The Fastest Growing Economy in the G20 and the Continued Depreciation of the Turkish Lira: Causes, Effects and Solutions
The Fastest Growing Economy in the G20 and the Continued Depreciation of the Turkish Lira: Causes, Effects and Solutions One of the modern and contemporary ways to measure the performance of an economy of a country is to look at the value of its local currency against the dollar. Globalization spread all across the world and the competition of currencies have been witnessed. So exchange rates are crucial when talking about the overall health of the economy of a specific country. Before we explain the issue of the depreciation of the Turkish Lira in detail, we must know that there are three major types of exchange rate policies implemented by different countries all across the globe. These types of exchange rate regimes are: 1- Freely floating exchange rate regime, 2- managed floating exchange rate regime and 3- fixed exchange rate regime. The first one, freely flouting exchange regime, is determined by the market, meaning that the interactions of the ...