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It is widely believed that price stability promote long-term economic growth, whereas high inflation is inimical to … above it, the magnitude of the negative effect of inflation on growth was high. The negative and significant relationship … between inflation and economic growth for inflation rates both below and above the threshold level is robust with respect to …
Persistent link: https://www.econbiz.de/10011482569
This paper explores the long-run effects of inflation on the dynamics of private sector bank credit and economic growth …. Reinforcing the literature on finance and growth, this study reaffirms that inflation rates are detrimental to long-run financial … private sector bank credit in the economy exerts a positive impact on real GDP. In addition, inflation rates have contributed …
Persistent link: https://www.econbiz.de/10010500573
"harmful inflation" regime for higher nominal GDP growth rates, these results have strong implications for guiding recent …In this paper, we analyze the relationship between nominal and real GDP growth for G7 countries for the period 1971 … between nominal and real GDP growth rates changes from a positive one to a flat one. Moreover, the volatility of real growth …
Persistent link: https://www.econbiz.de/10014518988
inflation and economic growth. Among ML methodologies, Random Forest (RF; Breiman, 2001) approach is one of the most powerful to … capture nonlinear relationships. Therefore, I applied RF and found that both high and low inflation can be the cause of low … economic growth which is a major contribution of the paper to economic literature. This observation produces clear suggestions …
Persistent link: https://www.econbiz.de/10014518994
nature of the relationship between GDP growth and inflation identified in previous empirical studies. Finally, taking into …Theoretical models point at various channels of the impact of inflation on corporate investment. This article attempts … corporate investment and inflation on the sample of 21 OECD countries in the years 1960-2005. The obtained negative relationship …
Persistent link: https://www.econbiz.de/10010312014
Persistent link: https://www.econbiz.de/10014334700
The complexity of the monetary phenomenon as well as the effects that it induces in the social and economic life of the countries around the world have represented and still represent the subject of much controversy and dispute. The current forms of the monetary circulation organization in...
Persistent link: https://www.econbiz.de/10012017176
variables move over time and analyzes how they influence macroeconomic variables such as economic growth, inflation, savings and … investment, and fiscal balances, from an empirical perspective. Based on empirical findings—particularly regarding inflation …
Persistent link: https://www.econbiz.de/10012034825
long run Phillips curve recorded -0.75 in Sweden and -0.23 in the United States. While the average inflation rate in the … United States was very close to its targeted level, the average inflation rate in Sweden was 0.6 per- centage points below … its targeted level over the sample period. The deviation of inflation rate from its targeted level in Sweden resulted in …
Persistent link: https://www.econbiz.de/10013190400
Headline inflation in the euro area jumped to more than three percent in the summer after years of relatively low … inflation rates well below the target of close to but below two percent set by the ECB until July 2021. One of the main reasons … for the rise in inflation is the increase in energy prices since the beginning of 2021. However, there are further …
Persistent link: https://www.econbiz.de/10012745527