• Story Name: Factors in Country Inflation
  • Story Topics: Economics, Government,
  • Datafile Name: Factors in Country Inflation
  • Methods: Regression, Dummy Variable,
  • Abstract:

    The authors of the publication cited as the datafile source were concerned to find factors associated with differences in historical inflation rates among countries. They developed indexes of independence of the central bank from questionnaires about policies and practices as well as from the legal standpoint. Also observed was whether the country was a developed or a developing country. The student should observe the results of regressions of inflation rate on the individual variables as well as on pairs of the variables. Also of interest is whether the stage of economic development is a more important explana- tory factor than is either measure of central bank independence.

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