Inflation, Causes, and Approaches Oppose it in Iran

Abstract:
In this article, first the causes of inflation in Iran have been dealt with and then Islamic approaches to solve it have been offered. The study shows that the main factor of the inflation in Iran is structural one. Urban expansion and population increasing have caused demand for food and commercial products.The existences of many limitations at industry and farming have caused the production not to be matched with this surplus demand and consequently their price has rather been increased. At the next stage, price increasing has affected other products. On the one hand, the increasing of oil incomes and the expanding liquidity due to bank development and bank facilities irregularly, the process of increasing the prices has been intensified. Years after the revolution this crisis has also been complicated due to having special political and economical conditions and the administrating some economical policies on the part of the government.This survey has been done in comparison with the rate of liquidity growth and inflation rate in some successive years and a long period of time. In conclusion, this article suggests some Islamic patterns in the area of work culture, production (in industry and farming), cooperation and government policies (fiscal & monetary policies, and expenditure) with some approaches to make some changes in production parts in the economy of Iran.
Language:
Persian
Published:
Islamic Economy, Volume:6 Issue: 21, 2006
Page:
103
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