Assessing The Impact of Oil Prices on Economic Growth in Oil Importing and Oil Exporting Countries

This study investigates the impact of oil prices on economic growth in oil importing and oil exporting countries covering the period from 1995 to 2021. Overall, there are 10 oil importing (China, Germany, Italy, India, Japan, Netherlands, South Korea, Spain and Thailand) and 10 oil exporting (Brazil, Canada, Iran, Kuwait, Mexico, Nigeria, Norway, Russia, Saudi Arabia and United Arab Emirates) countries have been analysed in this study. Moving on, the study employed panel unit root test, panel cointegration test, FMOLS, panel ARDL estimation and panel Granger causality test to analyzed the variables. The findings of the study shows that oil price has a positive relationship with economic growth in oil exporting nations in both short run and long-run. However, oil price has a negative relationship on economic growth in oil importing nations