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4/2025 vol. 18
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ARTYKUŁ ORYGINALNY
Non-Linearity between Inflation and Economic Growth in Emerging Economies: A Threshold Regression Approach
Suresh Kumar Patra 1
,
 
Ansar Hussain 2
,
 
Mahesh Barale 2
 
 
 
Więcej
Ukryj
1
Department of Economics, Central University of Rajasthan, India
 
2
Economics, Central University of Rajasthan, India
 
Zaznaczeni autorzy mieli równy wkład w przygotowanie tego artykułu
 
 
Data nadesłania: 06-08-2025
 
 
Data akceptacji: 03-09-2025
 
 
Data publikacji online: 09-03-2026
 
 
Data publikacji: 09-03-2026
 
 
Autor do korespondencji
Suresh Kumar Patra   

Department of Economics, Central University of Rajasthan, Ajmer, India
 
 
Economic and Regional Studies 2025;18(4):472-490
DOI: https://doi.org/10.2478/ers-2025-0033
 
 
Artykuł (PDF, 762.02 kB)
Referencje (52)
 
SŁOWA KLUCZOWE
EMEs
Economic growth
Inflation
Threshold
 
KODY KLASYFIKACJI JEL
F43
O40
E31
E52
 
DZIEDZINY
STRESZCZENIE
Subject and purpose of work: This study investigates the threshold effect of inflation on economic growth in 14 Emerging Market Economies (EMEs) using annual data from 1990 to 2022. Materials and methods: Applying Hansen’s (1996, 2000) endogenous TAR model, we estimate both country-specific and panel-level inflation thresholds. Results reveal a non-linear relationship: inflation below 9.9977% supports growth, while higher rates hinder it. Results: Results reveal a non-linear relationship: inflation below 9.9977% supports growth, while higher rates hinder it. Country-specific analyses show consistent single thresholds ranging from 2.46% to 11.65%, with an average of 6.79%, aligning closely with the literature’s 6% benchmark. Conclusions: These findings highlight the importance of tailored inflation-targeting policies to maintain macroeconomic stability and promote sustainable growth across emerging market economies.
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