{ "title": "Inflation in Pakistan: Money or Wheat?", "publication": "IMF Working Papers, March 1, 2006", "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793", "canonical": "https://www.imf.org/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793", "overlayPath": "/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/index.md", "summary": "This paper examines the relative importance of monetary factors and structuralist supply-side factors for inflation in Pakistan.", "sections": [ { "heading": "Overview", "content": "- Authors: Mohsin S. Khan, Axel Schimmelpfennig\n- Publication date: March 1, 2006\n- Publication type: IMF Working Papers, Working Paper No. 2006/060, Issue: 060, Volume: 2006\n- Pages: 28\n- DOI: https://doi.org/10.5089/9781451863208.001\n- Stock No: WPIEA2006060\n- ISBN: 9781451863208\n- ISSN: 1018-5941\n- Subjects: Agricultural prices, Consumer price indexes, Inflation, Monetary base, Price incentives\n- Keywords: support price, wheat support price, WP" }, { "heading": "Research question and model", "content": "- Examines the relative importance of monetary factors and structuralist supply-side factors for inflation in Pakistan.\n- Specifies a stylized inflation model including:\n - Standard monetary variables: money supply, credit to the private sector\n - Exchange rate\n - Wheat support price as a supply-side factor\n- Estimation period: January 1998 to June 2005 on a monthly basis" }, { "heading": "Key findings", "content": "- Monetary factors have played a dominant role in recent inflation.\n- Monetary factors affect inflation with a lag of about one year.\n- Changes in the wheat support price influence inflation in the short run, but not in the long run.\n- The wheat support price matters over the medium term only if accommodated by monetary policy." }, { "heading": "Implications (implicit from results)", "content": "- Controlling monetary expansion is central to managing inflation over the medium and long term in Pakistan.\n- Short-run food price policies (wheat support price adjustments) can affect inflation temporarily, but their persistent inflationary impact depends on monetary policy accommodation." }, { "heading": "Additional publication notes", "content": "- The Working Paper describes research in progress and the views expressed are those of the author(s) and do not necessarily represent those of the IMF or IMF policy.\n- Access formats and distribution: Download PDF and multiple citation export formats available.\n\nSource: IMF Working Paper \"Inflation in Pakistan: Money or Wheat?\" by Mohsin S. Khan and Axel Schimmelpfennig, March 1, 2006.\n\n---\n\n Content in this bundle\n\n- Wp0660\n - Wp0660 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n - Wp0660 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793" } ], "bullets": [ "[Markdown version](/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/index.md)", "[Structured JSON version](/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/index.json)", "[Bundle manifest](/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/bundle-manifest.json)", "Authors: Mohsin S. Khan, Axel Schimmelpfennig", "Published: March 1, 2006", "Series: IMF Working Papers", "DOI: https://doi.org/10.5089/9781451863208.001", "Authors: Mohsin S. Khan, Axel Schimmelpfennig", "Publication date: March 1, 2006", "Publication type: IMF Working Papers, Working Paper No. 2006/060, Issue: 060, Volume: 2006", "Pages: 28", "DOI: https://doi.org/10.5089/9781451863208.001", "Stock No: WPIEA2006060", "ISBN: 9781451863208", "ISSN: 1018-5941", "Subjects: Agricultural prices, Consumer price indexes, Inflation, Monetary base, Price incentives", "Keywords: support price, wheat support price, WP", "Examines the relative importance of monetary factors and structuralist supply-side factors for inflation in Pakistan.", "Specifies a stylized inflation model including:", "Estimation period: January 1998 to June 2005 on a monthly basis", "Monetary factors have played a dominant role in recent inflation.", "Monetary factors affect inflation with a lag of about one year.", "Changes in the wheat support price influence inflation in the short run, but not in the long run.", "The wheat support price matters over the medium term only if accommodated by monetary policy.", "Controlling monetary expansion is central to managing inflation over the medium and long term in Pakistan.", "Short-run food price policies (wheat support price adjustments) can affect inflation temporarily, but their persistent inflationary impact depends on monetary policy accommodation.", "The Working Paper describes research in progress and the views expressed are those of the author(s) and do not necessarily represent those of the IMF or IMF policy.", "Access formats and distribution: Download PDF and multiple citation export formats available.", "**Wp0660**" ], "related": [ { "title": "Wp0660", "role": "document", "sourceUrl": "https://www.imf.org/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2006/_wp0660.pdf", "summary": { "path": "/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2006/_wp0660.pdf.md", "mime": "text/markdown" }, "binary": { "path": "/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2006/_wp0660.pdf", "mime": "application/pdf" } } ], "alternates": { "markdown": "/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/index.md", "json": "/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/index.json", "bundleManifest": "/en/publications/wp/issues/2016/12/31/inflation-in-pakistan-money-or-wheat-18793/bundle-manifest.json" }, "generatedAtUtc": "2026-09-17T16:22:16.147Z" }