أثر التوسع في السيولة على مؤشرات الاستقرار الاقتصادي للمدة (1991-2017)‎

Abstract EN

This study is an explanation of the surplus effect or uncontrolled expansion of cash liquidity (m1, m2) on indicators of economic stability.

the search problem has focused on the development of liquidity growth on GDP, the general budget, the exchange rate.

the study shows that the increase in liquidity growth rates has a negative impact on economic stability and its indicators for the period of study (1991-2017) the uncontrolled expansion of liquidity leads to inflation due to the decline in GDP due to the lack of diversification of the economic sectors in Iraq.

the study has only reflected the increase in the budget deficit due to increase spending on imports and deficit balance of payments, which in turn leads to the devaluation if the local currency of the Iraqi dinar.

the economic analysis of descriptive historical data of the variables of the Iraqi economy has shown that the growth rates of money supply significantly exceeds the rates of variables referred to in the research, and found that this expansion of liquidity caused by the cash issue in the nineties to finance the deficit experienced by the Iraqi economy because of wars, and the deterioration of economic and social conditions and the low standard of living due to the blockade before 2003.

also, the study shows the relationship between the presentation of money and indicators of economic stability in theory.