Price Level Research Articles

The Effect of Price, Public Purchasing Power And Consumption Level on Rice Commodity Inflation in Pangkalpinang City

The purpose of this study is to analyze the effect of price, purchasing power and consumption level on rice commodity inflation in Pangkalpinang City. Rice is a staple food in Indonesia, including in Pangkalpinang, so weakening prices and purchasing power can significantly affect consumption and inflation levels. The method in this study uses a quantitative method with secondary data sourced from the Central Statistics Agency (BPS) and other related agencies in Pangkalpinang City. Data analysis in this study uses regression analysis which aims to determine the relationship between price variables, purchasing power, consumption and inflation. The results of the study indicate that there is a significant influence between rice prices and people's purchasing power on rice consumption levels and inflation in Pangkalpinang. The results of this study are expected to be a reference for local governments and related parties in formulating effective policies to maintain price stability and public welfare, as well as mitigating the negative impacts of inflation.

Investigating the Pass-Through Effect of Global Oil Price Shock on Domestic Inflation in Selected African Countries

The large-scale war between Russia and Ukraine has increased global oil prices, signaling a new era of macroeconomic shock management for both developed and developing countries. Consequently, this study investigates the passthrough effect of oil prices on domestic inflation in selected African countries in a single estimation framework using the global vector autoregressive (GVAR) estimation technique. To achieve the objective of this study, country-specific data were gathered from twenty-one African countries and four foreign countries selected based on trade relations. The results from our estimation demonstrate that the domestic general price level in African countries responds to global oil price shocks. Also, like any other part of the world, a disparity-like response is observable for African countries. This is tightly connected to whether the country is a metal-resource-rich, non-rich resource, or oil-rich country. The study thus concludes that positive shocks in the global price of crude oil will worsen the delicate position of the domestic general price level in non-oil-producing African countries. Efforts to minimize the impact of international oil shocks in these countries should center around investment in renewable energy and stabilization of the economy’s supply side through proactive and effective macroeconomic management.

Used economy market insight: Sailboat industry pricing mechanism and regional effects.

With the popularity of circular economy around the world, transactions in the second-hand sailboat market are extremely active. Determining pricing strategies and exploring their regional effects is a blank area of existing research and has important practical and statistical significance. Therefore, this article uses the random forest model and XGBoost algorithm to identify core price indicators, and uses an innovative rolling NAR dynamic neural network model to simulate and predict second-hand sailboat price data. On this basis, we also constructed a regional effect multi-level model (RE-MLM) from three levels: geography, economy and country to clarify the impact of geographical areas on sailboat prices. The research results show that, first of all, the price of second-hand sailboats fluctuates greatly, and the predicted value better reflects the overall average price level. Secondly, there are significant regional differences in price levels across regions, economies and ethnic groups. Therefore, the price of second-hand sailboats is affected by many factors and has obvious regional effects. In addition, the model evaluation results show that the model constructed in this study has good accuracy, validity, portability and versatility, and can be extended to price simulation and regional analysis of different markets in different regions.

A multi-period inventory model with price, time and service level dependent demand under preservation technology investment

A multi-period inventory model with price, time and service level dependent demand under preservation technology investment

A multi-period inventory model with price, time and service level dependent demand under preservation technology investment

A multi-period inventory model with price, time and service level dependent demand under preservation technology investment

Control of Production Process Material Flows

The article considers mathematical models and algorithms for material flowcontrolin production. Production of bakery goods and downhole equipment are taken as areas of application. Limitations, associated with the specifics of production entities in each area are described, in particular, effective utilization of enterprise warehouse reserves to ensure production process alterations to adapt the plan to market variability in terms of the supply cost and price levels of the manufactured products. It is proposed to automate the enterpriseactivities related to delivery orderplacement for interaction with suppliers, taking into account various factor alterations, as well as a reporting module applicationfor situation assessment and making out reports, simplifying the work of enterprise and departmentmanagers related to decision-making. The operational control of material flows during production is considered. The concept of production material flowcontrol is introduced as a comparison of raw materialamount intended for the productmanufacturing, the amount of raw materialstandard costs in productproduction within the framework of the main production plan and the available corresponding raw material reserves. The problem of material resource control is solved. The conclusions obtained during the study will serve as the basis for the information system development, that includes the compiling a list of materials, accounting of finished product in the warehouse, as well as accounting for ingredients unutilized during the production and remaining in warehouses, creation of a consumed material register and accounting of documents, the system will allow entering data in real time mode.

