DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA

This study aims to examine the relationship between crude oil prices, population, exports, inflation, and economic growth in Iraq based on annual time series from 1997 to 2022. As it is well known, crude oil is one of the most important resources for energy production, transportation, and various in...

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Main Authors: İsmail KAVAZ, Araz Waleed HUSSEIN
Format: Article
Language:English
Published: Publishing house of University of Pitesti, Romania 2024-07-01
Series:Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice
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Online Access:http://economic.upit.ro/RePEc/pdf/2024_1_6.pdf
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author İsmail KAVAZ
Araz Waleed HUSSEIN
author_facet İsmail KAVAZ
Araz Waleed HUSSEIN
author_sort İsmail KAVAZ
collection DOAJ
description This study aims to examine the relationship between crude oil prices, population, exports, inflation, and economic growth in Iraq based on annual time series from 1997 to 2022. As it is well known, crude oil is one of the most important resources for energy production, transportation, and various industries. Moreover, this energy source has a critical importance in terms of the international trade. Therefore, the effects of crude oil in Iraq’s economy is analyzed in this study. To achieve the degree and magnitude of the parameters used in the models, the Ordinary Least Squares method and the Johansen cointegration test are utilized. According to the empirical results of the study, while crude oil prices, population, and exports have a positive impact on economic growth, inflation has a negative impact. Additionally, a long-term relationship is found between crude oil prices, population, exports, inflation, and economic growth.as a result of cointegration test with the VAR system. Based on these results, it can be said that sustainable oil producing is very crucial in Iraq. Since the government income of Iraq relies heavily on revenue generated from oil exports, the improving and regulation activities should be considered in the oil sector. On the other hand, as the oil is finite resource, the local policymakers need to focus on researching alternative sources for exports and research the ways to boost the country’s GDP.
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institution Kabale University
issn 1583-1809
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publisher Publishing house of University of Pitesti, Romania
record_format Article
series Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice
spelling doaj-art-07788b30c1b94fefb7c8b0a7238d2a552024-11-15T21:20:08ZengPublishing house of University of Pitesti, RomaniaBuletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice1583-18092344-49082024-07-012314554DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIAİsmail KAVAZ0Araz Waleed HUSSEIN1Fırat University, TürkiyeFırat University, TürkiyeThis study aims to examine the relationship between crude oil prices, population, exports, inflation, and economic growth in Iraq based on annual time series from 1997 to 2022. As it is well known, crude oil is one of the most important resources for energy production, transportation, and various industries. Moreover, this energy source has a critical importance in terms of the international trade. Therefore, the effects of crude oil in Iraq’s economy is analyzed in this study. To achieve the degree and magnitude of the parameters used in the models, the Ordinary Least Squares method and the Johansen cointegration test are utilized. According to the empirical results of the study, while crude oil prices, population, and exports have a positive impact on economic growth, inflation has a negative impact. Additionally, a long-term relationship is found between crude oil prices, population, exports, inflation, and economic growth.as a result of cointegration test with the VAR system. Based on these results, it can be said that sustainable oil producing is very crucial in Iraq. Since the government income of Iraq relies heavily on revenue generated from oil exports, the improving and regulation activities should be considered in the oil sector. On the other hand, as the oil is finite resource, the local policymakers need to focus on researching alternative sources for exports and research the ways to boost the country’s GDP.http://economic.upit.ro/RePEc/pdf/2024_1_6.pdfeconomic growthcrude oil priceols modeljohansen cointegration testiraq
spellingShingle İsmail KAVAZ
Araz Waleed HUSSEIN
DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
Buletin ştiinţific: Universitatea din Piteşti. Seria Ştiinţe Economice
economic growth
crude oil price
ols model
johansen cointegration test
iraq
title DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
title_full DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
title_fullStr DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
title_full_unstemmed DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
title_short DIRECT AND INDIRECT EFFECT OF GLOBALIZATION ON ECONOMIC GROWTH IN INDONESIA
title_sort direct and indirect effect of globalization on economic growth in indonesia
topic economic growth
crude oil price
ols model
johansen cointegration test
iraq
url http://economic.upit.ro/RePEc/pdf/2024_1_6.pdf
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