Is the Algerian Economy Still Vulnerable ToThe Natural Resources Curse? Using Cointegration According ToThe ARDL Method And Bounds TestDuring The Period (2001-2019)

Arab soumia, Benbouziane mohamed

Abstract

The hydrocarbon sector plays a leading role in the Algerian economy, as it is the main resource for the public budget and the largest contributor to the formation of the gross domestic product, which made Algeria an important position in the global oil market, so we tried in this paper to know the nature of the relationship between oil revenues and Algerian economic growth, by using the cointegration according to the ARDL methodology and the Bounds test during the period (2001-2019), We also thentested theresponse functions, by creating shock in both variables and concluding their respective response rates.

    The results concluded that there was no cointegration and a direct equilibrium relationship between oil revenues and GDP, meaning that oil revenues did not affect economic growth in the long term, and therefore, contrary to what we assumed, the Algerian economy does not suffer from the natural resources curse