Have a personal or library account? Click to login
The Non-Linear Relationship Between Fiscal Deficits And Inflation: Evidence From Africa Cover

The Non-Linear Relationship Between Fiscal Deficits And Inflation: Evidence From Africa

South East European Journal of Economics and Business
Volume 10 (2015): Issue 2 (December 2015)
By: Nurudeen Abu and  Mohd Zaini Abd Karim  
Open Access
|Jan 2016

References

  1. Abu, N. and Karim, M. Z. A. 2012. Inflationary effects of fiscal deficits in developing countries: Empirical evidence from Africa. A paper presented at the Universiti Putra Malaysia National Research & Innovation Conference for Graduate Students in Social Sciences, December, 276-286.
    Search in Google Scholar
  2. Ahking, F. W. and Miller, S. M. 1985. The relationship between government deficits, money growth and inflation. Journal of Macroeconomics 7: 447-467.
    Search in Google Scholar
  3. Alesina, A. and Drazen, A. 1991. Why are stabilizations delayed?. American Economic Review 81 (5): 1170-1188.
    Search in Google Scholar
  4. Amato, J. D. and Gerlach, S. 2002. Inflation targeting in emerging market and transition economies: Lessons after a decade. European Economic Review 46: 781-790.10.1016/S0014-2921(01)00213-6
    Search in Google Scholar
  5. Anoruo, E. C. 2003. An empirical investigation into the budget deficit-inflation nexus in South Africa. South African Journal of Economics 71 (2): 146-154.10.1111/j.1813-6982.2003.tb01309.x
    Search in Google Scholar
  6. Arellano, M. and Bond, S. 1991. Some tests of specification for panel data: Monte Carlo evidence and an application to employment equations. Review of Economic Studies 58: 277-297.10.2307/2297968
    Search in Google Scholar
  7. Asiedu, E. 2006. Foreign direct investment in Africa: The role of natural resources, market size, government policy, institutions and political instability. World Economy 29 (1): 63-77.10.1111/j.1467-9701.2006.00758.x
    Search in Google Scholar
  8. Catao, L. and Terrones, M. E. 2005. Fiscal deficits and inflation. Journal of Monetary Economics 52: 529-554.10.1016/j.jmoneco.2004.06.003
    Search in Google Scholar
  9. Cottarelli, C., Griffiths, M. and Moghadam, R. 1998. The non-monetary determinants of inflation: A panel data study. IMF Working Paper 23.10.2139/ssrn.882254
    Search in Google Scholar
  10. Cukierman, A., Edwards, S. and Tabellini, G. 1992. Seigniorage and political instability. American Economic Review 82: 537-555.
    Search in Google Scholar
  11. De Haan, J. and Zelhorst, D. 1990. The impact of government deficits on money growth in developing countries. Journal of International Money and Finance 9: 455-469.10.1016/0261-5606(90)90022-R
    Search in Google Scholar
  12. Edwards, S. and Tabellini, G. 1991. Explaining fiscal policies and inflation in developing countries. Journal of International Money and Finance 10: 16-48.10.1016/0261-5606(91)90045-L
    Search in Google Scholar
  13. Fischer, S. 1993. The role of macroeconomic factors in growth. Journal of Monetary Economics 32: 485-512.10.1016/0304-3932(93)90027-D
    Search in Google Scholar
  14. Fischer, S., Sahay, R. and Vegh, S. 2002. Modern hyper and high inflations. Journal of Economic Literature XL: 837-880.10.1257/jel.40.3.837
    Search in Google Scholar
  15. Habibullah, M. S., Cheah, C. and Baharom, A. H. 2011. Budget deficits and inflation in thirteen Asian developing countries. International Journal of Business and Social Science 2 (9): 192-204.
    Search in Google Scholar
  16. Hamburger, M. J. and Zwick, B. 1981. Deficit, money and inflation. Journal of Monetary Economics 7: 141-150.
    Search in Google Scholar
  17. Jacobs, D., Schoeman, N. J. and Van Heerden, J. H. 2002. Alternative definitions of the budget deficit and its impact on the sustainability of fiscal policy in South Africa. South African Journal of Economics 70 (3): 251-257.10.1111/j.1813-6982.2002.tb01303.x
    Search in Google Scholar
  18. Jalil, A., Tariq, R. and Bibi, N. 2014. Fiscal deficit and inflation: New evidences from Pakistan using a bounds testing approach. Economic Modelling 37: 120-126.10.1016/j.econmod.2013.10.029
    Search in Google Scholar
  19. Karras, G. 1994. Macroeconomic effects of budget deficits: Further international evidence. Journal of International Money and Finance 13: 190-210.10.1016/0261-5606(94)90015-9
