Structural Change and Statistical Test of Dynamic Fluctuation Path of Inflation in China

Structural Change and Statistical Test of Dynamic Fluctuation Path of Inflation in China


Author:Liu Jinquan,Jin Chunyu,Zheng Tingguo Journal:Chinese Journal of Management Science  Date:2006(1)

Keywords Inflation rate; structural change; stability test;

Abstract

In this paper, we use the parameter stability test method to study the dynamic change path of China's inflation rate and find that China's inflation rate sequence has obvious structural transformation characteristics. By using the least squares estimation method with structural transformation point, we obtain the structure of inflation rate in China Transformation point estimation and interval estimation. Combining with the fact of macroeconomic operation in China, we analyze and describe the dynamic process of inflation with structural change characteristics, and give two high inflation intervals since 1984.


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