Money growth in Ghana drives inflation, impacting economic stability and growth.
The study looked at how money growth, inflation, and interest rates are connected in Ghana. They used data from different sources and found that money growth affects inflation in both the short and long term. Other factors like interest rates and exchange rates didn't have a significant impact on inflation. The researchers also discovered that inflation causes money growth, suggesting a one-way relationship between the two. To reduce inflation, it was recommended to carefully manage the increase in money supply.