kaüi̇i̇bfd Kafkas Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi 1309-4289 2149-9136 Kafkas Üniversitesi 10.36543/kauiibfd.2021.004 DOES DOMESTIC PRIVATE INVESTMENT INDUCE ENVIRONMENTAL DAMAGE IN TURKEY? EVIDENCE FROM FOURIER-BASED METHODS DOES DOMESTIC PRIVATE INVESTMENT INDUCE ENVIRONMENTAL DAMAGE IN TURKEY? EVIDENCE FROM FOURIER-BASED METHODS https://orcid.org/0000-0001-9447-3375 Karasoy Alper AFYON KOCATEPE ÜNİVERSİTESİ 06 28 2021 12 23 55 76 02 23 2021 05 21 2021 Copyright © 2010, Kafkas Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi 2010 Kafkas Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi

Her ne kadar yurtiçi özel yatırımların (YÖY) farklı boyutları literatürde ampirik olarak incelenmiş olsa da YÖY’ün çevresel sürdürülebilirliğe olan etkisini inceleyen çalışma sayısı son derece sınırlıdır. Bu araştırmada, YÖY’ün Türkiye’deki çevresel bozulma göstergelerini (ekolojik ve karbon ayak izlerini) nasıl etkilediği 1975-2017 dönemi için ve Fourier temelli yöntemler kullanılarak incelenmiştir. Bu araştırmanın sonuçlarına göre, ileri sürülmüş olan her iki modelde de kullanılmış olan değişkenlerin (çevresel bozulma, gelir, enerji tüketimi ve YÖY) uzun dönemde birlikte hareket ettiği bulunmuştur. Ayrıca kendiyle bağlanımlı dağıtılmış gecikmeli (ARDL) yöntemle tespit edilmiş olan dinamik ilişkilere göre; YÖY ve birincil enerji tüketiminin uzun dönemde hem ekolojik ayak izini hem de karbon ayak izini arttırdığı, gelirin de kısa dönemde çevresel bozulmayı arttırdığı tespit edilmiştir. Elde edilen sonuçlar YÖY’ün Türkiye’nin uzun dönem çevresel sürdürülebilirliğini tehdit ettiğini göstermektedir.

Although many aspects of domestic private investment (DPRI) have been empirically studied in the literature, evidence regarding the effect of DPRI on environmental sustainability is rather nascent. This research attempts to fill this gap by investigating how DPRI in Turkey affected environmental degradation (namely ecological and carbon footprints) for the 1975-2017 period by employing Fourier-based approaches. The findings in this research indicate that employed variables (environmental degradation, income, energy use, and DPRI) have a long-run association in both proposed models. Furthermore, the dynamic relationship captured by the autoregressive distributed lag (ARDL) method shows that DPRI and primary energy use induce ecological and carbon footprints in the long-run, while income intensifies both environmental degradation indicators in the short-run. These results clearly indicate that DPRI threatens Turkey’s long-term environmental sustainability.

