IDEAS home Printed from https://ideas.repec.org/h/spr/prbchp/978-3-319-99555-7_1.html
   My bibliography  Save this book chapter

Core Inflation Dynamics and Impact of Demand and Supply Shocks: Evidence from India

In: Current Issues in the Economy and Finance of India

Author

Listed:
  • Priyanka Sahu

    (University of Hyderabad)

  • Naresh Kumar Sharma

    (University of Hyderabad)

Abstract

This paper attempts to investigate the impact of demandDemand and supply side factors on core inflationCore inflation in IndiaIndia . First, we empirically calculate core inflationCore inflation through conventional exclusion based measure (excluding food, excluding energy and excluding both food and energy) as well as statistical measure (asymmetric trimmed mean approach). Next, we empirically try to observe the association of core inflationCore inflation with macroeconomic variablesMacroeconomic variables through autoregressive-distributed lag model (ARDLARDL ) and bound test approach. Empirical findings based on ARDL bound test approachARDL Bound Test approach confirms the existence of short run and long run association of core inflationCore inflation with macroeconomic variablesMacroeconomic variables . Overall, the response of core inflationCore inflation to demandDemand -side factors is high in case of real variables as compared to monetary variables and its response to skewnessSkewness -based supply-side factor is high as compared to food and fuel inflationInflation .

Suggested Citation

  • Priyanka Sahu & Naresh Kumar Sharma, 2018. "Core Inflation Dynamics and Impact of Demand and Supply Shocks: Evidence from India," Springer Proceedings in Business and Economics, in: Aswini Kumar Mishra & Vairam Arunachalam & Debasis Patnaik (ed.), Current Issues in the Economy and Finance of India, chapter 0, pages 3-25, Springer.
    • Handle: RePEc:spr:prbchp:978-3-319-99555-7_1
    DOI: 10.1007/978-3-319-99555-7_1
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Priyanka Sahu, 2021. "A Study on the Dynamic Behaviour of Headline Versus Core Inflation: Evidence from India," Global Business Review, International Management Institute, vol. 22(6), pages 1574-1593, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:prbchp:978-3-319-99555-7_1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.