Abstract

T his paper will analyze the money supply effects on economic growth. The analysis covers the years between 1987 and 2007. The Analysis is set on a quarterly dataset basis. The ordinary least square method is employed after analyzing each variable time series. Each variable’s time series is analyzed separately wherein the statistical inter-relations are revealed. The linear model is used between two variables with Ordinary Least Square Method. The econometric analysis outputs show that there is causality between money supply and economic growth in Turkey. The positive effect of money supply growth in the first quarter can be seen in the first (same) quarter and fourth quarter of economic growth. In the second and third quarters, the influence of money growth on economic growth rates is negative.

Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call