Causes of Growth of Turkish Economy

2016 ◽  
pp. 127-165
Author(s):  
Milenko Popovic
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Growth Analysis ◽  
Capital Account ◽  
Long Run ◽  
Turkish Economy ◽  
Policy Measures ◽  
Proximate Causes

This chapter provides an analysis of the proximate causes of growth of the Turkish Economy. Previous researches on this issue have been not only critically reviewed but also used to provide some additional insights on long run growth of Turkish economy. Emphasis of the paper is, however, on causes of growth in the era of globalization. Sources of growth have been analyzed for different sub-periods of this era in order to see how different reforms, like trade and capital account liberalizations, economic crisis and post-crisis policy measures and similar have influenced economic growth of Turkey from 1980 till 2013. Apart from conventional sources of growth analysis, demand and industry side sources of growth analysis have been also given. A lot of interesting insights have been obtained from these analyses.

scholarly journals An analysis of key sectors of economic growth in Greece: A VAR testing approach

2018 ◽  
Vol 7 (4) ◽  
pp. 7-12
Author(s):  
Konstantinos Spinthiropoulos ◽  
Alexandros Garefalakis ◽  
Dimitrios Charamis ◽  
Georgios Gerakis ◽  
Anastasios Konstantinidis
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Manufacturing Sector ◽  
Economic Recession ◽  
Tourism Industry ◽  
Term Relation ◽  
Long Run ◽  
Greek Economy ◽  
The One ◽  
The Relationship

The purpose of the study is to examine the relationship that exists between tourism, money supply and construction, on the one hand, and the economic growth in Greece, using a multivariate autoregressive model VAR. The long-term relation based on the Cointegration test results has shown the existence of a long run relation despite the prolonged economic recession. The analysis was carried out for the period from 1965 to 2015. The empirical results show that the economy of Greece can recover and return to long run equilibrium with a speed of adjustment reaching 3,60 % per year. The global economic crisis has undoubtedly affected the Greek economy. Long before the onset of the economic crisis, Greece applied a model of economic growth that relied on the growth of the manufacturing sector. In particular, the development of the construction sector was the engine of the Greek economy. However, through our analysis, it turns out that the engine for the development of the Greek economy is tourism rather than construction. The relationship between construction and the supply of money in Greece’s GDP is positive. However, the dynamics of the tourism industry stand out in comparison to the other areas examined.

scholarly journals The Relationship between Exports and Economic Growth in Saudi Arabia

2016 ◽  
Vol 12 (4) ◽  
pp. 117 ◽  
Author(s):  
Tarek Tawfik Yousef Alkhateeb ◽  
Haider Mahmood ◽  
Zafar Ahmad Sultan
Keyword(s):  
Economic Growth ◽  
Saudi Arabia ◽  
Well Being ◽  
Export Growth ◽  
High Rate ◽  
Long Run ◽  
Causality Tests ◽  
Policy Measures ◽  
The Relationship ◽  
Series Technique

<p>One of the most important objectives of an economy is to achieve high rate of economic growth so as to improve the well-being of their citizen. For the purpose, export-oriented policy measures are more preferably prescribed in the recent past. The present study aims at to find the linkages between exports and economic growth in case of Saudi Arabia. The study uses the most efficient unit root, cointegration and causality tests to find the true relationships between exports and economic growth. The study tries to examine the dynamic association for exports and economic growth in Saudi Arabia. Applying more popular time series technique of long run relationship and causality, the paper finds the long-run cointegration relationships in our export-growth model. Further, we have found feed-back effect in export-growth relationships and suggest the further export-promotion to foster economic growth in Saudi Arabia. </p>

scholarly journals Myths and Realities of Long-run Development: A Look at Deeper Determinants

2007 ◽  
Vol 46 (1) ◽  
pp. 19-44 ◽  
Author(s):  
Lubna Hassan
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Economic Performance ◽  
Technological Development ◽  
Geographical Factors ◽  
Long Run ◽  
Primary Determinant ◽  
Proximate Causes ◽  
Determinants Of Economic Growth ◽  
Factor Accumulation

