International Journal of Nonlinear Analysis and Applications
Effect of employer insurance premium rate on operating profit per share and change in net sales revenue in companies listed on the Tehran Stock Exchange
Document Type : Research Paper
Authors
Department of Economics, Abhar Branch, Islamic Azad University, Abhar, Iran
Abstract
The purpose of this study was to investigate the effect of employer premium rate on operating profit per share and change in net sales income of companies listed on the Tehran Stock Exchange. This study, in terms of the type of research; Correlation is cross-sectional and is considered as a practical goal. The statistical population of the study included 666 companies listed on the Tehran Stock Exchange from the beginning of 2013 to the end of 2019, of which 111 companies were selected as a sample by systematic elimination method. In descriptive statistics, population parameters including central indices and population dispersion were measured and data analysis was performed using regression method based on composite data and Hausman's tests, F (Limer), by Oveys software. The results showed that there is a significant relationship between the employer's share insurance rate, operating profit per share and the change in net sales income of companies listed on the Tehran Stock Exchange. Therefore, it is better for the Social Security Organization to consider the premium rate according to the inflationary conditions and labor income in order to support the industries in attracting labor and the high premium rate should not cause the managers of the companies to increase the total price. Goods and services are driven.
Keywords
[1] R. Agnihotri and W. Zhang, Developing benchmarks to capture relative performance for sales force incentives decisions: Lessons from B2B insurance industry, Ind. Market. Manag. 92 (2021), 55–71.
[2] H. Ansarisamani, The impact of regional economic discrimination on tax compliance, J. Econ. Res. Policies 28 (2020), no. 94, 259–287.
[3] A. Azar, S.M. Sadeghi, and R. Mohammadrezabeiky, Mapping the factors affecting public budget anomalies, J. Econ. Res. Policies 28 (2020), no. 94, 397–426.
[4] M. Bahmani, H. Raghfar, and M.H. Mousavi, Aging and pension reform with change contribution rates, J. Econ. Res. Policies 28 (2020), no. 93, 61–91.
[5] M.H. Botshekan, M.S. Sadeghi, M.J. Salimi, and H. Mohseni, Overflow of fluctuations on the stock exchange, Quart. J. Econ. Res. Policies 25 (2017), no. 84, 165–189.
[6] J. Cheng, J.D. Cummins, and T. Lin, Earnings management surrounding forced CEO turnover: Evidence from the US property-casualty insurance industry, Rev. Quant. Finance Account. 56 (2021), 819–847.
[7] A. Davoodi, M. Hooshmand, and S. Malekosadati, Investigating unemployment support policies in Iran using fuzzy Delphi methods and fuzzy hierarchical analysis, Quart. J. Econ. Res. Policies 26 (2018) no. 87, 249–308.
[8] F.A. Dias, J. Chance, and A. Buchanan, The motherhood penalty and The fatherhood premium in employment during covid-19: Evidence from the United States, Res. Soc. Stratif. Mobil. 69 (2020), 100542.
[9] Z. Farzizadeh, Evaluation of social security services in Iran (Case study: Occupational Accident Insurance), Soc. Secur. Quart. 14 (2018), no. 1, 157–185.
[10] M. Feizpour and M. Peyravi, Net job creation and its effective factors in Iranian manufacturing industries, J. Econ. Res. Policies 28 (2020), no. 94, 457–496.
[11] C. Gaganis, I. Hasan, P. Papadimitri, and M. Tasiou, National culture and risk-taking: Evidence from the insurance industry, J. Bus. Res. 97 (2019), 104–116.
[12] N. Gatzert and K. Osterrieder, The future of mobility and its impact on the automobile insurance industry, Risk Manag. Insurance Rev. 23 (2020), no. 1, 31–51.
[13] A. Ghezalbash, A. Lotfi, M. Mohtashami, and M. Koochakzadeh, Investigating the efficiency of insurance companies from the perspective of human, technical and financial dimensions to empower the insurance industry, Quart. J. Monetary Econ. Financ. Res. 26 (2019), no. 18, 167–191.
[14] V.K. Goel, Impact of liberalization on the Indian insurance industry, Int. J. Res. Engin. Sci. Manag. 3 (2020), no. 7, 195–198.
