Evaluation of Monetary Policy in the Framework of a Mixed frequency Data Sampling Macro Econometric Model (MIDAS - EME) for the Iranian Economy in the Condition of Sanctions

So far, a large number of macro-structural macroeconomic models have been developed for the Iranian economy. However, despite extensive research, a macro-structural econometric model with a MIDAS approach does not appear to have been developed so far. Therefore, in the present study, by designing a macroeconomic macro data model with different frequencies for the Iranian economy, the effect of monetary policy on macroeconomic variables has been investigated. In addition, by constructing a sanctions index and placing it in the behavioral equations of the external part of the model, the effect of sanctions on the model is taken into account. According to the model results, an expansionary monetary policy, by increasing the banks' debt to the central bank, increases the monetary base, increases the money supply, and as a result, production and employment increase slightly compared to the base trend. At the same time, following the implementation of this expansionary monetary policy, the general level of prices has increased relative to the base trend, leading to an increase in inflation. A contractionary monetary policy also reduces the general level of prices by increasing the ratio of legal deposits,