This research paper examines the intensity of inflation in Pakistan and China over multiple factors from 1986 to 2013. It classifies countries into three categories based on their inflation rates: those with dangerous inflation over 10%, those with high inflation between 4-10%, and those with acceptable inflation under 4%. The study finds that while Pakistan's inflation has decreased in recent months, it remains in the high inflation category at 8.1%. China is found to have stable and controlled inflation averaging 2.55% and falling in the acceptable category. The paper analyzes time series data on inflation in both countries to evaluate differences and suggest policy measures for Pakistan to achieve lower, balanced inflation.
Impact of political stability on the reserves of pakistanKamran Arshad
This document analyzes the impact of political stability on Pakistan's reserves from 1960-2010. It collects data on reserves from the World Bank and analyzes how political and historical events affected reserves. The research finds a strong correlation between political instability and lower reserves through statistical analysis of reserves data and major events in Pakistan's history. Control charts are used to identify relationships between reserves and environmental factors.
Assessment of the Education Background on Perception of Single Digit Interest...ijtsrd
One of the major problems facing the agricultural sector in Nigeria over the years has remained the issue of finance. Due to the high risk inherent in the sector, many financial institutions often time have refused to abide by the CBN policy on agricultural loan. More so, poor infrastructural facilities resulted in the financial institutions operating on a support system which is more expensive and in turn reduce the size of loanable funds in their custody. Thus, the study on the assessment of the education background on the perception of single digit interest rate among members of farmer's cooperative in Anambra State primarily focused on the socioeconomic profile of farmers, perception of farmers on SDIR, effects of more than one SDIR and factor affecting the actualization of the SDIR in Nigeria. The study used a multi stage sampling technique to collect data from 160 farmers. Descriptive statistics, ordinary least square regression model and inferential statistics were utilized. Farmers mean age, farm size, and monthly income were found to be 46 years, 2.41ha and N25,500.28 respectively. The study evidently revealed the significant relationship between the level of education and perception of SDIR at t ratio of 3.28 and a probability level of 1 . Furthermore, some of the factors affecting the actualization of the SDIR were lack of political will to enforce policy, undue political influence, government treasury borrowing from commercial banks at 18 and offloading at 10.5 . Thus, to diversify the oil based economy, there is a need to implement SDIR in Nigeria especially in the priority sector like agriculture. Obianefo C. A. | Okafor I. P. | Bola-Audu I. | Umebali E. E "Assessment of the Education Background on Perception of Single Digit Interest Rate among Members of Farmers Cooperative in Anambra State" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-5 , August 2019, URL: https://www.ijtsrd.com/papers/ijtsrd25205.pdfPaper URL: https://www.ijtsrd.com/management/accounting-and-finance/25205/assessment-of-the-education-background-on-perception-of-single-digit-interest-rate-among-members-of-farmers-cooperative-in-anambra-state/obianefo-c-a
Project proposal disentangling the relationship between corruption, economi...Ishendinaye Kadzomba
This document is a project proposal investigating the relationship between corruption, economic growth, foreign direct investment (FDI), and oil production in Nigeria. It aims to examine the strength and significance of correlations between these four variables using statistical analysis of data from 1996-2013. The proposal expects that analyzing these interrelated factors can provide theoretical and practical contributions by enhancing understanding of how corruption impacts economic growth and FDI in oil-producing countries like Nigeria.
asia pacific 2020, the economy military global stageTASNIM ILMIARDHI
Asia Pacific is the most important region in the world economy and themost complete on the military aspects. Asia Pacific will remain the center of global economic growth. Of the ten countries that have the largest reserves in the world, eight countries are among the countries in Asia Pacific. The
rate of economic growth impact on increasing the strength of the defense and military spending, in addition to geopolitical conflicts that have a direct impact on the stability of the region. Even the increasing global geopolitical tensions, the Asia Pacific region will solidify its position as a major player in military spending in 2020.
Project disentangling the relationship between corruption, economic growth,...Ishendinaye Kadzomba
This document is a 9,857 word international business project report submitted by Ishandinaye Silas Kadzomba for their MA in International Business. The report investigates the complex relationships between corruption, economic growth, foreign direct investment (FDI), and oil production in Nigeria. It begins with an introduction that establishes the context of high corruption levels and economic challenges in Nigeria. A literature review then examines prior research on the resource curse hypothesis, corruption, and FDI's relationship with economic growth. The report goes on to use statistical analysis methods like correlation tests and regression analysis on Nigerian data to analyze the relationships between the variables.
This paper provides an overview of inflation developments in Vietnam in the years following the doi moi reforms, and uses empirical analysis to answer two key questions: (i)
what are the key drivers of inflation in Vietnam, and what role does monetary policy play? and (ii) why has inflation in Vietnam been persistently higher than in most other emerging market economies in the region? It focuses on understanding the monetary policy transmission mechanism in Vietnam, and in understanding the extent to which monetary policy can explain why inflation in Vietnam has been higher than in other Asian emerging markets over the past decade.
Political Instability & Economic Development: Pakistan time-series Analysisbc080200109
This document summarizes a study examining the relationship between political instability and economic development in Pakistan from 1971 to 2008. It begins with an introduction describing Pakistan's mixed economic development record and periods of high growth under military-led governments. It then reviews literature showing political instability is found to negatively impact economic growth. The current study hypothesizes political instability plays a vital role in fluctuations of Pakistan's economic development. It aims to analyze the negative relationship between political instability and economic development in Pakistan using an index of political instability and economic indicators.
Single digit inflation targeting does it promote economic growthAlexander Decker
This document summarizes a journal article that investigates the relationship between single-digit inflation and economic growth in South Africa using annual time series data from 1965-2010. The results of the analysis suggest that targeting single-digit inflation undermines economic growth in South Africa in the long run. While some studies have found that inflation below 11% promotes growth in developing countries, the mixed findings in the literature highlight the need to specifically examine the impact of single-digit inflation. The analysis in this document finds that periods of single-digit inflation are negatively correlated with economic growth in South Africa, questioning the benefits of targeting low single-digit inflation rates in developing countries.
Impact of political stability on the reserves of pakistanKamran Arshad
This document analyzes the impact of political stability on Pakistan's reserves from 1960-2010. It collects data on reserves from the World Bank and analyzes how political and historical events affected reserves. The research finds a strong correlation between political instability and lower reserves through statistical analysis of reserves data and major events in Pakistan's history. Control charts are used to identify relationships between reserves and environmental factors.
Assessment of the Education Background on Perception of Single Digit Interest...ijtsrd
One of the major problems facing the agricultural sector in Nigeria over the years has remained the issue of finance. Due to the high risk inherent in the sector, many financial institutions often time have refused to abide by the CBN policy on agricultural loan. More so, poor infrastructural facilities resulted in the financial institutions operating on a support system which is more expensive and in turn reduce the size of loanable funds in their custody. Thus, the study on the assessment of the education background on the perception of single digit interest rate among members of farmer's cooperative in Anambra State primarily focused on the socioeconomic profile of farmers, perception of farmers on SDIR, effects of more than one SDIR and factor affecting the actualization of the SDIR in Nigeria. The study used a multi stage sampling technique to collect data from 160 farmers. Descriptive statistics, ordinary least square regression model and inferential statistics were utilized. Farmers mean age, farm size, and monthly income were found to be 46 years, 2.41ha and N25,500.28 respectively. The study evidently revealed the significant relationship between the level of education and perception of SDIR at t ratio of 3.28 and a probability level of 1 . Furthermore, some of the factors affecting the actualization of the SDIR were lack of political will to enforce policy, undue political influence, government treasury borrowing from commercial banks at 18 and offloading at 10.5 . Thus, to diversify the oil based economy, there is a need to implement SDIR in Nigeria especially in the priority sector like agriculture. Obianefo C. A. | Okafor I. P. | Bola-Audu I. | Umebali E. E "Assessment of the Education Background on Perception of Single Digit Interest Rate among Members of Farmers Cooperative in Anambra State" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-5 , August 2019, URL: https://www.ijtsrd.com/papers/ijtsrd25205.pdfPaper URL: https://www.ijtsrd.com/management/accounting-and-finance/25205/assessment-of-the-education-background-on-perception-of-single-digit-interest-rate-among-members-of-farmers-cooperative-in-anambra-state/obianefo-c-a
Project proposal disentangling the relationship between corruption, economi...Ishendinaye Kadzomba
This document is a project proposal investigating the relationship between corruption, economic growth, foreign direct investment (FDI), and oil production in Nigeria. It aims to examine the strength and significance of correlations between these four variables using statistical analysis of data from 1996-2013. The proposal expects that analyzing these interrelated factors can provide theoretical and practical contributions by enhancing understanding of how corruption impacts economic growth and FDI in oil-producing countries like Nigeria.
asia pacific 2020, the economy military global stageTASNIM ILMIARDHI
Asia Pacific is the most important region in the world economy and themost complete on the military aspects. Asia Pacific will remain the center of global economic growth. Of the ten countries that have the largest reserves in the world, eight countries are among the countries in Asia Pacific. The
rate of economic growth impact on increasing the strength of the defense and military spending, in addition to geopolitical conflicts that have a direct impact on the stability of the region. Even the increasing global geopolitical tensions, the Asia Pacific region will solidify its position as a major player in military spending in 2020.
Project disentangling the relationship between corruption, economic growth,...Ishendinaye Kadzomba
This document is a 9,857 word international business project report submitted by Ishandinaye Silas Kadzomba for their MA in International Business. The report investigates the complex relationships between corruption, economic growth, foreign direct investment (FDI), and oil production in Nigeria. It begins with an introduction that establishes the context of high corruption levels and economic challenges in Nigeria. A literature review then examines prior research on the resource curse hypothesis, corruption, and FDI's relationship with economic growth. The report goes on to use statistical analysis methods like correlation tests and regression analysis on Nigerian data to analyze the relationships between the variables.
This paper provides an overview of inflation developments in Vietnam in the years following the doi moi reforms, and uses empirical analysis to answer two key questions: (i)
what are the key drivers of inflation in Vietnam, and what role does monetary policy play? and (ii) why has inflation in Vietnam been persistently higher than in most other emerging market economies in the region? It focuses on understanding the monetary policy transmission mechanism in Vietnam, and in understanding the extent to which monetary policy can explain why inflation in Vietnam has been higher than in other Asian emerging markets over the past decade.
