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Food Inflation In India

  • Unique Paper ID: 167181
  • Volume: 11
  • Issue: 3
  • PageNo: 455-463
  • Abstract:
  • Food inflation in India has remained stubborn for years. There are several factors such as increasing demand due to the increase in the wages as a result of a rise in MSP ( minimum support price), upsurge in agriculture cost of production, changing consumption pattern with a shift towards protein-based dietary patterns and drought in certain years have led to the increase in food inflation over years. The paper examines the various demand and supply-side factors that contribute to the upswing in inflation. The paper takes into consideration the various government policy program like MNERGA that leads to an increase in real rural wages and turn the inflation. The study looks at the increase in wages and its effect on inflation by using the Johnson test for cointegration. The empirical evident indicate that MNERGA do have long term impact on food inflation.
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Cite This Article

  • ISSN: 2349-6002
  • Volume: 11
  • Issue: 3
  • PageNo: 455-463

Food Inflation In India

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