The article examines how changes in exchange rates affect prices in Turkey. By analyzing data from 1986 to 2013, the researchers found that exchange rate fluctuations have a significant and immediate impact on inflation in Turkey. They also discovered that the pass-through of exchange rate changes to producer prices is higher than to consumer prices. Factors like past currency crises and the openness of the economy play a key role in this relationship. The study suggests that in order to maintain low and stable inflation in the long run, fundamental factors influencing the link between exchange rates and prices need to be addressed.