MacroTurkish: Baz Etki
What is Base Effect?
When an unusually low or high value in the previous period makes current-period data look different than it really is.
ExampleBecause inflation was high last year, this year's inflation looked relatively low.The figures in the example illustrate the concept; they are not current market data.
Related terms
CPI (Consumer Price Index)An inflation measure that tracks the price change of a basket of goods and services bought by urban consumers.PPI (Producer Price Index)An index that measures changes in producer and wholesale prices; a leading indicator for consumer inflation.InflationThe rise in the general price level over time and the resulting loss of money's purchasing power.Current Account DeficitThe external imbalance that arises when a country imports more than it exports.
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Frequently asked questions
What is Base Effect?
When an unusually low or high value in the previous period makes current-period data look different than it really is.
What is Base Effect called in Turkish?
In Turkish financial reporting and news, Base Effect is called Baz Etki.
Which concepts are related to Base Effect?
The concepts most often mentioned together with Base Effect are CPI (Consumer Price Index), PPI (Producer Price Index) and Inflation.