Price Index Convergence Among Provinces and Cities of Canada: 1978 - 2001

Ajit Dayanandan and Mukesh Ralhan
Additional contact information
Ajit Dayanandan: Department of Economics, University of Northern B.C.

No 504, Econometrics Working Papers from Department of Economics, University of Victoria

Abstract: We study the convergence of price indices for Canadian provinces and cities for the period 1978-2001 for (a) ten provinces and nine commodity/price groups; and (b) fifteen cities a cross Canada and four commodity/price groups using panel unit root tests. The empirical results reject the unit root hypothesis for price data across provinces and cities. The estimated rate of convergence in Canada is comparatively faster than the rates for similar studies reported for U.S. c ities. The empirical results also reveal a relatively faster rate of convergence during the post-inflation targeting period (1991-2001), than earlier.

Keywords: Intra-national PPP; Panel unit root; Canada; CPI; Half-life (search for similar items in EconPapers)
JEL-codes: E31 F41 (search for similar items in EconPapers)
Pages: 15 pages
Date: 2005-05-05
New Economics Papers: this item is included in nep-geo and nep-mac
Note: ISSN 1485-6441
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

Downloads: (external link)
https://www.uvic.ca/socialsciences/economics/_asse ... ometrics/ewp0504.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:vic:vicewp:0504

Access Statistics for this paper

More papers in Econometrics Working Papers from Department of Economics, University of Victoria PO Box 1700, STN CSC, Victoria, BC, Canada, V8W 2Y2. Contact information at EDIRC.
Bibliographic data for series maintained by Kali Moon ().