Author/Authors :
KIBRITCI ARTAR, Oksan İstanbul Ticaret Üniversitesi, Turkey
Title Of Article :
THE EFFECT OF MONETARY POLICY DECISIONS ON MACROECONOMIC VARIABLES IN TURKEY: VECTOR AUTOREGRESSION (VAR) ANALYSIS
Abstract :
In order to analyses the monetary policy and its efficiency conditions in Turkish economy since 2000, the repo auction rate (the policy rate of the Central Bank of The Republic of Turkey) has been analyzed with reference to its effect on the industrial production, on inflation rate (consumer price index), on the Istanbul Stock Exchange (ISE-100) index, on real effective exchange rate index and on the current account balance by using time series econometric techniques over the period of 2003:01 and 2008:09, as this period has a unity in terms of exchange rate policy and inflation targeting.Based on this analysis, our conclusion is that although the policy rate of the Central Bank of the Republic of Turkey has limited effect on real and financial variables in the short term, there is a relationship of co-integration among these variables in the long term.
NaturalLanguageKeyword :
Monetary Policy , Policy Efficiency , VAR Analysis
JournalTitle :
The Journal Of Marmara Social Research
