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Monetary policy management implications on the movement of agricultural prices in Nigeria

Price instability is the most serious problem in Nigerian agricultural sector today. Money supply and exchange rate are some perceived factors causing instability in agricultural prices. This study evaluated the long-run neutrality of money supply on agricultural prices; the effect of money supply on agricultural prices; and effect of key macroeconomic indicators on agricultural prices in Nigeria. Using least square estimation, it was observed that money supply had significant impact on agricultural prices and that agricultural prices do not react more sensitively than aggregate price to chang…

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