    Search in Google Scholar
  20. King, R. G. and Plosser, C. I. 1985. Money, deficits and inflation. Carnegie-Rochester Conference Series on Public Policy 22: 147-96.
    Search in Google Scholar
  21. Larsson, R, Lyhagen, J. and Löthgren, M. 2001. Likelihood-based cointegration tests in heterogeneous panels. Econometrics Journal 4: 109-142.10.1111/1368-423X.00059
    Search in Google Scholar
  22. Lin, H-Y. and Chu, H-P. 2013. Are fiscal deficits inflationary?. Journal of International Money and Finance 32: 214-233.10.1016/j.jimonfin.2012.04.006
    Search in Google Scholar
  23. Marco, B. and Butters, R. A. 2010. What is the relationship between large deficits and inflation in industrialized countries?. Federal Reserve Bank of Chicago Economic Perspectives Q3: 83-100.
    Search in Google Scholar
  24. McMillin, W. D. and Beard, T. R. (1982). Deficits, money and inflation. Journal of Monetary Economics 10: 273-277.
    Search in Google Scholar
  25. Metin, K. 1998. The relationship between inflation and the budget deficits in Turkey. Journal of Business and Economic Statistics 16 (4): 412-422.
    Search in Google Scholar
  26. Paun, C. and Topan, V. 2013. The monetary causes of inflation in Romania. Romania Journal of Economic Forecasting 1: 5-23.
    Search in Google Scholar
  27. Pedroni, P. 1995. Panel cointegration: Asymptotic and finite sample properties of pooled time series tests with an application to the PPP hypothesis. Indian University Working Papers on Economics.
    Search in Google Scholar
  28. Pedroni P. 1999. Critical values for cointegration tests in heterogeneous panels with multiple regressors. Oxford Bulletin of Economics and Statistics (Special Issue) 0305-9049: 653-670.10.1111/1468-0084.61.s1.14
    Search in Google Scholar
  29. Perkarski, S. 2008. Budgets deficits and inflation feedback. CORE Discussion Paper 54.
    Search in Google Scholar
  30. Rother, P. C. 2004. Fiscal policy and inflation volatility. European Central Bank Working Paper Series 317.10.2139/ssrn.515081
    Search in Google Scholar
  31. Sahan, F. and Bektasoglu, Y. 2010. Panel cointegration analysis of budget deficit and inflation for EU countries and Turkey. A Paper presented at the Izmir University of Economics 6th Internatioanl Student Conference, Izmir, Turkey.
    Search in Google Scholar
  32. Sargent, T. and Wallace, N. 1981. Some unpleasant monetarist arithmetic. Federal Reserve Bank of Minneapolis Quarterly Review 1-17.10.21034/qr.531
    Search in Google Scholar
  33. Shahin, W. N. 1992. Money supply and deficit financing in economic development. Westport Connecticut, Greenwood.
    Search in Google Scholar
  34. Sill, K. 2005. Do budget deficits cause inflation?. Business Review Q3: 26-33.
    Search in Google Scholar
  35. Solomon, M. and de Wet, W. A. 2004. The effect of a budget deficit on inflation: The case of Tanzania. South African Journal of Economic and Management Sciences 7 (1): 100-116.10.4102/sajems.v7i1.1431
    Search in Google Scholar
  36. Sutherland, A. 1997. Fiscal crises and aggregate demand: Can high public debt reverse the effects of fiscal policy?. Journal of Public Economics 65: 147-162.10.1016/S0047-2727(97)00027-3
    Search in Google Scholar
  37. Tan, E. C. 2006. Fiscal deficits, inflation, and economic growth in a successful open developing economy. Review of Applied Economics 12 (1): 129-139.
    Search in Google Scholar
  38. Tekin–Koru, A. and Özmen, E. 2003. Budget deficits, money growth and inflation: The Turkish evidence. Applied Economics 35 (5): 591–596.10.1080/0003684022000025440
    Search in Google Scholar
DOI: https://doi.org/10.1515/jeb-2015-0013 | Journal eISSN: 2233-1999
Journal RSS Feed
Language: English
Page range: 102 - 112
Published on: Jan 13, 2016
Published by: University of Sarajevo
In partnership with: Paradigm Publishing Services
Publication frequency: 2 issues per year
Keywords:
Fiscal deficits,
inflation,
Africa
Related subjects:
Business and economics,
Political economics,
Political economics, other,
Business management,
Business management, other

© 2016 Nurudeen Abu, Mohd Zaini Abd Karim, published by University of Sarajevo
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Previous articleVolume 10 (2015): Issue 2 (December 2015)