Asymmetric Exchange Rate Pass-Through into Inflation in Turkey: A NARDL Approach

Basit Öğe Kaydı
dc.contributor.authorKaraoğlu, Nazlı
dc.contributor.authordemirel, baki
dc.date.accessioned2025-10-24T18:03:40Z
dc.date.available2025-10-24T18:03:40Z
dc.date.issued2021
dc.departmentMalatya Turgut Özal Üniversitesi
dc.description.abstractInflation expectation resulting from the exchange rate increases is one of the widely\rdiscussed topics in the literature. When determining the disinflation policies, it is crucial\rto consider the size and duration of the exchange rate pass-through effect on inflation.\rThe literature findings show that the high level of rises in the exchange rate pass-through\rmuch faster on inflation, especially in dollarized economies with high inflation inertia. On\rthe other hand, it has been revealed that the relationship between exchange rate inflation\ris asymmetrical. The Turkish economy, which struggles with chronicle higher inflation, has\rexperienced an exchange rate crisis in 2018. Therefore, to analyse the effect of exchange\rrate on inflation in Turkey is very important for the effectiveness of the fight against\rinflation and developing a policy proposal in this direction. This study examined the\rasymmetric relationships between exchange rate and inflation using a nonlinear\rautoregressive distributed lag model for 2004:Q1–2019:Q4. Findings indicate that the\rexchange rate pass-through into inflation is asymmetric in Turkey in the long run. 1%\rincrease in the exchange rate increases the annual inflation by 0.11% in the long run,\rwhereas a 1% decrease in the exchange rate decreases inflation by 0.28%. Besides, a\rdecrease in the exchange rate has no statistically significant effect on inflation, but an\rincrease also increases inflation in the short run.
dc.identifier.doi10.25295/fsecon.925369
dc.identifier.endpage861
dc.identifier.issn2564-7504
dc.identifier.issue3
dc.identifier.startpage845
dc.identifier.trdizinid536987
dc.identifier.urihttps://doi.org/10.25295/fsecon.925369
dc.identifier.urihttps://search.trdizin.gov.tr/tr/yayin/detay/536987
dc.identifier.urihttps://hdl.handle.net/20.500.12899/2381
dc.identifier.volume5
dc.indekslendigikaynakTR-Dizin
dc.language.isoen
dc.relation.ispartofFiscaoeconomia
dc.relation.publicationcategoryMakale - Ulusal Hakemli Dergi - Kurum Öğretim Elemanı
dc.rightsinfo:eu-repo/semantics/openAccess
dc.snmzTR-Dizin_20251023
dc.subjectİktisat
dc.titleAsymmetric Exchange Rate Pass-Through into Inflation in Turkey: A NARDL Approach
dc.typeArticle

Dosyalar

Koleksiyon

TR-Dizin İndeksli Yayınlar Koleksiyonu