DOLLARIZATION’S EFFECTS IN TURKEY ECONOMY

In order to preserve the value of assets in high-inflation countries, investors turn currencies economically stable and secure countries. After liberalization steps taken into action 1980s Turkey, volume foreign entering its economy has also increased. However, high inflation, low domestic investments, increasing import weak financial base left Turkish with reality dollarization. this study, definition dollarization currency substitution is explained details. The aim study describe difficulties Turkey faced from very beginning up a certain period chronological order. This involves that by means considering time-series comparative analysis data method investigate facts constituting reasons were associated causality method. expected result inflation uncertainties both political environment can lead economy.