Repository of macro models

This repository contains descriptions of macro-models which relate to papers published or forthcoming in Economic Modelling

A quarterly macro econometric model for a highly inflationary and indebted country: Turkey

Title of Paper: A quarterly macro econometric model for a highly inflationary and indebted country: Turkey

Author: Fatih Ozatay, Department of Economics, Faculty of Political Sciences, Ankara University

Vol./Issue No.: 17/1, p. 1-11

Short description: This is a developed, estimated and simulated quarterly Macro econometric model for Turkey, which is a highly inflationary and indebted country. The model is constructed in the framework of a disequilibrium monetary model. It deals with the credibility issue and currency substitution. By making use of this model, outcomes of various stabilization scenarios are analysed. It is shown that two similar stabilization policies that only differ in credibility dimension can lead to diverse economic outcomes. It is further demonstrated that, without eliminating macroeconomic imbalances, using exchange rate as an anchor or limiting monetary expansion are fruitless attempts.

JEL classification: C5; E41; E51; E6

Keywords: Disequilibrium monetary model; Turkish economy; High inflation; Stabilization; Credibility

Country: Turkey

Linkage address: http://dialup.ankara.edu.tr/~ozatay/ecomodel.pdf

Disclaimer: Responsibility for the full model structures of the models in this repository rests solely with the authors.

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