Excess money supply fuels inflation in Pakistan, tight monetary policy needed.
The article "Money, Inflation, and Growth in Pakistan" explores the connection between increasing money supply and inflation in Pakistan. The researchers found that as the amount of money circulating in the economy grows, inflation also tends to rise. This suggests that inflation in Pakistan is mainly influenced by the amount of money in circulation. The study indicates that controlling the growth of money supply through tighter monetary policies could help reduce inflation in the country.