Mofid University The Journal of Economic Studies and Policies 2423-4648 4 1 2017 08 23 Survey of the Dependency Coefficient among Market Structure Indices in the Iranian Manufacturing by the Conditional Vine Copulas Function Approach Survey of the Dependency Coefficient among Market Structure Indices in the Iranian Manufacturing by the Conditional Vine Copulas Function Approach 29 54 32480 FA Mohammad Nabi Shahiki Tash Associate Professor in Economics, University of Sistan and Baluchestan Farhad Khodadad Kashi Professor of Payam Noor University, Mohammad Mirbagherijam Assistant Professor Shahrood University of Technology Journal Article 2016 07 13 In this study, first the market indices of the 140 numbers of industries by four-digit ISIC code in the economy of Iran has calculated during the years of 1999-2011. Then, the dependency coefficients among market indices have been estimated at year 2011, using Conditional Vine Copulas functions. Regarding the scale of variables of market indices in the large industries of Iran, we assume that 60.7 percent of market selling in the industry sector belongs to these large industries. These industries have high barriers to entry into and the concentration is high; but the firms of industries did not benefit from the economies of scale. The estimated results of the size of dependencies among the market indices which is measured by the Kendall Tau (τ) show that, there is the maximum dependency between Herfindahl-Hirschman index (HHI) and the four top enterprises index based on the sales variable (CR4R). The dependency between them is on the upper-tail of their distribution and is inverse and asymmetric. Hall-Roger Lerner index (pcmg) market indices are independent than the other market indices and this has not any dependency with any of them. The top four enterprises index based on the labor variable (CR4L) has significant dependency by the index of economies of scale by Florence approach, and by the index of barriers to entry and by the top four firms concentration index based on the value added variable. JEL Classification: L11, L50, C40,D40. In this study, first the market indices of the 140 numbers of industries by four-digit ISIC code in the economy of Iran has calculated during the years of 1999-2011. Then, the dependency coefficients among market indices have been estimated at year 2011, using Conditional Vine Copulas functions. Regarding the scale of variables of market indices in the large industries of Iran, we assume that 60.7 percent of market selling in the industry sector belongs to these large industries. These industries have high barriers to entry into and the concentration is high; but the firms of industries did not benefit from the economies of scale. The estimated results of the size of dependencies among the market indices which is measured by the Kendall Tau (τ) show that, there is the maximum dependency between Herfindahl-Hirschman index (HHI) and the four top enterprises index based on the sales variable (CR4R). The dependency between them is on the upper-tail of their distribution and is inverse and asymmetric. Hall-Roger Lerner index (pcmg) market indices are independent than the other market indices and this has not any dependency with any of them. The top four enterprises index based on the labor variable (CR4L) has significant dependency by the index of economies of scale by Florence approach, and by the index of barriers to entry and by the top four firms concentration index based on the value added variable. JEL Classification: L11, L50, C40,D40.

https://economic.mofidu.ac.ir/article_32480_bfc73dd2bd4da1dda729c02c9cfa4dea.pdf