Chow, Gregory C. - In: Economics Letters 117 (2012) 2, pp. 464-466
The model of Chow (1987) for inflation in China is applied to Taiwan. A cointegration relation linear in log price and … log ratio of money supply to output is estimated. The change in this log ratio, lagged inflation and the lagged residual … of the cointegration relation explain Taiwan’s inflation well except during the oil crises of 1973 and 1979–1980. …