 Turkey domestic private investment Fourier-based methods Türkiye yurtiçi özel yatırımlar Fourier temelli yöntemler Adewuyi, A. O. (2016). Effects of public and private expenditures on environmental pollution: A dynamic heterogeneous panel data analysis. Renewable and Sustainable Energy Reviews, 65, 489–506. https://doi.org/10.1016/j.rser.2016.06.090 Akçay, S., & Karasoy, A. (2020). Determinants of private investments in Turkey: Examining the role of democracy. Review of Economic Perspectives, 20(1), 23–49. https://doi.org/10.2478/revecp-2020-0002 Altuğ, S., & Zenginobuz, Ü. (2009). What has been the role of investment in Turkey’s growth performance? In Z. Öniş & F. Şenses (Eds.), Turkey and the Global Economy (1st ed., pp. 123–144). Routledge. https://www.taylorfrancis.com/chapters/role-investment-turkey-growth-performance-sumru-altuğ-ünal-zenginobuz-ziya-onis-fikret-senses/e/10.4324/9780203867426-13?context=ubx&refId=11a646c1-1424-4aee-8e2e-59b38ccf1b4c Aşıcı, A. A. (2015). On the sustainability of the economic growth path of Turkey: 1995–2009. Renewable and Sustainable Energy Reviews, 52, 1731–1741. https://doi.org/10.1016/j.rser.2015.07.192 Ayeni, R. K. (2020). Determinants of private sector investment in a less developed country: a case of the Gambia. Cogent Economics & Finance, 8(1), 1794279. https://doi.org/10.1080/23322039.2020.1794279 BP. (2020). BP Statistical Review of World Energy 2020. https://www.bp.com/content/dam/bp/business-sites/en/global/corporate/pdfs/energy-economics/statistical-review/bp-stats-review-2020-full-report.pdf Dickey, D. A., & Fuller, W. A. (1981). Likelihood Ratio Statistics for Autoregressive Time Series with a Unit Root. Econometrica, 49(4), 1057–1072. https://doi.org/10.2307/1912517 Du, Y., Jiang, L., & Zhou, Y. (2018). The Impact of Environmental Regulations on Private Investment Efficiency. 5th International Conference on Industrial Economics System and Industrial Security Engineering (IEIS), 1–6. https://doi.org/10.1109/IEIS.2018.8598149 Economic and Social Indicators - Presidency of the Republic of Turkey - the Presidency of Strategy and Budget. (2020). https://www.sbb.gov.tr/ekonomik-ve-sosyal-gostergeler/#1540021349032-1be70108-294c Global Footprint Network National Footprint Accounts. (2020). http://data.footprintnetwork.org Güney, P. Ö. (2020). Macroeconomic uncertainty and investment relationship for Turkey. Economic Journal of Emerging Markets, 12(2), 151–166. https://doi.org/10.20885/ejem.vol12.iss2.art3 Hassan, S. (2018). Dynamic Impact of Energy Consumption, Private Investment and Financial Development on Environmental Pollutions: Evidence from Malaysia. International Journal of Energy Economics and Policy, 8(4), 63–69. http:www.econjournals.com Ikpesu, F., Vincent, O., Dakare, O., & Nsiah, C. (2019). Growth effect of trade and investment in Sub-Saharan Africa countries: Empirical insight from panel corrected standard error (PCSE) technique. Cogent Economics & Finance, 7(1), 1607127. https://doi.org/10.1080/23322039.2019.1607127 Ismihan, M., Metin-Ozcan, K., & Tansel, A. (2005). The role of macroeconomic instability in public and private capital accumulation and growth: the case of Turkey 1963–1999. Applied Economics, 37(2), 239–251. https://doi.org/10.1080/0003684042000286115 Karasoy, A. (2019). Drivers of carbon emissions in Turkey: considering asymmetric impacts. Environmental Science and Pollution Research, 26(9), 9219–9231. https://doi.org/10.1007/s11356-019-04354-4 Khan, M. S., & Reinhart, C. M. (1990). Private investment and economic growth in developing countries. World Development, 18(1), 19–27. https://doi.org/10.1016/0305-750X(90)90100-C Makuyana, G., & Odhiambo, N. M. (2019). Public and private investment and economic growth in Malawi: an ARDL-bounds testing approach. Economic Research-Ekonomska Istraživanja, 32(1), 673–689. https://doi.org/10.1080/1331677X.2019.1578677 Narayan, P. K., & Popp, S. (2010). A new unit root test with two structural breaks in level and slope at unknown time. Journal of Applied Statistics, 37(9), 1425–1438. https://doi.org/10.1080/02664760903039883 Nazlioglu, S., Gormus, N. A., & Soytas, U. (2016). Oil prices and real estate investment trusts (REITs): Gradual-shift causality and volatility transmission analysis. Energy Economics, 60, 168–175. https://doi.org/10.1016/j.eneco.2016.09.009 Onafowora, O. A., & Owoye, O. (2014). Bounds testing approach to analysis of the environment Kuznets curve hypothesis. Energy Economics, 44, 47–62. https://doi.org/10.1016/j.eneco.2014.03.025 Pesaran, M. H., Shin, Y., & Smith, R. J. (2001). Bounds testing approaches to the analysis of level relationships. Journal of Applied Econometrics, 16(3), 289–326. https://doi.org/10.1002/jae.616 Porter, M. E., & Linde, C. van der. (1995). Toward a New Conception of the Environment-Competitiveness Relationship. Journal of Economic Perspectives, 9(4), 97–118. https://doi.org/10.1257/jep.9.4.97 Rodrigues, P. M. M., & Taylor, A. M. R. (2012). The Flexible Fourier Form and Local Generalised Least Squares De-trended Unit Root Tests. Oxford Bulletin of Economics and Statistics, 74(5), 736–759. https://doi.org/10.1111/j.1468-0084.2011.00665.x Rondinelli, D. A., & Vastag, G. (1998). Private investment and environmental protection: Alcoa-Köfem’s Strategy in Hungary. European Management Journal, 16(4), 422–430. https://doi.org/10.1016/S0263-2373(98)00019-X Sallam, S. S. (2019). Determinants of private investment in Egypt: an empirical analysis. Review of Economics and Political Science, 4(3), 257–266. https://doi.org/10.1108/REPS-12-2018-0043 Shabbir, M. S., Bashir, M., Abbasi, H. M., Yahya, G., & Abbasi, B. A. (2020). Effect of domestic and foreign private investment on economic growth of Pakistan. Transnational Corporations Review, 1–13. https://doi.org/10.1080/19186444.2020.1858676 Shin, Y. (1994). A Residual-Based Test of the Null of Cointegration Against the Alternative of No Cointegration. Econometric Theory, 10(1), 91–115. https://doi.org/10.1017/S0266466600008240 Soytas, U., & Sari, R. (2009). Energy consumption, economic growth, and carbon emissions: Challenges faced by an EU candidate member. Ecological Economics, 68(6), 1667–1675. https://doi.org/10.1016/j.ecolecon.2007.06.014 Talukdar, D., & Meisner, C. M. (2001). Does the Private Sector Help or Hurt the Environment? Evidence from Carbon Dioxide Pollution in Developing Countries. World Development, 29(5), 827–840. https://doi.org/10.1016/S0305-750X(01)00008-0 The World Bank. (2020). Dünya Kalkınma Göstergeleri. https://data.worldbank.org/data-catalog/world-development-indicators Tsong, C.-C., Lee, C.-F., Tsai, L.-J., & Hu, T.-C. (2016). The Fourier approximation and testing for the null of cointegration. Empirical Economics, 51(3), 1085–1113. https://doi.org/10.1007/s00181-015-1028-6 Wagner, M. (2003). The Porter Hypothesis Revisited: A Literature Review of Theoretical Models and Empirical Tests. Zivot, E., & Andrews, D. W. K. (2002). Further Evidence on the Great Crash, the Oil-Price Shock, and the Unit-Root Hypothesis. Journal of Business & Economic Statistics, 20(1), 25–44. https://doi.org/10.1198/073500102753410372 Zou, Y. (2006). Empirical studies on the relationship between public and private investment and GDP growth. Applied Economics, 38(11), 1259–1270. https://doi.org/10.1080/00036840500392649