• Economics
  • Published 2008

Expectations, Communication and Monetary Policy in Turkey

  title={Expectations, Communication and Monetary Policy in Turkey},
  author={Yusuf Soner Başkaya and Hakan Kara and Defne Mutluer Kurul},
This study analyzes the behavioral aspects of inflation expectations in Turkey by utilizing data from a panel of survey respondents, and draws implications for the formulation of monetary policy and communication strategy. Our results lend support to the view that the survey respondents take the inflation targets and the official forecasts of the Central Bank of Turkey into account in forming their expectations. We show that inflation expectations during the rapid disinflation episode of 2002… CONTINUE READING