The Effect of Oil Price Changes on someMacroeconomic Variables in Iraq

This research aims to investigate the oil price changes and their effects on the macroeconomicvariables in Iraq for the period between ۱۹۹۰-۲۰۲۱. For this purpose, in this study, a VectorError Correction model (VEC) is used to investigate the impact of oil price changes onmacroeconomic variables including GDP, money supply, exchange rate, government size, andnon-oil trade. Then, using instantaneous reaction functions, the reaction of macroeconomicvariables in the event of a shock in the cost of crude oil has been studied. The findings of theresearch showed that although factors influencing oil prices have fluctuated themacroeconomic variables investigated in the research in the short term, they have ultimatelyled to the improvement of the economic situation of Iraq during the period under investigation.

کلیدواژه ها:

Oil Price Changes ، Macroeconomic Variables ، Vector Error Correction Model(VEC) ، Iraq