Analyzing the Pump Diesel and Gasoline Prices on Inflation in Pakistan: A New Evidence from Non-Linear ARDL

Maintaining inflation is one of the prime goals macroeconomic policy executed through country's central bank. The persistence considered a serious problem in developing countries because it erodes standard living majority people. Nowadays, researchers are showing interest energy price shocks as drivers inflation. So, present study examines role pump diesel and gasoline prices on controlling real exchange deprecation urbanization using NARDL from 1990 to 2020. result shows that domestic have positively asymmetric impact Pakistan. In contrast, affect This recommended government decrease dependence imported focus cheaper resources fulfil growing demand.