TY - JOUR AU - Baimaganbetov, Sabit AU - Kelesbayev, Dinmukhamed AU - Baibosynova, Gulzhan AU - Yermankulova, Rima AU - Dandayeva, Botagoz PY - 2021/04/10 Y2 - 2024/03/28 TI - The Impact of Oil Prices on the Food Inflation in Kazakhstan JF - International Journal of Energy Economics and Policy JA - IJEEP VL - 11 IS - 3 SE - Articles DO - UR - https://www.econjournals.com/index.php/ijeep/article/view/10844 SP - 73-79 AB - <p>This paper assesses empirically the effects of real oil price shocks on the food inflation in Kazakhstan for the monthly period 2004-2019 by using a VAR model. Standard unit root tests do not yield reliable results in the presence of breaks. In this regard, Zivot-Andrews (1992) has been tested with the help of unit root test. Food prices have been proven to be I(1) according to the Zivot-Andrews (1992) test, while I(0) is according to the ADF test. In subsequent steps, the causality test of the variables was performed. According to the test, there is a double-chance causality between oil prices and food prices. The short-term effect of the variables is investigated with the help of the VAR model. As a result, crude oil prices have an indirect impact on food prices.</p><p><strong>Keywords:</strong> Kazakhstan, Oil Prices, Food Prices, Inflation, VAR Model, Unit-Root Test</p><p><strong>JEL Classications:</strong> E64, L66, P44, Q41</p><p>DOI: <a href="https://doi.org/10.32479/ijeep.10844">https://doi.org/10.32479/ijeep.10844</a></p> ER -