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The relationship of inflation and economic growth in Ethiopia Book PDF Summary

Research Paper (undergraduate) from the year 2017 in the subject Economics - Economic Cycle and Growth, grade: 1, , language: English, abstract: The purpose of the study is to examine the relationship between inflation and economic growth in Ethiopia over the period of 1991/92- 2014/15 by using data at quarter base. The study was employed Johansen method of co-integration and vector error correction model and a technique of conditional least square. The result shows that both in long-run and short-run the relationship between inflation and economic growth is positive. Despite to this, the granger causality test tells us bi- directional causation between these two variables. The result also revealed that threshold level of inflation beyond on which inflation negatively affects economic growth of Ethiopia is 5 percent. Therefore, co-ordination between macro- economic policy makers is vital and should have to raise their hands and put their eyes on measures that keep down inflation below 5 percent to have sustainable economic growth in the country.

Detail Book of The relationship of inflation and economic growth in Ethiopia PDF

The relationship of inflation and economic growth in Ethiopia
  • Author : Deseke Kebede
  • Release : 28 November 2017
  • Publisher : GRIN Verlag
  • ISBN : 9783668582439
  • Genre : Business & Economics
  • Total Page : 69 pages
  • Language : English
  • PDF File Size : 18,7 Mb

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