The Spillover Effects of American Monetary Policy Shifts

The monetary policy of the United States has profound impacts on the global economy and financial markets, and the radical adjustments of the monetary policy of the United States and other developed countries are important attributors of global financial risks. Studying the evolvement of the monetary policy of the Federal Reserve and the spillover effects will help us to predict the direction of the monetary policy of the Federal Reserve in the future, and take initiatives to deal with and prevent the potential risks brought by the changes of the monetary policy. By reviewing the existing literatures, it is found that there is heterogeneity in the impacts of US monetary policy shifts on the price levels, interest rates, exchange rates and financial markets of different economies. In the future, researchs on the spillover impacts of US monetary policy shifts can be related to digital currency, Bitcoin and other virtual currencies.

Research on the development trend of new energy vehicles under the background of price war

In recent years, the new energy vehicle industry has experienced rapid growth, becoming a major market player. This development is highly driven by increased awareness of environmental issues and the advancement of policies and regulations aimed at promoting sustainable transportation. As a result, more consumers and manufacturers are focusing on electric vehicles, leading to significant changes in the automotive market landscape. This article introduces the new energy vehicles market under the background of price war. Although the demand growth slow down and the market recovery lagging temporarily, the market shows broad development space. However, the competition in the new energy market is raging, typically influenced by the price war. Companies had to reduce their profit as many subsidies was delivered by the governments and competitors. And the competition is distinguished in different price level, showing diverse price war feature. In such environment, companies in China are devoted into oversea market, bringing to additional expand and more styles of competitions and development.

Analysis of Italian craft beer consumers: preferences and purchasing behaviour

PurposeIn the current landscape of the beverage market, craft beer has secured a prominent position, attracting consumers seeking high-quality products with distinctive characteristics. This study aims to identify the key drivers of consumer preferences for craft beer attributes.Design/methodology/approachConjoint analysis and cluster segmentation were employed to analyze the preferences of 351 Italian craft beer consumers.FindingsThe preferences of a representative sample were analyzed to identify the utilities associated with various beer attributes, including colour, alcohol level, body, raw material origin and price. The findings indicate that colour is the most highly valued attribute, followed by price and alcohol level. Consumers prefer beers with a lighter colour, a moderate alcohol level between 5 and 7% and an affordable price. Furthermore, beers that emphasize the Italian origin of raw materials are appreciated, demonstrating a strong link with local identity. The segmentation of the sample into three clusters revealed significant differences in preferences. The first cluster preferred light beers at medium prices, the second for amber beers at low prices and the third opted for dark and full-bodied beers.Originality/valueThe findings of this study provide valuable insights for craft beer producers seeking to refine their marketing strategies and product development. Producers can better meet consumers’ evolving preferences by better understanding the diverse needs of consumers and optimizing their offerings in an increasingly competitive market.

Research on the Influencing Factors of Bank-Balance

Today, mathematics is everywhere, especially in the field of finance. This paper investigates the main factors affecting income, this paper expounds the theoretical background of linear regression, then uses linear regression to analyze the correlation between the dependent variable and one or more independent variables, uses a linear equation to estimate the dependent variable, and uses a dataset of multiple economic variables to analyze and process the coefficients of linear regression. The dataset contains 32562 groups of data and this paper will use these data to show the factors that affect bank-balance. This paper considers China's GDP development, consumer price level, tax collection ratio, personal ability, and regional development level, and discusses the impact of various cross-cutting factors on income on this basis. Combined with China's development status and China's social situation, this paper gives a reasonable explanation of the influence of variables on personal income in the process of mathematical model exploration. The variables have significant impact is IsAdult, Gender, Job and Marital Status.

Asymmetric effect of Oil Prices on Inflation in South Africa: An Econometric Approach

