RT - Journal Article T1 - Reviews of mutual interest rate effects to macroeconomic variables in Islamic and un-Islamic countries JF - JSE YR - 2017 JO - JSE VO - 8 IS - 28 UR - http://jemr.khu.ac.ir/article-1-1416-en.html SP - 103 EP - 138 K1 - Interest Rate K1 - Per capita GDP K1 - Inflation K1 - Investment K1 - Panel VAR AB - Interest rate is one of the most important policy variabels in macroeconomic. Global financial crises and big debt in some countries around the world, make the importance interest rate more explicitly. In the carrent study, the effect of interest rate, inflation, government investment and expenditure on GDP capita per was investigated using panel data approach. Forthermore panel VAR method was used to consider the effects of each mentioned variables on each other and investigating causality relationships between these variabls. 20 Islamic and 19 Non-Islamic countries during 1990-2014 were selected for this study. The results show that in both Islamic and Non-Islamic countries, interest and inflation rate have a significant negative effect on GDP per capita. Government investment in both groups of countries have a significant positive effect on GDP per capita. These results are inline with economic theories. Finally, government expenditures in these groups of countries have different effect on GDP per capita. also lowering interest rate Non-Islamic countries has a considerable effect on other variables. LA eng UL http://jemr.khu.ac.ir/article-1-1416-en.html M3 10.29252/jemr.7.28.103 ER -