Detailed Information on Publication Record
2022
Comparison of the Relationship between CPI and PPI in the Czech Republic and Slovakia
KRKOŠKOVÁ, RadmilaBasic information
Original name
Comparison of the Relationship between CPI and PPI in the Czech Republic and Slovakia
Authors
KRKOŠKOVÁ, Radmila (203 Czech Republic, guarantor, belonging to the institution)
Edition
Jihlava, 40th International Conference Mathematical Methods in Economics 2022, p. 199-204, 6 pp. 2022
Publisher
College of Polytechnics Jihlava
Other information
Language
English
Type of outcome
Stať ve sborníku
Field of Study
10102 Applied mathematics
Country of publisher
Czech Republic
Confidentiality degree
není předmětem státního či obchodního tajemství
Publication form
electronic version available online
References:
RIV identification code
RIV/47813059:19520/22:A0000328
Organization unit
School of Business Administration in Karvina
ISBN
978-80-88064-62-6
Keywords in English
ADF test; CPI; Granger causality; impulse-response function; PPI; VEC model
Změněno: 16/9/2022 09:29, Mgr. Radmila Krkošková, Ph.D.
Abstract
V originále
The goal of this article is to investigate the existence and character of the relationship between the Consumer Price Index (CPI) and the Producer Price Index (PPI) for the Czech Republic and Slovakia. Is there a relationship between the CPI and PPI? The CPI-PPI indicator also has a strong correlation with the overall growth rate of the economy. The smaller the difference between CPI-PPI, the higher the operating cost of the enterprise, the lower the profit of the enterprise, the slower growth of the profit of the enterprise, and the slower economic growth. The existence of a long-run equilibrium relationship between CPI and PPI has been tested with the Johansen cointegration. The existence of a long-run equilibrium relationship between CPI and PPI was confirmed in the case of Slovakia. The short-run dynamics were confirmed through statistical methods such as VEC model, Granger causality, and impulse-response function. Granger causality CPI→PPI was confirmed in Slovakia, and the causality PPI→CPI was confirmed in the Czech Republic. The EViews 12 was used for data evaluation. The results are based on the analysis of the data from Eurostat from January 2005 to June 2021 for the Czech Republic and Slovakia.