Political Instability & Economic Development: Pakistan time-series Analysisbc080200109
This document summarizes a study examining the relationship between political instability and economic development in Pakistan from 1971 to 2008. It begins with an introduction describing Pakistan's mixed economic development record and periods of high growth under military-led governments. It then reviews literature showing political instability is found to negatively impact economic growth. The current study hypothesizes political instability plays a vital role in fluctuations of Pakistan's economic development. It aims to analyze the negative relationship between political instability and economic development in Pakistan using an index of political instability and economic indicators.
Single digit inflation targeting does it promote economic growthAlexander Decker
This document summarizes a journal article that investigates the relationship between single-digit inflation and economic growth in South Africa using annual time series data from 1965-2010. The results of the analysis suggest that targeting single-digit inflation undermines economic growth in South Africa in the long run. While some studies have found that inflation below 11% promotes growth in developing countries, the mixed findings in the literature highlight the need to specifically examine the impact of single-digit inflation. The analysis in this document finds that periods of single-digit inflation are negatively correlated with economic growth in South Africa, questioning the benefits of targeting low single-digit inflation rates in developing countries.
Effect of Monetary Policy on Economic Growth in Nigeriaijtsrd
"The chequered history of the Nigeria monetary policy has created a visible asymmetry in the two known monetary regimes before and after SAP in the country. Years after the Structural Adjustment Programme SAP , the Nigeria economy grew to become the strongest economy in Africa and suddenly plunging into recession, a situation that have adversely affected the growth and development of the economy by ways of rising unemployment rate, soaring poverty and swollen external debt, thus suggesting that the failure of the monetary policy in curbing price instability has caused growth instability as Nigeria's record of growth and development has become very poor. This study therefore examines the effect of monetary policy on economic growth in Nigeria using secondary data covering the period of 1980 2017 that were sourced from the Central Bank of Nigeria statistical bulletin. The model's estimates were estimated via multiple econometric model of the ordinary least square to ascertain the effect of money supply, credit in the economy, interest rate on credit, infrastructure, inflationary rate, external debts, price index on growth in Nigeria. The results show that money supply, interest rate on credit, infrastructure and external debt were statistically significant in explaining its impacts on economic growth while other variables used in the study were all found to be statistically insignificant in explaining the growth rate of the Nigerian economy. The study recommends among others that for effective operation of the monetary policy measures in the Nigerian economy, the Central Bank of Nigeria should be granted full autonomy on its monetary policy functions. Partial autonomy should be replaced with full autonomy for the central banks in the developing economies at large which is invariably subjected to government interference and its politics. Onwuteaka, Ifeoma Cecilia | Okoye, P. V. C | Molokwu, Ifeoma Mirian ""Effect of Monetary Policy on Economic Growth in Nigeria"" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-3 , April 2019, URL: https://www.ijtsrd.com/papers/ijtsrd22984.pdf
Paper URL: https://www.ijtsrd.com/humanities-and-the-arts/economics/22984/effect-of-monetary-policy-on-economic-growth-in-nigeria/onwuteaka-ifeoma-cecilia"
Extant literature revealed that international trade plays a key role to address the economic phenomena and can help to earn foreign exchange. Despite the accruable benefits from international trade and the countrys huge oil export that account for about 90 of its foreign exchange earnings, Nigerias trade balance and exchange rate remain unfavourable. The persistent rise in Nigerias exchange rate and unfavourable trade balance in recent time warrants an empirical probe. This study therefore examines the effect of exchange rate, domestic income, foreign income, consumption expenditure, money supply and interest rate on trade balance using a secondary time series data covering a period of thirty years from 1991 2020. The study employed a regression technique of the Ordinary Least Square OLS . All data used were secondary data obtained from the statistical bulletin of Central Bank of Nigeria CBN and National Bureau of Statistics NBS annual publications. After determining stationarity of the study variables using the ADF Statistic, it was discovered that the variables were all integrated at level, first and second difference, and found out to be stationary at their first difference. The study also using Johansen Cointegration Test, found that there is a long run relationship between the variables. Hence, the implication of this result is that there is a long run relationship between trade balance and other variables used in the model. From the result of the OLS, it is observed that exchange rate, domestic income, foreign income and money supply have a positive and significant impact on trade balance in Nigeria. The study recommends that the government should fixed or peg on the exchange rate through the central bank. This will enable the government to buy and sell its own currency against the currency to which it is pegged. The government should strive to reduce inflation to make exports more competitive. The government should also enhance supply side policies to increase long term competitiveness. Edokobi, Tonna David | Okpala, Ngozi Eugenia | Okoye, Nonso John "Exchange Rate and Trade Balance Nexus" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-5 , August 2021, URL: https://www.ijtsrd.com/papers/ijtsrd45079.pdf Paper URL: https://www.ijtsrd.com/management/public-sector-management/45079/exchange-rate-and-trade-balance-nexus/edokobi-tonna-david
International Trade and Economic Growth: A Cointegration Analysis for UgandaPremier Publishers
International Trade and Economic Growth: A Cointegration Analysis for Uganda analyzes the long-run relationship between trade and economic growth in Uganda from 1982 to 2018 using the autoregressive distributed lag (ARDL) model. The results show that in the short-run, imports reduced economic growth while exports increased it. However, in the long-run, inflation reduced economic growth. Unit root tests confirmed the variables were integrated of order one (I(1)), allowing for cointegration tests which found a long-run relationship between the variables.
Granger-causality Between Economic Growth and Sugar Exports in the Kingdom of...Premier Publishers
The main purpose of the study was to investigate the causal relationship between sugar exports and economic growth in the Kingdom of Eswatini using quarterly data covering the period from 2005 to 2017. Toda-Yamamota Granger-causality approach has been estimated using the bivariate Vector Autoregression (VAR) model that requires information about the optimal lag length as well as the maximum order of integration of the variables in the system in order to avoid spurious causality. The unit root test results showed that the variables are integrated of order one, I(1) using the Augmented Dickey-Fuller test. The optimal lag length for the variables in the system were selected to be two. The Granger-causality test results showed that sugar exports do Granger-cause economic growth but economic growth does not Granger-cause sugar exports meaning that there is a unidirectional causality from sugar exports to economic growth in the Kingdom of Eswatini. The study concludes by acknowledging that the country needs to develop its sugar exports in order to improve its economic growth. Therefore, policy makers should develop strategies that increases sugar export share by domestic firms in order to create a stronger national export sector.
impact of monetary policy on economic growth: a case study of south Africa
ini hasil diskusi bersama untuk menyelesaikan studi kasus makroekonomi, khususnya kebijakan moneter
Impact of Visual Merchandising on Impulsive Buying Behavior of Sri Lankan Mod...YogeshIJTSRD
This document discusses a study on the impact of visual merchandising on impulsive buying behavior among Sri Lankan modern trade customers. It finds that product displays and promotional signs have a strong positive impact on impulsive purchases. The document provides background on visual merchandising and impulsive buying behavior. It also reviews theories and factors related to impulsive buying, such as consumer emotions and retail environment characteristics. Visual merchandising techniques aim to attract customers and elicit desires to influence spontaneous purchasing.
1) The document examines the impact of inflation on economic growth in Tanzania from 1990-2011. It analyzes the relationship between inflation and GDP growth through correlation coefficients and cointegration techniques.
2) The results suggest that inflation has a negative impact on economic growth in Tanzania. There is no long-run cointegrating relationship between inflation and GDP growth over the period studied.
3) The study aims to measure the responsiveness of changes in GDP to changes in the general price level, in order to provide useful information to policymakers on managing inflation to stimulate economic growth.
The document provides an analysis of the macroeconomic environment and food processing industry in India as it relates to the company Heritage Foods. It analyzes factors such as GDP growth, inflation, interest rates, industrial production, government spending, and their impact on sectors relevant to Heritage Foods like food processing, automotive, IT, and pharmaceuticals. Brexit is also discussed, noting potential impacts such as currency volatility, trade restrictions, and changes to the mobility of professionals that could affect Indian businesses operating in the UK and European Union. The food processing industry in India is poised for major growth and is valued at $39.71 billion currently.
EFFECTIVE MONETARY POLICY AS A RECIPE FOR MACROECONOMIC STABILITY IN NIGERIApaperpublications3
Abstract: The basic objective of this paper was to investigate effective monetary policy as a recipe for macroeconomic stability in Nigeria, using annual time series data from 1981 to 2014. The paper employs OLS methodology with all the BLUE assumption. The results show that considering the magnitude, 1% increase in RGDP (proxy for economic growth) is brought about by 0.86% increase in narrow money supply (M1), 0.63% increase in broad money supply (M2), 258% decrease in inflation rate (INFLARATE), 1276.3% increase in lending rate (LEDRATE), and 143.9% increase in gross fixed capital formation. This implies that an increase in lending rate and other related variables will lead to a significant increase in real GDP, proxy for economic growth in Nigeria. The estimated value of R2 (goodness of fit) of 0.67 or 67% shows that 67% systematic variation in Real GDP is caused by variation in narrow money supply, broad money supply, inflation rate, lending rate, and gross fixed capital formation. This indicates that indeed, monetary policy has an effect on macroeconomic stability in Nigeria. The study seems to suggest that concerted efforts should be made by the government to focus on increment in narrow and broad money supplies which will aid in the financing of the country’s monetary growth, balancing the price increase, stimulating increased spending, and further enhancing the country’s macroeconomic variables.
11.[27 40]the impact of macroeconomic variables on non-oil exports performanc...Alexander Decker
This document summarizes a study that investigated the impact of macroeconomic variables (exchange rate, interest rate, government capital expenditure, government recurrent expenditure) on non-oil exports, the agricultural sector, manufacturing sector, and GDP in Nigeria from 1986-2010. The study used ordinary least squares regression and cointegration analysis. The results showed that exchange rate, government capital expenditure, and government recurrent expenditure were positively related to non-oil exports, agriculture, manufacturing, and GDP, while interest rate was negatively related. Based on these findings, the study recommends increasing investment in non-oil exports, agriculture, and manufacturing, as well as decreasing interest rates and increasing government expenditures.
- The Nifty and Bank Nifty indexes ended the week lower, correcting after a sharp surge in recent weeks.
- Six of the 11 sector gauges compiled by the NSE ended lower, led by the 1.75% decline in the realty index. The auto, bank, financial services and PSU bank indexes also fell between 0.5-1%.
- Analysts said the markets were correcting due to mild profit booking after the sharp recent surge, following the budget which was presented on February 1st.
Global markets gained as tensions eased over Syria and China reported strong economic data. Most Asian markets closed higher led by gains in China, Japan, and Indonesia. European markets also rose led by Germany. In the US, positive corporate news helped equities rise while Canadian stocks moved up on better China data and rising housing prices. Indian markets rallied on foreign inflows and improving economic indicators, though bond yields rose on inflation concerns.
