Unstable growth process has been observed in Turkish economy. This process has started 1980 and has increased after 1990. The aim of this study is to investigate resources of unstable growth. Quarterly data between 1991.1-2004.3 has been analysed. As a result of stationary review, variables have...

Several alternative measures of “effective†exchange rates are discussed in the context of their theoretical underpinnings and construction. Focusing on contemporary indices and recently-developed econometric methods, the empirical characteristics of these differing series are examined...

In this paper we develop a simple test procedure for a linear trend which does not require knowledge of the form of serial correlation in the data, is robust to strong serial correlation, and has a standard normal limiting null distribution under either I(0) or I(1) shocks. In contrast to other...

This paper analyses the asymptotic and finite sample implications of different types of nonstationary behavior among the dependent and explanatory variables in a linear spurious regression model. We study cases when the nonstationarity in the dependent and explanatory variables is deterministic...