Measuring and analyzing the impact of public expenditures on the current account in Iraq for the period (1990-2020) according to the ARDL methodology

Abstract

Public expenditures are one of the most important financial policy tools and have a clear impact on economic activity. As for the current account, it is no less important than public expenditures because it reflects the external activity of the national economy. Public expenditures are linked to a wide range of economic variables, including the current account. Through public expenditures, public expenditures can be Achieving balance in the current account if it suffers from an imbalance. When reducing current (operating) expenditures and increasing investment expenditures, it will lead to a reduction in consumption and an increase in investment, thus reducing the volume of imports and increasing exports, and returning to the current account balance.