The Statistical Estimation And Analysis Of The GDP Deflator

The GDP deflator is a comprehensive index that can accurately reflect a country’s degree of fluctuation in the price level. The GDP deflator’ scope determines it as the best measure of price changes. In this paper, first we discuss the relationship between the GDP deflator and the consumer price index, fixed asset investment, industrial producer price index, then the relationship between economic growth and unemployment rate, and the relationship between economic growth and unemployment with the consumer price index, fixed asset investment index and industrial producer price index. At the same time, through the establishment of VAR model, impulse response function and variance analysis, we can better understanding of the links between these indicators. Conclusion: the consumer price index CPI and fixed asset investment index have the current effect, the industrial producer price index has a lagged effect on the GDP deflator; The price fluctuation and the unemployment rate have the alternative relationship; On a country’s economic growth, the appropriate promotion price level is beneficial to the country’s economic growth.Obtained through more in-depth analysis,the consumer price index, economic growth and the GDP deflator itself to the GDP deflator a unit of impact have a contribution of 91.65%, the contribution of other index is relatively small.