Introduction. High and sustained economic growth with low inflation is the central objective of the macroeconomic policy makers. Therefore, inflation has been one of the most researched topics in macroeconomics for the last many years because it has serious implications for GDP growth. The main aim of this empirical study to examined the relationship b/w (GDP) Gross Domestic Product Growth and inflation in Pakistan by using time series data from 1990 to 2015. Methodology. This study apply (ADF) Augmented dickey fuller test for stationary, and then, Engel Granger Co-integration test, for short run and long run association. Results. There is a strong positive and significance relationship between GDP growth and inflation in Pakistan. Which indicate that is a 1unit increase an inflation rate will caused by GDP increased by 0.27 unit.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.