Abstract

As an indispensable agricultural product in people's life, people would like to pay more attention to the price of garlic. The appearance of the sentence you malicious (which means that the price of garlic is so high that people cannot afford) reflects people’s panic. In order to analyze the factors which could influence garlic price, authors used theoretical analysis at first. Then, they listed three variables: average temperature, crude oil price, and M2, as independent variables, to establish a regression model with the dependent variable: garlic price. The result shows that the average temperature has a negative impact on the garlic price, the crude oil price has a positive impact on garlic price, and money supply has a positive impact on garlic price. In addition, owing to the reason that the influence of M2 is much larger than any other factors, it is necessary for governments to control M2 and limit it in a reasonable scope.

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