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2022 | OriginalPaper | Chapter

Is There an End to the Currency Crisis in Turkey?: An Empirical Investigation

Authors : Balaga Mohana Rao, Suvvari Ananda Rao

Published in: Studies in International Economics and Finance

Publisher: Springer Singapore

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Abstract

Our study investigates the currency crisis in Turkey for the period 2001Q1–2020Q4. In this paper, we construct an Exchange Market Pressure Index to identify the currency crisis and/or stress periods. After identifying the crisis periods, we use the binary logit model to find the determinants of the crisis in Turkey. The following periods have been identified as crisis periods: 2001Q1, 2001Q2, 2001Q3, 2001Q4, 2018Q3, 2020Q3 and 2020Q4. Our results suggest that rate, current account balance, openness, exports and inflation act as the determinants of the currency crisis in Turkey.

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previous chapter Estimation of Critical Level of Exchange Rate to Manage Corporate Default and NPAs

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Title: Is There an End to the Currency Crisis in Turkey?: An Empirical Investigation
Authors: Balaga Mohana Rao
Suvvari Ananda Rao
Publisher: Springer Singapore
Book: Studies in International Economics and Finance
Print ISBN: 978-981-16-7061-9

Electronic ISBN: 978-981-16-7062-6

Copyright Year: 2022
DOI: https://doi.org/10.1007/978-981-16-7062-6_25