The Relationship Between Industrial Production Index, Oil  Prices and Consumer Price Index in the Turkish Economy

Haydar KARADAĞ

Article Details

The Relationship Between Industrial Production Index, Oil Prices and Consumer Price Index in the Turkish Economy

Authors:

Haydar KARADAĞ

Publisher:

Istanbul University

Main Topics:

Economics and Finance

Journal:

Journal of Economic Policy Researches 2021 Vol.8 Issue 2, pp.211-223

Document Type:

Article

Publication Date:

8/2021

Document Language:

English

Document ID (Org No.):

2000486217

Frequency:

Bi-Annual

eISSN:

2148-3876

Abstract:

 

Countries trying to increase their production in the industrial sector wish  to  have  access  to  cheap  energy.  However,  a  rise  in  oil  prices  affects  the   industrial  production  of  countries  dependent  on  oil.  Furthermore,  as   production costs increase, the general level of prices also increases. This  study  aims  to  examine  the  long-term  effects  of  the  rise  in  oil  prices  on   the industrial production index and the CPI in the Turkish economy. Since  the study measures the impact of Brent crude oil prices on the industrial  production  index  and  CPI  for  the Turkish  economy,  it  contributes  to  the   literature. In this respect, the study investigated the relationships among  the  specified  variables  for  the  2010:  Q1-2020:  Q4  period  of  the  Turkish   economy. Phillips-Ouliaris cointegration test and Granger and Bootstrap  causality test were used to analyze the relationship among the variables.  A long-term relationship was found between the variables. According to  the  results  of  both  causality  tests,  it  was  determined  that  the  rise  in  oil   prices raised the CPI by increasing the cost of industrial production in the  Turkish economy. The findings show that oil prices should be monitored  closely by actors of economic management.

Article Details

The Relationship Between Industrial Production Index, Oil Prices and Consumer Price Index in the Turkish Economy

Authors: Haydar KARADAĞ

Publisher: Istanbul University

Main Topics: Economics and Finance

Journal: Journal of Economic Policy Researches 2021 Vol.8 Issue 2, pp.211-223

Document Type: Article

Publication Date: 8/2021

Document Language: English

Document ID (Org No.): 2000486217

Frequency: Bi-Annual

eISSN: 2148-3876

Issues

Authors:

Haydar KARADAĞ

Publisher:

Istanbul University

Main Topics:

Economics and Finance

Journal:

Journal of Economic Policy Researches 2021 Vol.8 Issue 2, pp.211-223

Document Type:

Article

Publication Date:

8/2021

Document Language:

English

Document ID (Org No.):

2000486217

Frequency:

Bi-Annual

eISSN:

2148-3876