It has long been realised that factor accumulation and technological development are only proximate causes of economic development, and the focus has now shifted to investigating the ‘deeper determinants’ of economic growth. Two such forces are highlighted in the literature: institutions and geography. However, it remains controversial as to which of these two is the more important. The “institutions school” assigns primal importance to institutions, whereas the “geography school” considers geographical factors as the primary determinant of the economic performance of countries. This paper reviews the debate surrounding these “deeper determinants” of economic performance. It reviews the work of these two schools of thought and their interpretation of the long-run development. The paper then examines the evidence provided by the respective schools in favour of their hypotheses. It concludes in favour of the Institutions hypothesis as the Geography school does not provide a consistent story of long-run development.

scholarly journals Exploring Economic Growth and Environment Nexus in Nine Southeastern European Countries

2018 ◽  
Vol 56 (2) ◽  
pp. 253-268
Author(s):  
Petar Mitić ◽  
Slobodan Cvetanović
Keyword(s):  
Economic Growth ◽  
Co2 Emissions ◽  
Renewable Energy Sources ◽  
Gdp Per Capita ◽  
Speed Of Adjustment ◽  
Long Run ◽  
Short Run ◽  
Policy Measures ◽  
Per Capita ◽  
Trading Scheme

Abstract This paper investigates the interdependence between environmental degradation (CO2 emissions) and economic growth (GDP per capita) in nine SEE countries over the period 1992 – 2016. The results of Granger causality testing indicate that in the short run there is a positive bidirectional causal relationship between CO2 emissions and GDP per capita, but in the long run, there is causality running just from GDP per capita to CO2 emissions, with the 2.0279% speed of adjustment. In pursuit of adequate policy measures, SEE countries need to work on inclusion of non-EU countries into European Union’s Emissions Trading Scheme, further developing carbon taxation policies and using renewable energy sources on a larger scale.

scholarly journals The Impact of Housing Loans on Economic Growth in Turkey: Times Series Analysis for 2010-2015 Period

2017 ◽  
Vol 7 (1) ◽  
pp. 25-30
Author(s):  
Gülay Selvi Hanişoğlu ◽  
Özlem Arzu Azer
Keyword(s):  
Economic Growth ◽  
Construction Industry ◽  
Economic Crisis ◽  
Foreign Currency ◽  
Times Series ◽  
Turkish Economy ◽  
Global Economic Crisis ◽  
Housing Industry ◽  
Times Series Analysis ◽  
The Impact

Turkish economy has a growing trend after the 2000-2001 economic crises, although ups and downs were experienced in some periods. Some of the important components of Turkish economy are the construction industry and the related housing industry. The construction industry in Turkey has a multiplier effect in the economy since it uses domestic inputs and creates jobs for the labor. Also, the construction sector actors operate overseas and enable inflow of foreign currency to Turkey, thus fostering economic growth. In the recent years, foreign funds and overseas firms have an increasing interest in Turkish construction industry. The Turkish housing industry as one of the leading components of construction industry has also experienced eye-catching developments in the recent years. Definitely, the Turkish housing industry is now much more competitive compared to former years. The global economic crisis of 2008 originated from the housing industry and had devastating effects all over the world. However, the 2008 global economic crisis had relatively lighter effects in Turkey. Parallel to the improvements in construction and housing industries, several financial alternatives exist today. Banks have diversified their credit products considering the needs of consumers. Moreover, the mortgage law going in effect and the mortgage practices becoming popular have contributed to the progress of housing industry. This study analyzed the effect of housing loans and their diversification on economic growth. The research concentrated on the 2010-2015 period, where the impact of 2008 global crisis has diminished.

scholarly journals The Relationship between Growth and Employment: The Case of Turkey

2011 ◽  
Author(s):  
Yusuf Muratoğlu
Keyword(s):  
Economic Growth ◽  
Growth Models ◽  
Employment Rate ◽  
Policy Makers ◽  
Long Run ◽  
Turkish Economy ◽  
Unemployment Policy ◽  
Relationship Of ◽  
The Relationship ◽  
Integration Levels

