PhD defence: Hadis Khonsary Atighi

In order to obtain the PhD degree, Hadis Khonsary Atighi has submitted her thesis entitled: ECONOMIC DETERMINANTS OF DOMESTIC - INVESTMENT IN AN OIL-BASED ECONOMY: THE CASE OF IRAN (1965-2010)

Friday, May 13, 2016 - 13:00 to 15:00

This thesis identifies theory-consistent economic determinants of aggregate and sectoral domestic investment in the context of the oil-rich and oil-based economy of Iran within the theoretical framework of modified neoclassical-accelerator type investment models. A CVAR method is being employed to determine the theory-consistent long-run relationships between the variables of interest over the study period. The empirical results, interestingly, showed that aggregate investment largely corresponds to factors which lie within the above theoretical framework. Employing impulse response functions (IRFs), the findings suggested that the effects of shocks to various measures of oil on investment and output were non-linear.

Contributory to the resource curse literature, the empirical findings based on the sector-level analysis revealed a pattern of structural shifts, characterized by the expansion of investment and output in the sectors of services and manufacturing, yet by the contraction of output in the oil and gas sectors. This thesis refers to this phenomenon as the ‘Iranian Disease’, which was mainly developed through state-led oil-driven investment spillovers not only for services but also for manufacturing due to the promotion of industrialization in the country which began in the early 1950s and continued throughout the study period. Remarkably, both at aggregate and at sectoral levels, the trivial long-run importance of the regime shift and various macroeconomic policies on investment signified the most characteristic feature of the Iranian economy in the pre- and post-revolutionary era, that is, its oil-dependency.
 
Supervisor:
Professor Ari Kokko
Department of International Economics and Management
Copenhagen Business School
 
Secondary supervisor:
Professor Kerry Patterson
Department of Economics
University of Reading
 
Assessment Committee:
Professor MSO Finn Østrup (Chair)
Department of International Economics and Management
Copenhagen Business School

Professor Katarina Juselius
Department of Economics
Copenhagen University

Professor of economics Massoud Karshenas
SOAS
University of London

Thesis:
The thesis is available here.

The page was last edited by: Sekretariat for Ledelse og Kommunikation // 06/13/2018