The Principle of Proportionality of Mass and Energy: New Version
Journal Title: Caspian Journal of Applied Sciences Research - Year 2012, Vol 1, Issue 13
Abstract
This study investigates the effect of government spending and macroeconomic uncertainty on Private sector investment in Iran during 1971 to 2008. Co-integration and vector error-correction models are used to obtain the estimates of the co-integrating relations and the long-run dynamics, respectively. The uncertainty measure generated from exponential generalized autoregressive conditional heteroscedastic (EGARCH(1,1)) process .The results show that government spending, uncertainty and interest rate have significant negative effect on private investment in the long run in Iran while the GDP has significant positive effect on private investment.
Authors and Affiliations
Sergey Fedosin
Keywords
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