Access the full text.
Sign up today, get DeepDyve free for 14 days.
References for this paper are not available at this time. We will be adding them shortly, thank you for your patience.
This study examines the nexus between inflation dynamics and economic growth in South Africa. Specifically, the study aims to assess whether the inflation Granger-causes economic growth in South Africa. In order to address the problem of omitted variable bias associated with some previous studies, the study incorporates the employment as a third (intermittent) variable affecting both inflation and economic growth – thereby creating a trivariate causality model. Using the recently developed ARDL-bounds testing approach, the study finds that there is a bidirectional causal relationship between inflation and economic growth in South Africa. The results apply, irrespective of whether the causality model is estimated in the short run or in the long run. Other results show that there is a prima facie causal flow from economic growth to employment in South Africa. JEL Codes: E31, P24, D92, O41 Keywords: Africa, South Africa, inflation, economic growth, ARDL-bounds testing approach
Economics, Management, and Financial Markets – Addleton Academic Publishers
Published: Jan 1, 2013
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.