The Impact of Competitive Price and Non-Price Indices on the Export of Industrial Sub-Sectors: A Case Study of Iran (1998:2-2004:1)
The main objective of this study is to investigate the competitiveness indices effects on export of Iran’s industrial sub-sectors in the period of 1998-2003. In this study, the price indices such as inflation rate and real exchange rate and the non-price indices such as labor productivity and revealed comparative advantage were used to investigate the effects of competitive indices on the industrial sub-sectors export of Iran. The model of this research was estimated with fixed effect and random effect approaches. The main findings of this study indicate that labor productivity, real exchange rate and revealed comparative advantage variables have positive and significant effects on export, but inflation rate has negative and significant effect on the Iranian industrial subsectors export. Moreover, the results of this study show that in order to increase the export of Iranian industrial sub-sectors, we should consider the non-price indices such as labor productivity.
Quarterly Journal of Quantitative Economics, Volume:5 Issue:1, 2008
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