Abstract for: Modeling infrastructure dynamics of Iran ICT industry using system dynamics approach

According to ICT development index (IDI) Iran has had a growing trend in the development index of information technology infrastructure, but despite this growth, the contribution of this industry in the national economy has been negligible. So system dynamics approach was used in this stud which can be analyzed from the perspective of infrastructure dynamics. According to the model obtained in this study, the results showed that increasing the currency exchange rate leads to a decrease in investment in ICT and therefore the ICT development index is also reduced. In fact, it can be concluded that the added value of the ICT sector is strongly influenced by the currency exchange rate. Considering the available data and the behavior of the hardware import variables in the simulated model, it became clear that domestic production of the equipments could prevent hardware imports and significantly reduce the negative currency balances.