Development of non-oil exports is the key to achieving a resilient economy
Development of non-oil exports is the key to achieving a resilient economy

خانه Development of non-oil exports is the key to achieving a resilient economy

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Development of non-oil exports is the key to achieving a resilient economy

Development of non-oil exports is the key to achieving a resilient economy

Non-oil exports, especially industrial goods, while creating high added value, improve the employment situation in Iran’s young society and generate foreign exchange earnings to meet the country’s import needs, as well as the country’s impact on global political and economic developments by relying on the economy. Reduces oil production. In particular, in the new developments of the global economy, which is moving towards the removal of all non-tariff barriers and reduction of tariffs, in order to increase the country’s share in the global economy and achieve sustainable economic growth and development, export leaps are necessary and require serious determination.

Classical and neoclassical economists attach special importance to foreign trade in the process of economic development and call it the engine of economic growth. Foreign trade can provide the need for industrialization, the necessary knowledge and experience for economic development, and provide access to these countries. At the same time, trade is the main foundation of the division of social labor.

It expands in exchange societies and provides the basis for economic development in which the division of social labor is more intense and developed. In other words, trade provides the basis for the division of social labor, and the division of social labor lays the groundwork for economic development.

In other words, if countries want to achieve economic development, they have to be in exchange, and exchange is the basis of the division of social labor. Therefore, in order for society to have a wider and higher division of labor, it must have more exchanges, because the more and more specialized the division of labor, the greater the productivity. Recent studies have shown that the growth of productivity of the factors of production has a greater effect on production than the increase of capital accumulation, which is one of the sources of increasing the productivity of trade. Trade allows domestic firms to access production factors at a lower cost on a large scale.

The export sector will be able to have a positive effect on the total productivity of the factors of production through the resulting side benefits and increase the total production of the economy. At the same time, non-export sectors also indirectly benefit from the benefits of increasing exports through the use of management services, marketing strategy and technology improvement, as well as the development of transportation, communications and ancillary services through the growth of the export sector. Often the productivity of export factors is higher than the productivity of the non-export sector due to the use of more specialized labor force, superior technology and strengthening the mobility of production factors.

In general, trade leads to increased expertise and efficiency in the export sector and ultimately leads to the redistribution of resources from the non-commercial and inefficient sectors to the commercial sector, which can help increase production. While the growth of exports on the growth of production has side effects such as increasing the productivity of factors of production, efficiency in resource allocation, technology advancement and the use of new technologies, providing the opportunity to take advantage of economies of scale and increase labor expertise. Thus, exports are considered as an important and influential factor in the production of the whole country.

The development of foreign trade with the approach of export development provides new facilities for the economic development of the country, through upgrading the level of specializations and transfer of knowledge and technology, provides special facilities for more desirable and economical use of natural resources for economic development and most importantly That solves the problem of limited domestic markets.

Author: persian / Date: 2017-10-26
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