Studying The Real Exchange Rate (Edward's Model)on Spillovers of Technology in Iran

Since the behavior of real exchange rate is affected by the macroeconomic variables of the country, identifying these variables is very important in each country’s economy. On the other hand, Overflow investigation in all developed and developing countries is important, because of economic growth and development faces with a slow process without attention to technology overflows. Hence, in this study, the estimation of the behavior model of real exchange rate in Iran is studied, in additions, the effect of this variable is also studied on the spillover of Technology in 1995-2013. In Edwards’ model, The estimation of model is carried out by using of the ARDL method so that; we can determine the short and long-term behavior of real exchange rate. the results were obtained from estimating the real exchange rate pattern (Edwards’) show that exchange controls affect on the real exchange rate positively whereas the degree of openness affects on the real exchange rate negatively. After estimating the real exchange rate, The effect of this variable was studied as an indirect absorption channel on the overflows Technology. Estimation and anticipation this section was performed by ingenious method genetic algorithm. The results were obtained from this study showed, that the effect of real exchange rate, expenditure of research and development, Knowledge including imports, human development index are positive and the effect of Size of Government on patent or application of technology and knowledge is negative.