TY - JOUR AU - Esquivel, Gerardo AU - Razo, Raúl PY - 2003/07/01 Y2 - 2024/03/28 TI - Sources of inflation in Mexico, 1989-2000: A multicausal error correction analysis JF - Estudios Económicos de El Colegio de México JA - EE VL - 18 IS - 2 SE - Articles DO - 10.24201/ee.v18i2.184 UR - https://estudioseconomicos.colmex.mx/index.php/economicos/article/view/184 SP - 181-226 AB - <p>This article analyzes the determinants of inflation in Mexico during the 1989–2000 period. Inflation is modeled as a function of deviations in the long-run relations that may exist in the monetary, labor and exchange rate markets. By using cointegration techniques, we obtain an error-correction model where money excess, wage pressure and deviations of the Purchasing Power Parity are possible sources of inflation. The model includes an inertial factor and a policy component due to government-controlled price changes in certain goods. The results show that all the factors mentioned have contributed to the determination of the inflationary dynamics in Mexico.</p> ER -