Analysis of The Obstacles to The Effectiveness of Government Spending on Economic Growth (2008-2018) a standard study

Abstract

Government spending is the main driver in all spending items in Iraq after 2003, on which the government relied in redistributing income, in addition to the importance of government spending in raising workers' wages and salaries and investing in important sectors in the country. Government spending faces many obstacles that hinder its effectiveness from exercising its real role in reviving the Iraqi economy. This study sought to analyze the obstacles to the effectiveness of government spending in economic growth according to the Islamic theory in Iraq by focusing on the trend of government spending in economic growth in light of the environment of the Iraqi economy through financial, monetary and real indicators. Indicators and study of sectorial flexibility towards consumer spending and investment spending. The possibility of raising economic growth rates and affecting the growth trajectory in Iraq is closely related to the effectiveness of government spending. The study confirmed that there are intellectual approaches between positive economy and Islamic economy. The study concluded that the public spending policy during the study period (2008-2018) was characterized by a defect in the adopted trends on the one hand, as well as its inflexibility in achieving economic and social realization. Objectives in the presence of many obstacles. The study also recommended rationalizing public spending, correcting the structure of the general budget, and activating the role of monitoring public spending.