Fiscal policy in Iraq and its role in the growth of money supply for the period (1990-2003)

Abstract

Fiscal policy is characterized as having a significant impact on economic activity , As the government can achievethrough its tools stability in its economy , Fiscal policy occupied an important position as a method for managing the national economy , As for the Iraqi economy it has attracted the attention of many economists and researchers at the local level , This is due to the different circumstances the country has been through , The economy of Iraq has suffered from many imbalances , led to a decline in economic performance in general , The public budget deficit has also increased , High rates of inflation and unemployment , This led to the trend towards a more effective policy , You can influence monetary varibles , In addition to achieving consistency between it and other policies , Especially monetary policy in order to influence macroeconomic variables , Therefore fiscal policy and through its tools as a system for economic stability .This study aims to know the develop pments of financial policy in the Iraqi economy , And its effect on the (m1 , m2 ) money supply varibles , This study proceeds from the hypothesis that the fiscal policy in Iraq has an impact on the variables of the money the supply (m1 , m2 ) , And this effect produces positive or negative results on the economy as a whole in light of the different cir cumstances that the Iraqi economy is going through .