Show simple item record

dc.contributor.authorTokel, Dilek
dc.contributor.authorAgıralioglu, Saltuk
dc.contributor.authorOzturk, Lamiha
dc.date.accessioned2023-03-08T08:05:12Z
dc.date.available2023-03-08T08:05:12Z
dc.date.issued2021en_US
dc.identifier.citationTokel, D., Agıralioglu, S., Ozturk, L. (2021). Validity of Taylor's rule for Turkey: An empirical study. International Journal of Advanced and Applied Sciences: Cilt, 8, s. 84-88.en_US
dc.identifier.issn2313626X
dc.identifier.urihttps://hdl.handle.net/20.500.11782/3109
dc.description.abstractThe aim of this paper is to propose an estimate of the reaction function of Turkey's monetary policy for the periods from January 2005 to January 2020. In this perspective, a VAR (Vector Autoregressive) model is set up. The VAR model was estimated using Stata software. In this study, the Taylor rule is extended by implicating the industrial production index and the monetary aggregate M2 into policy reaction function. By doing so, the Taylor rule is investigated for the Turkish economy, and the validity of the rule is tested. The results of the ADF test show for all the observed variables that the null hypothesis of a unit root is rejected. In other words, the condition of stationarity seems to be satisfied. In the short term, it seems that a change in the behavior of the variable M2 has an impact of 1% on the level of the current inflation rate as well as the current real interest rate. For the period studied, the results of the VAR modeling indicate that Taylor's rule is partly true for the short term but that it is not for the long term. The choice of the period studied seems to be the main reason for the non-cointegration between the inflation rate and the bank rediscount rate. © 2021 The Authors.en_US
dc.language.isoengen_US
dc.publisherInstitute of Advanced Science Extension (IASE)en_US
dc.relation.isversionof10.21833/ijaas.2021.07.010en_US
dc.rightsinfo:eu-repo/semantics/openAccessen_US
dc.subjectforward guidanceen_US
dc.subjectinterest rateen_US
dc.subjectmonetary policyen_US
dc.subjectreaction functionen_US
dc.subjecttaylor ruleen_US
dc.subjectvector autoregressive modelen_US
dc.titleValidity of Taylor's rule for Turkey: An empirical studyen_US
dc.typearticleen_US
dc.relation.journalInternational Journal of Advanced and Applied Sciencesen_US
dc.contributor.departmentHKÜ, İktisadi, İdari ve Sosyal Bilimler Fakültesi, Uluslararası Ticaret ve Lojistik Yönetimi Bölümüen_US
dc.identifier.volume8en_US
dc.identifier.issue7en_US
dc.identifier.startpage84en_US
dc.identifier.endpage88en_US
dc.contributor.institutionauthorAgıralioglu, Saltuk
dc.contributor.institutionauthorOzturk, Lamiha
dc.relation.publicationcategoryMakale - Uluslararası Hakemli Dergi - Kurum Öğretim Elemanıen_US


Files in this item

Thumbnail

This item appears in the following Collection(s)

Show simple item record