Analysis of the Relationship between Oil Shocks and the Iraqi General Budget Deficit
Abstract
This research aims to analyze the relationship between oil shocks and the deficit in the Iraqi general budget for the period (2010–2025). To achieve this, standard economic models (especially the ARDL self-regression model) have been used to estimate the impact of oil price fluctuations on the gap between revenues and public expenditures. Preliminary results indicate that oil price fluctuations have a statistically significant effect on the level of fiscal deficits In Iraq, traditional fiscal policies are insufficient to insulate public finances from the impact of oil shocks. The research concludes that there is a need to diversify public revenue sources and strengthen financial risk management tools to counter oil dependence.
Fields of Study & Subjects
Market Dynamics and Volatility
Fiscal Policies and Political Economy
Natural Resources and Economic Development
Publication details
- Journal / source
- Scientific Research Journal of Economics and Business Management
- Volume
- 06
- Issue
- 01
- Pages
- 1–7
- Publication date
- 26 January 2026
- Language
- EN