One of the main problems of the Turkish economy in many years is unemployment. Policy makers apply many policies to increase employment. One of the most important of these policies is increasing economic growth by both ensure economic growth and increase employment in this way. This study analyzes relationship of economic growth and employment by using quarterly data of TUIK for Turkey. The variables used are GDP as a economic growth and employment rate as a employment. First types of employment are explained then growth models are discussed. In empirical application integration levels of the variables are investigated with the using DF, PP and KPSS tests. After this applications long run relationship is investigated by using Engle-Granger Analysis. Then the relation between growth and employment rate is tested by using Granger causality.

scholarly journals Impact of 2008 Global Economic Crisis on Youth Unemployment: An Application to Turkey

2020 ◽  
Vol 8 (11) ◽  
pp. 2334-2338
Author(s):  
Mehmet Arif Şahinli ◽  
Ahmet Özçelik ◽  
Hüseyin Tayyar Güldal
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Empirical Studies ◽  
Youth Unemployment ◽  
Dummy Variables ◽  
Turkish Economy ◽  
Global Economic Crisis

In recent years, youth unemployment in Turkey is the effect of economic growth on employment and unemployment. When we search studies for employment and unemployment in the literature, we can’t find many empirical studies for the Turkish economy. In order to contribute about this subject, we try to search the effect of economic growth on youth unemployment for the Turkish economy for the period of 1998-2016 employing Dummy variables. Especially, we found that, increasing effect of economic growth on youth unemployment.

scholarly journals The Dynamic Impact of Government Expenditure in Education on Economic Growth

2021 ◽  
Vol 22 (3) ◽  
pp. 1487-1507
Author(s):  
Norimah Rambeli ◽  
Dayang Affizzah Awang Marikan ◽  
Jan M. Podivinsky ◽  
Rosilawati Amiruddin ◽  
Ismadi Ismail
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Economic Crisis ◽  
Financial Planning ◽  
Government Spending ◽  
Government Expenditure ◽  
Dynamic Impact ◽  
Long Run ◽  
Growth Hypothesis

The focal aim of this study is to examine the validation of education-led economic growth hypothesis in Malaysia under the recovery period following the 2008 world economic crisis. Specifically, this study implemented the augmented Cobb-Douglas model in order to observe the dynamic relationship between selected variables including, industrial production index, gross fixed capital formation, employment, government spending on education and broad money supply. This study adopted the Vector Error Correction Model (VECM) in analysing the dynamic impact between variables and generally supports the education-led growth hypothesis in the short and long run. Specifically the study corroborates the bidirectional causality between education spending and economic growth, and vice versa, in the short run. The result also reveals that long-run equilibrium relationship exists between government expenditure in education and economic growth in Malaysia during post-crisis recovery regime. The education-led growth hypothesis can thus be inferred for the economy following crisis. The government should thus be advised that increasing education sector spending should increase post-crisis economic growth in both the short and long run. This is further strengthened by Granger causality test result which suggests unidirectional causality that runs from financial variable to economic growth. It is accordingly suggested that financial variable is a determinant of government spending on education in the aftermath of the economic crisis. Additionally, the study also supports the role of capital and employment on economic growth in the long term. By implication, the study suggests that financial planning as related to national education policies must be carefully and meticulously crafted, to ensure future success. This is linked to the investment in human capital which includes education expenditure at different levels that is essentially important to national long-term planning. The specific financial planning for human capital development is therefore very important to ensure the expenditure incurred contributes to sustainable economic development in Malaysia in the long term.

Forming Sources of Long-run Growth: How to Understand Them?

2014 ◽  
pp. 4-20 ◽  
Author(s):  
G. Idrisov ◽  
S. Sinelnikov-Murylev
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Economic Policy ◽  
Business Cycle ◽  
Capital Markets ◽  
Productivity Growth ◽  
Government Spending ◽  
Long Run ◽  
Accelerate Growth ◽  
Budget Institutions

The paper analyzes the inconsequence and problems of Russian economic policy to accelerate economic growth. The authors consider three components of growth rate (potential, Russian business cycle and world business cycle components) and conclude that in order to pursue an effective economic policy to accelerate growth, it has to be addressed to the potential (long-run) growth component. The main ingredients of this policy are government spending restructuring and budget institutions reform, labor and capital markets reforms, productivity growth.

Sign in / Sign up

Export Citation Format

Share Document