Investigate the Effects of subsidies targeted, exchange rates rise and currency restrictions of boycott on field of wheat, flour and bread
Journal: Agricultural Economics (Vol.10, No. 1)Publication Date: 2016-05-01
Authors : Zahra nematollahi; Nasershahnoushi Froshani; Masoud Hosseinzadeh; Leili Abolhassani;
Page : 97-114
Keywords : subsidies targeted; exchange rate; wheat; flour and bread; Economic sanctions.;
Abstract
After employing the policy of subsidies targeted of energy carriers and essential commodities (wheat and flour), the exchange rate rose and also more financial constraints imposed on Iran. Given the importance of the field of wheat, flour and bread to feed the population, this study is done to investigate the effects of subsidies targeted of energy carriers and essential commodities, exchange rates rise and currency restrictions of boycott on wheat, flour and bread. Considering the advantages of computable general equilibrium model, a CGE model is used based on the ORANI_G pattern and economic structure is adjusted for Iran. Comparing the results of dual scenarios indicates that, exchange rate will improve the results of subsidies on wheat, flour and bread in the long run. Therefore, improving the infrastructure and providing the necessary conditions to enter private sectors in wheat, flour and bread field have been proposed.
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