A theoretical investigation on real sector reflection of the change in monetary policy decisions

Abctract. The aim of this study was to make evaluations on monetary policy transmission channels. A change in monetary policy is reflected on the economy not only through a single channel but also through the functioning of more than one transmission channels together. In this study, the conceptual framework of monetary policy transmission channel was examined through various aspects of the interest channel, credit channel, exchange rate channel, asset price channel and expectation channel, that are among the transmission types, and the reflections of the these transmission channels on the real sector were evaluated.Keywords. Monetary policy, Monetary transmission channels, Interest rate channel, Credit channels, Asset price channel, Exchange channel, Expectations channel.JEL. E40, E50, E60