:: Volume 7, Issue 1 (Fall 2012) ::
J. Mon. Ec. 2012, 7(1): 119-137 Back to browse issues page
Inflation Determinants in Low and High Frequencies: An Implication of Spectral Analysis to Iran
Seyed Komail Tayebi 1, Khaled Mohammad Amini, Zahra Zamani
1- University of Isfahan
Abstract:   (2267 Views)

There is no evidence that previous studies, available to Iran’s inflation literature, have used spectral methodology to analyze a possible relationship between inflation and its main determinants within a specific period. Accordingly, the present study investigates the effects of money growth, real output growth, output gap and interest rate changes on inflation at low and high frequencies by using seasonal data, Engle' s spectral estimator and Newey-West corrected standard errors over 1974-2006. The results indicate that money growth, output growth and output gap are significant determinants affecting inflation at low frequencies. In addition, at high frequencies, except for money growth, output growth, output gap and interest rate changes have significant and expected effects on inflation in Iran.

JEL Classification: C20, E31

Keywords: Inflation, Spectral analysis, Low and High Frequencies
Full-Text [PDF 502 kb]   (724 Downloads)    
Type of Study: Research | Subject: Monetary Economics
Received: 2014/04/29 | Accepted: 2014/04/29 | Published: 2014/04/29

XML     Print

Volume 7, Issue 1 (Fall 2012) Back to browse issues page