Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach
Abstract & Details
Research Area
Macroeconomics
Keywords
inflation rate
unemployment
VECM
and India
Abstract
Abstract
The purpose of this study is to investigate the relationship between inflation and unemployment in India. The study is based on secondary data for the period of 1991 to 2016. This paper used the vector error correction model to find the causality link between inflation and unemployment. The result reveals that, there is no causality running between inflation and unemployment in the short run. However, there is one direction of causality running from unemployment to inflation in the long run in India. These findings support the existence of the Phillips curve in the long run in India.
License
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Author Information
| # | Name | Institute / Affiliation |
|---|---|---|
| 1 | Anup Sinha | Assam University |
How to Cite
Use the following formats to cite this article in your research.
APA Style
Sinha, Anup (2017). Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach. International Journal of Advance Research and Innovative Ideas In Education, 3(6), 1608-1613.
MLA Style
Sinha, Anup. "Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach." International Journal of Advance Research and Innovative Ideas In Education, vol. 3, no. 6, 2017, pp. 1608-1613.
IEEE Style
Anup Sinha, "Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach," International Journal of Advance Research and Innovative Ideas In Education, vol. 3, no. 6, pp. 1608-1613, 2017.
Vancouver Style
Sinha Anup. Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach. International Journal of Advance Research and Innovative Ideas In Education. 2017;3(6):1608-1613.
Harvard Style
Sinha, Anup (2017) 'Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach', International Journal of Advance Research and Innovative Ideas In Education, 3(6), pp. 1608-1613.
Chicago Style
Sinha, Anup. "Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach." International Journal of Advance Research and Innovative Ideas In Education 3, no. 6 (2017): 1608-1613.
Turabian Style
Sinha, Anup. "Relationship between Inflation and Unemployment in India: Vector Error Correction Model Approach." International Journal of Advance Research and Innovative Ideas In Education 3, no. 6 (2017): 1608-1613.
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