The impact of oil price volatility on economic growth in selected oil-exporting countries during the period (2000-2022) – An econometric study using dynamic panel data models

Authors

  • Fateh Harkati Batna 1 University, Algeria
  • Baha Eddine Touil Batna 1 University, Algeria
  • Telha Boukhatem Djelfa University, Algeria
  • Houari Noureddine Aflou University Center, Algeria
  • Trifa Mohamed University of Mohammed Seddik Benyahia Jijel, Algeria

Keywords:

Oil prices, Economic growth, Oil-exporting countries, Panel data, FMOLS method

Abstract

This paper examines the impact of oil price fluctuations on economic growth in several oil-exporting countries, namely: the United States, Russia, Canada, Saudi Arabia, the United Arab Emirates, Algeria, and Iraq. These countries were selected as they are among the largest oil exporters within the OPEC organization. The period from 2000 to 2022 was chosen as the study sample. We used regression analysis for panel data based on the cointegration methodology and the error correction model for panel data. The study's results indicated a long-term equilibrium relationship between economic growth, oil prices, and other control variables. When estimating the error correction model (VECM) using the FMOLS method, the results showed that an increase in oil prices (OP) has a positive effect on economic growth, measured by per capita GDP in the long term for all countries in the sample. Additionally, other control variables (TFC, WF, TOP) had economically acceptable signs and also influence per capita GDP in the long term.

References

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Published

2024-10-10

How to Cite

Harkati, F., Touil, B. E., Boukhatem, T., Noureddine, H., & Mohamed, T. (2024). The impact of oil price volatility on economic growth in selected oil-exporting countries during the period (2000-2022) – An econometric study using dynamic panel data models. International Journal of Economic Perspectives, 18(10), 1718–1732. Retrieved from http://ijeponline.org/index.php/journal/article/view/672

Issue

Vol. 18 No. 10 (2024)

Section

Peer Review Articles
Copyright & Licensing

Copyright (c) 2024 Fateh Harkati, Bahadine Touil, Telha Boukhatem, Houari Noureddine, Trifa Mohamed

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