The effect of oil price shocks on GDP growth in Saudi Arabia and the role of economic vision 2030
Date
2023-11-29
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Saudi Digital Library
Abstract
This Paper investigates the impact of oil price shocks on the Gross Domestic Product (GDP)
growth in Saudi Arabia. Given the Kingdom's heavy reliance on oil as a primary revenue
source, understanding the dynamics between oil price fluctuations and economic growth is of
paramount importance.
The research employs a comprehensive economic modelling framework, incorporating
various statistical methods and econometric tests to analyse the relationship between oil price
changes and Saudi Arabia's GDP growth. By examining historical data and considering
covariant factors, the research aims to discern whether direct causal links exist between oil
price shocks and economic performance.
Preliminary findings suggest a complex interplay of factors influencing Saudi Arabia's
economic growth, extending beyond the immediate impact of oil price shifts. The study also
delves into policy implications, offering insights into potential strategies for diversifying the
economy and mitigating the effects of oil price volatility.
This study contributes to the understanding of how oil-dependent economies like Saudi
Arabia can navigate the challenges posed by global oil market fluctuations, ultimately
striving for sustainable and diversified economic growth.
Description
Keywords
Macroeconomics, Oil prices, dutch disease, Saudi Vision 2030
Citation
Harvard