The Impact of Some Macroeconomic Variables on Unemployment in the Iraqi Economy in Light of the Transition from a Directed Economy to a Market Economy for the Period (2004-2020)

Abstract

The research dealt with the problem of unemployment in Iraq, which represents one of the dilemmas facing the Iraqi reality. The aim of the research is to measure the effect of the change in (GDP, government spending, inflation) on the unemployment rate. The descriptive analytical approach has been used in the framework of economic theories and the quantitative econometric approach on econometrics and the application of modern standard methods in analysis. The results of the research showed that the relationship between the dependent variable and the independent variables of the research. As it turns out that the coefficient of determination (R2) amounted to (0.89), meaning that the independent variables explain about (89%) of the changes that occur in the dependent variable (the unemployment rate). Some standard results have been reached, which is the existence of a direct relationship between unemployment and GDP, and between inflation and unemployment. As for spending, there is an inverse relationship with the unemployment rate. The results of the research showed that the relationship between the dependent variable and the independent variables of the research. As it turns out that the coefficient of determination (R2) amounted to (0.89), meaning that the independent variables explain about (89%) of the changes that occur in the dependent variable (the unemployment rate). Some standard results have been reached, which is the existence of a direct relationship between unemployment and GDP, and between inflation and unemployment. As for spending, there is an inverse relationship with the unemployment rate.