Sanctions and the Shadow Economy: Empirical  Evidence from Iranian Provinces

descriptionPublicationkeyboard_double_arrow_right Article , Other literature type , Research 01 Jan 2018 English Publisher:Elsevier BVJournal:SSRN Electronic Journal (eissn: 1556-5068,

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Authors: Mohammad Reza Farzanegan; Bernd Hayo;

doi: 10.2139/ssrn.3199718 , 10.1080/13504851.2018.1486981

handle: 10419/175858

Sanctions and the Shadow Economy: Empirical Evidence from Iranian Provinces

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Abstract

ABSTRACTUsing Iranian province level data from 2001 to 2013, this study finds that the international sanctions of 2012/2013 had a significantly stronger negative impact on the growth rate of the shadow economy than they did on the official GDP growth rate. Thus, the international sanctions on Iran have damaged the informal economy even more than the formal economy.

Related Organizations

Philipps-University of Marburg
Germany

Keywords

shadow economy, ddc:330, E26, sanctions, O17, Iran, F51

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