Dynamic relation between economic growth, foreign exchange and tourism incomes: an econometric perspective on turkey

The growth trends in the tourism of Turkey have gained impetus since the early 1980s. Since then, tourism has held its indispensable position among the drives of economic growth and governments have introduced incentives to increase tourism receipts. The main objective of this study is to find out the relation among growth, foreign exchange and tourism receipts. To serve this purpose, we use data set of 1987 and 2009 period then using cointegration and Granger causality, The Granger causality results show that there is a causal relationship running from tourism incomes to economic growth, which supports the premise that tourism benefits economic growth.

Tourism Incomes ,

Foreign Exchange ,

Growth ,

Granger Causality ,

Vector Auto Regressive (VAR) Models ,