A TIME SERIES ANALYSIS OF THE NEXUS BETWEEN ECONOMIC FREEDOM AND DEMOCRACY AND ECONOMIC PERFORMANCE: THE TURKISH CASE

Abstract

Economic freedom and democracy, by determining institutional structure, affect economic performance. According to predominant view in the economic literature, economic freedom contributes positively to economic performance. However, the nexus between democracy and economic performance is disputed. In this study, by using the time series data of 1970-2005 for Turkey, we found positive relationship between economic freedom and economic performance, while we could not reach a definite verdict in regarding to impacts of democracy on economic performance since we found both negative and positive relation depending on the model used

Keywords

• Economic Freedom,Democracy,Economic Performance,Time Series Analysis

EKONOMİK ÖZGÜRLÜKLER VE DEMOKRASİ İLE EKONOMİK PERFORMANS ARASINDAKİ İLİŞKİNİN ZAMAN SERİLERİ İLE ANALİZİ: TÜRKİYE ÖRNEĞİ

Öz

Ekonomik özgürlükler ve demokrasi kurumsal yapıyı belirleyerek ekonomik performansı etkilemektedir. Literatürde baskın olan görüşe göre ekonomik özgürlükler ekonomiye olumlu katkıda bulunmaktadır. Demokrasi ile ekonomik performans arasındaki ilişki ise tartışmalıdır. Türkiye için 1970-2005 arası zaman serilerini kullanarak yaptığımız bu çalışmada ekonomik özgürlüklerle ekonomik performans arasında pozitif bir ilişki bulunurken; demokrasinin ekonomik performansa etkisi üzerine kesin bir yargıya varılamamıştır. Çünkü kullanılan modellerin bazısında pozitif, bazısında negatif ilişki bulunmuştur.

Anahtar Kelimeler

• Ekonomik Özgürlükler,Demokrasi,Ekonomik Performans,Zaman Serileri Analizi

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