The Effects of Oil Shocks on Turkish Macroeconomic Aggregates

Authors

  • Moayad Al Rasasi Department of Economics, Kansas State University, Manhattan, KS, USA.
  • Mustafa Yilmaz Educational Policy Studies, School of Education, The University of Kansas, Lawrence, KS, USA.

Abstract

This paper examines the impacts of oil price shocks on macroeconomic aggregates of Turkey. We find evidence suggesting the influential role of oil price shocks on macroeconomic aggregates. In other words, we find that oil price shocks affect output growth negatively with a delay. However, higher oil prices are associated with higher inflation, and depreciating exchange rate. We also explore the role of asymmetric oil shocks on macroeconomic aggregates and find that both oil price increases and decreases are associated with a delayed lower output growth rate. Furthermore, we find oil price increases affect inflation positively a delay. The appreciation of exchange rate appears with a delay due to oil price decreases.Keywords: Oil Price Shocks, Economic Activity, TurkeyJEL Classification: C22, C32, Q43

Downloads

Download data is not yet available.

Downloads

Published

2016-07-22

How to Cite

Al Rasasi, M., & Yilmaz, M. (2016). The Effects of Oil Shocks on Turkish Macroeconomic Aggregates. International Journal of Energy Economics and Policy, 6(3), 471–476. Retrieved from https://econjournals.com./index.php/ijeep/article/view/2416

Issue

Vol. 6 No. 3 (2016)

Section

Articles

License

Submission of an article implies that the work described has not been published previously , that it is not under consideration for publication elsewhere, that its publication is approved by all authors and tacitly or explicitly by the responsible authorities where the work was carried out, and that, if accepted, will not be published elsewhere in the same form, without the written consent of the Publisher. The Editors reserve the right to edit or otherwise alter all contributions, but authors will receive proofs for approval before publication.