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Determinants of the Algerian Economy: Autoregressive Distributed Lag Approach

Author

Listed:
  • Zergoune Mohamed

    (Corvinus University of Budapest, Department of Agricultural Economics and Rural Development, Hungary.)

  • Okba Abdellaoui

    (University of Echahid Hamma Lakhdar, Eloued, Algeria)

  • Nawal Ben Amara

    (Laboratory of Requirements of the Promotion and Development of Emerging Economies in the Context of Integration into the Global Economy (LEPEM), Universite Kasdi Merbah, Ouargla, Algeria)

Abstract

The study examines the determinants of the Algerian economy for the period 1970-2016. We employ Autoregressive Distributed Lag cointegration approach proposed by Pesaran et al. (2001). Findings confirm that CPI, total imports and broad money are significant in explaining economic growth in Algeria both in short-run and long-run. These findings suggest economic diversification is required to maintain a steady economic growth in the country.

Suggested Citation

  • Zergoune Mohamed & Okba Abdellaoui & Nawal Ben Amara, 2018. "Determinants of the Algerian Economy: Autoregressive Distributed Lag Approach," International Journal of Economics and Financial Issues, Econjournals, vol. 8(5), pages 7-10.
    • Handle: RePEc:eco:journ1:2018-05-2
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    ARDL; Algerian economy; CPI; Imports.;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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