Fiscal Response to Fluctuating Oil Revenues in Oil Exporting Countries of the Middle East

Nader Habibi ()

No 136, Working Papers from Economic Research Forum

Abstract: Using panel data for five Middle Eastern oil-exporting countries, I have investigated the impact of fluctuations in these countries? oil revenues on their budgetary decisions. My focus is on how revenue fluctuations are correlated with changes in the relative shares of various expenditure categories. The estimations revealed that the budget shares of Defense and Economic Affairs and Services were positively correlated to oil export revenues. Social expenditures, on the other hand, showed a negative correlation. These statistical results could imply that since social expenditures are politically more important, they are shielded against fluctuations in oil revenues. The burden of budget cuts fall more on capital expenditures and defense.

Pages: 17 pages
Date: 2001-22-11, Revised 2001
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Published by The Economic Research Forum (ERF)

Downloads: (external link)
http://erf.org.eg/wp-content/uploads/2017/05/0136.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://erf.org.eg/wp-content/uploads/2017/05/0136.pdf [301 Moved Permanently]--> https://erf.org.eg/wp-content/uploads/2017/05/0136.pdf)
http://bit.ly/2s9qce6 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:erg:wpaper:0136

Access Statistics for this paper

More papers in Working Papers from Economic Research Forum Contact information at EDIRC.
Bibliographic data for series maintained by Namees Nabeel ().