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University for Business and Technology in Kosovo

2015

Budget deficit

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The Impact Of Budget Deficit On Inflation An Econometric Approach For The Period 1994 – 2012, Ardit Gjeçi, Juljan Hysa Nov 2015

The Impact Of Budget Deficit On Inflation An Econometric Approach For The Period 1994 – 2012, Ardit Gjeçi, Juljan Hysa

UBT International Conference

The aim of research is to define and explain a relation between macroeconomic indicators such as the budget deficit and inflation. Under consideration is taken the period between 1994 – 2012, a period which has had an intensity and greater attention by the internationals in terms of performance of the economy. The paper studies these indicators mainly through econometric model, by considering indicators a function of each other. Main hypothesis of this research is: “If we increase the budget deficit and money supply, the rate of inflation is expected to increase." Based on the inflation model only in relation with …