The surge in oil price levels remains a world-wide concern, more specifically to oil-importing countries such as South Africa. The dependence on crude oil from these net exporters makes the country vulnerable to external shocks, such as geopolitics. These effects have a pass-through effect to domestic headline inflation, induced by imported inflation. The general objective of the study is to investigate the asymmetric effect that the price of oil has on inflation in South Africa. To achieve these objectives, the study applied the Nonlinear Autoregressive Distributed Lags (NARDL), Error Correction Model (ECM), Pairwise Granger Causality, Impulse Response Function and Variance Decomposition. The bounds test of cointegration revealed that cointegration exists between the observed variables of the study. After estimating the error correction model, the study found that in the short-run, the relationship between a positive change in oil price and inflation is negative and significant. However, the relationship between a negative change in oil price and inflation in the short-run is now positive and significant. Therefore, the correction of disequilibrium will take place in the long run by means of short-run adjustments, with the speed of 1.71%. Pairwise Granger Causality test revealed that a unidirectional relationship occurs from oil prices to inflation. The Variance Decomposition results show that a shock to oil price accounts for a greater percentage of fluctuation in inflation. The Impulse Response Function reveals that within a 10-year period there is a positive response of inflation to oil prices, specifically from year three to year five. The study recommends the South African oil import diversification policy to source oil from multiple exporting countries to ensure steady supply and reduce dependence on any single source. This strategy improves security and reduces vulnerability to oil price shocks and supply disruptions caused by various factors.

Domestic and External Drivers of Inflation in Oil Importing Developing Countries

This paper explores inflation drivers in 12 oil-importing developing economies, focusing on domestic and external drivers, such as monetary policy rate, government expenditure, global oil prices, exchange rate, imports, global food prices, and other factors. The study aims to establish a hierarchy of these drivers from the most to the least significant, which is essential for a better implementation of anti-inflationary policies in oil-importing developing countries. Using Seemingly Unrelated Regression (SUR) model and second-generation panel unit root test to handle cross-sectional dependence, and applying Dumitrescu-Hurlin panel Granger causality approach to confirm SUR outcomes, this research paper revealed for the period between 2000Q1, and 2023Q2 that lagged inflation is the most important driver of current inflation, supporting the theoretical concept of inertial inflation. Unexpectedly, this study showed that monetary policy rate is positively impacting inflation, confirming the presence of the price puzzle. Additionally, monetary base doesn’t have any significant impact on aggregate price level, meaning that the inflation is not a monetary phenomenon for the studied countries. Producer prices, used as a proxy for domestic supply shocks, seemed to have a positive and significant effect on inflation. Government expenditure, trade openness, and global oil prices have notable effects. Even if all the studied countries are oil importers, the impact of oil prices on inflation is mitigated by subsidies and price controls. Finally, inflation is negatively affected by imports and exchange rate. The study underscores the necessity for new central bank tools adapted to these countries context, monetary and fiscal policies coordination, a strategic use of subsidies, and an integrated policy to improve market competition.

Dynamics and Stabilization of Chaotic Monetary System Using Radial Basis Function Neural Network Control

In this paper, we investigated a three-dimensional chaotic system that models key aspects of a monetary system, including interest rates, investment demand, and price levels. The proposed system is described by a set of autonomous quadratic ordinary differential equations. We analyze the dynamic behavior of this system through equilibrium points and their stability, Lyapunov exponents (LEs), and bifurcation diagrams. The system demonstrates a variety of behaviors, including chaotic, periodic, and equilibrium states depending on parameter values. Additionally, we explore the multistability of the system and present a radial basis function neural network (RBFNN) controller design to stabilize the chaotic behavior. The effectiveness of the controller is validated through numerical simulations, highlighting its potential applications in economic and financial modeling.

Cost Analysis Related to Diagnosis, Treatment and Management of Cervical Cancer in Antigua and Barbuda: A Prevalence-Based Cost-of-Illness Study.

Cervical cancer remains a significant public health issue globally. In Antigua and Barbuda, cervical cancer is ranked among the top five most common cancers in terms of incidence and mortality among females. There is no evidence that the costs of diagnosing, treating, and managing this cancer have been studied before in Antigua and Barbuda. From the providers' perspective, this study aimed to estimate costs associated with cervical cancer in Antigua and Barbuda. The prevalence-based cost-of-illness methodology was used to assess patient data abstracted from four study sites for the period 2017-2021, and to derive the annual prevalence. Top-down and bottom-up costing approaches were used to estimate direct medical costs. Costs were computed using the 2021 price level and converted to United States Dollars (USD). Total annual direct medical costs of cervical cancer were estimated at USD 0.24 million (ranging between USD 0.19 million and USD 0.30 million). Major cost drivers were treatment (USD 112,863.76), post-treatment side-effects care (USD 67,406.57), and the diagnostic process (USD 26,238.58). The overall direct medical unit costs for managing a case were estimated at USD 115,822.09. Our study reflects the current estimates for managing cervical cancer and provides evidence to complement cervical cancer prevention and cost containment measures in Antigua and Barbuda.

