BUDGE T DEFICIT SUSTAINABILIT Y: AN APPLICATION TO TURKEY

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Ergen Z., Güzhan E.

Prague Economic Papers, cilt.31, sa.1, ss.3-24, 2022 (SSCI)

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 31 Sayı: 1
  • Basım Tarihi: 2022
  • Doi Numarası: 10.18267/j.pep.780
  • Dergi Adı: Prague Economic Papers
  • Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI), Scopus, International Bibliography of Social Sciences, EconLit, PAIS International, Political Science Complete, Sociological abstracts, Worldwide Political Science Abstracts
  • Sayfa Sayıları: ss.3-24
  • Çukurova Üniversitesi Adresli: Evet

Özet

In this study, sustainability of budget deficits in Turkey is examined empirically for the period from January 2006 to September 2020, using time series techniques based on monthly data, under the intertemporal budget constraint approach. In the analysis phase, the Johansen cointegration method was used for the long-term relationship of the series. Analysis results indicated that income and expenditure series are not cointegrated. It is concluded that budget policies for the period under consideration in Turkey are unsustainable; therefore, the applied fiscal policies should be reviewed. Keywords: Budget deficit, sustainability, intertemporal budget constraint, Turkey JEL Classification: H30, H50, H60