Implementation of Equilibrium-Price Model to the Estimation of Import Inflation

Authors

  • Yadulla Hasanli Head of Department of Modeling Social-Economical Processes, Cybernetics Institute of Azerbaijan National Academy of Sciences
  • Jeyhun Abbasov
  • Murad Yusif Yusifov

DOI:

https://doi.org/10.18533/ijbsr.v5i4.697

Keywords:

Equilibrium-price model, gross output, gross value added, input-output table.

Abstract

This study aims at investigating the the import inflationary processes as a result of feedbacks of mutual economic relations of World countries. It is used Equilibrium Price Model to estimate the import inflationary processes in CIS countries. The study investigates the further results regarding the import inflationary processes in the CIS countries on the scenario of increasing the Value Added norm in Russia. As well as by standpoint of economic growth and price stability, the recent revaluation of US dollar in the World and its impacts to total output of other countries have been investigated in details. In other words due to revaluation of the US dollar, if the final product decreases in USA, this decreasing impact how to be transmitted to the world countries have been estimated by the Input-Output Table in this study as well. The work is fulfilled on the Input-Output data for the year 2011. This study assumes theoretical and practical importance in defining the monetary policy.

Author Biography

  • Murad Yusif Yusifov
    Central Bank of the Republic of Azerbaijan, Statistic Department,Leading specialist

References

Brown, D. M. and Giarratani, F., (1979) Input-output as a simple econometric model: A Comment. The Review of Economics and Statistics , Vol. 61 (No. 4), pp621-623.

Hasanli, Y., (2011) “Modelling interindustry relations of the economy of Azerbaijan”. Baku.

Hasanli, Y., & Abbasov, J. (2012). Assessment of the mutual economic relations of the countries of the world on the basis of input-output table. International Conference on Economic Modeling. EcoMod2012. 2012. Seville, Spain.

Hasanli, Y., & Abbasov, J. (2014). The research of mutual economic relations of the world countries on the basis of input-output table. Economics World , Vol. 2, No. 4, pp. 215-222. USA.

Hasanli, Y. & Imanov, G., (2001) Social-economic development models of Azerbaijan. Baku.

Hasanli, Y. & Moghsoudi, N., (2011) Analysis of impact of oil shocks on Iran's economic situation by input-output schedules . Actual problems of economics , №8 (122), pp399-409. Ukraine.

Leontief, W. (1979) Environmental repercussions and the economic structure: An Input-Output Approach. Review of Economics and Statistics , 52 (3), pp262-271.

The European Commission (2012) The World Input‐Output Database (WIOD): Contents, Sources and Methods.

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Published

2015-04-08

Issue

Vol. 5 No. 4 (2015): April

Section

Article

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