An Empirical Analysis of the Relationship between Research and Development Expenditures, Total Factor Productivity, and Economic Growth in Turkey
Hamza Cestepe, Sezin Sikli
article (Uluslararası, Hakemli) | Yazar(lar): Hamza Cestepe, Sezin Sikli | Yıl: 2024 | Dergi/Kurum: EKOIST-JOURNAL OF ECONOMETRICS AND STATISTICS | İndeks: WOS.ESCI | DOI: 10.26650/ekoist.2024.40.1386773 | Anahtar Kelimeler: Research and Development Expenditures, Total Factor Productivity, Economic Growth, Granger Caus
Many studies have been conducted on the sources and effects of economic growth and its relationship with various macroeconomic variables. In this study, the relationship between research and development (R&D) expenditures, total factor productivity, and economic growth has been empirically investigated in the case of Turkey. Turkey's 1990-2019 period data and the Granger causality analysis method were used for this purpose. The analysis discovered a one-way causality relationship between R&D expenditures and growth as well as between R&D expenditures and total factor productivity. In this context, Turkey should focus on policies that prioritize R&D and increase R&D expenditures. Furthermore, given that increases in total factor productivity boost growth, policymakers should implement policies that increase resource efficiency and R&D, and encourage the private sector to invest in these areas through tax breaks, financial incentives, and technical assistance.