Hassan F. Gholipour

Ripple effect in regional housing and land markets in Iran: implications for portfolio diversification

In recent years, real estate has become a very popular investment choice for Iranian investors due to several interrelated economic and political reasons. The purpose of this study is to find out how real estate investors can gain diversification benefits from investing within the real estate sector across provinces of Iran. We use semi-annual data from selected provinces of Iran over the period of 1993–2014 and apply univariate Lagrange multiplier unit root tests with one and two structural breaks to the ratio of the provincial to national house and residential land prices respectively. We find diversification benefit can be gained by investing in housing markets across provinces because house prices in half of the sample provinces tend to drift away from house prices in the rest of the country. In addition, our results show that it is difficult to create an adequately diversified portfolio in a residential land market because shocks to the residential land prices of provinces ripple out across t...

Control of Corruption and Luxury Goods Consumption: Control of Corruption and Luxury Goods Consumption

This paper investigates the effect of control of corruption on the consumption of luxury goods, after controlling other relevant determinants of luxury spending. The model is empirically tested for 32 developed and emerging economies between 2004 and 2014. Using panel fixed effects, difference generalized method of moments (GMM) and instrumental variable estimation methods, and two measures of the control of corruption (Transparency International Corruption Perceptions Index and the World Banks Control of Corruption Index), the results show that higher levels of control of corruption decrease luxury spending. This relationship is stronger in countries with higher levels of press freedom and information transparency. These findings offer some important implications. Governments and policymakers may develop and implement regulations that increase transparency in luxury gifting and limit corruption practices. Luxury brand companies should further enhance their due diligence obligations to minimise reputational risks in the long term.

Environmentally friendly tourists and spending on nature-based activities

ABSTRACT The purpose of this study is to examine whether environmentally friendly tourists spend more (or less) on nature-based activities. Using survey data collected from local and international tourists in Kuching (the capital city of Sarawak state in Malaysia), we find evidence that eco-friendly tourists spend less on nature-based activities.

Does national culture influence the turnover frequency of national football coaches? A macro-level analysis

This paper examines whether a national cultural characteristic (long-term orientation) influences turnover frequency of head coaches of national football teams. We use a sample covering 90 countries and apply ordinary least squares and negative binomial regressions. The results show that turnover frequency is lower in countries with pragmatic (long-term orientation) cultures than in countries with normative (short-term orientation) cultures, after controlling national team performance and institutional variables. The results also show that countries with higher levels of control over corruption have less coaching turnover.

Sub-dimensions of consumer confidence and outgoing tourist expenditures

ABSTRACT This paper explores the relationship between the sub-dimensions of consumer confidence (financial situation, general economic situation, unemployment expectations and savings) and the various categories of outgoing tourist expenditures (accommodation, entertainment, excursion, food, shopping and travel within the country) across 22 European countries. Due to the low frequency of national time series data, the panel data regressions are used to estimate the relationships between the variables. The findings show a positive association between consumer confidence and outgoing tourist expenditures. More specifically, we find that tourists with low levels of confidence in their employment are likely to spend less on excursion and shopping activities, while tourists with higher levels of confidence in their future savings spend more on entertainment, excursions and shopping.

Determinants of financial performance of real estate brokerage industry in Iran

Purpose n n n n nThe aim of this study is to investigate the factors influencing the financial performance of the real estate brokerage (REB) industry in Iran. n n n n nDesign/methodology/approach n n n n nThe authors use two surveys concerning REB firms from provinces of Iran which were collected by the Statistical Centre of Iran in 2003 and 2011. The authors apply the pooled ordinary least squares and panel fixed-effects regressions to estimate the relationships between the explanatory variables and performance of REB industry. n n n n nFindings n n n n nThe results indicate that in provinces where REB firms invest more in residential properties, vehicles, computers and business software, REB firms are more active in residential and non-residential property sales, and rent transactions have higher levels of financial performance. In addition, the results show that in provinces where REB firms invest more in non-residential properties and office furniture, REB industry has lower levels of financial performance. The authors also find that Iranian REB industry has significantly benefited from international economic and financial sanctions. n n n n nPractical implications n n n n nIn terms of managerial implications, the authors findings potentially serve as guidance for Iranian REB firms to allocate resources and adjust their strategy to enhance their financial performance. n n n n nOriginality value n n n n nPrevious studies have typically been conducted in countries where REB firms mainly operate as intermediaries in transactions between property buyers and sellers, whereas in Iran, REB firms not only provide services to their clients but also are very active speculators in the property market. Furthermore, while there have been many studies that have investigated the various determinants of performance and efficiency of REB industry in developed economies, there is scant literature around this topic for Middle Eastern countries.

Housing Costs and Inequality in Post-revolutionary Iran

In this chapter, we investigate the association between housing prices and income inequality in Iran over the last three decades. In the recent period, Iran has had the highest average Gini coefficient in the Middle East (see Table 5.1), a region where inequality has triggered social tension, political instability, and armed conflict (Azeng and Yogo 2013). Moreover, debates on inequality and poverty have featured prominently in Iran’s domestic politics since the 1979 Revolution. For example, popular dissatisfaction with inequality is believed to have contributed to an electoral victory in 2005 for the populist presidential candidate Mahmoud Ahmadinejad (Farzanegan 2009)—whose subsequent management of the national economy nonetheless resulted in negative economic growth as well as double-digit inflation and unemployment rates.