The security situation in Afghanistan deteriorated further in 2016 as the Taliban gained more territory and influence following the withdrawal of NATO troops. The Afghan National Security Forces struggled to combat the Taliban-led insurgency despite being trained and armed by the US. High levels of violence from the Taliban and other militant groups like the Islamic State continued to threaten stability. The country remains at risk of ongoing conflict and instability in 2017.
Analysis Influence Exchange Rates and Exports on Economic Growth in Indonesiaiosrjce
IOSR Journal of Economics and Finance (IOSR-JEF) discourages theoretical articles that are limited to axiomatics or that discuss minor variations of familiar models. Similarly, IOSR-JEF has little interest in empirical papers that do not explain the model's theoretical foundations or that exhausts themselves in applying a new or established technique (such as cointegration) to another data set without providing very good reasons why this research is important.
This document provides a summary of the political and economic situation in 11 countries in the Asia Pacific region. It includes a 3-5 sentence overview of each country's economy, key economic indicators, political system, and ratings of political risk. The countries covered are China, India, Indonesia, Japan, Malaysia, the Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. For each, it discusses GDP growth rates, inflation, fiscal balances, exports, investment and other indicators, as well as political leadership and relevant economic reforms or challenges.
An empirical test of the relationship between private savingsAlexander Decker
This study examines the relationship between private savings and economic growth in Kenya over time. It employs econometric techniques including cointegration and Granger causality tests to analyze long-run and short-run relationships using data from 1990-2013. The literature review discusses mixed findings from previous studies on the direction of causality between savings and growth. The study aims to test two hypotheses: 1) private savings cause economic growth, or 2) economic growth causes private savings in Kenya. The results will help inform government policies around promoting savings or growth.
International Journal of Humanities and Social Science Invention (IJHSSI) is an international journal intended for professionals and researchers in all fields of Humanities and Social Science. IJHSSI publishes research articles and reviews within the whole field Humanities and Social Science, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
This study examines the relationship between inflation, monetary policy, and economic growth in Pakistan from 1989-2020. It uses inflation as the dependent variable and GDP, interest rate, money supply, and exchange rate as independent variables. Auto Regressive Distributive Lag techniques are employed. The findings show an inverse relationship between inflation and GDP, meaning inflation decreases as GDP increases. There is also a negative relationship between inflation and interest rate, but positive relationships between inflation and both money supply and exchange rate. Overall, the study aims to analyze how monetary policy tools like interest rates and money supply impact inflation and economic growth in Pakistan.
An exploration of the finance growth nexus-long run and causality evidences ...Alexander Decker
This document explores the relationship between financial development and real sector growth in selected countries of the South Asian Association for Regional Cooperation (SAARC) region from 1975 to 2009. It first reviews previous literature on the finance-growth nexus and discusses variables used to measure financial development and real sector growth. The study then presents descriptive statistics and aims to empirically examine whether there is a long-run relationship and causal relationship between financial development and real sector growth in the SAARC countries of Pakistan, India, Nepal and Sri Lanka using cointegration and Granger causality tests.
The objective of this study is to identify the determinants of inflation in West Africa, mainly in the WAEMU zone, in order to contribute to improving the conduct of monetary policy. The equation of the exchange of the Quantitative Theory of the Currency and the generalized method of moments (MMG) in dynamic panel is used. Annual data concerning six countries in West Africa and range from 1991 to 2015. The results of the estimation show that in addition to the economic growth rate and the money supply, the devaluation has a significant effect on inflation. As we can see, inflation is not systematically a monetary phenomenon in West Africa. The authorities must therefore seek to determine the optimal threshold for the rate of increase of the money supply.
Effect of Monetary Policy on Economic Growth in Nigeriaijtsrd
"The chequered history of the Nigeria monetary policy has created a visible asymmetry in the two known monetary regimes before and after SAP in the country. Years after the Structural Adjustment Programme SAP , the Nigeria economy grew to become the strongest economy in Africa and suddenly plunging into recession, a situation that have adversely affected the growth and development of the economy by ways of rising unemployment rate, soaring poverty and swollen external debt, thus suggesting that the failure of the monetary policy in curbing price instability has caused growth instability as Nigeria's record of growth and development has become very poor. This study therefore examines the effect of monetary policy on economic growth in Nigeria using secondary data covering the period of 1980 2017 that were sourced from the Central Bank of Nigeria statistical bulletin. The model's estimates were estimated via multiple econometric model of the ordinary least square to ascertain the effect of money supply, credit in the economy, interest rate on credit, infrastructure, inflationary rate, external debts, price index on growth in Nigeria. The results show that money supply, interest rate on credit, infrastructure and external debt were statistically significant in explaining its impacts on economic growth while other variables used in the study were all found to be statistically insignificant in explaining the growth rate of the Nigerian economy. The study recommends among others that for effective operation of the monetary policy measures in the Nigerian economy, the Central Bank of Nigeria should be granted full autonomy on its monetary policy functions. Partial autonomy should be replaced with full autonomy for the central banks in the developing economies at large which is invariably subjected to government interference and its politics. Onwuteaka, Ifeoma Cecilia | Okoye, P. V. C | Molokwu, Ifeoma Mirian ""Effect of Monetary Policy on Economic Growth in Nigeria"" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-3 | Issue-3 , April 2019, URL: https://www.ijtsrd.com/papers/ijtsrd22984.pdf
Paper URL: https://www.ijtsrd.com/humanities-and-the-arts/economics/22984/effect-of-monetary-policy-on-economic-growth-in-nigeria/onwuteaka-ifeoma-cecilia"
Extant literature revealed that international trade plays a key role to address the economic phenomena and can help to earn foreign exchange. Despite the accruable benefits from international trade and the countrys huge oil export that account for about 90 of its foreign exchange earnings, Nigerias trade balance and exchange rate remain unfavourable. The persistent rise in Nigerias exchange rate and unfavourable trade balance in recent time warrants an empirical probe. This study therefore examines the effect of exchange rate, domestic income, foreign income, consumption expenditure, money supply and interest rate on trade balance using a secondary time series data covering a period of thirty years from 1991 2020. The study employed a regression technique of the Ordinary Least Square OLS . All data used were secondary data obtained from the statistical bulletin of Central Bank of Nigeria CBN and National Bureau of Statistics NBS annual publications. After determining stationarity of the study variables using the ADF Statistic, it was discovered that the variables were all integrated at level, first and second difference, and found out to be stationary at their first difference. The study also using Johansen Cointegration Test, found that there is a long run relationship between the variables. Hence, the implication of this result is that there is a long run relationship between trade balance and other variables used in the model. From the result of the OLS, it is observed that exchange rate, domestic income, foreign income and money supply have a positive and significant impact on trade balance in Nigeria. The study recommends that the government should fixed or peg on the exchange rate through the central bank. This will enable the government to buy and sell its own currency against the currency to which it is pegged. The government should strive to reduce inflation to make exports more competitive. The government should also enhance supply side policies to increase long term competitiveness. Edokobi, Tonna David | Okpala, Ngozi Eugenia | Okoye, Nonso John "Exchange Rate and Trade Balance Nexus" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-5 , August 2021, URL: https://www.ijtsrd.com/papers/ijtsrd45079.pdf Paper URL: https://www.ijtsrd.com/management/public-sector-management/45079/exchange-rate-and-trade-balance-nexus/edokobi-tonna-david
International Trade and Economic Growth: A Cointegration Analysis for UgandaPremier Publishers
International Trade and Economic Growth: A Cointegration Analysis for Uganda analyzes the long-run relationship between trade and economic growth in Uganda from 1982 to 2018 using the autoregressive distributed lag (ARDL) model. The results show that in the short-run, imports reduced economic growth while exports increased it. However, in the long-run, inflation reduced economic growth. Unit root tests confirmed the variables were integrated of order one (I(1)), allowing for cointegration tests which found a long-run relationship between the variables.
Granger-causality Between Economic Growth and Sugar Exports in the Kingdom of...Premier Publishers
The main purpose of the study was to investigate the causal relationship between sugar exports and economic growth in the Kingdom of Eswatini using quarterly data covering the period from 2005 to 2017. Toda-Yamamota Granger-causality approach has been estimated using the bivariate Vector Autoregression (VAR) model that requires information about the optimal lag length as well as the maximum order of integration of the variables in the system in order to avoid spurious causality. The unit root test results showed that the variables are integrated of order one, I(1) using the Augmented Dickey-Fuller test. The optimal lag length for the variables in the system were selected to be two. The Granger-causality test results showed that sugar exports do Granger-cause economic growth but economic growth does not Granger-cause sugar exports meaning that there is a unidirectional causality from sugar exports to economic growth in the Kingdom of Eswatini. The study concludes by acknowledging that the country needs to develop its sugar exports in order to improve its economic growth. Therefore, policy makers should develop strategies that increases sugar export share by domestic firms in order to create a stronger national export sector.
impact of monetary policy on economic growth: a case study of south Africa
ini hasil diskusi bersama untuk menyelesaikan studi kasus makroekonomi, khususnya kebijakan moneter
Impact of Visual Merchandising on Impulsive Buying Behavior of Sri Lankan Mod...YogeshIJTSRD
This document discusses a study on the impact of visual merchandising on impulsive buying behavior among Sri Lankan modern trade customers. It finds that product displays and promotional signs have a strong positive impact on impulsive purchases. The document provides background on visual merchandising and impulsive buying behavior. It also reviews theories and factors related to impulsive buying, such as consumer emotions and retail environment characteristics. Visual merchandising techniques aim to attract customers and elicit desires to influence spontaneous purchasing.
1) The document examines the impact of inflation on economic growth in Tanzania from 1990-2011. It analyzes the relationship between inflation and GDP growth through correlation coefficients and cointegration techniques.
2) The results suggest that inflation has a negative impact on economic growth in Tanzania. There is no long-run cointegrating relationship between inflation and GDP growth over the period studied.
3) The study aims to measure the responsiveness of changes in GDP to changes in the general price level, in order to provide useful information to policymakers on managing inflation to stimulate economic growth.
The document provides an analysis of the macroeconomic environment and food processing industry in India as it relates to the company Heritage Foods. It analyzes factors such as GDP growth, inflation, interest rates, industrial production, government spending, and their impact on sectors relevant to Heritage Foods like food processing, automotive, IT, and pharmaceuticals. Brexit is also discussed, noting potential impacts such as currency volatility, trade restrictions, and changes to the mobility of professionals that could affect Indian businesses operating in the UK and European Union. The food processing industry in India is poised for major growth and is valued at $39.71 billion currently.
