Abstract
This study tries to identify causes of inflation in Sub-Saharan Africa by employing econometrics to analyse annual panel data for 35 countries from 1971-90. The findings suggest that monetary growth, the rate of domestic currency depreciation, and the expectation of inflation have positive effects on inflation, while expansion of per capita food production as well as overall economic growth serve to reduce inflation rates. We are unable to detect positive effects of fiscal deficit variables, foreign inflation rates, or the growth of import prices on the domestic inflation rates. Copyright 1995 by Oxford University Press.
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