An economic study of the interrelationships of the Egyptian Macro-Economy

Economists in the field of macroeconomics at the international level, especially the “Egyptian” local, are interested in many economic indicators of significant importance and their future impact on the economy’s functioning in the future period. Against the dollar,
         The problem of the study is summarized in the recent increase in the inflationary gap in Egypt and the increase in the Egyptian debt, as the value of the inflationary gap amounted to about 1279.2 billion dollars in 2020 after it amounted to about 171.4 billion dollars in 2006. It has an impact on both average consumption and individual investment during the period (2006-2020).
1- The results of analyzing the general time trend equations for each of the gross national product, money supply (M1), domestic liquidity supply (M2), total resources, total uses and the inflationary gap in Egypt during the period (2006-2020). It was found that all variables are increasing Annually at about 14.3, 2.7, and 9.4, 94.3, 10.2, and 9.56 billion dollars, respectively.
2- It also indicated the prediction of the behavior of each of the inflationary gap, average investment and individual consumption during the period, where the inflationary gap is expected to increase to reach 1729.7 billion dollars in 2025 from 1477.4 billion dollars in 2022. This calls for policy makers to intervene to adopt policies that reduce the inflationary gap, also indicated an increase in the per capita GDP to reach $4,050.4/person in 2025 from $3726.4/person in 2022.