Inflation uncertainty and economic growth: evidence from the LAD ARCH model
In this paper, we combined the panel data and least absolute deviation autoregressive conditional heteroscedastic (ARCH) (L 1-ARCH) model to infer on the relationship between inflation uncertainty and economic growth in five emerging market economies. Two interesting findings emerged from the analys...
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| Format: | Article |
| Language: | English |
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Taylor & Francis
2011
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| Online Access: | http://psasir.upm.edu.my/id/eprint/22841/ http://psasir.upm.edu.my/id/eprint/22841/1/Inflation%20uncertainty%20and%20economic%20growth.pdf |
| _version_ | 1848844595263176704 |
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| author | Baharumshah, Ahmad Zubaidi Hamzah, Nor Aishah Muhammad Sabri, Shamsul Rijal |
| author_facet | Baharumshah, Ahmad Zubaidi Hamzah, Nor Aishah Muhammad Sabri, Shamsul Rijal |
| author_sort | Baharumshah, Ahmad Zubaidi |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | In this paper, we combined the panel data and least absolute deviation autoregressive conditional heteroscedastic (ARCH) (L 1-ARCH) model to infer on the relationship between inflation uncertainty and economic growth in five emerging market economies. Two interesting findings emerged from the analysis; first, we confirmed that the inflation uncertainty has a significant and negative effect on economic growth. Second, inflation is also an important variable and it is detrimental to economic prospects in the fast-growing Association of Southeast Asian Nations (ASEAN) economies. All in all, the empirical findings suggest that greater stability in the economy may be desirable in order to stimulate economic growth in the region. |
| first_indexed | 2025-11-15T08:33:25Z |
| format | Article |
| id | upm-22841 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T08:33:25Z |
| publishDate | 2011 |
| publisher | Taylor & Francis |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-228412015-08-26T08:10:47Z http://psasir.upm.edu.my/id/eprint/22841/ Inflation uncertainty and economic growth: evidence from the LAD ARCH model Baharumshah, Ahmad Zubaidi Hamzah, Nor Aishah Muhammad Sabri, Shamsul Rijal In this paper, we combined the panel data and least absolute deviation autoregressive conditional heteroscedastic (ARCH) (L 1-ARCH) model to infer on the relationship between inflation uncertainty and economic growth in five emerging market economies. Two interesting findings emerged from the analysis; first, we confirmed that the inflation uncertainty has a significant and negative effect on economic growth. Second, inflation is also an important variable and it is detrimental to economic prospects in the fast-growing Association of Southeast Asian Nations (ASEAN) economies. All in all, the empirical findings suggest that greater stability in the economy may be desirable in order to stimulate economic growth in the region. Taylor & Francis 2011-01 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/22841/1/Inflation%20uncertainty%20and%20economic%20growth.pdf Baharumshah, Ahmad Zubaidi and Hamzah, Nor Aishah and Muhammad Sabri, Shamsul Rijal (2011) Inflation uncertainty and economic growth: evidence from the LAD ARCH model. Journal of Applied Statistics, 38 (1). pp. 195-206. ISSN 0266-4763; ESSN: 1360-0532 10.1080/02664760903406397 |
| spellingShingle | Baharumshah, Ahmad Zubaidi Hamzah, Nor Aishah Muhammad Sabri, Shamsul Rijal Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title | Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title_full | Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title_fullStr | Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title_full_unstemmed | Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title_short | Inflation uncertainty and economic growth: evidence from the LAD ARCH model |
| title_sort | inflation uncertainty and economic growth: evidence from the lad arch model |
| url | http://psasir.upm.edu.my/id/eprint/22841/ http://psasir.upm.edu.my/id/eprint/22841/ http://psasir.upm.edu.my/id/eprint/22841/1/Inflation%20uncertainty%20and%20economic%20growth.pdf |