A study of the factors impacting the exportation of Iran’s agricultural products to Tajikistan; with emphasis on real exchange rate
Journal Title: Journal of Science and today’s world - Year 2014, Vol 3, Issue 11
Abstract
The existence of inappropriate relationship with neighbors and the existence of cultural and historical common points have made the Republic of Tajikistan an appropriate market for exportation of Islamic Republic of Iran’s agricultural products. In this study we aim at explore the condition of exportation of agricultural products from Iran to Tajikistan during 1999-2010 and determine the factors impacting it. The real exchange rate for that period should be estimated for that period before determining those factors. Finally, employing the commercial data of Iran and Tajikistan for 1999- 2010, the factors impacting the exportation of agricultural products from Iran to Tajikistan was determined using VAR model. The results have indicated that Tajikistan’s GDP and real exchange rate have a positive impact on exportation. Therefore, the policy of increasing the nominal exchange rate and making it reach real exchange rate and the policy of foreign investment in Tajikistan by Iran are recommended for increasing exportations.
Authors and Affiliations
Mahsa Jamshidi
Keywords
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- EP ID EP29512
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