Unraveling stock market crashes: insights from behavioral psychology

PurposeA novel psychology-based framework is proposed to investigate the causes of stock market crashes.Design/methodology/approachOur approach builds upon the dynamic capital mobility model, expanding it by incorporating bidirectional relationships between investor sentiment and the average stock market price level. Investor sentiment is measured in terms of jumping rates of investors’ attitudes to the stock market in our model. The role and impact of investor sentiment on the average stock market price level are further clarified across various scenarios through simulations.FindingsOur model provides a direct quantification of the influence of investor sentiment on stock market price dynamics, shedding light on an alternative mechanism contributing to stock market crashes alongside fundamental changes. Our simulation results confirm that optimistic investor sentiment can mitigate the magnitude of negative stock market price movements triggered by adverse fundamental changes. Our model also indicates that the stock market price level may exhibit higher volatility than can be attributed to fundamental changes.Research limitations/implicationsOur study only briefly touches on the origins of shifts in investor sentiment by introducing a self-fulfilling feedback loop from the average stock market price level to investor sentiment. In future research, we will identify other key factors contributing to shifts in investor sentiment and subsequently analyze their influence on investor sentiment.Practical implicationsOur findings carry practical implications for recent and future movements in the US stock market. For instance, despite the Federal Reserve’s continuous interest rate hikes since March 2022, the overall optimistic investor sentiment has helped mitigate a severe downward movement in the stock market. However, in the absence of clear indications of a loose monetary policy, a rapid shift of investor sentiment from optimism to pessimism in the US stock market could potentially lead to a historic stock market crash.Originality/valueWhile the significance of investor sentiment in shaping stock market price dynamics, particularly regarding cross-sectional variations of stock returns, is widely recognized, quantifying directly its impact on the average stock market price level has remained a persistent challenge. Only very limited literature has delved into this subject, often hindered by a lack of theoretical support or yielding inconsistent results.

Value for money in humanitarian assistance: How does cost efficiency vary across cash and voucher programmes?

AbstractMotivationCash and voucher assistance has become a key part of humanitarian response over the last decade as it is able to meet people's basic needs during a crisis and it has high cost efficiency relative to traditional in‐kind assistance.Donors have been introducing cost‐efficiency benchmarks—set as cost‐transfer ratios, the ratio of costs of delivery to the value of cash or goods provided to beneficiaries—for cash and voucher programmes. These benchmarks function as price ceilings for humanitarian agencies providing cash and voucher assistance. The welfare effects of these price ceilings, however, are unclear. They could induce greater efficiency, depending on the cost function for cash and voucher assistance programmes, but they could also have widely different consequences across contexts and could even undermine equity.PurposeWe ask what determines the cost‐transfer ratios of cash and voucher assistance programs? How do cost‐transfer ratios vary by size of benefit delivered, local cost levels, scale of programme, and region? What do the results imply for setting cost‐efficiency benchmarks and humanitarian programming?Approach and methodsWe use a novel set of cost‐efficiency data for 31 humanitarian cash and voucher assistance programmes to examine the variation in delivery costs for humanitarian cash and voucher programmes, and to understand what causes these delivery costs to vary. Regression analysis is used to see the impacts of different characteristics of the programmes on their cost‐transfer ratios.FindingsWe find substantial variation in cost‐transfer ratio efficiency across cash and voucher assistance programmes based on their design and context. Programme scale and local price levels explain the largest fraction of variation: larger programmes and contexts with high local prices tend to push down cost‐transfer ratios.Policy implicationsBenchmarks for cost‐efficiency should be specific to context. Global price ceilings for cash and voucher assistance are likely to undermine quality delivery in contexts where local price levels are low and programmes are small, without fully capturing possible efficiency gains in other contexts. This finding, intuitive to economists familiar with economies of scale, runs counter to views common within humanitarian agencies, where limited budgets—budgets insufficient to meet needs—are thought to have the effect of improving cost‐efficiency.Programmes designed around data‐driven benchmarks offer at least as much leverage as price ceilings for improving the value for money of cash and voucher assistance programmes.

