INTEREST RATES, FISHER EFFECT AND ECONOMIC DEVELOPMENT IN TURKEY, 1989-2011

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Publicado 18-11-2016

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Selahattin GÜR??
Universidade de Santiago de Compostela
Turquía
Burak GÜR??
Istambul University, Turkey
Turquía
Turgut ÜN
Mármara University, Turkey
Turquía
Vol 25 No 2 (2016), Artigos, páxinas 95-100
DOI https://doi.org/10.15304/rge.25.2.3740
Recibido: 18-11-2016 Aceptado: 18-11-2016 Publicado: 18-11-2016
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Resumo

This paper investigates the validity of the Fisher Hypothesis in Turkey covering
the period 2003 – 2012. To test validity of Fisher Hypothesis, this paper uses an
Autoregressive Distributed Lag test for threshold cointegration recently introduced in the
literature by Li and Lee (2010). The empirical results which are obtained from this paper
indicate that Fisher hypothesis is valid for Turkey, meaning nominal interest rates would
be an important leading indicator for inflation.

Palabras chave

ADL threshold cointegration test, Fisher hypothesis
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