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Journals / Maliye Dergisi / 2017 / Sayı: 172

The Relationship Between Price Level and Fiscal Policy in Turkey: An Econometrical Analysis of the FTPL Approach

Tiirkiye’de Fiyat Düzeyi ve Maliye Politikası Arasındaki Ilişki: FTPL Yaklaşımının Ekonometrik Bir Analizil

Mehmet BÖLÜKBA
OSMAN PEKER
Pages
1–14
DOI
—
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AI Summary & Key Takeaways

AI Insight
⚡ TL;DR(Too Long; Didn't Read)

According to the results of empirical analysis, it has been determined that fiscal policy is an effective policy in determining the price level in Turkey in the mentioned period because a unit change in the primary budget balance led to an increase of 4,33 units in the general price level.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:The aim of this study is to investigate the Fiscal Theory of Price Level (FTPL) approach for Turkey and to determine whether monetary and fiscal policy shows a dominant regime characteristic.
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Key Findings & Data:In this context, an empirical analysis was performed by using 2006:Q1-2015:Q4 period data with the help of Johansen Cointegration Method.
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Conclusion & Impact:According to the results of empirical analysis, it has been determined that fiscal policy is an effective policy in determining the price level in Turkey in the mentioned period because a unit change in the primary budget balance led to an increase of 4,33 units in the general price level.
🔬Design:Research Article
📍Scope:2006 Verileri
⚙️Variables:Domain Parameters

Abstract

The aim of this study is to investigate the Fiscal Theory of Price Level (FTPL) approach for Turkey and to determine whether monetary and fiscal policy shows a dominant regime characteristic. In this context, an empirical analysis was performed by using 2006:Q1-2015:Q4 period data with the help of Johansen Cointegration Method. According to the results of empirical analysis, it has been determined that fiscal policy is an effective policy in determining the price level in Turkey in the mentioned period because a unit change in the primary budget balance led to an increase of 4,33 units in the general price level. This finding suggests that the FTPL approach is valid for Turkey in the period 2006-2015 and fiscal policy shows the dominant regime characteristic in Turkey in the mentioned period

Özet

Bu çalışmanın amacı Fiyat Düzeyinin Mali Teorisi (FTPL) yaklaşımını Türkiye için araştırarak para ve maliye politikasının dominant rejim özelliği gösterip göstermediğini tespit etmektir. Bu kapsamda 2006:Q1-2015:Q4 dönemi verileri kullanılarak Johansen eşbütünleşme yöntemi yardımıyla ampirik bir analiz gerçekleştirilmiştir. Yapılan ampirik analizin sonuçlarına göre söz konusu dönemde Türkiye'de fiyat düzeyinin belirlenmesinde maliye politikasının etkin bir politika olduğu tespit edilmiştir. Çünkü faiz dışı bütçe dengesinde meydana gelen bir birimlik değişim fiyatlar genel düzeyinde 4,33 birimlik artışa yol açmıştır. Bu bulgu 2006-2015 döneminde FTPL yaklaşımının Türkiye için geçerli olduğunu ve Türkiye'de maliye politikasının dominant rejim özelliği gösterdiğini ifade etmektedir

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Cite This Article

BÖLÜKBA, M., PEKER, O. (2017). The Relationship Between Price Level and Fiscal Policy in Turkey: An Econometrical Analysis of the FTPL Approach. Maliye Dergisi, Sayı: 172, 1–14. https://ajindex.com/articles/78885

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