An econometric study of the Phillips curve with inflationary expectations in the Saudi economy for the period 1997-2022

Abstract

The study aims to investigate the applicability of the Phillips curve with inflationary expectations to the Saudi economy for the period 1997-2022 AD. To achieve this goal, econometrics was employed using the ARDL methodology. For a model that includes the unemployment rate and inflationary expectations as independent variables on the dependent variable: the inflation rate; The study concluded that the Phillips curve with inflationary expectations does not apply to the Saudi economy for the period 1997-2022 AD. Accordingly, the study recommended: Economic theories and models need to be examined and tested before application through economic policies.