EFFECTIVE MONETARY POLICY AS A RECIPE FOR MACROECONOMIC STABILITY IN NIGERIApaperpublications3
Abstract: The basic objective of this paper was to investigate effective monetary policy as a recipe for macroeconomic stability in Nigeria, using annual time series data from 1981 to 2014. The paper employs OLS methodology with all the BLUE assumption. The results show that considering the magnitude, 1% increase in RGDP (proxy for economic growth) is brought about by 0.86% increase in narrow money supply (M1), 0.63% increase in broad money supply (M2), 258% decrease in inflation rate (INFLARATE), 1276.3% increase in lending rate (LEDRATE), and 143.9% increase in gross fixed capital formation. This implies that an increase in lending rate and other related variables will lead to a significant increase in real GDP, proxy for economic growth in Nigeria. The estimated value of R2 (goodness of fit) of 0.67 or 67% shows that 67% systematic variation in Real GDP is caused by variation in narrow money supply, broad money supply, inflation rate, lending rate, and gross fixed capital formation. This indicates that indeed, monetary policy has an effect on macroeconomic stability in Nigeria. The study seems to suggest that concerted efforts should be made by the government to focus on increment in narrow and broad money supplies which will aid in the financing of the country’s monetary growth, balancing the price increase, stimulating increased spending, and further enhancing the country’s macroeconomic variables.
11.[27 40]the impact of macroeconomic variables on non-oil exports performanc...Alexander Decker
This document summarizes a study that investigated the impact of macroeconomic variables (exchange rate, interest rate, government capital expenditure, government recurrent expenditure) on non-oil exports, the agricultural sector, manufacturing sector, and GDP in Nigeria from 1986-2010. The study used ordinary least squares regression and cointegration analysis. The results showed that exchange rate, government capital expenditure, and government recurrent expenditure were positively related to non-oil exports, agriculture, manufacturing, and GDP, while interest rate was negatively related. Based on these findings, the study recommends increasing investment in non-oil exports, agriculture, and manufacturing, as well as decreasing interest rates and increasing government expenditures.
- The Nifty and Bank Nifty indexes ended the week lower, correcting after a sharp surge in recent weeks.
- Six of the 11 sector gauges compiled by the NSE ended lower, led by the 1.75% decline in the realty index. The auto, bank, financial services and PSU bank indexes also fell between 0.5-1%.
- Analysts said the markets were correcting due to mild profit booking after the sharp recent surge, following the budget which was presented on February 1st.
Global markets gained as tensions eased over Syria and China reported strong economic data. Most Asian markets closed higher led by gains in China, Japan, and Indonesia. European markets also rose led by Germany. In the US, positive corporate news helped equities rise while Canadian stocks moved up on better China data and rising housing prices. Indian markets rallied on foreign inflows and improving economic indicators, though bond yields rose on inflation concerns.
The security situation in Afghanistan deteriorated further in 2016 as the Taliban gained more territory and influence following the withdrawal of NATO troops. The Afghan National Security Forces struggled to combat the Taliban-led insurgency despite being trained and armed by the US. High levels of violence from the Taliban and other militant groups like the Islamic State continued to threaten stability. The country remains at risk of ongoing conflict and instability in 2017.
Analysis Influence Exchange Rates and Exports on Economic Growth in Indonesiaiosrjce
IOSR Journal of Economics and Finance (IOSR-JEF) discourages theoretical articles that are limited to axiomatics or that discuss minor variations of familiar models. Similarly, IOSR-JEF has little interest in empirical papers that do not explain the model's theoretical foundations or that exhausts themselves in applying a new or established technique (such as cointegration) to another data set without providing very good reasons why this research is important.
This document provides a summary of the political and economic situation in 11 countries in the Asia Pacific region. It includes a 3-5 sentence overview of each country's economy, key economic indicators, political system, and ratings of political risk. The countries covered are China, India, Indonesia, Japan, Malaysia, the Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. For each, it discusses GDP growth rates, inflation, fiscal balances, exports, investment and other indicators, as well as political leadership and relevant economic reforms or challenges.
An empirical test of the relationship between private savingsAlexander Decker
This study examines the relationship between private savings and economic growth in Kenya over time. It employs econometric techniques including cointegration and Granger causality tests to analyze long-run and short-run relationships using data from 1990-2013. The literature review discusses mixed findings from previous studies on the direction of causality between savings and growth. The study aims to test two hypotheses: 1) private savings cause economic growth, or 2) economic growth causes private savings in Kenya. The results will help inform government policies around promoting savings or growth.
International Journal of Humanities and Social Science Invention (IJHSSI) is an international journal intended for professionals and researchers in all fields of Humanities and Social Science. IJHSSI publishes research articles and reviews within the whole field Humanities and Social Science, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
This study examines the relationship between inflation, monetary policy, and economic growth in Pakistan from 1989-2020. It uses inflation as the dependent variable and GDP, interest rate, money supply, and exchange rate as independent variables. Auto Regressive Distributive Lag techniques are employed. The findings show an inverse relationship between inflation and GDP, meaning inflation decreases as GDP increases. There is also a negative relationship between inflation and interest rate, but positive relationships between inflation and both money supply and exchange rate. Overall, the study aims to analyze how monetary policy tools like interest rates and money supply impact inflation and economic growth in Pakistan.
An exploration of the finance growth nexus-long run and causality evidences ...Alexander Decker
This document explores the relationship between financial development and real sector growth in selected countries of the South Asian Association for Regional Cooperation (SAARC) region from 1975 to 2009. It first reviews previous literature on the finance-growth nexus and discusses variables used to measure financial development and real sector growth. The study then presents descriptive statistics and aims to empirically examine whether there is a long-run relationship and causal relationship between financial development and real sector growth in the SAARC countries of Pakistan, India, Nepal and Sri Lanka using cointegration and Granger causality tests.
The objective of this study is to identify the determinants of inflation in West Africa, mainly in the WAEMU zone, in order to contribute to improving the conduct of monetary policy. The equation of the exchange of the Quantitative Theory of the Currency and the generalized method of moments (MMG) in dynamic panel is used. Annual data concerning six countries in West Africa and range from 1991 to 2015. The results of the estimation show that in addition to the economic growth rate and the money supply, the devaluation has a significant effect on inflation. As we can see, inflation is not systematically a monetary phenomenon in West Africa. The authorities must therefore seek to determine the optimal threshold for the rate of increase of the money supply.
Macroeconomic uncertainty and foreign portfolio investment volatility evidenc...Alexander Decker
This document examines the relationship between macroeconomic uncertainty and foreign portfolio investment (FPI) volatility in Nigeria from 1986-2011. It finds that macroeconomic variables like interest rates, inflation rates, market capitalization rates, exchange rates, and GDP, as well as FPI, are all highly volatile and respond asymmetrically to new information. A stable macroeconomic environment is necessary for steady FPI inflows, while steady FPI inflows also contribute to some level of macroeconomic stability. The study recommends monitoring insider activities in the capital market and balancing economic growth policies with price stability policies.
The agricultural sector in Eswatini is viewed as an engine to foster economic growth, reduce poverty and eradicate inequality. The purpose of the study was to investigate the effects of monetary policy on the agriculture Gross Domestic Product (GDP) in Eswatini using annual data for the period starting from 1980 to 2016. Using the Vector Error Correction model (VEC), the empirical results indicated that in the long run, agriculture GDP, exchange rate, interest rate, inflation, broad money supply, and agriculture credit have a negative effect on agriculture GDP in Eswatini. In the short run the study indicated that the variation in agriculture GDP is largely significant caused by the lagged agricultural GDP, interest rate, exchange rate as well as inflation. Money supply and agriculture credit contribute 0.46% and 0.55%, respectively to the variation in agricultural GDP. The study recommends that programs aimed at availing affordable credit to farmers should be prioritized to cushion the agriculture sector against adverse monetary policy shocks in the short to medium term, specifically interest rates, to ensure continuous production.
This research proposal examines the determinants of interest rates in Nepal's financial market. It will analyze the relationship between interest rates and several factors including budget deficits, inflation, unemployment, treasury rates, and GDP. The study will use secondary data from Nepalese commercial banks and descriptive, correlation, and regression statistical tools. It hypothesizes that budget deficits, inflation, and unemployment will have significant relationships with interest rates. If supported, the findings could help banking sectors and other financial institutions in Nepal.
Measuring the Dynamics of Financial Deepening and Economic Growth in Nigeria,...iosrjce
The study examined the relationship between financial deepening and economic growth for the
period 1981 to 2013 using empirical evidence from Nigeria. The Engel-Granger two-step cointegration
procedures and Error Correction Model (ECM) were used as the method of estimation. The analyses of
residuals of the OLS regression showed evidence in favour of cointegration between financial deepening and
economic growth. Similarly, estimates from the error correction model provide evidence to show that financial
deepening indicators and GDP series converge to a long-run equilibrium at a reasonably fast rate. The result
points to the fact that the deepening of the financial system can engineer the Nigerian economy to greater
growth.
Measuring the Dynamics of Financial Deepening and Economic Growth in Nigeria,...iosrjce
The study examined the relationship between financial deepening and economic growth for the
period 1981 to 2013 using empirical evidence from Nigeria. The Engel-Granger two-step cointegration
procedures and Error Correction Model (ECM) were used as the method of estimation. The analyses of
residuals of the OLS regression showed evidence in favour of cointegration between financial deepening and
economic growth. Similarly, estimates from the error correction model provide evidence to show that financial
deepening indicators and GDP series converge to a long-run equilibrium at a reasonably fast rate. The result
points to the fact that the deepening of the financial system can engineer the Nigerian economy to greater
growth.
An econometric analysis of the relationship between gdp growth rate and excha...Alexander Decker
This document examines the relationship between GDP growth rate and exchange rate in Ghana from 1980 to 2012. It reviews several studies that have found mixed results for the relationship between these two variables. Some studies found a positive relationship, with undervaluation stimulating economic growth. Others found no clear direct relationship. The document then outlines the methodology used in this study, which includes graphing the variables, calculating their correlation, and estimating a simple linear regression model to analyze the relationship between GDP growth rate and exchange rate in Ghana.
This study examined the relationship between interest rate and economic growth in Nigeria, using secondary time series panel data for the period 1985 – 2014. Data was collected from various issues of the Central Bank of Nigeria Statistical Bulletin and the National Bureau of Statistics. The study employed Augmented Dicker-Fuller (ADF) unit root tests as well as Johansen co-integration test followed by Error Correlation Model (ECM) approach. The ADF unit root test results indicated that the variables are all stationary at first difference. The variables were integrated of order one (1) which implies that the null hypothesis of non-stationary for all the variables of interest is rejected. The Johansen co-integration test result revealed the existence of two co-integrating relationship between the variables at 5% level of significance. The study proceeded to perform the ECM approach and found that interest rate is inversely related to economic growth, but the relationship is statistically insignificant. The recommended that monetary authorities should adopt appropriate polices that would promote and stimulate economic growth in Nigeria.
