:-Increases in oil prices are often assumed to lead to higher inflation and slower economic growth. Inflation causes commodity prices to rise, stock market fluctuations, and a stagnant effect on Indian production. The price of things created with petroleum products directly relates to oil prices in terms of inflation. The cost of heating, manufacturing, and transportation are just a few examples of indirect costs that are impacted by oil prices.High oil prices can also have a negative impact on the demand for other items since they lower wealth and increase uncertainty about the long-term (Sek et al 2015). One approach to think about the impact of rising oil costs is to think of them as a tax on consumers (Kilian & Zhou 2021). Imported oil is the simplest illustration of this.

Keywords : ADF Test, ARDL, Nonlinear ARDL Model, Oil Price, Commodity Prices.