Relationship between exchange rates and foreign trade: Case of Turkey

January 24, 1980 Decision with almost turning point in living in Turkey's economy, globalization effect, emerging opportunities, from internal to trade off approach for reasons such as increasing diversity of population and demand countries trade together with the adoption in the 1980 itibarile export-led industrial policy has been opened completely foreign. In this context, the importance of the exchange rate has increased considerably, especially in international trade payments. For this reason, foreign exchange rates and foreign economic relations within the framework aimed to investigate the case of Turkey. Exchange rates and trade relations with Turkey sample of 1994: 01-2019: 12 period theoretical portions using monthly data from an empirical applications have been finalized. Within the scope of the analysis, using the time series methods, the real effective rate, import and export are accepted as variables and ADF and PP unit root analyzes were performed to determine the stationarity of each variable. Johansen Method to find the term relationship, Granger Causality analysis was performed to find the short term relationship between the variables and to determine the causality between the variables. According to the test results, it was concluded that the first differences of the series are stationary, the real exchange rate in variables are not cointegrated with imports and exports, and there is a one-way causality relationship between the exchange rate and imports.