The impact of oil prices shocks on the exchange rate changes in Algeria Econometric study during the period 1986 – 2019

Touil, Assia; Merabet, Assia

مجلة آفاق للبحوث والدراسات
Volume 4, Numéro 2, Pages 01-18
2021-07-31

The Impact Of Oil Prices Shocks On The Exchange Rate Changes In Algeria Econometric Study During The Period 1986 – 2019

Authors : Touil Assia . Merabet Assia .

Abstract

This study aims to highlight the relationship between the changes in oil prices and the changes in the exchange rates of the Algerian dinar, considering that the Algerian economy faces the problems arising from the difference between currencies, where Algeria lives under the pressure of exchange rate instability resulting from the decline in the value of the dinar against the dollar in the face of volatility Oil prices, which have an impact on the oil sector's exports, and have an impact on exchange rate changes, based on the standard method by using the vector autoregressive model, to verify the impact of the independent variable represented by oil prices on the dependent variable of change of the exchange rates in Algeria between (1986 and 2019), and we used the impulse response functions to test the impact of oil price shocks on exchange changes in Algeria.