Hazza D. S. Measurement and Analysis of Fiscal Policy Efficiency in Achieving Economic Growth in Iraq for the Period (2003–2025)

Abstract

This research aims to measure and analyze the impact of fiscal policy efficiency on achieving economic growth in Iraq during the period (2003–2025). This is conducted by analyzing the relationship between economic growth and a set of fiscal variables, namely: government spending, public revenues, oil revenues, and the fiscal deficit. The study employs an econometric analysis to determine the nature of the long-term relationship between these variables.

​The results indicate a positive correlation between government spending, public revenues, and oil revenues with economic growth in the long run, reflecting the role of these variables in supporting economic activity. Conversely, the findings show a negative correlation between the fiscal deficit and economic growth, suggesting that an increasing deficit may adversely affect economic performance by exacerbating fiscal imbalances. The research recommends the necessity of enhancing fiscal policy management, diversifying revenue sources, and reducing reliance on oil to support sustainable economic growth in Iraq.