THE CAUSALITY BETWEEN THE EXCHANGE RATE AND HEALTH PRICE INDEX: AN ECONOMETRIC ANALYSIS

Authors : Buse Fidan Türkön, Anı Hande Mete, Canser Boz

Pages : 220-230

View : 51 | Download : 93

Publication Date : 2024-12-31

Article Type : Research Paper

Abstract :Health care costs have been an increasing concern for both households and governments in almost all countries. Following the COVID-19 pandemic, there have been significant increases in the prices of goods and services related to healthcare in countries worldwide. In Turkey, the rate of Health Consumer Price Index (HCPE) increase is particularly high. For example, while the health price index was only 112 in January 2006, it had risen to only 150 by January 2015. Before the pandemic, in January 2019, it was calculated at 236. However, in January 2023, during the post-pandemic period, the same index soared to 718.3 and by July, it reached approximately 900. This paper examines the causality relationship between the health care price index and the real exchange rate index using time series for Turkey. The data set, which examines the relationship between the changes in the nominal exchange rate and the health price index, in terms of the Turkish economy are nominal exchange rate (in dollar terms) and domestic health consumer price index (2003=100). The data were obtained monthly from the Central Bank of the Republic of Turkey (CBRT) electronic data distribution system. The data is between 2006:01-2023:07. E-views 9.0 econometrics package program was used in the analysis. According to the results of Toda-Yamamoto approach, there was a causality from (NER) Nominal Exchange Rate to (HCPE) Health Consumer Price Index.
Keywords : Sağlık, Sağlık Fiyatı, Enflasyon, Döviz Kuru, Toda Yamamato