Author/Authors :
ARI, Ali Kırklareli Üniversitesi - İktisadi ve İdari Bilimler Fakültesi (İİBF) - İktisat Bölümü, Turkey , YILMAZ, Ahmet Marmara Üniversitesi - İktisadi ve İdari Bilimler Fakültesi (İİBF) - İktisat Bölümü, Turkey , CERGİBOZAN, Raif Kırklareli Üniversitesi - İktisadi ve İdari Bilimler Fakültesi (İİBF) - İktisat Bölümü, Turkey , ÖZCAN, Yunus İstanbul Ticaret Üniversitesi - Uluslararası İktisat ve Ekonometri, Turkey
Title Of Article :
THE INFLATION DYNAMICS OF THE TURKISH ECONOMY IN 1990-2011 PERIOD
Abstract :
In 2004, Turkey managed to reduce the chronic high inflation rates that characterized its economy over the period 1975-2001 to single digits, thanks to economic policies implemented in the aftermath of the 2001 financial crisis. This paper analyzes inflation dynamics in the Turkish economy both in the short- and the long-run, over the period January 1990 to December 2011 by using the Johansen Cointegration Test and the Vector Error Correction model (VEC). Empirical results show that the inflation rates in Turkey are mainly related to changes in money supply, economic growth, nominal exchange rates, dollarization and real wages.
NaturalLanguageKeyword :
Inflation , Turkish Economy , Johansen Cointegration , Vector Error Correction , Impulse , Response Functions
JournalTitle :
Journal Of Financial Researches and Studies
