Do macroeconomic fundamentals affect exchange market pressure? Evidence from bounds testing approach for Turkey
Katircioglu, Salih Turan and Feridun, Mete (2011) Do macroeconomic fundamentals affect exchange market pressure? Evidence from bounds testing approach for Turkey. Applied Economics Letters, 18 (3). pp. 295-300. ISSN 1350-4851 (print), 1466-4291 (online) (doi:10.1080/00036841003636110)Full text not available from this repository.
This article investigates the relationship between Exchange Market Pressure (EMP) and macroeconomic fundamentals in Turkey using the Autoregressive Distributed Lag (ARDL) bounds testing procedure and Vector Error Correction Model (VECM) within the framework of the canonical currency crisis models. The results of the bounds tests suggest the existence of a level relationship between EMP and the selected macroeconomic fundamentals. The results of the VECM also suggest that there exists a unidirectional causation that runs from those macroeconomic fundamentals to EMP in the case of the Turkish Economy.
|Additional Information:|| First available online 5th November 2012|
|Uncontrolled Keywords:||Exchange Market Pressure (EMP), macroeconomic fundamentals, Turkey, Autoregressive Distributed Lag (ARDL) bounds testing procedure, Vector Error Correction Model (VECM)|
|Subjects:||H Social Sciences > HB Economic Theory|
|School / Department / Research Groups:||School of Business|
School of Business > Department of International Business & Economics
School of Business > Centre for Economic Performance, Governance & Regulation (CEPGR)
|Last Modified:||17 Sep 2013 10:17|
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