The study gauged the influence of exchange rate fluctuations on the Performance of the Nigerian Economy over the time from of 1986 to 2016, utilizing secondary data tracked from the statistical report of the Apex Nigerian bank, and utilizing techniques such as Unit root test, Generalized autoregressive conditional heteroscedasticity (GARCH), Impulse-Response Output and Variance-Decomposition Test to evaluate variables such as Interest rate, inflation rate, exchange rate against a sole indicator of Economic Performance I.e. Gross Domestic Product Growth rate (GDPGR), it was discovered that despite the short run influx of the spill over volatility of Interest rate and inflation rate, there exist no long run volatility influence of interest rate on Economic Performance in Nigeria. It was therefore recommended that the apex financial institution and relevant policy makers should ensure an interest rate system and status that could stimulate growth or production and the nation should endeavour to utilize her interest rate in controlling its output level as it motivates Economic Performance (GDPGR).
Inflation is a continual increase in general price level of goods and services in an economy over a period of time. It is caused by many factors, important among them are excess of demand of goods and services over supply, macroeconomic performance, money supply, economic policies implications, environmental factors etc. A number of researchers in the past made attempts to identify determinants of inflation and to investigate the impact of identified variables on inflation in European and also in some Asian economies. But, in context of India, not many studies can be traced in the literature. The purpose of this paper is to shed some light on the impact of selected variables on inflation in India. The paper considers CPI (Consumer Price Index) inflation as dependent variable and a set of independent macroeconomic variables, which includes Gross Domestic Product, Money Supply, Deposit Rate, Prime Lending Rate, Exchange Rate, Trade Volume (Value of Imports and Exports) and Crude Oil Prices. The empirical analysis covers the quarterly data series for ten financial years from 2002Q1 to 2012Q1. The collected data is analyzed using ADF Unit root test, Granger Causality test, and the Ordinary Least Square (OLS) technique.
Macroeconomic Variables and Financial Sector Output in Nigeriaijtsrd
The study investigated the effect of selected macroeconomic variables on the financial sector of Nigeria from 1986 to 2018. The study employed monetary target variables, namely money supply, interest rate, inflation rate, exchange rate and credit to private sector as proxies for macroeconomic variables while the outputs from financial sector on as dependent variable. The data obtained from the Central Bank of Nigeria Statistical Bulletin, were tested subjected to Augmented Dickey Fuller ADF test of stationarity, descriptive statistics, and Autoregressive Distributive Lag ARDL . The results revealed that macroeconomic variables has 99 significant short run effect but no significant long run effects on financial sector output in Nigeria. Specific findings revealed that money Supply M2 and Exchange Rate EXR have significant positive relationships with growth of the financial sector at current and third lags, respectively but inflation rate has a significant negative effect on financial sector output in the current period, while Interest rate INT and Credit to Private Sector had no significant effect on financial sector output within the short run periods in Nigeria. It thus recommended that the government employ inflation stabilisation policies and encourage export, and close borders to import on financial services into Nigeria. Dr. Loretta Anayoozuah | Prof. Steve N. Ibenta | Dr. Ikenna Egungwu "Macroeconomic Variables and Financial Sector Output in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-1 , December 2020, URL: https://www.ijtsrd.com/papers/ijtsrd37966.pdf Paper URL : https://www.ijtsrd.com/management/accounting-and-finance/37966/macroeconomic-variables-and-financial-sector-output-in-nigeria/dr-loretta-anayoozuah
Tài liệu tham khảo Thánh toán không dùng tiền mặt3120420582
The document discusses the influence of non-cash payment transactions on economic growth in 5 ASEAN countries from 2012-2019. It finds that growth in debit card and e-money transaction values significantly encouraged economic growth, while credit cards and cheques had no impact. Debit cards and e-money facilitate consumption and tax collection, boosting economic activity. The study uses panel data regression analysis of secondary data from the World Bank and central banks to determine the relationship between non-cash payments and GDP growth in Indonesia, Malaysia, Singapore, Thailand and Vietnam.
Monetary Policy and Trade Balance in NigeriaYogeshIJTSRD
Nigeria apex bank Central Bank of Nigeria CBN has continued to battle with the job of reviving the ailing economy and putting it on the path of growth. The economy has witnessed unprecedented job loss, rising poverty level, accelerating inflation, sluggish economic growth and disequilibrium in the balance of trade. The study therefore examine the effect of monetary policy on trade balance in Nigeria. Specifically the study ascertained the extent to which inflation, demand deposit, liquidity ratio, exchange rate and interest rate have influenced trade balance in Nigeria using an econometric regression model of the Ordinary Least Square OLS . From the result of the OLS, it is observed that monetary policy rate, demand deposit, liquidity ratio and exchange rate have a significant positive impact on foreign trade in Nigeria. This means that increases in monetary policy rate, demand deposit, liquidity ratio and exchange rate, will lead to increase in foreign trade in Nigeria. On the other, inflation rate and interest rate has a significant negative impact on foreign trade in Nigeria, meaning that as inflation rate and interest rate increases, will be bring about a decline in foreign trade in Nigeria. Based on the findings of this study, the study recommends that the government should employ a contractionary monetary policy to fight inflation by reducing the money supply in the country through decreased bond price. inflation, demand deposit, liquidity ratio, exchange rate and interest rate have influenced trade balance in Nigeria. The government should intervene in the foreign exchange market in order to build reserves for themselves or provide them to the bank to help stabilize the exchange rate. The government should strive to improve trade performance in the short and long run. They should also reduce government spending and tax capital inflow. Edokobi, Tonna David | Okpala, Ngozi Eugenia | Okoye, Nonso John "Monetary Policy and Trade Balance in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-5 , August 2021, URL: https://www.ijtsrd.com/papers/ijtsrd45080.pdf Paper URL: https://www.ijtsrd.com/management/public-sector-management/45080/monetary-policy-and-trade-balance-in-nigeria/edokobi-tonna-david
1. The document examines the effect of remittances on economic growth in Eastern African countries using data from 2000-2014 for Ethiopia, Kenya, Rwanda, Tanzania, and Uganda.
2. There are conflicting views on whether remittances positively or negatively impact economic growth. The study finds that remittances have a positive and significant effect on economic growth in Eastern Africa.
3. Other factors that influence economic growth in the region include foreign direct investment, investment in human capital development, while foreign aid and trade openness have adverse effects.
Effect of Government Policies on Price Stability in Nigeriaijtsrd
This study examined the effect of monetary and fiscal policies on price stability in Nigeria using a data rich framework spanning from 1986 2020. The main problem with the macro economic policies that prompted this study was the fact that despite the series of the CBN Monetary Policy Committee decisions and government tax and expenditure implementation there is apparently no useful effect on inflation price . The study employed Auto regression Distributed Lag ARDL Bound Test for Co integration of data analysis depending upon the time series properties of the data that confer mixed order of integration in addition to the conduct of the unit root test and Error Correction Model ECM estimation. The ADF test revealed that LNCPI, EXR, GSDMD, GEXP, GTX and M2 were stationary at 1 1 while RIR, MPR and BOP at 1 0 . Pesaran, Shin and Smith 2001 established that the ARDL bounds technique allows a mixture of 1 1 and 1 0 variables as regressors. Hence, we proceed to perform the ARDL bounds test for integration. The results of the ARDL bounds revealed that the null hypotheses were all rejected implying that a long run effect exists among monetary and fiscal policies variables and CPI in a multivariate framework. ECM coefficient of 0.2942 conforms with expectation. Durbin Watson statistic 0f 1 9925 revealed that the model seems not to have any case of autocorrelation. The result of our analysis shows that fiscal policy rather than monetary policy exerts a more potent effect on price stability in Nigeria. The study recommends that both monetary and fiscal policies should be complementary in order to be effective in taming inflation in Nigeria. Onehi, Damian Haruna | Ibenta, Steve Nkem | Adigwe, Patrick, K. | Emejulu, Ikenna Justin "Effect of Government Policies on Price Stability in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-7 | Issue-1 , February 2023, URL: https://www.ijtsrd.com/papers/ijtsrd52766.pdf Paper URL: https://www.ijtsrd.com/management/accounting-and-finance/52766/effect-of-government-policies-on-price-stability-in-nigeria/onehi-damian-haruna
Currency fluctuations and inflation are the natural norm for most major economies. Numerous factors influence economic growth, including a country’s exchange rate system performance, the outlook for inflation, and interest rate differentials. These are the most significant factors that hinder the economic growth of every nation. As a result, this analysis investigates the impact of exchange rate and inflation on Nigeria’s growth performance from 1986 to 2021. Impulse response and variance decomposition were estimated. The real gross domestic product (RGDP) was used as a proxy for growth performance, while the inflation rate (IFNR), real exchange rate (REXR), and interest rate (INTR) were also used as proxies. The results of impulse response and variance decomposition estimates in the short-run (third quarter) and long-run (tenth quarter) show that real exchange rate D(REXR), INTR, and IFNR all have a positive impact on RGDP variation, with values of 13.38%, 31.88%, and 22.40%, respectively, in the third quarter. In the long run (the 10th quarter), REXR contributed approximately 28.76% of the variation in RGDP. The interest rate contributed 24.14%, while the IFNR has contributed about 28.27% of the variation in RGDP in the long run. Therefore, summing the contributions of REXR, INTR, and INFR to RGDP, these variables contributed about 81.17% of the variation in RGDP in the long run. Hence, the research concluded that REXR, INTR, and IFNR have a positive effect on growth performance as proxied by RGDP in Nigeria within the period of the research. The research recommended that the government should provide a policy that will reduce the excess growth of aggregate demand (AD) in the economy, which will reduce inflationary pressure, in order to achieve the sustainable development goals (SDGs) of 2030 in Nigeria, which include restoring economic growth and macroeconomic stability through macroeconomic variables such as the exchange rate, inflation, and other significant variables.
This study empirically investigates the impact of human development on bank development in WAEMU countries. Over the period 1990 to 2014, empirical results have shown a positive relationship between banking development and human development. Credit to the private sector and the size of the economic system have a positive and significant impact on human development, but this impact remains small. Moreover, the growth rate of GDP per capita and the level of inflation have a positive impact on human development.
