@masterthesis{Bayrak, type = {Bachelor Thesis}, author = {Bayrak, Onur}, title = {Monetary policy and its impact on exchange rates and foreign trade in T{\"u}rkiye within the last decade}, url = {http://nbn-resolving.de/urn:nbn:de:hbz:1383-opus4-17090}, school = {Hochschule Rhein-Waal}, pages = {62}, abstract = {After having overcome the effects of the Global Financial Crisis quickly, the price stability in T{\"u}rkiye has deteriorated. In line with an expansionary course, the value of the Turkish lira depreciated and price levels started rising. Therefore, this paper will focus on the impact of monetary policy on exchange rates and foreign trade in T{\"u}rkiye since 2012. For this purpose, the Mundell-Fleming model is introduced, which is a short-run macroeconomic model that assesses the effects of fiscal and monetary policies under different exchange rate regimes. Aggregated macro data on different indicators, which are representing key variables, is analyzed by using descriptive analysis. The empirical results were interpreted and discussed in line with the underlying model. The main findings of the paper suggest that Turkish monetary policy had a negative impact on exchange rates and thus on trade, especially since 2017 after the change of governmental system.}, language = {en} }