Implicit Exports of Energy Carriers’ Subsidies in Iran

Sometimes, economic restructuring can cause the significant conservation of energy. However, any restructuring has specific costs, which may eliminate the benefits of reducing energy consumption. This article aims to measure the implicit exports of energy carriers’ subsidies. To this end, the consum...

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Main Authors: Seyed Abdulmajid Jalaee, mahla afsharpour
Format: Article
Language:fas
Published: Tarbiat Modares University 2020-12-01
Series:پژوهشهای اقتصادی
Subjects:
Online Access:http://ecor.modares.ac.ir/article-18-42291-en.pdf
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author Seyed Abdulmajid Jalaee
mahla afsharpour
author_facet Seyed Abdulmajid Jalaee
mahla afsharpour
author_sort Seyed Abdulmajid Jalaee
collection DOAJ
description Sometimes, economic restructuring can cause the significant conservation of energy. However, any restructuring has specific costs, which may eliminate the benefits of reducing energy consumption. This article aims to measure the implicit exports of energy carriers’ subsidies. To this end, the consumption of energy carriers in Iran is briefly investigated. The implicit exports of energy subsidies are calculated using the input-output table in 2011 (prepared by Statistical Center of Iran) over the period 2008-2016. To do this, the net exports of energy content of goods and services are determined by the price gap approach based on the consumption basket at 2004 prices.  The results show that the production costs in the industrial sector has been influenced by welfare effects resulting from targeted subsidies and rising energy carriers’ prices, and a large portion of energy carriers' subsidies has been implicitly exported.  Indeed, energy subsidy as an exporting good has served as a source of income for the rich. Thus, one of the roles of energy subsidy in Iran is to provide foreign exchange, which makes it possible to import all kinds of goods and services to the country.
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spelling doaj.art-9d825acd1e0546ea853cb973f9847fa62023-06-15T20:24:52ZfasTarbiat Modares Universityپژوهشهای اقتصادی1735-67682980-78322020-12-012046791Implicit Exports of Energy Carriers’ Subsidies in IranSeyed Abdulmajid Jalaee0mahla afsharpour1 Professor of Economics, Shahid Bahonar University of Kerman, Kerman Ph.D. candidate in Economics, Shahid Bahonar University of Kerman, Kerman, Iran Sometimes, economic restructuring can cause the significant conservation of energy. However, any restructuring has specific costs, which may eliminate the benefits of reducing energy consumption. This article aims to measure the implicit exports of energy carriers’ subsidies. To this end, the consumption of energy carriers in Iran is briefly investigated. The implicit exports of energy subsidies are calculated using the input-output table in 2011 (prepared by Statistical Center of Iran) over the period 2008-2016. To do this, the net exports of energy content of goods and services are determined by the price gap approach based on the consumption basket at 2004 prices.  The results show that the production costs in the industrial sector has been influenced by welfare effects resulting from targeted subsidies and rising energy carriers’ prices, and a large portion of energy carriers' subsidies has been implicitly exported.  Indeed, energy subsidy as an exporting good has served as a source of income for the rich. Thus, one of the roles of energy subsidy in Iran is to provide foreign exchange, which makes it possible to import all kinds of goods and services to the country.http://ecor.modares.ac.ir/article-18-42291-en.pdfexportimplicit subsidyenergy carrierinput-output
spellingShingle Seyed Abdulmajid Jalaee
mahla afsharpour
Implicit Exports of Energy Carriers’ Subsidies in Iran
پژوهشهای اقتصادی
export
implicit subsidy
energy carrier
input-output
title Implicit Exports of Energy Carriers’ Subsidies in Iran
title_full Implicit Exports of Energy Carriers’ Subsidies in Iran
title_fullStr Implicit Exports of Energy Carriers’ Subsidies in Iran
title_full_unstemmed Implicit Exports of Energy Carriers’ Subsidies in Iran
title_short Implicit Exports of Energy Carriers’ Subsidies in Iran
title_sort implicit exports of energy carriers subsidies in iran
topic export
implicit subsidy
energy carrier
input-output
url http://ecor.modares.ac.ir/article-18-42291-en.pdf
work_keys_str_mv AT seyedabdulmajidjalaee implicitexportsofenergycarrierssubsidiesiniran
AT mahlaafsharpour implicitexportsofenergycarrierssubsidiesiniran