Capital Accumulation and space economy in Iran

Introduction The accumulation of capital is being considered as a major driving force as far as the development is concerned. The mechanism of this accumulation implemented during three processes. Capital accumulation within different historical and geographical setting results in special locational forms known as space economy. Historical experiences with respect to capital accumulation in Iran indicate that the first phase of this accumulation has been occurred in Iran. However, this cycle did not follow second and third phases. In other word, productive investment did not happen in the country .This paper aims to investigate the trend of capital accumulation as well as its relevant spatial analysis. Methodology This study predominantly deals with documentation gathered via statistical center. It further demands application of Pearson regression correlation for analysis purpose. More specifically, it demands Moran statistic, standard deviation in order to measure spatial auto correlation GIS and SPSS software were used as well. Conclusion This study suggests that the first phase of capital accumulation did not occur in the country. The nature of capital accumulation did not lead to productive investment. There exists a prominent gap from wealth generation potential and accumulation of capital standpoint. The existed spatial organization, lack of economic network system, and the existence of service economy and high real state dependency all restricted the achievement of this possibility. This in turn is associated with the situation of the country within global economy. Prominent global economy dominance with high potential regarding security and guaranteed investment turn over, act as magnet. It is argued that informative investment and knowledge based understanding exclusively act within global context in which many countries are unable to compete with multi-national corporations.