Is it Necessary for Iran to Increase the Share of ICT Sector in GDP?
Estimations and calculations show that the ICT market in Iran was around 320 billion IRRs in 2015, which is about 2.6% of gross domestic production (GPD). at the end of the sixth plan for social and economic development of Iran, it has been set that this amount should be increased to be more than 5%...
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| Format: | Article |
| Language: | fas |
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Allameh Tabataba'i University Press
2018-03-01
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| Series: | Faslnāmah-i Pizhūhish/Nāmah-i Iqtisādī |
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| Online Access: | https://joer.atu.ac.ir/article_8687_f4031d78fac91668a4d643f0e37f4d98.pdf |
| _version_ | 1797375629142786048 |
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| author | Karim Emami |
| author_facet | Karim Emami |
| author_sort | Karim Emami |
| collection | DOAJ |
| description | Estimations and calculations show that the ICT market in Iran was around 320 billion IRRs in 2015, which is about 2.6% of gross domestic production (GPD). at the end of the sixth plan for social and economic development of Iran, it has been set that this amount should be increased to be more than 5% of GDP and to be about 1000 billion IRRs. The present study will answer the following two questions. 1- Is increasing the share of ICT sector in GDP necessary? 2- How much does the economic growth change with one percentage increase in share of ICT sector in GDP? To answer these two questions, contribution of ICT sector on economic growth in Iran is first calculated through two methods of actual and potential contribution and then compared with each other. The results show that average GDP growth in Iran is about 3.8% for the period of 1990-2015 and, based on growth accounting, the potential contribution of ICT on economic growth is about half a percent. Actual contribution of ICT sector on growth has been higher than the potential share, except for years 1990 to 1992. Therefore, increasing value added of ICT sector increases GDP more than the increase of the value added of ICT sector, which is due to knowledge, market and network spillovers. Accordingly, increasing share of ICT sector in GDP is necessary during the sixth plan for economic development in Iran. Moreover, one percent increase in share of ICT sector in GDP increases economic growth at a rate of 0.93 percent. |
| first_indexed | 2024-03-08T19:27:10Z |
| format | Article |
| id | doaj.art-0d39f2b2493249d093716cb1d096f587 |
| institution | Directory Open Access Journal |
| issn | 1735-210X 2476-6453 |
| language | fas |
| last_indexed | 2024-03-08T19:27:10Z |
| publishDate | 2018-03-01 |
| publisher | Allameh Tabataba'i University Press |
| record_format | Article |
| series | Faslnāmah-i Pizhūhish/Nāmah-i Iqtisādī |
| spelling | doaj.art-0d39f2b2493249d093716cb1d096f5872023-12-26T08:03:05ZfasAllameh Tabataba'i University PressFaslnāmah-i Pizhūhish/Nāmah-i Iqtisādī1735-210X2476-64532018-03-011868457410.22054/joer.2018.86878687Is it Necessary for Iran to Increase the Share of ICT Sector in GDP?Karim Emami0Assistant Professor, Islamic Azad University, Science and Research BranchEstimations and calculations show that the ICT market in Iran was around 320 billion IRRs in 2015, which is about 2.6% of gross domestic production (GPD). at the end of the sixth plan for social and economic development of Iran, it has been set that this amount should be increased to be more than 5% of GDP and to be about 1000 billion IRRs. The present study will answer the following two questions. 1- Is increasing the share of ICT sector in GDP necessary? 2- How much does the economic growth change with one percentage increase in share of ICT sector in GDP? To answer these two questions, contribution of ICT sector on economic growth in Iran is first calculated through two methods of actual and potential contribution and then compared with each other. The results show that average GDP growth in Iran is about 3.8% for the period of 1990-2015 and, based on growth accounting, the potential contribution of ICT on economic growth is about half a percent. Actual contribution of ICT sector on growth has been higher than the potential share, except for years 1990 to 1992. Therefore, increasing value added of ICT sector increases GDP more than the increase of the value added of ICT sector, which is due to knowledge, market and network spillovers. Accordingly, increasing share of ICT sector in GDP is necessary during the sixth plan for economic development in Iran. Moreover, one percent increase in share of ICT sector in GDP increases economic growth at a rate of 0.93 percent.https://joer.atu.ac.ir/article_8687_f4031d78fac91668a4d643f0e37f4d98.pdfinformation and communication technology (ict)economic growthgrowth accounting |
| spellingShingle | Karim Emami Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? Faslnāmah-i Pizhūhish/Nāmah-i Iqtisādī information and communication technology (ict) economic growth growth accounting |
| title | Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? |
| title_full | Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? |
| title_fullStr | Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? |
| title_full_unstemmed | Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? |
| title_short | Is it Necessary for Iran to Increase the Share of ICT Sector in GDP? |
| title_sort | is it necessary for iran to increase the share of ict sector in gdp |
| topic | information and communication technology (ict) economic growth growth accounting |
| url | https://joer.atu.ac.ir/article_8687_f4031d78fac91668a4d643f0e37f4d98.pdf |
| work_keys_str_mv | AT karimemami isitnecessaryforirantoincreasetheshareofictsectoringdp |