Afsin Sahin, Yilmaz Akdi
Convergence of inflation indices: evidence from Turkey
Journal of European Economy, Volume 8, Issue 1, March 2009, pp. 21-29
|JEL: E31, C01||Full text (PDF)|
In this paper, we have investigated whether Consumer Price Index (CPI), its seven basic components (Housing, Food, Clothing, Furniture, Health, Transportation, Culture) and Wholesale Price Index (WPI) inflations have converged during the period from 1988:01 to 2007:10. We have found that all series have been converged in respect of the results obtained from the ADF and PP unit root tests. KPSS test results also do not reject the null hypothesis of stationary except for CPI-Housing and Clothing-Housing.