Volume 10, Issue 3, March 2015, Pages 1014–1021
Accounting, Economics and Financial Management Conference (AEFMC 2014), Iran 26-27 October 2014
Mohsen Beirami1, Raziyeh Noormohammadi2, and Hojjat Shokri3
1 Department of economics, Faculty of social science, Razi University, Kermanshah, Iran
2 Department of economics, Faculty of economics, Islamic Azad University, Arak, Iran
3 Department of accounting, Faculty of economics, Islamic Azad University, Qom, Iran
Original language: English
Copyright © 2015 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Economic growth along with inflation and unemployment are the main topics discussed in macroeconomics. Achieving a suitable economic growth rate and permanent development are among the most important duties and goals of managers, economists, policy makers and etc. Observing that banks are capable of attracting people's small or great savings which are generally still by absorbing types of deposit also, are capable of using these aggregated resources in productive economic sections and accelerating economic growth process therefore, investigating the relation of banks' endowed credits with economic growth has a particular importance. The present study investigates and evaluates the effect of endowed credits of specialized banks and economic growth in Iran using the data of time series, work force mass, endowed credit mass of specialized banks and, real gross domestic product (GDP) mass during 1997 to 2012. Specification model used for analyzing data in this study is Auto Regressive Distributed Lag (ARDL) method as GDP is a function of endowed credit mass of banks as the substitute of capital and work force in Iran. Results of this study show that endowed credits of specialized banks in Iran has the potential of affecting economic growth in long term and short term but its relation with economic growth in long term is more effective and strong. Results of experimental tests show that these variables satisfy the economic prerequisite also; all of the variables in long term and short term are statistically meaningful and the considered pattern for investigating the relationship between the variables is also constant and convergent.
Author Keywords: endowed credits, specialized banks, economic growth, Auto Regressive Distributed Lag (ARDL) method.
Accounting, Economics and Financial Management Conference (AEFMC 2014), Iran 26-27 October 2014
Mohsen Beirami1, Raziyeh Noormohammadi2, and Hojjat Shokri3
1 Department of economics, Faculty of social science, Razi University, Kermanshah, Iran
2 Department of economics, Faculty of economics, Islamic Azad University, Arak, Iran
3 Department of accounting, Faculty of economics, Islamic Azad University, Qom, Iran
Original language: English
Copyright © 2015 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Abstract
Economic growth along with inflation and unemployment are the main topics discussed in macroeconomics. Achieving a suitable economic growth rate and permanent development are among the most important duties and goals of managers, economists, policy makers and etc. Observing that banks are capable of attracting people's small or great savings which are generally still by absorbing types of deposit also, are capable of using these aggregated resources in productive economic sections and accelerating economic growth process therefore, investigating the relation of banks' endowed credits with economic growth has a particular importance. The present study investigates and evaluates the effect of endowed credits of specialized banks and economic growth in Iran using the data of time series, work force mass, endowed credit mass of specialized banks and, real gross domestic product (GDP) mass during 1997 to 2012. Specification model used for analyzing data in this study is Auto Regressive Distributed Lag (ARDL) method as GDP is a function of endowed credit mass of banks as the substitute of capital and work force in Iran. Results of this study show that endowed credits of specialized banks in Iran has the potential of affecting economic growth in long term and short term but its relation with economic growth in long term is more effective and strong. Results of experimental tests show that these variables satisfy the economic prerequisite also; all of the variables in long term and short term are statistically meaningful and the considered pattern for investigating the relationship between the variables is also constant and convergent.
Author Keywords: endowed credits, specialized banks, economic growth, Auto Regressive Distributed Lag (ARDL) method.
How to Cite this Article
Mohsen Beirami, Raziyeh Noormohammadi, and Hojjat Shokri, “Survey the Effects of credits granted by specialized banks on economic growth: Case study of Iran from 1997 to 2012,” International Journal of Innovation and Applied Studies, vol. 10, no. 3, pp. 1014–1021, March 2015.
