Economic freedom and effects on economic growth: A time series analysis for Turkey

Aslı YENİPAZARLI

Abstract


Abstract. Economic freedom represents personally free economic activity level. Thus such as Fraser Insitute or Heritage Foundation the level of economic freedom in Turkey for a compound period of before and after 1980 has been constituted originally. Freedom index referred to internationally measures of organization composed of different indicators. These indicators are derived from the point of view of market economy, liberal perspective. Level of economic freedom indicated by index values are to be analyzed econometrically with another economic indicators. Other variables are human capital, income per labor stemmed from MRW Model of economic growth, physical capital etc. Results of time series analysis with ARDL Model, Cointegration Methods found out significant relationship between economic freedom and growth. Findings are differently and specifically evaluated for Turkish economy and political economy.

Keywords. Economic freedom, Economic growth, Turkish economic freedom index, ARDL bound test approach, Johansen cointegration analysis.

JEL. F43, N10, O10.


Keywords


Economic freedom; Economic growth; Turkish economic freedom index; ARDL bound test approach; Johansen cointegration analysis.

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DOI: http://dx.doi.org/10.1453/ter.v4i3.1454

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