The mutual relationship between the incapacity of budget and the incapacity of the current account "Kuwait is Model 1980-2016"


The research aims to analyze the interrelationship between the two pillars of the general budget and the current account. The State of Kuwait has been considered as cas study. It was based on annual data during the period (1980-2016). This research was based on the measurement of the relationship between the deficits and the variables through the method of modern standard analysis through the program (Eviews6), represented through graphs of time series and test of stability of the time series of Phillips-Perron and stability test residues (OLS), as well as the Granger causality test. The research found a positive relationship with a significant effect between the deficit of the general budget and the deficit of the current account, and agree with the idea of double deficit in Kuwait, and the difference of causal relations between the variables of the study.