[15] M. Greineder, T. Riasanow, M. Bohm, and H. Krcmar, The generic InsurTech ecosystem and its strategic implications for the digital transformation of the insurance industry, 40 Years EMISA 2019, 2020, pp. 119–132.
[16] H.R. Izadi, Investigating and determining the share of government and non-government market in production and payment premiums and forecasting this financial market, Financ. Monetary Econ. 25 (2018), no. 25, 275–295.
[17] H. Izadi and M. Izadi, Selecting the appropriate function to examine the factors affecting the stock price traded on the stock exchange market and predicting the future of these prices, Financ. Monetary Econ. 23 (2016), no. 11, 191–214.
[18] H. Khaleghparast, M. Rasekh, and E. Naeemi, Legal analysis of Iranian social security in the light of the principles and models of the desired social security system, Soc. Welfare Quart. 17 (2017), no. 64, 9–37.
[19] Y. Liu and G.Z. Jin, Employer contribution and premium growth in health insurance, J. Health Econ. 39 (2015), 228–247.
[20] D. Lubotsky and C.A. Olson, Premium copayments and the trade-off between wages and employer-provided health insurance, J. Health Econ. 44 (2015), 63–79.
[21] R. Najarzadeh, H. Dargahi, L. Agheli, and K.K. Biabany, Measuring Iran’s economy status indicators in global value chains and comparison with selected countries, J. Econ. Res. Policies 28 (2020), no. 94, 101–129.
[22] E. Nishikawa, T. Kamiya, and Y. Kawanishi, The definitions of net income and comprehensive income and their implications for measurement, Amer. Account. Assoc. 30 (2016), no. 4, 511–516.
[23] H. Rabeebeigi, Sh. Jamali nesari, Gh. Heidarinezhad, R. Seidkhani, and H. Rabeebeigi, Investigating the effect of net profit margin on the profitability of companies listed on the Tehran Stock Exchange, Glob. Conf. Manag. Econ. Account. Human. Begin. Third Millennium, Shiraz, 2016.
[24] N.C. Roy, N.G. Roy, Life insurance industry agent’s attrition: A game changer for insurance business, Glob. Bus. Rev. 23 (2022), no. 2, 426–439.
[25] M. Salehi, M.R. Abbas Zadeh, M. Zangiabadi, and E. Khodamoradi, The impact of financial liberalization on the volume of investments in listed companies on the Tehran Stock Exchange, Monetary Financ. Econ. 26 (2019), no. 17, 27–44.
[26] M. Seyeszadeh, M.H. Mahdavi Adeli, M. Behnameh, and T. Ebrahimi Salari, Investigating the relationship between insurance performance and Iran’s economic growth: Using system dynamics approach, Bi-Quart. J. Monetary Financ. Econ. 26 (2019), no. 18, 45–76.
[27] B. Shamszadeh and M. Afkhami, Recognize earnings management using changes in asset turnover and profit margins, Financ. Account. Audit. Res. 8 (2016), no. 32, 83–98.
[28] A. Shetty and S. Basri, Assessing the technical efficiency of traditional and corporate agents in Indian life insurance industry: Slack-based data envelopment analysis approach, Glob. Bus. Rev. 21 (2020), no. 2, 490–506. [29] M. Tanani, Sh. Babaee Shoorkal, and N. Babaee, Investigating the relationship between operating cash flows with stock returns and profit quality in companies listed on the Tehran Stock Exchange, J. Audit Sci. 16 (2016) no. 64, 153–169.
[30] A. Toosi and J. Kashani, Legal-economic analysis of contract insurance premiums; critique of the social security organization and the court of administrative justice, Pub.Law Res. 19 (2017), no. 55, 29–59.
[31] A. Worku and D. Mersha, The effect of COVID-19 on insurance industry in Ethiopia, Horn Afr. J. Bus. Econ. 19 (2020), 39–44.
[32] S.E. Wuellner and D.K. Bonauto, Fewer workers’ compensation claims and lower claim costs if employers with high injury rates achieved the rates of their safer peers, J. Safety Res. 70 (2019), 97–103.
[33] H. Zobeiri and M. Motameni, Human capital and the complexity of the economy in Iran, Quart. J. Eco. Res. 20 (2020), no. 3, 145–166.
)
Volume 15, Issue 3
March 2024Pages 201-210
- Receive Date: 18 March 2022
- Revise Date: 20 May 2022
- Accept Date: 17 June 2022