The document summarizes a literature review on financial inclusion and inclusive growth in South Asian nations. It finds that over time, financial inclusion has continued to improve in South Asian countries, with digital technology becoming a major driver. There is evidence of a strong connection between financial inclusion and inclusive economic growth. Financial inclusion strategies like financial innovation, literacy programs, and other interventions can help achieve inclusion. Governments should apply best practices to increase inclusion of marginalized groups.
Similar to A comparative study intensity of pakistan-china inflation a multi-components regime (20)
Abnormalities of hormones and inflammatory cytokines in women affected with p...Alexander Decker
Women with polycystic ovary syndrome (PCOS) have elevated levels of hormones like luteinizing hormone and testosterone, as well as higher levels of insulin and insulin resistance compared to healthy women. They also have increased levels of inflammatory markers like C-reactive protein, interleukin-6, and leptin. This study found these abnormalities in the hormones and inflammatory cytokines of women with PCOS ages 23-40, indicating that hormone imbalances associated with insulin resistance and elevated inflammatory markers may worsen infertility in women with PCOS.
A usability evaluation framework for b2 c e commerce websitesAlexander Decker
This document presents a framework for evaluating the usability of B2C e-commerce websites. It involves user testing methods like usability testing and interviews to identify usability problems in areas like navigation, design, purchasing processes, and customer service. The framework specifies goals for the evaluation, determines which website aspects to evaluate, and identifies target users. It then describes collecting data through user testing and analyzing the results to identify usability problems and suggest improvements.
A universal model for managing the marketing executives in nigerian banksAlexander Decker
This document discusses a study that aimed to synthesize motivation theories into a universal model for managing marketing executives in Nigerian banks. The study was guided by Maslow and McGregor's theories. A sample of 303 marketing executives was used. The results showed that managers will be most effective at motivating marketing executives if they consider individual needs and create challenging but attainable goals. The emerged model suggests managers should provide job satisfaction by tailoring assignments to abilities and monitoring performance with feedback. This addresses confusion faced by Nigerian bank managers in determining effective motivation strategies.
A unique common fixed point theorems in generalized dAlexander Decker
This document presents definitions and properties related to generalized D*-metric spaces and establishes some common fixed point theorems for contractive type mappings in these spaces. It begins by introducing D*-metric spaces and generalized D*-metric spaces, defines concepts like convergence and Cauchy sequences. It presents lemmas showing the uniqueness of limits in these spaces and the equivalence of different definitions of convergence. The goal of the paper is then stated as obtaining a unique common fixed point theorem for generalized D*-metric spaces.
A trends of salmonella and antibiotic resistanceAlexander Decker
This document provides a review of trends in Salmonella and antibiotic resistance. It begins with an introduction to Salmonella as a facultative anaerobe that causes nontyphoidal salmonellosis. The emergence of antimicrobial-resistant Salmonella is then discussed. The document proceeds to cover the historical perspective and classification of Salmonella, definitions of antimicrobials and antibiotic resistance, and mechanisms of antibiotic resistance in Salmonella including modification or destruction of antimicrobial agents, efflux pumps, modification of antibiotic targets, and decreased membrane permeability. Specific resistance mechanisms are discussed for several classes of antimicrobials.
A transformational generative approach towards understanding al-istifhamAlexander Decker
This document discusses a transformational-generative approach to understanding Al-Istifham, which refers to interrogative sentences in Arabic. It begins with an introduction to the origin and development of Arabic grammar. The paper then explains the theoretical framework of transformational-generative grammar that is used. Basic linguistic concepts and terms related to Arabic grammar are defined. The document analyzes how interrogative sentences in Arabic can be derived and transformed via tools from transformational-generative grammar, categorizing Al-Istifham into linguistic and literary questions.
A time series analysis of the determinants of savings in namibiaAlexander Decker
This document summarizes a study on the determinants of savings in Namibia from 1991 to 2012. It reviews previous literature on savings determinants in developing countries. The study uses time series analysis including unit root tests, cointegration, and error correction models to analyze the relationship between savings and variables like income, inflation, population growth, deposit rates, and financial deepening in Namibia. The results found inflation and income have a positive impact on savings, while population growth negatively impacts savings. Deposit rates and financial deepening were found to have no significant impact. The study reinforces previous work and emphasizes the importance of improving income levels to achieve higher savings rates in Namibia.
A therapy for physical and mental fitness of school childrenAlexander Decker
This document summarizes a study on the importance of exercise in maintaining physical and mental fitness for school children. It discusses how physical and mental fitness are developed through participation in regular physical exercises and cannot be achieved solely through classroom learning. The document outlines different types and components of fitness and argues that developing fitness should be a key objective of education systems. It recommends that schools ensure pupils engage in graded physical activities and exercises to support their overall development.
A theory of efficiency for managing the marketing executives in nigerian banksAlexander Decker
This document summarizes a study examining efficiency in managing marketing executives in Nigerian banks. The study was examined through the lenses of Kaizen theory (continuous improvement) and efficiency theory. A survey of 303 marketing executives from Nigerian banks found that management plays a key role in identifying and implementing efficiency improvements. The document recommends adopting a "3H grand strategy" to improve the heads, hearts, and hands of management and marketing executives by enhancing their knowledge, attitudes, and tools.
This document discusses evaluating the link budget for effective 900MHz GSM communication. It describes the basic parameters needed for a high-level link budget calculation, including transmitter power, antenna gains, path loss, and propagation models. Common propagation models for 900MHz that are described include Okumura model for urban areas and Hata model for urban, suburban, and open areas. Rain attenuation is also incorporated using the updated ITU model to improve communication during rainfall.
A synthetic review of contraceptive supplies in punjabAlexander Decker
This document discusses contraceptive use in Punjab, Pakistan. It begins by providing background on the benefits of family planning and contraceptive use for maternal and child health. It then analyzes contraceptive commodity data from Punjab, finding that use is still low despite efforts to improve access. The document concludes by emphasizing the need for strategies to bridge gaps and meet the unmet need for effective and affordable contraceptive methods and supplies in Punjab in order to improve health outcomes.
A synthesis of taylor’s and fayol’s management approaches for managing market...Alexander Decker
1) The document discusses synthesizing Taylor's scientific management approach and Fayol's process management approach to identify an effective way to manage marketing executives in Nigerian banks.
2) It reviews Taylor's emphasis on efficiency and breaking tasks into small parts, and Fayol's focus on developing general management principles.
3) The study administered a survey to 303 marketing executives in Nigerian banks to test if combining elements of Taylor and Fayol's approaches would help manage their performance through clear roles, accountability, and motivation. Statistical analysis supported combining the two approaches.
A survey paper on sequence pattern mining with incrementalAlexander Decker
This document summarizes four algorithms for sequential pattern mining: GSP, ISM, FreeSpan, and PrefixSpan. GSP is an Apriori-based algorithm that incorporates time constraints. ISM extends SPADE to incrementally update patterns after database changes. FreeSpan uses frequent items to recursively project databases and grow subsequences. PrefixSpan also uses projection but claims to not require candidate generation. It recursively projects databases based on short prefix patterns. The document concludes by stating the goal was to find an efficient scheme for extracting sequential patterns from transactional datasets.
A survey on live virtual machine migrations and its techniquesAlexander Decker
This document summarizes several techniques for live virtual machine migration in cloud computing. It discusses works that have proposed affinity-aware migration models to improve resource utilization, energy efficient migration approaches using storage migration and live VM migration, and a dynamic consolidation technique using migration control to avoid unnecessary migrations. The document also summarizes works that have designed methods to minimize migration downtime and network traffic, proposed a resource reservation framework for efficient migration of multiple VMs, and addressed real-time issues in live migration. Finally, it provides a table summarizing the techniques, tools used, and potential future work or gaps identified for each discussed work.
A survey on data mining and analysis in hadoop and mongo dbAlexander Decker
This document discusses data mining of big data using Hadoop and MongoDB. It provides an overview of Hadoop and MongoDB and their uses in big data analysis. Specifically, it proposes using Hadoop for distributed processing and MongoDB for data storage and input. The document reviews several related works that discuss big data analysis using these tools, as well as their capabilities for scalable data storage and mining. It aims to improve computational time and fault tolerance for big data analysis by mining data stored in Hadoop using MongoDB and MapReduce.
1. The document discusses several challenges for integrating media with cloud computing including media content convergence, scalability and expandability, finding appropriate applications, and reliability.
2. Media content convergence challenges include dealing with the heterogeneity of media types, services, networks, devices, and quality of service requirements as well as integrating technologies used by media providers and consumers.
3. Scalability and expandability challenges involve adapting to the increasing volume of media content and being able to support new media formats and outlets over time.
This document surveys trust architectures that leverage provenance in wireless sensor networks. It begins with background on provenance, which refers to the documented history or derivation of data. Provenance can be used to assess trust by providing metadata about how data was processed. The document then discusses challenges for using provenance to establish trust in wireless sensor networks, which have constraints on energy and computation. Finally, it provides background on trust, which is the subjective probability that a node will behave dependably. Trust architectures need to be lightweight to account for the constraints of wireless sensor networks.
This document discusses private equity investments in Kenya. It provides background on private equity and discusses trends in various regions. The objectives of the study discussed are to establish the extent of private equity adoption in Kenya, identify common forms of private equity utilized, and determine typical exit strategies. Private equity can involve venture capital, leveraged buyouts, or mezzanine financing. Exits allow recycling of capital into new opportunities. The document provides context on private equity globally and in developing markets like Africa to frame the goals of the study.
This document discusses a study that analyzes the financial health of the Indian logistics industry from 2005-2012 using Altman's Z-score model. The study finds that the average Z-score for selected logistics firms was in the healthy to very healthy range during the study period. The average Z-score increased from 2006 to 2010 when the Indian economy was hit by the global recession, indicating the overall performance of the Indian logistics industry was good. The document reviews previous literature on measuring financial performance and distress using ratios and Z-scores, and outlines the objectives and methodology used in the current study.
A comparative study intensity of pakistan-china inflation a multi-components regime
1. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.5, No.11, 2014
143
A Comparative Study: Intensity of Pakistan-China Inflation a
Multi-Components Regime
SHAFQAT NADEEN
University of Agriculture, Faisalabad
KASHIF HAMEED
University of Agriculture, Faisalabad
SALMA ARSHAD
Allama Iqbal Open University, Islamabad
MUMTAZ ALI
University of Agriculture, Faisalabad
Abstract
The main portfolio of the study was to revamp and refurbish a result oriented stratagem to reevaluate all
components linked directly or indirectly with inflation like consumer price index (CPI), currency, stock market,
wages, population, unemployment, GDP, foreign exchange reserves, balance of trade, government debts,
industrial production and retail sales may cause to inch up the rate of inflation in Pakistan. Periodical
fluctuations and recent data of inflation were examined and compared with China to underpin real intensity of
imperfections and the differences between both economies. The focus was to analyze the stream of inflation and
suggest parameters for controlled and balanced position.
