SavedAdd your journal

Journals / İktisat Politikası Araştırmaları Dergisi / 2014 / Cilt: 1 - Sayı: 2

THE RELATIONSHIP BETWEEN FINANCIAL DEVELOPMENT AND ECONOMIC GROWTH FOR TURKEY

Betül MUTLUGÜN
Pages
0
Publication Date
2014-07-02
DOI
—
🏛️Bibliographic metadata and full text access for this article are provided via DergiPark.
DergiPark Record ↗
✨

AI Summary & Key Takeaways

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

Moreover, according to Granger causality test, the direction of causality runs from economic growth to financial development for Turkey.

📌 3 Key Takeaways

🎯
Objective & Hypothesis:The aim of this study is to clarify the controversial relationship between financial development and economic growth for Turkey.
📊
Key Findings & Data:To test the relationship between financial development and economic growth, by using quarterly time series data for Turkey between 1988-2012 period, Vector Auto regression Analysis and Granger causality test are applied.
💡
Conclusion & Impact:Moreover, according to Granger causality test, the direction of causality runs from economic growth to financial development for Turkey.
🔬Design:Survey & Empirical Study
📍Scope:2012 Verileri
⚙️Variables:Finansal Gelişme · Ekonomik Büyüme · Finansal Serbestleşme

Abstract

The aim of this study is to clarify the controversial relationship between financial development and economic growth for Turkey. After surveying the related theoretical and empirical literature, the structure and development of the Turkish financial system and economic growth in process of financial integration is examined. To test the relationship between financial development and economic growth, by using quarterly time series data for Turkey between 1988-2012 period, Vector Auto regression Analysis and Granger causality test are applied. The result of the econometric analysis showed that while there is a short run relationship between financial development and economic growth, there is no long run relationship between these variables. Moreover, according to Granger causality test, the direction of causality runs from economic growth to financial development for Turkey.

Özet

ABSTRACT The aim of this study is to clarify the controversial relationship between financial development and economic growth for Turkey. After surveying the related theoretical and empirical literature, the structure and development of the Turkish financial system and economic growth in process of financial integration is examined. To test the relationship between financial development and economic growth, by using quarterly time series data for Turkey between 1988-2012 period, Vector Auto regression Analysis and Granger causality test are applied. The result of the econometric analysis showed that while there is a short run relationship between financial development and economic growth, there is no long run relationship between these variables. Moreover, according to Granger causality test, the direction of causality runs from economic growth to financial development for Turkey. Key words: Financial Development, Economic Growth, Financial Liberalization, Vector Autoregression analysis, Granger causality test JEL: G10, G20, O43 ÖZ Bu çalışmanın amacı, finansal gelişme ve ekonomik büyüme arasındaki tartışmalı ilişkiyi Türkiye için açıklığa kavuşturmaktır. İlgili teorik ve uygulamalı literatür incelendikten sonra, Türk finansal sisteminin yapısı ve gelişmesi ile ekonomik büyüme ilişkisi finansal entegrasyon sürecinde incelenmiştir. Finansal gelişme ve ekonomik büyüme arasındaki ilişki, Türkiye için 1988-2012 yılları arasındaki çeyrek dönemlik zaman serisi verileri kullanılarak, VAR analizi ve Granger nedensellik testi ile test edilmiştir. Yapılan ekonometrik analizin sonuçları, finansal gelişme ve ekonomik büyüme arasında kısa dönemli bir ilişki gösterirken, değişkenler arasında uzun dönemli bir ilişki yoktur. Ayrıca, Granger nedensellik testi sonuçlarına göre, nedensellik ilişkisinin yönü Türkiye için ekonomik büyümeden finansal gelişmeye doğrudur. Anahtar Kelimeler: Finansal Gelişme, Ekonomik Büyüme, Finansal Serbestleşme, Vektör Otoregresyon Analizi, Granger nedensellik testi JEL: G10, G20, O43

🔖

Cite This Article

MUTLUGÜN, B. (2014). THE RELATIONSHIP BETWEEN FINANCIAL DEVELOPMENT AND ECONOMIC GROWTH FOR TURKEY. İktisat Politikası Araştırmaları Dergisi, Cilt: 1 - Sayı: 2, 0. https://ajindex.com/articles/8389

📄 Full Text PDF Viewer

📄

PDF görüntüleyici hazırlanıyor...

References (16)

  1. Akkay, Reşat Can (2010). “Gelişmekte Olan Piyasalarda Finansal Gelişme Ekonomik Büyüme İlişkisi: Türkiye Örneği”, İstanbul Üniversitesi İktisat Anabilim dalı Doktora tezi, İstanbul.
  2. Allen, F. and D. Gale (1999).
  3. Comparing Financial Systems, Cambridge, MA: MIT Press.
  4. Bagehot, W. (1873). Lombard Street, Homewood, Il: Richard D. Irwin, 1962
  5. Edition.
  6. Beck, T. and Ross Levine (2004). “Stock Markets, Banks, and Growth: Panel Evidence”, Journal of Banking and Finance, 28/3, 423-442.
  7. Bencivenga et. al. (1995). “Transactions costs, Technological Choice, and Endogenous Growth,” Journal of Economic Theory, 67(1), 153–77.
  8. Bencivenga, Valerie R., and Bruce D. Smith (1991). “Financial intermediation and endogenous growth”, The Review of Economic Studies 58.2, 195-209.
  9. Bencivenga, Valerie R., and Bruce D. Smith (1993). “Some Consequences of credit rationing in an endogenous growth model”, Journal of Economic Dynamics and Control, 17/1-2, 97-122.
  10. Blackburn, Keith, and Victor TY Hung (1998). “A theory of growth, financial development and trade”, Economica 65.257, 107-124.
  11. Christopoulos, Dimitris K., and Efthymios G. Tsionas (2004). "Financial development and economic growth: evidence from panel unit root and cointegration tests." Journal of development Economics, 73.1, 55-74. Ümit Cizre-Sakallıoğlu and Erinç Yeldan (2000). “Politics, Society and Financial Liberalization: Turkey in the 1990’s”, Development and Change, C.31. Davidson, Russell, and James G. MacKinnon (1993). “Estimation and inference in econometrics”. OUP Catalogue. Demetriades, Panicos O., and Khaled A. Hussein (1996). “Does financial development cause economic growth? Time-series evidence from 16 countries” Journal of development Economics, 51.2, 387-411.
  12. Demetriades, Panicos O., and Kul B. Luintel (2001). “Financial restraints in the South Korean miracle”, Journal of Development Economics, 64.2 459-479.
  13. Diamond, Douglas W., and Philip H. Dybvig (1983). “Bank runs, deposit insurance, and liquidity”, The journal of political economy, 401-419.
  14. Murat Doğu (1996). “Gelişen Hisse Senedi Piyasaları ve Türkiye”, Sermaye Piyasası Kurulu, Ankara, No: 27. Eser, Kadir, (1996). “Finansal Liberalizasyon Politikalarının Makroekonomik Performans Üzerindeki Etkileri”, Hazine Dergisi 1, 21-40.
  15. Gerschenkron, Alexander (1962). “Economic backwardness in historical perspective”, Economic backwardness in historical perspective. Goldsmith, Raymond William (1969).
  16. Financial structure and development, Vol. 1. New Haven: Yale Unive