added of cultural variables on economic growth is positive and significant. In addition, the cultural index can increase the economic growth of the provinces if it increases human capital

Keywords

References

 
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Iranian Economic Development Analyses
Volume 6, Issue 2 - Serial Number 18
December 2018
Pages 103-122

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