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The Effect of Public Expenditures on Some Macroeconomic Variables on Turkey

Author

Listed:
  • Osman Cenk Kanca

    (Atatürk University)

  • Metin Bayrak

    (Kırgızistan Türkiye Manas University)

Abstract

Public expenditure is a highly significant phenomenon for the state. The impact on the economy of public spending has been dis¬cussed in literature in different times in different intensity in various aspects. The study in this context, Turkey’s public spending from 1980-2011 are taken up on an annual basis and interaction with some macroeconomic variables (growth, inflation, unemployment, budget deficit, current account deficit, interest rates) is analysed by VAR method. The findings obtained show that the public expen¬ditures affect budget deficit, inflation and interets rates.

Suggested Citation

  • Osman Cenk Kanca & Metin Bayrak, 2016. "The Effect of Public Expenditures on Some Macroeconomic Variables on Turkey," Journal of Finance Letters (Maliye ve Finans Yazıları), Maliye ve Finans Yazıları Yayıncılık Ltd. Şti., vol. 31(106), pages 169-212, October.
    • Handle: RePEc:acc:malfin:v:31:y:2016:i:106:p:169-212
    DOI: https://doi.org/10.33203/mfy.341769
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