An application of ARDL bounds testing approach to the estimation of level relationship between inflation, economic activity and oil price in Algeria
Author
Source
Journal of Contemporary Business and Economic Studies
Issue
Vol. 4, Issue 1 (30 Jun. 2021), pp.169-179, 11 p.
Publisher
University Ibn Khaldoun Tiaret Ksar-Chellala Annex
Publication Date
2021-06-30
Country of Publication
Algeria
No. of Pages
11
Main Subjects
Topics
Abstract EN
The present paper analyzes the relationship between CPI, GDP & oil prices by adopting ARDL bounds testing approach in Algeria over the period 1970 - 2018.
The findings indicate there is a cointegration relationship between variables, which allows us to estimate the ECM, at the short run GDP affects consumer price inflation positively only after one lag period at 1% of significance.
While, at the long run both oil prices and GDP have an impact on consumer price inflation and those effects are economically significant ( & insignificant, respectively).
Hence an increase in oil prices in Algeria would raise the volume of exports, which may increase the GDP and subsequently, CPI follows as well.
American Psychological Association (APA)
Atushi, Manal. 2021. An application of ARDL bounds testing approach to the estimation of level relationship between inflation, economic activity and oil price in Algeria. Journal of Contemporary Business and Economic Studies،Vol. 4, no. 1, pp.169-179.
https://search.emarefa.net/detail/BIM-1309743
Modern Language Association (MLA)
Atushi, Manal. An application of ARDL bounds testing approach to the estimation of level relationship between inflation, economic activity and oil price in Algeria. Journal of Contemporary Business and Economic Studies Vol. 4, no. 1 (2021), pp.169-179.
https://search.emarefa.net/detail/BIM-1309743
American Medical Association (AMA)
Atushi, Manal. An application of ARDL bounds testing approach to the estimation of level relationship between inflation, economic activity and oil price in Algeria. Journal of Contemporary Business and Economic Studies. 2021. Vol. 4, no. 1, pp.169-179.
https://search.emarefa.net/detail/BIM-1309743
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references : p. 178-179
Record ID
BIM-1309743