作者
Nikolaos A Kyriazis, Emmanouil-ML Economou
发表日期
2022/8/18
期刊
Defence and Peace Economics
卷号
33
期号
6
页码范围
731-750
出版商
Routledge
简介
This paper sets out to explore whether the Turkish geopolitical uncertainty exhibits significant linkages with fluctuations in the Turkish lira (TRY) values against other currencies. The period examined covers the Erdoğan administration (March 2003 up to the present). The innovative geopolitical uncertainty index by Caldara and Iacoviello and modern GARCH methodologies are adopted in order to explore how geopolitical risk influences currency values and the overall economy during this turbulent period. Econometric outcomes reveal that geopolitical uncertainty leads to devaluation of TRY against the US dollar, the Swiss franc and the Swedish krona but in a non-significant manner whereas mixed results emerge concerning the impacts of macroeconomic or financial variables.
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