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Causality Between Money and Price Level in India Revisited

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  • Sharma Ram Lal

Abstract

In this study we have used Granger’s test of causality as interpreted by Sims and found out that causality is semi directional from money to price level. This conclusion is independent of the type of definition of money used and is valid whether we choose time period characterized by fixed exchange rate regime or flexible exchange rte regime.

Suggested Citation

  • Sharma Ram Lal, 1987. "Causality Between Money and Price Level in India Revisited," IIMA Working Papers WP1987-06-01_00764, Indian Institute of Management Ahmedabad, Research and Publication Department.
    • Handle: RePEc:iim:iimawp:wp00764
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