2022
DOI: 10.3390/jrfm15040151
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Predicting Inflation—A Holistic Approach

Abstract: The quantity equation is a well-established, theoretic, long-run concept that has been criticized for a variety of reasons, i.e., that no precise statements about causality or dynamics between money growth and inflation can be inferred from its components. These shortcomings can be tackled by estimating inflation based upon a holistic approach and the performance of a ceteris paribus analysis for various levels of quantity and velocity of money, as well as GDP. By testing the validity of the quantity equation,… Show more

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Cited by 5 publications
(3 citation statements)
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“…There is a lot of uncertainty in the market concerning inflation forecasts because of these issues together. Inflation may be predicted using a variety of mathematical models that take into account changes in the economy [32,33].…”
Section: Literature Reviewmentioning
confidence: 99%
“…There is a lot of uncertainty in the market concerning inflation forecasts because of these issues together. Inflation may be predicted using a variety of mathematical models that take into account changes in the economy [32,33].…”
Section: Literature Reviewmentioning
confidence: 99%
“…Before, Ebiwonjumi et al (2022) examined the presence of multicollinearity using the variance inflation factor (VIF) for the explanatory components in Nigeria's economic determinant, whereas Avdiu and Stephan (2022) used VIF to predict US inflation. Because all models employed the same independent variables (see Table 5), this study's additional robustness test based on VIF findings revealed that all independent variables had a VIF value less than 10, indicating that they were free of multicollinearity.…”
Section: Robustness and Correlation Testsmentioning
confidence: 99%
“…It created the algorithm for minimizing the present value of the cycle's total cost. Furthermore, we may refer to articles [22][23][24] for the effect of money inflation on arriving at either optimal total cost or profit. In our review of past literature on the two-warehouse single-product inventory model, due importance is not given to the real-time situation of three-slot partial payment policies or the effect of money inflation offered by the supplier, which is a discount in the prior payment and a penalty in the posterior payment, apart from the partial amount paid at the epoch of the replenishment point.…”
Section: Introductionmentioning
confidence: 99%