{
  "title": "An Econometric Analysis of the Determinants of Inflation in Turkey",
  "publication": "IMF Working Papers, December 1, 1997",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/30/an-econometric-analysis-of-the-determinants-of-inflation-in-turkey-2443",
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  "summary": "High and variable inflation has been a central feature of the Turkish economy since the 1970s. This paper seeks to shed some light on the determinants of inflation in Turkey by analyzing price determination within the framework of a multi-sector macroeconomic model during 1970–95.",
  "sections": [
    {
      "heading": "Overview",
      "content": "- High and variable inflation has been a central feature of the Turkish economy since the 1970s.\n- The paper analyzes price determination within the framework of a multi-sector macroeconomic model for the period 1970–95.\n- The analysis aims to shed light on determinants of inflation in Turkey, focusing on monetary, fiscal, exchange rate, and inertial factors."
    },
    {
      "heading": "Main findings",
      "content": "- Monetary variables play a central role in the inflationary process:\n  - Initially, money (broad monetary variables) was central.\n  - More recently, the exchange rate has played a central role.\n- Public sector deficits contribute to inflationary pressures.\n- Inertial factors are quantitatively important in sustaining inflation.\n- Policymakers’ commitment to active exchange rate depreciation on several occasions in the past 15 years has also contributed to the inflationary process."
    },
    {
      "heading": "Subjects and keywords",
      "content": "- Subject areas listed:\n  - Exchange rates\n  - Foreign exchange\n  - Government debt management\n  - Inflation\n  - Labor\n  - Prices\n  - Public financial management (PFM)\n  - Real exchange rates\n  - Real wages\n- Keywords listed:\n  - cost pressure\n  - equilibrium exchange rate\n  - exchange rate disequilibrium\n  - Exchange rates, foreign currency\n  - Government debt management\n  - Inflation\n  - market disequilibrium terms\n  - mining sector price\n  - monetary policy\n  - price\n  - price determination\n  - price equation\n  - price index\n  - price inflation\n  - price level\n  - price markup\n  - public finance\n  - Real exchange rates\n  - Real wages\n  - WP\n\n---\n\n Content in this bundle\n\n- An Econometric Analysis of the Determinants of Inflation in Turkey - WP/97/170\n  - An Econometric Analysis of the Determinants of Inflation in Turkey - WP/97/170 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - An Econometric Analysis of the Determinants of Inflation in Turkey - WP/97/170 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/an-econometric-analysis-of-the-determinants-of-inflation-in-turkey-2443"
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    "Authors: Laura Papi, G. C. Lim",
    "Published: December 1, 1997",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451858389.001",
    "High and variable inflation has been a central feature of the Turkish economy since the 1970s.",
    "The paper analyzes price determination within the framework of a multi-sector macroeconomic model for the period 1970–95.",
    "The analysis aims to shed light on determinants of inflation in Turkey, focusing on monetary, fiscal, exchange rate, and inertial factors.",
    "Monetary variables play a central role in the inflationary process:",
    "Public sector deficits contribute to inflationary pressures.",
    "Inertial factors are quantitatively important in sustaining inflation.",
    "Policymakers’ commitment to active exchange rate depreciation on several occasions in the past 15 years has also contributed to the inflationary process.",
    "Subject areas listed:",
    "Keywords listed:",
    "**An Econometric Analysis of the Determinants of Inflation in Turkey - WP/97/170**"
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