Implementation of the Domestic Resources Cost (DRC) Method for Comparative Advantage Analysis of the Operating Gold Mines in Iran

The comparative advantage of minerals from production and export point of view is one of the important key factors in economical activities. This issue is central in the developing countries. In Iran, promoting the non-petroleum export and diverting from the single-product economy to a wide range of exports is a major issue. This is an excellent potential for the mining investment. In this paper, the comparative advantage of operating gold mines in Iran, from the production to the export stages, is evaluated by the implementation of the Domestic Resources Cost (DRC) method. Finally this study recommends a regime for the promoting of the production and export or importing the ore. Accuracy of this method is examined by the comparing the result with the real standard ratio, being used in the other countries.