Theoretical and Applied Economics
No. 2 / 2025 (643), Summer
Monetary policy, inflation, and exchange rate dynamics: evidence from the Turkish economy (2001-2023)
Sakarya University, Turkey
Abstract. The concepts of interest rates, exchange rate and inflation have become key variables in ensuring economic balance both internally and externally. This study investigates the relationship between interest rate, exchange rate, and inflation in Türkiye over 2001-2023 using ARDL-ECM, FMOLS, and CCR methods. Secondary data from the Central Bank of Türkiye and the World Bank were used. Findings show that nominal interest rate is positively associated with inflation, exchange rate, economic growth, and unemployment. The study recommends a balance between accommodative monetary policies and financial stability to support sustainable long-term growth aimed at maintaining internal and external economic balance.
Keywords: interest rate, exchange rate, inflation rate, economic growth, Türkiye.
Download the full article: 
Contents
- A bibliometric analysis on inequalities in higher education in the age of educational expansion
Anamaria Beatrice ALDEA
Ana-Maria ZAMFIR
- Trending over thinking – quick fame, quiet genius:
the bad habits of social media
Raluca Iuliana GEORGESCU
Dumitru Alexandru BODISLAV
Ionuț Valeriu ANDREI
- Understanding the impact of artificial intelligence
on the stock market development in BRICS nations:
a panel ARDL method
V RESHMA
Pradeesh K.
Mohandas V K
K. MANIKANDAN
- A comparative analysis of development in SAARC countries
in the relation of sustainable development –
taxonomic analysis
Qiamuddin ANDAISH
Yogesh N. VANSIYA
- Complementary relationship between
foreign direct investment, financial development threshold
and economic growth:
evidence from Sub-Saharan Africa
Rajab BOUZAYANI
Zouheir ABIDA
- Artificial intelligence as a disruptive force in economics:
transformations, challenges, and future prospects
Bouchra Al MAWLA
George M. El KAZZI
Hiba S. OTHMAN
- The main drivers of labour cost dynamics in Central and Eastern European countries
Maria Denisa VASILESCU
Larisa STĂNILĂ
Amalia CRISTESCU
Maria Berta BELU
Silvana CRIVOI
- Government debt service, interest rates, and macroeconomic stability: a conceptual approach
Richard J. CEBULA
G. Jason JOLLEY
Kamal P. UPADHYAYA
Franklin G. MIXON Jr.
- Shaping health systems through strategy and economics: a global bibliometric exploration of policy pathways
Livia Cristina ILIESCU
- Energy and economics: an empirical study on the global economic impact of energy crisis
Agrima Kumar RAJVANSHI
Sonali Ahuja DUA
- Monetary policy, inflation, and exchange rate dynamics: evidence from the Turkish economy (2001-2023)
Erick OKOTH
- The impact of public spending on the inflation rate in Algeria: an econometric study for the period 2000-2023
Yassine MOSTEFAI
Chafik BOUBERRIMA
- Analyze the environmental sustainability factors in India: the role of ecological footprint and CO2 emission
Babu Rao GONA
- Implications of monetary and fiscal policy shocks: evidence from an Eastern European economy
Alin-Ioan VID
Alexandra CHEPTIS
Miruna VASILCA
- From e-government to efficient transport: investigating Romania’s digital leverage in logistics
Maxim CETULEAN
Alexia GRAMA
Gabriel Cristian DUMITRU
- Impact of ICT adoption on the food security of agricultural households in Burkina Faso
Ibrahim SANA
Achille Augustin DIENDERE
Jacob Afouda YABI
- Greek tax policy and macroeconomic framework after the political transition, a systematic approach
Panagiotis ASIMAKOPOULOS
- Is Balance of Payments a monetary phenomenon: doctrinal aspects and empirical evidence from India
N. KUBENDRAN
Rose Govindha RAJ
Balaram ROULA
- Neuroeconomics in the Age of AI:
how machine learning alters human decision-making
at the neural level
Dumitru Alexandru BODISLAV
Raluca Iuliana GEORGESCU
