THE ROLE OF EXPORTS, DEVELOPMENT, IMPORTS, AND TRADE OPENNESS ON THE ECONOMIC GROWTH IN IRAQ: ASSESSMENT USING THE ARDL COINTEGRATION METHOD

Abstract

Numerous factors have been cited as affecting economic growth. This study empirically investigates the effects of imports, exports, and trade openness on Iraq's economic growth. The study spans the years 1990 to 2021. Long-run and short-run empirical evaluations are conducted using the Autoregressive Distributed Lag (ARDL) Cointegration methodology. Exports and trade liberalization or openness significantly benefit economic growth in both the short and long run. Still, imports significantly negatively affect economic growth in both the short and long run. According to these conclusions, the Iraqi government should prioritize export diversification and the introduction of tariffs and quotas to restrict more imports. In addition, the government should pursue trade liberalization measures that will contribute to its economic growth.