Current Account and Financial Account Cyclicality: Evidence from Turkey
This study analyzes fluctuations in the current account, financial account and their main components in Turkey between 1984 and 2007. Two Stage Least Squares method is used and the empirical model is built up on the base of the study of Clausen and Kandil (2005). Real output growth, price inflation, real effective exchange rates, oil prices, global output growth and European output growth are used