What about effective real exchange rate

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Reference no: EM133460772

Question: Go to the CBRT's website and plot USD / TL (TL per Dollar) effective nominal exchange rates since 2010. Is Turkish lira appreciating or depreciating? Can you relate the behavior the exchange rate to movements in in?ation in the past 10 years? If so how? What about effective real exchange rate? Explain the mechanism clearly.

Reference no: EM133460772

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