نشریه اقتصاد و جامعه
پیاپی 12 (تابستان 1386)

Free market not only allocates resources and Commodities effectively to competing uses but also effectively allocate return among market participants. It thus constitutes the best possible arrangement for satisfaction of individual needs. Markets are embedded in, entangled with or otherwise depend upon other parts of society. It maybe fostered or be inhibited by different socio-cultural orders or they may give it a particular local flavor. However, Creation of market needs institutions, the supply of which depends upon the capacity of the state and its responsiveness to its citizens. Transferring the state requires more than its withdrawal from directing economic activities. It is also crucial that the state is supportive of markets and private enterprise providing a sound investment climate for entrepreneurship. For market to function properly, government has to establish Institutions such as protecting property rights and enforcing contract mechanism. It also requires effort to build other institutions to sustain the growth momentum build resilience to shocks and facilitate socially acceptable burden sharing in response to such shocks. Thus market and State are not substitute to each but rather they are complementary.

Decentralization of economic decision making and formation of local governments is a very important subject world over. The role of state, local and provincial governments and different in different countries based on their socio – economic and Political differences while in developing countries local and provincial government are relatively less important in developed countries on the contrary are very significant, although the discussion of the role of state, local and provincial governments are very important for Iranian economy nevertheless its peculiarities are quite different. In this Paper we try to devise a mathematical model to analyze the size of state at provincial level for Iran. The paper consist a short introductory, three main parts and a conclusion.

Government having legal and political legitimacy has a high potentiality for economic growth and provision of Social Welfare. It is quality of interference in the economy, in other words its efficiency which is important and highly depends on the level of economic development as the experience of success in newly industrialized Countries and some of oil producing countries show. Therefore an examination of government efficiency is highly important. Particularly its important would be clear if we look at the relationship between performance of bureaucracy and seriousness of Policy making at the macro level. 9t is quite reasonable to expect that inefficient policymakers would lead to in efficient bureaucracy. Therefore the combination of inefficient bureaucracy and wrong policies are harmful for development and n national economic security. In this paper we empirically test this hypothesis for Iran and find that there has been an inverse relation ship between government efficiency and economic growth.

The Purpose of this paper is to critically evaluate the claim made in the book that “it is only the competitive market that leads to the achievement of efficiency and social justice”, We try on the basis of individualistic principle theories to show that the recent scientific progress made in the subject refute such allegation. In addition a scrutiny of views expressed regarding “Justice as Fairness” and especially the capability approach which has been referred to in the book would clearly show that neither market competition nor its process would bring about Justice. We shall also explain based on capability approach that market competition accounting for all the provisions and corrections for equalization of initial position of individuals would not lead to social justice and we have proved later how the limited empirical reference and evidence cited in the book are flaws and baseless.

This article tries to provide comprehensive responses to two crucial questions in the realm of poverty and inequality. First question is that why poverty in some societies and among some groups is sustainable? Second, to what extent and how far a society tolerates inequalities and when does it reject them, once they become sources of social resentments? To provide a comprehensive response to the first question, an analytical account of the poverty traps is provided. And in order to provide a response to the second question, relative deprivation is provided. The article is concluded by providing a social contract framework for social justice, and presents some indicators for combating sustainable poverty and social inequalities.

Achieving social justice and eradicating poverty were the most important goals of Islamic revolution. This has been the basic foundation on which policy makers decision are made. Studies show that despite confronting various difficulties such as the long imposed war and continuous economic blockades and declining net per capita income during the First two decades of post revolutionary era, Iran s Human Development Index has been Improved so that its relative position jumped up from being among the low rank human development counties to a middle rank human development countries.Although socio – economic inequalities persist nevertheless the percentage of population below poverty line and the extent of inequality has decreased while at the same time quality of the education and health has been improved. These achievements were made mainly of target oriented investment in different sectors and geographical balances, protecting agriculturist through purchase warranty and various kinds of subsidies. The above mentioned policies provide a suitable foundation for promoting social Justice. To achieve the desired goal in social justice, it requires the empowerment of under-privileged, public consciousness and Political determination. This study also show that Human Development is not necessary related to per capita income growth but rather to social policies, specially the endeavor of leaders and policy makers to bring about a Just distribution of income and opportunities and to achieve social justice. These endeavors played a very important role in improvement of Human Development Index of the country

Social Justice has been increasingly emphasized as a determine factor of national progress ever since industrial revolution. The last three decades are regarded as the third wave of industrial revolution in which knowledge is the most important element in production function leading to increasing return. At the same time, there have been tremendous changes in the sphere of the rules of the game where there has been substitution of soft variable for hard variables while integration and trust formation on the part of giant producers world over has been a normal phenomena. In these paper we follow an analytically-illustrative approach to show that each and every one of these three changes represent increasing inequality in this knowledge based area, 9t is the concern with this deepening of inequalities that adaptation and coordination with developed countries would be a crucial task. As a result there has been a high emphasize on institutional adjustment by development thinkers. This paper concludes that in this age of knowledge based development, the sustainability of achievements would highly depend on how we view social Justice in this process.

Rural poverty has specific traits in Iran that has made it differ from urban poverty. Results of this survey indicate that in the view of income poverty, level of rural families’ income is less than urban families and also class distinctions among rural families is more than urban families. Vicious circle of poverty is preponderant in village completely; because for the little income of rural poor, the amount of expenditure in direct relation with increasing of poor families’ capability is littler.