Document Type : Original Research Paper

Authors

• E. Eltejaei
• M. Salimi

Department of Economics, Humanities and Cultural Studies Institute, Tehran, Iran

Abstract

As the economic growth in any country, the main goal of governments is to expand social justice, the fair distribution of income, wealth, and the creation of security and prosperity at the community level. One of the most important tools of this is the development of a social security system. The social security system in any country can also be the cause of economic growth by providing conditions. Since social insurance is one of the most important components of social security, the purpose of this study is to investigate the relationship between social insurance and economic growth from theoretical and empirical perspective. Based on existing theories, there are reasons for reciprocal impact between social insurance and economic growth. Also, empirical research findings, using data from the 1972-2017, and the use of parasite-gangerism, show that there is mutual convergence among the real values of social insurance and Iran's GDP. The self -regression method also shows that the growth of social insurance costs explains a significant percentage of changes in GDP growth.

Keywords

• Social Security
• Economic Growth
• Cointegration
• VAR Model
• Iranian Economy