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An Analysis of Central Bank Interventions on Forex Market For The Post-Crisis Period

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  • Levent Korap

    (Marmara University)

Abstract

In this paper, we investigate the determinants of foreign exchange operations of the CBRT for the post-crisis period. Using modern time series econometrics, we try to analyze the different characteristics of FOREX market, and based on the estimation results, indicate the degree of effectiveness of the interventions of monetary authority throughout the implicit inflation targeting framework. The main policy conclusion is that the CBRT interventions seem to be under the control of uncertainties in economic environment, rather than decreasing the volatilities in exchange market, and this case in turn leads the interventions being inefficient.

Suggested Citation

  • Levent Korap, 2006. "An Analysis of Central Bank Interventions on Forex Market For The Post-Crisis Period," Working Papers 2006/4, Turkish Economic Association.
  • Handle: RePEc:tek:wpaper:2006/4
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Levent, Korap, 2007. "Modeling purchasing power parity using co-integration: evidence from Turkey," MPRA Paper 19584, University Library of Munich, Germany.
    2. Ozgur ASLAN & H. Levent KORAP, 2007. "Monetary Transmission Mechanism In An Open Economy Framework: The Case Of Turkey," Istanbul University Econometrics and Statistics e-Journal, Department of Econometrics, Faculty of Economics, Istanbul University, vol. 5(1), pages 41-66, May.
    3. Levent, Korap, 2007. "Information content of exchange rate volatility: Turkish experience," MPRA Paper 19598, University Library of Munich, Germany.
    4. Levent, Korap, 2007. "Analyzing CBRT's FOREX interventions using EGARCH (2001-2006)," MPRA Paper 20634, University Library of Munich, Germany.

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