Effects of Volatility of Energy Price on Land Transportation Sector's Value Added and Inflation
Transportation sector is an important part of economics which has many effects on other sectors. Operation of this sector depends on energy. Therefore, energy price changes affect on value added and inflation of this sector and have important effect on main variables of economics. In this paper, effects of volatility of energy price are surveyed on value added and inflation of land transportation sector and it's intensity on these two variables with VECM, Impulse response. The results revealed the indirect effect of volatility of energy price on value added and direct effect on inflation in land transportation sector. Second hypothesis as more effects of volatility of energy price on inflation respect to value added in this sector, is accepted.
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