Capital Inflows, Inflation and Exchange Rate Volatility: An Investigation for Linear and Nonlinear Causal Linkages
Published By: Pakistan Institute of Development Economics (PIDE) | Published Date: January, 01 , 2010In this study, an investigation of the effects of capital inflows on domestic price level, monetary expansion and exchange rate volatility. To proceed with this, linear and nonlinear cointegration and Granger causality tests are applied in a bi-variate as well as in multivariate framework. The key message of the analysis is that there is a significant inflationary impact of capital inflows, in particular during the last 7 years.
Author(s): Abdul Rashid, Fazal Husain | Posted on: Feb 06, 2016 | Views() | Download (179)