| Yazarlar (2) |
Cem Saatcioğlu
Türkiye |
Doç. Dr. Hüseyin Levent KORAP
Türkiye |
| Özet |
| In our paper, we investigate empirical validity of the uncovered interest parity (UIP) hypothesis of contemporaneous open economy macroeconomics relating expected exchange rate return to the interest rate differentials considering TL/US $ nominal exchange rate return and the short-term Turkish and the US interest rates. Based on multivariate cointegration methodology of same order integrated variables our results give support to the validity of the UIP hypothesis in the long-run for the Turkish economy such that positive interest differentials in favor of domestic interest rates require nearly one-to-one increase in the expected exchange rate return. We conclude that official interventions applied by the policy makers should be designed based on the possibility that changing the spot exchange rate relative to the expected future spot rate may also require domestic interest rates to be changed so as to affect interest differentials in line with ex-ante policy purposes. |
| Anahtar Kelimeler |
| Makale Türü | Özgün Makale |
| Makale Alt Türü | Uluslararası alan indekslerindeki dergilerde yayınlanan tam makale |
| Dergi Adı | International Research Journal of Finance and Economics |
| Dergi ISSN | 1450-2887 |
| Dergi Tarandığı Indeksler | EconLit, e-JEL, JEL on CD, EBSCO, ProQuest ABI/INFORM, SSRN, DOAJ, Elsevier Bibliographic Databases, Cabell’s Directory of Publishing Opportunities in Economics and Finance |
| Makale Dili | İngilizce |
| Basım Tarihi | 01-2007 |
| Sayı | 10 |
| Sayfalar | 120 / 128 |
| Makale Linki | http://www.internationalresearchjournaloffinanceandeconomics.com/ISSUES/IRJFE%20issue%2010.htm |
