How Malaysia Manage Inflation
International Review of Business Research Papers Vol. 6. No.3. August 2010 Pp. 30 - 44
Causes of Inflation in the Iranian Economy
Hamed Armesh*, Habibollah Salarzehi**, Noor Mohammad Yaghoobi***, Alireza Heydari****
It is clear that in the nearly last four decades inflation is one of the important problems of Iranian economy. In this study, we determine and analyze the effective factors on inflation in the Islamic Republic of Iran. After briefly reviewing the theoretical background, we use econometric method, such as the Ordinary Least Squares (OLS), to study causes of inflation Iran. Our analysis is based on time series annual data from 1961 to 2005 and our results show that import price index, as well as liquidity, do have positively a significant impact on inflation rates in Iran. Additionally, results show that actual GDP has a negative impact on inflation in Iran.
Field of research: Economic and Causes of Inflation in the Iranian Economy
1. Introduction
According to the Samuelson “Inflation denotes a rise in prices”. The persistent inflation and the problems associated with inflation have claimed more attention of the economists than any other macroeconomic problem. The phenomenon of inflation is one of the problems that every system of economic at different time can be faced. Usually, occurring of fast and long run inflation flow causes the damaging of historical economic, social and cultural societies. Because of this reason analysis source of inflation flow is one of the most important problems of development countries. It is well known that double-digit inflation rate is one of major problems in Iranian economy and inflation has been alarming during the last two decades. In the last 2 decades presence of high inflation rate is one of the most important problems of Iran. Hence, control of inflation and balance of economic as the aim of the government that during these years was under consideration. It seems that identifying the effective
Causes of Inflation in the Iranian Economy
Hamed Armesh*, Habibollah Salarzehi**, Noor Mohammad Yaghoobi***, Alireza Heydari****
It is clear that in the nearly last four decades inflation is one of the important problems of Iranian economy. In this study, we determine and analyze the effective factors on inflation in the Islamic Republic of Iran. After briefly reviewing the theoretical background, we use econometric method, such as the Ordinary Least Squares (OLS), to study causes of inflation Iran. Our analysis is based on time series annual data from 1961 to 2005 and our results show that import price index, as well as liquidity, do have positively a significant impact on inflation rates in Iran. Additionally, results show that actual GDP has a negative impact on inflation in Iran.
Field of research: Economic and Causes of Inflation in the Iranian Economy
1. Introduction
According to the Samuelson “Inflation denotes a rise in prices”. The persistent inflation and the problems associated with inflation have claimed more attention of the economists than any other macroeconomic problem. The phenomenon of inflation is one of the problems that every system of economic at different time can be faced. Usually, occurring of fast and long run inflation flow causes the damaging of historical economic, social and cultural societies. Because of this reason analysis source of inflation flow is one of the most important problems of development countries. It is well known that double-digit inflation rate is one of major problems in Iranian economy and inflation has been alarming during the last two decades. In the last 2 decades presence of high inflation rate is one of the most important problems of Iran. Hence, control of inflation and balance of economic as the aim of the government that during these years was under consideration. It seems that identifying the effective