Research on the Interactive Relationship between China's Foreign Exchange Reserves, CPI, Money Supply, and Foreign Investment Based on VAR Model
International Journal of Innovative Science and Modern Engineering (IJISME), 5 (6):
1-4 (June 2018)Abstract
Based on the study of foreign exchange reserves at home and abroad, this paper selects the monthly sample data of China's foreign exchange reserves, CPI, money supply, and foreign investment from 2008/1- 2018/3 (data from the National Bureau of Statistics of China).In order to analyze the potential interaction between China's foreign exchange reserves and CPI, money supply, and foreign investment, we try to use ADF unit root test, explore the co-integration relationship between data, and establish VAR models.