Ozdemir, K. Azim; Yigit, Serkan - Türkiye Cumhuriyet Merkez Bankası - 2009
This paper examines the constraints on the dynamics of the daily US dollar and the Euro exchange rates relative to the Turkish lira after the full fledged Inflation Targeting regime was adopted in 2006. We find that the single threshold specifications with two regimes that allow the conditional...