The volatility of oil revenues in rentier countries, due to the large share of oil revenue in their economies, affects many variables. Oil revenues can also affect social behavior and culture. Therefore, social capital, as the result of social networks and institutions, can be directly and indirectly affected by oil rents. The review of economic literature suggests that oil revenues could poten...

The use of revenue from natural resources, including oil, has always attracted the attention of politicians, economists and political scientists as well as various social groups. Here, we study the optimal consumption of oil revenues under different interest rate and social discount rate scenarios, and presence of Dutch disease, using a dynamic computable general equilibrium approach.The result...

Government spending on public infrastructure, education and healthcare can provide a positive boost to economic growth, however each financing sources can affect economic growth differently. Which source of finance is less distortionary and boosts growth? In order to answer this question, this paper analyzes the impact of financing sources (oil and tax revenues) on the Iranian economic growth. ...

  Oil revenues play a significant role in the government budget in Iran and have also an important impact on GDP. This study aims at providing a practical solution for the question of how oil revenues should be managed. In this regard, a Computable General Equilibrium (CGE) model has developed to examine the direct effect of distribution of oil revenues on GDP in both static and dynamic approac...

In this paper, we use the insights of the Real Business Cycles School, to calculate effects of different approaches to allocation of non-renewable (oil) resources’ revenues on Iran’s economic growth. We compare three different approaches, namely allocating the total revenue to the government, allocating some part of the revenue to the government and the rest to investing and allocating the reve...