---

Regarding Government's revenues, oil and oil income are very important factors for oil export countries such as Iran. Since oil prices are determined in the world markets, it is one of the factors for economic instability and in particular for financing private investment. These effects will be more effective in the presence of oil shocks. This paper attempts to determine the direction and the intensity of oil shocks using on econometric model and it's effects on private investment in Iranian economy during 1959-2002. The results of empirical studies imply that in the case of positive oil shocks, i.e. price increase of more than 25 percent, the effect would be positive and in the case of negative oil shocks, i.e. price increase of less than 25 percent, the effects would be negative. In other words, oil shocks on private investment have different effects on private investment.

---

It is often argued that macroeconomic instability can form a binding constraint on economic growth and believed that economic growth requires macroeconomic stability. At the broadest level, stability can help to explain the sustained growth of countries. This study investigates the relationships between macroeconomic instability and growth in Iran over the period 1965-2010. We use recent time series econometric techniques, such as impulse response analysis and Variance Decomposition, to analyze empirical relationships between the variables that are so useful in Vector Autoregressive (VAR) models. The results of this paper suggest that the chronic and increasing macroeconomic instability of the Iran economy has seriously affected her growth. Economic growth in Iran has a long-term relationship with the macroeconomic instability. In other words, changes in macroeconomic instability indicators will be associated with the increase (decrease) of economic growth in the long run.

---

Due to the important role of productivity in economic growth, the main goal of this paper is to determine the impact of some key macroeconomic variables on TFP in Iran. For this purpose, First, TFP Index is calculated using a non-parametric frontier method of Malmquist. Then, the impact of related variables on the calculated variable, is analyzed using an ARDL method based on time-series data 1358-1393. The results of the estimated model show that the real exchange rate (indicator of global economy's competitiveness), export oil revenues have a positive effect and economic instability, government consumption expenditure (% of GDP) (with two lags in short-run), financial instability have a negative effect on TFP.