Bangladesh Bank seminar argues inflation differential is a monetary phenomenon


Researchers from the Bangladesh Bank today (August 13) presented the findings of a study into the reasons behind differences in inflation between India and Bangladesh, arguing that money supply was most important in determining the differential.

Biru Paksha Paul and Hassan Zaman discussed the results of an autoregressive distributed lag model based on data from 1979–2010, showing that inflation was higher in Bangladesh when the money supply was growing faster than in India.

"After accounting for

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