An Application On Interest Rate Pass-Through In TURKEY
Journal Title: International Journal of Humanities and Social Science Invention - Year 2018, Vol 7, Issue 6
Abstract
The objective of this study is to determine the pass-through speed and rate of the changes, regarding the overnight borrowing rate of Central Bank of Republic of Turkey, to bank rates for loans. Therefore, policy interest rates were taken as reference for the period between 2002-2014, when inflationtargeting regime was adopted in Turkey. Vector Autoregression (VAR), co-integration, and Granger causality tests were used during the analysis. Through the Vector Autoregression (VAR) modeling analysis, the resistance of bank interest to the changes in policy interest rate was measured in short term. The existence of a long term relation between the mentioned interests and co-integration was examined, and the speed and level of passthrough effect of the interests were manifested with Error Correction Model. As the conclusion of this research study, it can be mentioned that the pass-through effect to the bank interests is fast and high in the long term in our country, even if the deposit and loan types change. The pass-through effect to the loan interests the household uses has been faster and in higher level compared to the commercial credit.
Authors and Affiliations
Lecturer Ahmet Baran Yilmaz, Assoc. Prof. Haluk Yergin, Asst. Prof. Abdullah Oğrak
Keywords
Related Articles
- EP ID EP399097
- DOI -
- Views 71
- Downloads 0
Role played by social workers in Non Governmental Organizations in preventing human trafficking in India
Human trafficking is considered as an alarming issue in the contemporary Indian society. Thousands of women and children are being trafficked from different states as well as brought in from the neighboring countries for...
Whether the Use of Facebook is a Cause or an Effect of Loneliness
The aim of this study is to explore whether the use of Facebook causes loneliness or loneliness causes Facebook use, which was examined by selecting 145 samples (who stay outside of parental control) purposively from the...
A Study To Investigate The Reasons Why Fatal Road Accidents And Injuries Are Not Reduce In The Gauteng Province
Road Traffic Crashes is a globalproblem; it is alsoa leading cause of injuries and death to every South African citizen residing or traveling abroad. Vehicles made travel easy and supports socio-economic development in m...
“Procesos De Gobierno Con Enfoque Sistémico En La Dirección De Centros De Educación Superior Del Ecuador”.
.
Copyright Piracy in Case of Musical Work – A Critical Analysis
The Copyright Act has travelled for a long way from the British period to the modern period. The first copyright act was passed, by the Governor General of India, in the year 1847. The origin of copyright law had a nexus...