Replication Package for: "Nonlinear Inflation–Growth Nexus in Asia, Latin America, and Sub-Saharan Africa: A Cross-Regional Institutional Analysis

This replication package contains all data, code, and documentation required to reproduce the empirical results in Botsyoe (2025), "Nonlinear Inflation–Growth Nexus in Asia, Latin America, and Sub-Saharan Africa: A Cross-Regional Institutional Analysis."

The paper estimates institutionally conditioned, region-specific inflation thresholds using Hansen's (1999) fixed-effects panel threshold regression across 111 countries in Asia (34), Latin America (30), and Sub-Saharan Africa (47) over 1970–2023. A sign reversal in the inflation–growth relationship is confirmed in every region: below the threshold, inflation is growth-accommodating; above it, the effect turns negative and significant. Key findings include thresholds of approximately 4.87% (Asia), 5.05% (Latin America), and a Francophone–Anglophone divide within SSA (3.84% vs. 5.06%) attributable to CFA franc zone monetary discipline. Institutional quality is shown to moderate both threshold levels and regime-specific growth effects across all regions. Inflation endogeneity is addressed using the lagged US Federal Funds Rate as an external instrument.

Contents: Stata do-files for all estimation, robustness checks, and IV diagnostics; master panel dataset and regional subsamples (WDI/WGI/IMF IFS/UNCTAD sources); variable construction notes; and a README with full replication instructions.

Software: Stata 16 or later. Required packages: xthreg, xtabond2, xtivreg2.

Data sources: World Bank WDI, Worldwide Governance Indicators (WGI), IMF International Financial Statistics (IFS), UNCTAD.