Effects of Retailing Selling Prices of Petrol and Diesel on Food Prices
Nor Ermawati Hussain,
Mohd Shahidan Shaari and
Diana Nabila Chau Abdullah
Additional contact information
Nor Ermawati Hussain: School of Social and Economic Development, Universiti Malaysia Terengganu, Malaysia,
Mohd Shahidan Shaari: School of Business Innovation and Technopreneurship, Universiti Malaysia Perlis, Malaysia,
Diana Nabila Chau Abdullah: Faculty of Business, Economics and Accountancy, Universiti Malaysia Sabah, Malaysia.
International Journal of Energy Economics and Policy, 2018, vol. 8, issue 4, 28-32
Oil is the main commodity for all countries in the world. Hence, the fluctuation in the price of the commodity has alarmed policy makers as it can cause severe problems such as food price inflation. The effects of oil prices on food prices have remained a topic of debate. Therefore this study aims to shed some light on the effects of oil prices (RON95, RON97, diesel) on food prices in Malaysia. The ARDL approach was employed and the results show that the price of petrol does not have any effect on food prices. The price of diesel was found to be detrimental to the economy as it can trigger inflation in the long run. However in the short run, the prices of petrol and diesel do not inflict any food price inflation in Malaysia. Therefore, the Malaysian government should control the price of diesel to avert any food price inflation in the long run.
Keywords: RON95; RON97; diesel; food prices (search for similar items in EconPapers)
JEL-codes: Q18 Q3 Q31 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:eco:journ2:2018-04-4
Access Statistics for this article
International Journal of Energy Economics and Policy is currently edited by Ilhan Ozturk
More articles in International Journal of Energy Economics and Policy from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().