Volume 19, Issue 1 (3-2024)
J. Mon. Ec. 2024, 19(1): 119-129 |
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Fatahi Ardakani A, Sakhi F, Bostan Y, Rezvani M. Assessment of determinants influencing the escalation of the overall price level in Iran. J. Mon. Ec. 2024; 19 (1) : 6
URL: http://jme.mbri.ac.ir/article-1-658-en.html
URL: http://jme.mbri.ac.ir/article-1-658-en.html
1- Department of Agricultural Economics
Abstract: (784 Views)
Inflation as an undesirable economic phenomenon in recent years has had devastating effects on Iran economy. This made economic researchers devote plenty of reports and researches to the causes or ways to cope with inflation in Iran. In the present study, considering the importance of inflation, it was tried to take advantage of the econometric model to examine the effect of in Iran economy by using annual information from 1974 to 2021 and by using the Generalized Method of Moments (GMM). The results of the GMM model showed that the variables of labor wage index, liquidity volume, time-lag inflation and unofficial exchange rate growth have a positive and significant effect on inflation in Iran. Also, the GDP growth variable has a negative and significant effect on the dependent variable. The study suggests that in order to control inflation, the government in Iran should consider issues such as stability in economic policy-making, adopting appropriate fiscal policies, especially through budgetary discipline, and consistency of monetary and fiscal policies to curb inflation, to be important.
Article number: 6
Type of Study: Original Research - Theoric |
Subject:
Macroeconomics
Received: 29 Mar 2024 | Accepted: 4 Feb 2025 | Published: 29 Jun 2025
Received: 29 Mar 2024 | Accepted: 4 Feb 2025 | Published: 29 Jun 2025
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