Gholam Reza Haddad
Abstract
The Islamic Republic of Iran cannot be classified in the classical models of regimes in political economy, and understanding the internal and external logic of its behavior in conventional theoretical frameworks faces difficulties. This research seeks to present a conceptual model in understanding the ...
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The Islamic Republic of Iran cannot be classified in the classical models of regimes in political economy, and understanding the internal and external logic of its behavior in conventional theoretical frameworks faces difficulties. This research seeks to present a conceptual model in understanding the nature of political order and behavioral drivers in the Islamic Republic of Iran under the theories of political economy. Uncertainty in the fundamental relations between the institutions of the state, market and civil society has organized the political economy order of the Islamic Republic in a way that, while being incompatible with all kinds of classical liberal, socialist, fascist and communist orders, elements of each of these orders has in it. This uncertainty is rooted in the simultaneous presence of two conflicting philosophical bases regarding the nature and functions of the state, which are conceptualized in organic and instrumental approaches, and these two conflicting philosophical bases, in the simultaneous existence of parallel and hierarchical structures of conflicting social roles have been determined. In addition, the rentier nature of the state in Iran, as a mediating variable, has weakened the possibility of adjustment and reform in this political economy system. In this research, an appropriate conceptual model for understanding this order of political economy has been conceptualized in " Rentier pseudo-capitalist state".
Ali Sarzaiem
Abstract
Iran's economy has not experienced high growth rate during past decades despite huge revenue from oil export. This shows ineffectiveness of resource allocation in Iran economy. The cause of such a resource mis-allocation has been disputed by different theories. In this paper, a political economy approach ...
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Iran's economy has not experienced high growth rate during past decades despite huge revenue from oil export. This shows ineffectiveness of resource allocation in Iran economy. The cause of such a resource mis-allocation has been disputed by different theories. In this paper, a political economy approach is used to explain such an inefficiency and it will be shown that it provides a better and more comprehensive approach in compare to the rival explanations. The core idea of the paper is that institutional arrangement in the pollical system evolved after Iran revolution from one hand and the quality of institutions on the other hand leads to high social discount rate which dominates short-termism to long-termism. From institutional point of view, high quality institution helps to relax some political economy constraints and provide incentives for economic agents to follow long-term benefits rather than short term one. In the absence of high-quality institutions, supporters of the status-quo allocation prevail the forces who support reallocation to achieve optimal allocation. As a result, transition from current negative equilibrium to superior one is blocked. In another word, economic reform requires high-quality institutions which support reallocation of available resources. Otherwise, different political economy constraints prevent to prioritize superior allocation to inferior one.
Mehdi Zibaei
Abstract
According to the International Monetary Fund forecasts, the Middle Eastern economy will shrink by 5.2 percent in 2020 compared to the previous year due to Covid-19. These statistics, which are just one part of the devastating result of the spread of the corona virus in the international arena, show the ...
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According to the International Monetary Fund forecasts, the Middle Eastern economy will shrink by 5.2 percent in 2020 compared to the previous year due to Covid-19. These statistics, which are just one part of the devastating result of the spread of the corona virus in the international arena, show the most unprecedented recession in the Middle East. Although the initiative of governments to restrict social mobility has curbed the spread of the virus in question, it also disrupts the production process and deepens destitution in the region. The question now is how the quarantine programs of the regional governments have caused the GDP reduction and the domestic recession. It seems that the implementation of control programs to prevent the spread of the corona virus at both the regional and international levels has disrupted the global value chain. On the one hand, this situation disrupted the supply of goods and services in domestic economies, and on the other hand, it reduced demand on a large scale. The crystallization of the existing conditions can be well seen in the declining trend of investment and foreign trade, falling oil prices, remittances and the tourism industry in the region more than other sectors. In the light of the theory of interdependence from the subset of liberal international political economy and in the framework of the quantitative analysis method based on figures and statistical data provided by international monetary institutions over the past year, this article intends to examine the effects of internal and external control constraints of governments on the Middle Eastern economy.
