Resource title

Economic convergence and rent-seeking in Iran

Resource image

image for OpenScout resource :: Economic convergence and rent-seeking in Iran

Resource description

The neoclassical growth model predicts convergence of productivity or per capita output levels across regions. If participation in the labor force is constant, convergence of per capita income is implied. We investigate this hypothesis for the Iranian economy using data on demand deposits as a proxy for GDP. Furthermore, the analysis controls for the effects of rent seeking. Due to its impact on the allocation of resources, rent-seeking is likely an impediment to overall growth. The results support absolute ß-convergence across Iran's provinces and provide some evidence on the adverse effect of rent seeking on regional convergence.

Resource author

Christian Dreger, Teymur Rahmani, Hans-Friedrich Eckey

Resource publisher

Resource publish date

Resource language

eng

Resource content type

text/html

Resource resource URL

http://hdl.handle.net/10419/27265

Resource license

Adapt according to the presented license agreement and reference the original author.