The Impact of comparative advantage of economic activities on the Gross Domestic Product

In this study, the effect of the comparative advantage of different activities on the economic growth of the provinces in the period 2004-2014 has been evaluated. For this purpose, using the statistics of the statistical yearbook of the Statistics Center of Iran and the regional accounts of the Central Bank for 30 provinces, the desired indicators have been calculated. Then, in the form of a dynamic panel model, using the generalized two-stage nonlinear torque technique (GMM), the effect of the comparative advantage of major activities on the economic growth of the provinces is estimated. The results of estimating the models confirm that the three major sectors of agriculture, construction and services have a positive and significant effect on economic growth. The industry, mining and energy sectors have a negative effect on growth. This negative impact can be due to the greater impact of other sectors on growth.