Subsidiesreforms and economic growth in the Arab countries

Abstract

The goal of this study is to analyze the role government subsidizes on economic growth in the Arab world over the last two decades by applying panel autoregressive distributed lag (ARDL) framework of pooled mean group (PMG) and mean group (MG) estimators that take into account heterogeneous of the effects across countries, with using various variables as determinants of growth. The result obtained from PMG estimators demonstrates that the government subsidies have had no effect on growth in short term would tend to appreciate the some Arab countries growth in long term.