Key words: Economy, Examine, Inflation, Intensity, Increase, Measures, Rate.
INTRODUCTION:
Generally, the word inflation is termed as a rise in the price of goods and services. The central bank of the
country tries to keep it sustain on minimum level. There are some multiple factors involved to raise average
prices of goods or services.
Inflation is an upward movement in the average level of prices. Its opposite is deflation, a downward movement
in the average level of prices. The boundary between inflation and deflation is price stability (by Parkin and
Bade).
The history of inflation with reference to Pakistan economy is an interesting debate. The average rate of inflation
was calculated 8.04% in last five decades while it was on highest level 37.81% in 1973 and documented at lower
level -10.32% in 1959. These dramatic graphs of rates inflation were the results of ups and downs the country
faced time to time in shape of political instability, three wars with neighbor country, separation of one hand
Bangladesh, derailing democracy, soviet war in Afghanistan and law & order situation under the shadow of
terrorism. These all manifestations badly suffered the economy of the country and made causes to create a gap
between balance of payments, currency devaluation and heavy increased in foreign debts. In the other hand
China’s inflation rate was observed average 5.89% from 1986 to 2013 and was on peak 28.40% in 1989 and low
-2.20 in 1999. While, the economy of China was observed through this study quit stable, persuasive and long-
standing against Pakistan.
OBJECTIVE OF THE STUDY:
This working was conducted to know the intensity of increasing rate of inflation in country, factors & forces
involved and intensive approaches to step down the inflation at appropriate level. Specially, in the era when
Pakistani forces are busy to fight against the terrorism as part of allied forces parallel with economic fallout due
to un-safety, insecurity and law & situation due to this finance department is bound to spare a big part of the
budget for security & precautionary measures and provision of relief for affected. The study aim was to look out
the chain of multiple factors having influences on economy of the country, consumer price index, monetary
policy, foreign investment, stock exchange, capital gains and to earn confidence of business community.
To examine a time series analysis of inflation’s existing pace
To know the intensity of inflation in the country
To examine the involved factors and forces
To draw a roadmap for stepping down the influences of unconventional chain of malevolence forces
To submit the proposals
LITERATURE VIEW:
Latest data from different sources was collected to draw rational and meticulous results. In this connection the
sites of all concerned departments were visited and result oriented information integrated month-on-month basis
2. Research Journal of Finance and Accounting
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online
Vol.5, No.11, 2014
with aim to table a comprehensive analysis of neighborin
economy. A number of papers published by Australian, American and other developed countries
experts/economists were consulted to evaluate the current country position and to offer a multi
stratagem to furnish a formal, concrete and materialistic theory. Informal debates and discussions were organized
with entrepreneurs, stakeholders and business community to know their point of view regarding country GDP
growth, fiscal deficit, consumer price index
foreign debts of the country.
METHODOLOGY AND DISCUSSION:
A rapid Increase in unemployment rate, un
products, unscheduled power break
boost the inflation at peak stage. Dollar’s increasing value and devalue of Pakistani currency, burden of foreign
debts, Law & order situation, increasing fiscal d
country.
With reference to the inflation point of view in this study we classified the countries into three categories first,
second and third. The countries having most dangerous level of in
Venezuela 22.18%, Nigeria 12.00%, Sudan 43%, Syria 48.10%, Belarus 21.79%, Serbia 12.20%, Ethiopia
12.50%, Mongolia 14.00%, Malawi 28.30%, Guiney 14.40%, Eritrea 13.50% and Bhutan 11.17% are falling in
this critical regime.
Most of the countries i.e. India on 6.62%, Russia 7.10 %, Turkey 7.31%, South Africa 5.7%, Singapore 4.30%,
Algeria 9.03%, Kazakhstan 6.60%, Vietnam 7.07%, Bangladesh 7.38%, Angola 8.90%, Uruguay 8.72%, Tunisia
6.00%, Lebanon 10.10%, Ghana 8.80%,
10.90%, Turkmenistan 5.80%, Trinidad and tobacco 7.17%, Nepal 9.95%, Zambia 7.00%, Botswana 7.50%,
Uganda 4.90%, Ecuador 4.10%, Jamaica 8.02% are facing a negative economic fallout due to hig
and tabled in second category. Pakistan is also placed in this category with 8.10% inflation according to the
statistics of January 2013.
While a number of countries are falling in category facing acceptable, balanced and controlled infla
compare to first and second categories like United State 1.70%, Euro Area 2.00%, China 2.00%, Japan 0.00%,
Germany 1.88%, France 1.30%, United Kingdom 2.70%, Italy 2.20%, Canada 0.8.%, Australia 2.20%, South
Korea 1.50% and Iraq 3.60%. Intere
with -0.10% inflation rate, Sweden
Somalia -15.35% and so on.
*Information collected from different so
During this study it was observed that with the passage of time the stream of Pakistan inflation rate was stepping
down with a gradual move every month from May
it was shown stepped up in a little move as compare to last phase. Comparing this time series trend with the
stream of India it was observed inflation was quite stable verses Pakistan and showed the average rate 7.39%
during last thirteen months. In the other side China inflation rate
controlled and well-balanced picture.
The rate of inflation on the basis of economist opinion that 2.5 % inflation is acceptable, seven month inflation
data of Pakistan and China was used to examine and evaluate the t
0.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
Jan-12
Feb-12
Mar-12
Apr-12
May-12
1 2 3 4
2847 (Online)
144
with aim to table a comprehensive analysis of neighboring countries having wide-ranging share in world
economy. A number of papers published by Australian, American and other developed countries
experts/economists were consulted to evaluate the current country position and to offer a multi
to furnish a formal, concrete and materialistic theory. Informal debates and discussions were organized
with entrepreneurs, stakeholders and business community to know their point of view regarding country GDP
growth, fiscal deficit, consumer price index (CPI), Industrial production, terms of trade, balance of payment and
METHODOLOGY AND DISCUSSION:
A rapid Increase in unemployment rate, un-elastic demand & supply relations, inflexible price rate of petroleum
heduled power break-down, gap in balance of payment are the chain forces added their role to
boost the inflation at peak stage. Dollar’s increasing value and devalue of Pakistani currency, burden of foreign
debts, Law & order situation, increasing fiscal deficit every year are the key factors damage the economy of the
With reference to the inflation point of view in this study we classified the countries into three categories first,
second and third. The countries having most dangerous level of inflation like Iran 35%, Argentina 11.10%,
Venezuela 22.18%, Nigeria 12.00%, Sudan 43%, Syria 48.10%, Belarus 21.79%, Serbia 12.20%, Ethiopia
12.50%, Mongolia 14.00%, Malawi 28.30%, Guiney 14.40%, Eritrea 13.50% and Bhutan 11.17% are falling in
Most of the countries i.e. India on 6.62%, Russia 7.10 %, Turkey 7.31%, South Africa 5.7%, Singapore 4.30%,
Algeria 9.03%, Kazakhstan 6.60%, Vietnam 7.07%, Bangladesh 7.38%, Angola 8.90%, Uruguay 8.72%, Tunisia
6.00%, Lebanon 10.10%, Ghana 8.80%, Macao 5.83%, Yemen 6.47%, Panama 4.70%, Bolivia 4.91%, Tanzania
10.90%, Turkmenistan 5.80%, Trinidad and tobacco 7.17%, Nepal 9.95%, Zambia 7.00%, Botswana 7.50%,
Uganda 4.90%, Ecuador 4.10%, Jamaica 8.02% are facing a negative economic fallout due to hig
and tabled in second category. Pakistan is also placed in this category with 8.10% inflation according to the
While a number of countries are falling in category facing acceptable, balanced and controlled infla
compare to first and second categories like United State 1.70%, Euro Area 2.00%, China 2.00%, Japan 0.00%,
Germany 1.88%, France 1.30%, United Kingdom 2.70%, Italy 2.20%, Canada 0.8.%, Australia 2.20%, South
Korea 1.50% and Iraq 3.60%. Interestingly, some countries are bearing negative inflation rates that’s are Japan
0.10% inflation rate, Sweden -0.10%, Switzerland 0.30%, Ukraine -0.20%, Libya -3.10%, Georgia
*Information collected from different sources
During this study it was observed that with the passage of time the stream of Pakistan inflation rate was stepping
down with a gradual move every month from May-2012 to Nov-2012 while in December 2012 and January 2013
little move as compare to last phase. Comparing this time series trend with the
stream of India it was observed inflation was quite stable verses Pakistan and showed the average rate 7.39%
during last thirteen months. In the other side China inflation rate with the average 2.55% was shown the
balanced picture.
The rate of inflation on the basis of economist opinion that 2.5 % inflation is acceptable, seven month inflation
data of Pakistan and China was used to examine and evaluate the trend and reframe the strategy about all factors
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
Jan-13
5 6 7 8 9 10 11 12 13
www.iiste.org
ranging share in world
economy. A number of papers published by Australian, American and other developed countries
experts/economists were consulted to evaluate the current country position and to offer a multi-dimensional
to furnish a formal, concrete and materialistic theory. Informal debates and discussions were organized
with entrepreneurs, stakeholders and business community to know their point of view regarding country GDP
(CPI), Industrial production, terms of trade, balance of payment and
elastic demand & supply relations, inflexible price rate of petroleum
down, gap in balance of payment are the chain forces added their role to
boost the inflation at peak stage. Dollar’s increasing value and devalue of Pakistani currency, burden of foreign
eficit every year are the key factors damage the economy of the
With reference to the inflation point of view in this study we classified the countries into three categories first,
flation like Iran 35%, Argentina 11.10%,
Venezuela 22.18%, Nigeria 12.00%, Sudan 43%, Syria 48.10%, Belarus 21.79%, Serbia 12.20%, Ethiopia
12.50%, Mongolia 14.00%, Malawi 28.30%, Guiney 14.40%, Eritrea 13.50% and Bhutan 11.17% are falling in
Most of the countries i.e. India on 6.62%, Russia 7.10 %, Turkey 7.31%, South Africa 5.7%, Singapore 4.30%,
Algeria 9.03%, Kazakhstan 6.60%, Vietnam 7.07%, Bangladesh 7.38%, Angola 8.90%, Uruguay 8.72%, Tunisia
Macao 5.83%, Yemen 6.47%, Panama 4.70%, Bolivia 4.91%, Tanzania
10.90%, Turkmenistan 5.80%, Trinidad and tobacco 7.17%, Nepal 9.95%, Zambia 7.00%, Botswana 7.50%,
Uganda 4.90%, Ecuador 4.10%, Jamaica 8.02% are facing a negative economic fallout due to high inflation rate
and tabled in second category. Pakistan is also placed in this category with 8.10% inflation according to the
While a number of countries are falling in category facing acceptable, balanced and controlled inflation rates as
compare to first and second categories like United State 1.70%, Euro Area 2.00%, China 2.00%, Japan 0.00%,
Germany 1.88%, France 1.30%, United Kingdom 2.70%, Italy 2.20%, Canada 0.8.%, Australia 2.20%, South
stingly, some countries are bearing negative inflation rates that’s are Japan
3.10%, Georgia -1.60%,
During this study it was observed that with the passage of time the stream of Pakistan inflation rate was stepping
2012 while in December 2012 and January 2013
little move as compare to last phase. Comparing this time series trend with the
stream of India it was observed inflation was quite stable verses Pakistan and showed the average rate 7.39%
with the average 2.55% was shown the
The rate of inflation on the basis of economist opinion that 2.5 % inflation is acceptable, seven month inflation
rend and reframe the strategy about all factors
Pakistan IR
India IR
China
3. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.5, No.11, 2014
145
& forces influenced that regime.
