2021
DOI: 10.1142/s0217590821500739
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Determinants of Inflation in India in a Dynamic Setup

Abstract: The present study empirically examines the factors accounting for inflation in India in an open economy framework by utilizing the bounds testing approach to cointegration for the 2006: Q3-2019: Q4 period. The findings reveal the existence of a long-run relationship with the household survey-based inflation expectation, real output, narrow money aggregate and interest rate as important determinants of inflation. The study concludes that inflation is well explained by a combination of structural and monetary fa… Show more

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Cited by 4 publications
(2 citation statements)
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“…The asymptotic distribution of F -test is non-standard therefore Pesaran et al (2001) and Narayan (2005) individually report two sets of critical values of which one assume all are I(0) and other assume all are I(1). For a detailed discussion on ARDL model read Adil et al . (2021).…”
Section: Methodsmentioning
confidence: 99%
“…The asymptotic distribution of F -test is non-standard therefore Pesaran et al (2001) and Narayan (2005) individually report two sets of critical values of which one assume all are I(0) and other assume all are I(1). For a detailed discussion on ARDL model read Adil et al . (2021).…”
Section: Methodsmentioning
confidence: 99%
“…The exchange rate has a great impact on inflation and it was considered the biggest source of caused the inflation rate. Adil et al (2021). Discussed the factor involved like household impact on inflation in the case of India.…”
Section: The Objective Of the Researchmentioning
confidence: 99%