An Evaluation of the monetory policy and its implementation in Turkey

Abstract

ABSTRACT The purpose of this paper is to analyze the implementation o-f the monetary policy in Turkey in the Planned Era, under the guidance o-f the theories. In the paper the theoretic analysis o-f the monetary policy and its structure is made. The importance of a stable money demand -function for successful usage o-f the monetary policy is stressed and a money demand -function is constructed -for Turkey. The -first chapter gives an introduction to whole analyse. The second chapter is the review o-f literature and it summarizes the Monetarist, Keynesian and Modern Monetary Theories. The third chapter is an introduction to the demand -for money theories. The -fourth chapter explains the money multiplier process which helps to realize to what extent the monetary policy is control lable. The -fi-fth chapter makes a technical analyze o-f the structure o-f the monetary policy to realize its limits. The sixth chapter evaluates the instruments of the monetary policy and gives the implementation in Turkey. The seventh chapter analyzes the implementation of the monetary policy in the Planned Era. The eighth chapter stresses the importance of a stable money demand function and constructs a money demand function for Turkey within the period 1963-1988. i vIn the ninth and the last chapter the study is brought to a.final conclusion.