An approach to the causes of the recent Argentine inflationary process: Technology, climate change and international markets

Inflation in Argentina has been fluctuating between moderate and high levels since 2005. In order to do a contribution to the understanding of its causes, two VECM models are estimated for the period October 2004 to February 2016: the “Monetarist Model” and the “Extended model”. Inflation is the dep...

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Autores principales: Zack, Guido, Montané, Martín, Kulfas, Matías
Formato: Artículo publishedVersion
Lenguaje:Español
Publicado: Instituto Interdisciplinario de Economía Política (IIEP UBA-CONICET) 2022
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Acceso en línea:https://ojs.economicas.uba.ar/DT-IIEP/article/view/2428
https://repositoriouba.sisbi.uba.ar/gsdl/cgi-bin/library.cgi?a=d&c=dociiep&d=2428_oai
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Sumario:Inflation in Argentina has been fluctuating between moderate and high levels since 2005. In order to do a contribution to the understanding of its causes, two VECM models are estimated for the period October 2004 to February 2016: the “Monetarist Model” and the “Extended model”. Inflation is the dependent variable in both cases. While the money supply and the activity level are the independent variables in both models, the exchange rate and wages are added in the latter. Results show a better information criterion of the second model, which emphasizes the importance of the inertial component and the exchange rate, whereas wages and money supply play a minor but also active role.