*Information collected from different sources
To determine intensity of country’s inflation rate we used the method: Test of Hypotheses Concerning the
Population Mean on the basis that most of the economists of the world say that the rate of inflation upto 2.5% is
acceptable.
For Pakistan the required computations are given in the following table.
F/Y
2012-13
July-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13
X 9.6 9.06 8.79 7.66 6.93 7.9 8.10 Ʃ =58.04
92.16 82.08 77.26 58.67 48.02 62.41 65.61 Ʃ = 486.21
: = 2.5 (The country inflation rate is valid and acceptable)
: ≠ 2.5 (The country inflation rate is not valid and unacceptable)
Level of significance: α = 0.05 (5%)
Critical region: t > 2.447 . ! " #$ = # − 1 = 6&
' =
Ʃ(
)
=
!*. +
,
=8.29
$ =
1
# − 1
-Ʃ −
Ʃ &
#
.
$ =
1
7 − 1
-486.21 −
58.04&
7
.
$ = .83
S=√$
While S = 0.91
1 =
' − 2
$/√#
1 =
8.29 − 2.5
0.91/√7
5 = 16.79
For China the required computations are given in the following table.
F/Y 2012-
13
July-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13
X 1.18 2.00 1.90 1.70 2.00 2.50 2.00 Ʃ = 13.28
1.39 4.00 3.61 2.89 4.00 6.25 4.00 Ʃ = 26.14
: = 2.5 (The country inflation rate is valid and acceptable)
: ≠ 2.5 (The country inflation rate is not valid and unacceptable)
Level of significance: α = 0.05 (5%)
Critical region: t < −2.447 . ! " #$ = # − 1 = 6&
' =
Ʃ(
)
=
7. *
,
= 1.89
$ =
1
# − 1
-Ʃ −
Ʃ &
#
.
0.00
2.00
4.00
6.00
8.00
10.00
12.00
InflationRate
Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13
Pak Inf. Rate 9.60 9.06 8.79 7.66 6.93 7.90 8.10
China Inf.Rate 1.18 2.00 1.90 1.70 2.00 2.50 2.00
4. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.5, No.11, 2014
146
$ =
1
7 − 1
-26.14 −
13.28&
7
.
S=√$ = √0.16
S = 0.40
1 =
' − 2
$/√#
1 =
1.89 − 2.5
0.40/√7
5 = -4.02
CONCLUSION:
For Pakistan the calculated value of t = 16.79 is greater than the critical value of . ! = 2.447 (i.e. t falls in the
critical region), we reject the (Null Hypothesis: The country inflation rate is not valid and unacceptable) at
5% level of significance. We, therefore, conclude that the country inflation rate is in critical regime at the level
of 8.07% which was last month on 7.9%. The acquired t value is also showing the influences of the factors &
forces involved in stepping up the inflation, declining industrial the productivity and commercial activity and
imbalance the import export ratio.
While for China the calculated value of t u= -4.02 is less than the critical value of . ! = −2.447 (i.e. t does
not falls in the critical region), we accept the (Null Hypothesis: that the country inflation rate is valid and
acceptable) at 5% level of significance. We, therefore, conclude that the country’s inflation rate is not in critical
regime at level of 2.00%. Further we can say that the China’ economy is controlled, stable and balanced verses
Pakistan in connection to all financial components.
SUGGESTIONS:
Consumer Price Index based on food and non-alcoholic beverages, housing, electricity, water, gas, fuels,
clothing, footwear, transport. Further includes furnishing & household equipment, education,
communication, health, recreation & culture, restaurants & hotels, alcoholic beverages & tobacco and
other goods & services. These all categories are linked directly or indirectly with each other’s and may
cause to inch up rate of inflation. If any component may out flow/affected the other would suffer
automatically vice versa if any component may retreat or rectify the others automatically would get
going. So the all components are needed to readdress and consider.
Energy crises is also the main component of the negative economic fallout, unscheduled breakdown of
power supply disturb the industrial production and may need to explore alternative resources like
strategy about recovery of circular debts, eliminate line losses and capacity increase in hydro-generation
electricity with construction of new dams.
Fuel prices suffer the business market and industrial output and need to retreat the bi-monthly set-up of
price fixing.
Government dire need to legislate rules and regulations about money changers mafia and proper
implementation and further to earn the confidence of overseas Pakistani they may transfer their earning
through banks.
Demand and supply also linked with the inflation rate and stable economy if the demand of
commodities in the market fulfill through a sustainable supply by increasing industrial production
inflation can be controlled and sustain on required level.
Law & order situation perform vital role in country’ economy and last decade it is observed that a large
community have shifted their businesses out of country in Bangladesh and Sri Lanka. So there is a dire
need to control the law & order situation and practice good governess to earn the confidence of business
community.
REFERENCES:
Bade, R. and M. Parking. 1984. Central Bank Laws and Monetary Policy. Department of Economics, University
of Western Ontario, Canada.
Finlay, R. and Wende, S. 2011, ‘Estimating inflation expectations with a limited number of inflation-indexed
bonds’, Research Discussion Paper, Reserve Bank of Australia, March.
Hurd, M. and Relleen, J. 2006, New information from inflation swaps and index-linked bonds, Quarterly
Bulletin, Bank of England, Spring, p29.
Kim DH and JH Wright (2005), ‘An Arbitrage-Free Three-Factor Term Structure Model and the Recent
Behavior of Long-Term Yields and Distant-Horizon Forward Rates’, Federal Reserve Board Finance and
Economics Discussion Series No 2005-33.
5. Research Journal of Finance and Accounting www.iiste.org
ISSN 2222-1697 (Paper) ISSN 2222-2847 (Online)
Vol.5, No.11, 2014
147
Steele JM (2001), Stochastic Calculus and Financial Applications, Applications of Mathematics, Volume 45,
Springer, New York.
McCulloch JH and LA Kochin (1998), ‘The Inflation Premium Implicit in the US Real and Nominal Term
Structures of Interest Rates’, Economics Department of Ohio State University Working Paper No 98-12.
Adam, Klaus and Mario Padula (2003): Inflation Dynamics and Subjective Expectations in the United States,
working paper.
Atkeson, Andrew and Lee E. Ohanian (2001): Are Phillips Curves Useful for Forecasting Inflation?, Federal
Reserve Bank of Minneapolis Quarterly Review, 25, pp.2-11.
Bryan, Michael F. and Stephen G. Cecchetti (1994): Measuring Core Ination in Monetary Policy" N. Gregory
Mankiw (ed.), Chicago University Press, Chicago.
Clements, Michael P. (2004): Evaluating the Bank of England Density Forecasts of Inflation, Economic Journal,
114, pp.855-877.
Groen, Jan J.J., George Kapetanios and Simon Price (2009): A Real Time Evaluation of Bank of England
Forecasts of Inflation and Growth, International Journal of Forecasting, 25, pp.74-80.
Groen, Jan J.J., Richard Paap and Francesco Ravazzolo (2009): Real-Time Inflation Forecasting in a Changing
World, Federal Reserve Bank of New York Sta_ Reports, 388.
Fuhrer, Je- and George Moore, “Inflation Persistence,” Quarterly Journal of Economics, 1995, 110, 127—159.
Rotemberg, Julio J., “Sticky Prices in the United States,” Journal of Political Economy, 1982, 60, 1187—1211.
Durham J.B. (2006), “An Estimate of the Inflation Risk Premium Using a Three-Factor Affine Term Structure
Model”, Federal Reserve Bank of Washington, Finance and Economics Discussion Series, 2006-42.
Mamun, A. and Visaltanachoti, N. (2006b), “Inflation Expectation and Asset Allocation in the Presence of an
Indexed Bond,” available at SSRN: http://ssrn.com/abstract=907147.
Shen, P. (2006), “Liquidity Risk Premiums and Breakeven Inflation Rates,” Federal Reserve Bank of
Kansas City, Economic review, Second Quarter 2006.
McCulloch, J.H. and Kochin, L.A. (2000), “The Inflation Premium Implicit in the US Real and Nominal Term
Structures of Interest Rates,” Ohio State University Economics Dept. Working Paper, 98-12, revised in
September 2000.
6. The IISTE is a pioneer in the Open-Access hosting service and academic event
management. The aim of the firm is Accelerating Global Knowledge Sharing.
More information about the firm can be found on the homepage:
http://www.iiste.org
CALL FOR JOURNAL PAPERS
There are more than 30 peer-reviewed academic journals hosted under the hosting
platform.
Prospective authors of journals can find the submission instruction on the
following page: http://www.iiste.org/journals/ All the journals articles are available
online to the readers all over the world without financial, legal, or technical barriers
other than those inseparable from gaining access to the internet itself. Paper version
of the journals is also available upon request of readers and authors.
MORE RESOURCES
Book publication information: http://www.iiste.org/book/
IISTE Knowledge Sharing Partners
EBSCO, Index Copernicus, Ulrich's Periodicals Directory, JournalTOCS, PKP Open
Archives Harvester, Bielefeld Academic Search Engine, Elektronische
Zeitschriftenbibliothek EZB, Open J-Gate, OCLC WorldCat, Universe Digtial
Library , NewJour, Google Scholar