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(2006). The Twin Deficits Phenomenon in Some MENA Countries. Iranian Economic Review, 11(16), 129-140. doi: 10.22059/ier.2006.30945
. "The Twin Deficits Phenomenon in Some MENA Countries". Iranian Economic Review, 11, 16, 2006, 129-140. doi: 10.22059/ier.2006.30945
(2006). 'The Twin Deficits Phenomenon in Some MENA Countries', Iranian Economic Review, 11(16), pp. 129-140. doi: 10.22059/ier.2006.30945
The Twin Deficits Phenomenon in Some MENA Countries. Iranian Economic Review, 2006; 11(16): 129-140. doi: 10.22059/ier.2006.30945

The Twin Deficits Phenomenon in Some MENA Countries

Article 7, Volume 11, Issue 16, Spring 2006, Page 129-140  XML PDF (609.11 K)
DOI: 10.22059/ier.2006.30945
Abstract
The main purpose of this paper is analyses the short and long run relationship between budget deficit and trade deficit in some MENA countries. The data cover the period from 1971-2000 (and for I.R. IRAN 1 959-2003).The relationship between these variables will be analyses in short and long run by using Johansen cointegration tests, ECM, and Granger causality test.
The empirical evidence provides support to the view of Ricardian Equivalence in Iran (Islamic Rep.), Jordan, Kuwait, Morocco, Oman, and Tunisia. But, the empirical evidence proves the validity of Keynesian proposition (conventional view) only Egypt, Bahrain, Oman, and Turkey.
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