Hassan Rohani , Najibullah Arshad
Although there is no single view on the causes of inflation, however some
considers the improvement in the performance of institutions, including good
governance, as one of the important factors in reducing inflation. The important
question is whether empirically good governance indicators affect inflation. In
This study, effect of Good Governance on Inflation Rate was considered by using
of selected member countries of Middle East, North Africa, Afghanistan, and
Pakistan (MENAP) region in period of 2006 to 2017 in 7 separate pattern. The
results indicate that, logarithm changes of control of corruptions, Vice and
Accountability, and average of good governance have a negative and significant
effect on the logarithm changes of consumer price index growths. On the other
hand, as observed, among the supporting variables the logarithm changes of
government size and trade liberalization have a negative and significant effect
on the logarithm changes of consumer price index growths in the most patterns.