The role of economic policies in reducing imported inflation (A case study on the Arab Republic of Egypt in the period (2002-2023).

Document Type : Original Article

Author

vice dean of faculty of law for Education and Students' Affairs Assistant Professor of Economics and Public Finance Head of Economics and Finance department Faculty of Law - Aswan University

Abstract

Inflation is one of the most important economic problems, and although there is still debate about its causes and appropriate policies to control inflation, it can be said that inflation is generally affected by internal and external factors. The importance of internal and external factors varies depending on the nature of the economy and the degree of external openness. External factors are one of the most important causes of inflation, especially in developing countries, and are known as the phenomenon of imported inflation. Imported inflation is affected by a number of factors, the most important of which is the dependence of countries on goods and services imported from abroad to advance their development, through exports that provide the necessary foreign exchange to finance their various imports of consumer and capital goods that they need for the economic and social development process in them, as these imports cover a large part of domestic demand due to the weakness of the productive apparatus, and as a result of fluctuations in global prices for many of the goods they export and import, as well as the decline in the value of their currencies, which results in Inflationary pressures from abroad leak into the economy through many channels. This research deals with analyzing the phenomenon of imported inflation, measuring and estimating the imported inflation rate in the Egyptian economy, and identifying the most important factors affecting the phenomenon of imported inflation in the Egyptian economy during the period (2002-2023).

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