CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES

In an international context full of ambiguities, the developing economies are suffering more and more from the relentless increase in the general level of prices, which constitutes a disruptive factor in their macroeconomic equilibrium. The signs of crisis are starting to appear, and cyclical measu...

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Main Authors: Mohamed Aarab, Mariam Lazrak, Hamid El Amrani
Format: Article
Language:English
Published: FINTECH Alliance LLC 2025-02-01
Series:Фінансово-кредитна діяльність: проблеми теорії та практики
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Online Access:https://fkd.net.ua/index.php/fkd/article/view/4491
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author Mohamed Aarab
Mariam Lazrak
Hamid El Amrani
author_facet Mohamed Aarab
Mariam Lazrak
Hamid El Amrani
author_sort Mohamed Aarab
collection DOAJ
description In an international context full of ambiguities, the developing economies are suffering more and more from the relentless increase in the general level of prices, which constitutes a disruptive factor in their macroeconomic equilibrium. The signs of crisis are starting to appear, and cyclical measures are no longer needed to readjust the parameters. Faced with this continuing trend in prices worldwide over the period 2018-2023, it seems essential to look behind the scenes and detail the underlying explanations behind this phenomenon. This article uses Morocco as an example to extract the determinants of inflation over the last decade, through a qualitative investigation of 30 observations. We use factor analysis (PCA) with Direct Oblimin Rotation, with a view to reducing the size of the data collected and deducing the real factors behind the new inflationary dynamic. The results obtained show that the rising inflation in Morocco is primarily driven by imported inflation affected by the COVID-19 pandemic and the Russian-Ukrainian war. Additionally, Internal factors such as economic freedom and the reform of the compensation fund influence in a second row the phenomenon analyzed.
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series Фінансово-кредитна діяльність: проблеми теорії та практики
spelling doaj-art-c08f8ae47b7f44f099b99b2d0b72d2062025-08-20T02:54:54ZengFINTECH Alliance LLCФінансово-кредитна діяльність: проблеми теорії та практики2306-49942310-87702025-02-0116010.55643/fcaptp.1.60.2025.4491CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIESMohamed Aarab0Mariam Lazrak1Hamid El Amrani2PhD Student, Abdelmalek Essaâdi University, Tetouan, MoroccoPhD Student, Abdelmalek Essaâdi University, Tetouan, MoroccoD.Sc. in Economics, Professor of the Department of Economics and Management, Abdelmalek Essaâdi University, Tetouan, Morocco In an international context full of ambiguities, the developing economies are suffering more and more from the relentless increase in the general level of prices, which constitutes a disruptive factor in their macroeconomic equilibrium. The signs of crisis are starting to appear, and cyclical measures are no longer needed to readjust the parameters. Faced with this continuing trend in prices worldwide over the period 2018-2023, it seems essential to look behind the scenes and detail the underlying explanations behind this phenomenon. This article uses Morocco as an example to extract the determinants of inflation over the last decade, through a qualitative investigation of 30 observations. We use factor analysis (PCA) with Direct Oblimin Rotation, with a view to reducing the size of the data collected and deducing the real factors behind the new inflationary dynamic. The results obtained show that the rising inflation in Morocco is primarily driven by imported inflation affected by the COVID-19 pandemic and the Russian-Ukrainian war. Additionally, Internal factors such as economic freedom and the reform of the compensation fund influence in a second row the phenomenon analyzed. https://fkd.net.ua/index.php/fkd/article/view/4491inflationnegative externalitiesmacroeconomicsfactor analysis
spellingShingle Mohamed Aarab
Mariam Lazrak
Hamid El Amrani
CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
Фінансово-кредитна діяльність: проблеми теорії та практики
inflation
negative externalities
macroeconomics
factor analysis
title CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
title_full CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
title_fullStr CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
title_full_unstemmed CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
title_short CONTEMPORARY INFLATION DYNAMICS: DIAGNOSIS AND FACTOR ANALYSIS IN DEVELOPING COUNTRIES
title_sort contemporary inflation dynamics diagnosis and factor analysis in developing countries
topic inflation
negative externalities
macroeconomics
factor analysis
url https://fkd.net.ua/index.php/fkd/article/view/4491
work_keys_str_mv AT mohamedaarab contemporaryinflationdynamicsdiagnosisandfactoranalysisindevelopingcountries
AT mariamlazrak contemporaryinflationdynamicsdiagnosisandfactoranalysisindevelopingcountries
AT hamidelamrani contemporaryinflationdynamicsdiagnosisandfactoranalysisindevelopingcountries