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Journals / Ege Akademik Bakış Dergisi / 2019 / Cilt: 19 - Sayı: 2

Evaluating the asymmetric effects of production, interest rate and exchange rate on the Turkish stock prices.

Hüseyin KAYA
Barış SOYBİLGEN
Pages
293–300
Publication Date
2019-04-30
DOI
—
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AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

Our results indicate that non-linear models can yield more plausible results compare to linear models.The relationship between stock prices and macro variables has been studied exhaustively in the literature.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:The relationship between stock prices and macro variables has been studied exhaustively in the literature.
📊
Key Findings & Data:In this paper, we evaluate the asymmetric effects of production, the interest rate and the exchange rate on Turkish stock prices using non-linear autoregressive distributed lags models.
💡
Conclusion & Impact:Our results indicate that non-linear models can yield more plausible results compare to linear models.The relationship between stock prices and macro variables has been studied exhaustively in the literature.
🔬Design:Modeling & Simulation
📍Scope:Comprehensive Sample
⚙️Variables:Stock Prices · macro variables · interest rate

Abstract

The relationship between stock prices and macro variables has been studied exhaustively in the literature. However, most of the studies assume that this relationship is linear. In this paper, we evaluate the asymmetric effects of production, the interest rate and the exchange rate on Turkish stock prices using non-linear autoregressive distributed lags models. We find that there are both long-run and short-run asymmetric relationships between macro variables and Turkish stock prices. Our results indicate that non-linear models can yield more plausible results compare to linear models.The relationship between stock prices and macro variables has been studied exhaustively in the literature. However, most of the studies assume that this relationship is linear. In this paper, we evaluate the asymmetric effects of production, the interest rate and the exchange rate on Turkish stock prices using non-linear autoregressive distributed lags models. We find that there are both long-run and short-run asymmetric relationships between macro variables and Turkish stock prices. Our results indicate that non-linear models can yield more plausible results compare to linear models.

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Cite This Article

KAYA, H., SOYBİLGEN, B. (2019). Evaluating the asymmetric effects of production, interest rate and exchange rate on the Turkish stock prices.. Ege Akademik Bakış Dergisi, Cilt: 19 - Sayı: 2, 293–300. https://ajindex.com/articles/751898

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