Munich Personal RePEc Archive

The Financial Development and Economic Growth Nexus for Turkey

Halicioglu, Ferda (2007): The Financial Development and Economic Growth Nexus for Turkey.

[img]
Preview
PDF
MPRA_paper_3566.pdf

Download (73kB) | Preview

Abstract

This study investigates the validity of the demand-pulling and the supply-leading hypotheses using annual data from 1968 to 2005. The bounds testing approach to cointegration is conducted to establish the existence of a long-run relationship between financial development and economic growth. An augmented form of Granger causality analysis is implemented to identify the direction of causality among the variables both in the short-run and the long-run. The empirical findings suggest uni-directional causation from financial development to economic growth.

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.