Abstract
The purpose of this article is to investigate the effect of government consumption and investment expenditures on private sector investment in the Turkish economy. In this study, the Cointegration Vector Autoregressive Model based on 1980-2018 data has been used. The results of the cointegration vector obtained from the Johansen Cointegration Test show that during the period under review, government investment expenditures are complementary and incentive and government consumption expenditures are competitive with private investment expenditures. Based on the results, it is suggested that to economic prosperity and development in various economic sectors, the government should undertake infrastructure expenditures.
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