HIGH INFLATION RISK AND GROWTH RATE

Year 2019, Volume: 8 Issue: 1, 20 - 28, 30.06.2019

Aydoğan Durmuş

Abstract

This paper examines the causal relationship between
high inflation and economic growth in Turkey. While talking about economy, The
growth in the economy sounds positive but as inflation word, the citizens most
of the time do not have an idea how it can be and how would it influence on the
people in the market. The inflation and economic growth are the basic keys of
purchasing power of individuals, organizations and the government and if there
is one in the market the other one would not be. Here we can easily say that
there is a negative relationship between these two terms and the basic purpose
of this study is to determine the relationship by the literature review
methodology. In the study the academic studies have been researched for
defining the terms and the relations. Also, the effects of these terms to
people and the producers have been determined. As seen from the daily life, the
inflation is a cause and reason of financial crisis and the individuals’ money
power decreases day by day with the inflation. 
The study does not have an interview or a questionnaire application for
the proof of the literature results and this has been accepted as the
limitedness of the study.

Keywords

Risk, inflation, economy, growth

HIGH INFLATION RISK AND GROWTH RATE

Abstract

This paper examines the causal relationship
between high inflation and economic growth in Turkey. While talking about
economy, The growth in the economy sounds positive but as inflation word, the
citizens most of the time do not have an idea how it can be and how would it
influence on the people in the market. The inflation and economic growth are
the basic keys of purchasing power of individuals, organizations and the
government and if there is one in the market the other one would not be. Here
we can easily say that there is a negative relationship between these two terms
and the basic purpose of this study is to determine the relationship by the
literature review methodology. In the study the academic studies have been
researched for defining the terms and the relations. Also, the effects of these
terms to people and the producers have been determined. As seen from the daily
life, the inflation is a cause and reason of financial crisis and the
individuals’ money power decreases day by day with the inflation.  The study does not have an interview or a
questionnaire application for the proof of the literature results and this has
been accepted as the limitedness of the study.

Keywords

Risk, inflation, economy, growth

References

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