Other than by foot, taxis are a cheap and easy way to get around Istanbul or 

any other city in Turkey.  The base rate is the equivalent of approximately US $0.65 and

you can get from the old city to the new city (e.g., Taksım) for about US $2 - 3 .

In the Sultanahmet area there is an above-ground tram that is cheap and

easy to use.  Not only is it cheaper than a taxi (around 50 cents per ticket), it goes

through some major streets that are off limits to taxis.  It runs from the Eminonu pier

(across from the Spice Market) all the way past the Grand Bazaar.  It is a good way to

get around when you get tired of walking.

Istanbul's subway system, known as the Metro, has recently opened.  While

there is a stop in Taksım, none of the stops are located near any of the sights

frequented by tourists and it is highly unlikely that you will want or need to travel on

Istanbul's Metro.

Be sure to take a ride on Istanbul's Tünel, one of the world's oldest subway

systems.  Istanbul's Tünel consists of only two stops.  One is located at the end of

Istiklal Caddessi in Beyoğlu (not far from the Pera Palas hotel) and the other is located

near the Galata Bridge in Karaköy.  Tünel was built by French engineers in the late

1800s and allowed European diplomats and businessmen to ride between their

waterside offices in Karaköy and their hilltop residences in Beyoğlu.  The stations are

beautifully decorated.  The one-way fare is approximately US $0.65.

Traveling between large cities on Turkish Airlines (often abbreviated in

Turkish as THY) is relatively inexpensive.  Fares between Istanbul and Ankara or

Kayseri (the closest city to the Cappadocia region), for example, run about US $170

round-trip.  THY is a safe airline and their flights generally run on-time (however,

boarding and deplaning are usually like an Istanbul traffic jam).  THY has a large ticket

office in Taksım and they accept major credit cards.  If you are staying at a hotel with a

concierge, the concierge can make reservations for you.  Otherwise, there are

numerous travel agencies around Istanbul that can assist you.  One other important

piece of information about flying domestically in Turkey is that before you board the

plane you may be asked to identify your luggage.  This is done for security reasons.

Once you get off of the shuttle bus that takes you from the terminal to the plane, go to

the luggage that is sitting on the tarmac.  Find your bags and tell the baggage handler

which one is yours.  They will place your bags on the luggage cart and then you can

board the plane.

While I have never had such an experience, the following warning was told to

me by the head of National Geographic Expeditions who received my Turkish guide

from a friend:  Seat assignments on domestic flights are usually ignored by Turks who

simply get on and sit in any seat they want.  If you insist on your assigned seat and ask

them to move you may be in for a good Turkish tongue lashing!

Turkey has a poor inter-city train system with limited destinations.  However,

Turkey has a very well-developed inter-city bus system.  In fact, the bus terminal in

Ankara is larger than many U.S. airports.  Most of the inter-city buses are modern,

Mercedes-Benz buses, with televisions and attendants that serve coffee and other

drinks.  The ticket prices are very cheap as well.  You should make sure to find out how

the long the trip is before you choose to take a bus.  Because of the terrain and traffic, a

1 hour flight between Istanbul and Izmir may take as long as 10 hours on a bus.

(djacobsonlaw.com)