Analysis of The impact of oil prices on structural the public budget in Iraq for the period (2005-2014)

Abstract

The main objective of this research focused on analyzing and studing the causes of fluctuations in crude oil prices and their reflection on public budget form in Iraq of the (2005-2014), using standard methods which related with testing up root of unity and common integration and analysis of shock and contrast, the study found that, there is a long-term balance between fluctuations of crude oil prices in international markets and structure of public spending, this means the intensity correlations of the Iraqi economy, with oil market, also the results refer to the absence of a short-term responsive to the crude oil price changes and investment spending, also there was short-term responsive to the oil price changes for the fourth slowed operational spending at a level significantly lower (0.1(, and. Also, oil prices influence is limited on the operational spending, in comparison with largest impact on investment spending, all this impact on economic sectors which linked with investment spending, and also the vagaries of international crude oil prices explain two-thirds of the changes in investment spending in Iraq, while these fluctuations explain less than a quarter of the changes in operational spending