In this paper, we argue that foreign direct investment (FDI) flows can have an effect on current account through three different channels: exports, imports, and profit remittances. By identifying the response differentials of these variables to a change in FDI flows employing a Vector...

Should privately informed agents with diverging interests act independently or should they commit to a mechanism? This paper analyzes different communication and decision protocols when communication involves delay. It studies under which conditions agents should (i) choose their actions...

This study analyses the efficiency of the Turkish bank system over the period 2000-2005. The estimation showed that inefficiency decreases over the period under consideration and the analysis unambiguously indicates that the Turkish banking system has a large potential for improvement. The state...

In this paper, we examine the issue of volatility for both official and black market exchange rates of the Turkish lira using the monthly exchange rate against the US dollar for the period 1969-1998. The main findings are: 1) conditional shocks have a positive effect on exchange rate volatility;...

This paper investigates the effects of the US crude oil prices (OIL) on some selected sub-sector indices of the Borsa Istanbul (BIST) including BIST-Chemical Petroleum, Plastic, (BIST-CHE), BIST-Textile-Leather (BIST-TEX), BIST-Metal Products, Machinery (BIST-MET), BIST-Transportation...

This study analyses the efficiency of the Turkish bank system over the period 2000-2005. The estimation showed that inefficiency decreases over the period under consideration and the analysis unambiguously indicates that the Turkish banking system has a large potential for improvement. The state...