Regional aspects of availability of expectorants and antitussive drugs

Background. In the Russian Federation (RF), the problems of supplying the population with medicines are associated with both their physical and economic accessibility, which are heavily dependent on such various external shocks as pandemic, special military operation and other ones. There is a regional differentiation in the availability of individual drugs and their price levels, which determines the variability of market responses to external shocks and government-developed mechanisms for stabilizing markets.Objective: to reveal regional availability dependencies of antitussive drugs and expectorants.Material and methods. The study was carried out using data from the online retail sales analytics service in the RF, which forms a database based on cash receipts containing information on the sales price of drugs for 55 trade names (TNs) for the period from January 1, 2021 until December 31, 2023 in the context of 83 RF constituent entities. Analysis included assessment of the structure of medicines sold by their composition, place of production, inclusion in the list of vital and essential drugs, as well as dynamics, variations and spatial autocorrelation of prices, availability of medicines in the regions of RF.Results. Availability of the range increased for 35 out of 55 drugs under review while all TNs under consideration in 2023 were represented only in 5 RF constituent entities. Prices were characterized by high variation both in TNs and RF constituent entities, varying from 13% (Doktor MOM®) to 181% (Kuka). The dynamics of prices for domestic and foreign produced drugs until 2022 and after this timepoint differed. The economic availability of medicines in terms of TNs and RF constituent entities was in a very wide range (from 0.003 to 1.4 daily median income). These differences were not chaotic, but spatially dependent: positive spatial autocorrelation of prices was established.Conclusion. The analysis revealed a different range and affordability of drugs in regions where external shocks have a significant influence on their dynamics. At the same time, we observed the variability of the restoration rate of spatial equilibrium of drug markets in terms of TNs and their different regional economic and assortment availability, that should be considered when designing stabilization activities.

Investigating the Effectiveness of India’s Monetary Policy in Controlling Inflation and Maintaining Price Stability

This study examines how India’s monetary policy impacts inflation and contributes to price stability. Using secondary data from sources like the IMF, RBI, and the World Bank, the research employs trend analysis and statistical regression to establish a linear relationship between inflation and the bank rates set by the country's central bank. It specifically explores the connection between the repo rate and inflation. Given India’s large informal sector, the study investigates the channels through which changes in interest rates, money supply, and banking regulations influence the economy and affect price levels. Additionally, the research assesses the effectiveness of these tools under different economic conditions, such as periods of economic growth or recession. The findings suggest that while the repo rate and central bank policies do impact inflation to some extent, other economic factors also play a significant role. Therefore, implementing a robust monetary policy can help control inflation, stabilize prices, and foster overall economic growth.

The Impact of Exchange Rate Volatility on The Inflation Rate: Evidence from Turkey

Exchange rate volatility can directly impact the general price level by causing changes in the costs of imported goods and services. In developing economies such as Turkey, sensitivity to exchange rate movements can be more pronounced due to a high dependence on imports and external financing sources. In this study, the relationship between variables was analyzed within the framework of the VAR model using the logarithmic values of monthly data spanning from January 2003 to May 2024. The cointegration test revealed that the variables are cointegrated in the long run and do not move independently of each other. The Granger causality test found a one-way causality at the 1% significance level, where M1 money supply affects both the exchange rate and inflation, and inflation affects the exchange rate. Based on the results obtained from the VAR models, variance decomposition analysis indicates that in Turkey, the primary driver of inflation is changes in the M1 money supply. Impulse response functions reveal that the effect of inflation on the exchange rate lasts for eight periods and ceases after the eighth period. In contrast, the response of inflation to M1 money supply persists for ten periods, exhibiting a slight increasing and decreasing trend after the seventh period. Therefore, in the formulation of economic policies, the effects of exchange rate and M1 money supply on inflation should be carefully analyzed and appropriate strategies should be determined.

Optimal dynamic pricing and green design under carbon-reduction competition considering social influence

The concept of green design is a design idea that focuses on environmental protection and sustainability. Green design has become the core competitiveness of enterprises. So this paper explores competitive pricing and green design strategy of firms in the context of carbon reduction. In the analysis of the effect of social influence, consumer environmental awareness is also considered. And two research scenarios are examined: Price competition in single carbon reduction scenario; Competition in pricing and green level under dual carbon reduction scenario. The results indicate that social influence and consumer environmental awareness interactively and significantly affect corporate decisions; Social influence positively promotes firms’ profit and is not always disadvantageous for competitors’ profit; In equilibrium, when one firm makes a green transformation, it achieves the win-win situation of not only improving environmental performance but also maximizing economic benefits. However, the induced environmental improvements and economic benefits of competitive enterprises are not necessarily ideal. The study results provide optimal strategies for competitive and environmental actions of enterprises, and also provide management insight for the sustainable development of enterprises.