AU - Roudari, soheil AU - Tehranchian, Amirmansour AU - zarei, Pegah TI - Is Oil curse or a Blessing for Iran's Financial Development? PT - JOURNAL ARTICLE TA - QEER JN - QEER VO - 17 VI - 70 IP - 70 4099 - http://iiesj.ir/article-1-1293-en.html 4100 - http://iiesj.ir/article-1-1293-en.pdf SO - QEER 70 ABĀ  - In the present paper we study the effect of oil prices on the financial development index based on the banking network and the stock market for the period 1357-1396 by using the Markov Switching Model. The results show that if the financial development based on the stock market is in a low regime, the increase in oil prices is not a curse for financial development, with no significant effect either positive or negative while if it is in a high regime, then oil income acts as a curse and reduces the financial development of the stock market. If the financial development index is in the middle regime, the increase in oil prices will not be a curse and will not reduce bank financial development. Also, the variables of trade openness and economic growth have different effects depending on the type of financial development regime. According to the research results, the increase in oil prices and revenues does not always lead to a decrease in the country’s financial development. The impact depends on the stability and speed of financial development. JEL Classification: C34, E51, G21 Keywords: Resource Curse, Financial Development, Trade Openness, Economic Growth, Markov Switching Model CP - IRAN IN - Economics and administrative sciences faculty LG - eng PB - QEER PG - 85 PT - Research YR - 2021