Abstract

In this study, we attempt to put forth the structural dynamics in which the recent changes in the Public Sector Borrowing Requirement, which is an important phenomenon of the public sector, are related. We consider important that the public sector financial balances are affected by many sub-dynamics considering it is important to better understand the impact level of total investment expenditures and tax revenues in the process of changes in the Public Sector Borrowing Requirement (PSBR). However, it is also meaningful to question the changes in the borrowing requirement in the other macro dynamics that constitute the effect level in the process. Therefore, values ​​such as percentage changes in export limits, consumer confidence index and consumption investments in foreign markets were also included in our study. In this study, it was tried to determine the scale effect of the findings within the framework of an econometric model and the results were found to be meaningful as a result of the current interpretation from a financial economics perspective.

Highlights

  • The Public Sector Borrowing Requirement has an important place in terms of achieving financial balances in the recent public expenditures and formulating the fiscal policies related to the process

  • It is understood that factors such as total tax revenues and investment expenditure have different regressive effects on the Public Sector Borrowing Requirement (PSBR)

  • The proportional value change of PSBR values reveals a positive relationship with the public financial income that meets the cash needs, in addition to the different independent effects

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Summary

INTRODUCTION

The Public Sector Borrowing Requirement has an important place in terms of achieving financial balances in the recent public expenditures and formulating the fiscal policies related to the process. The Last Term Real Variability of PSBR and its Distributional Location in the GDP Public Sector Borrowing Requirement (PSBR) has a structural position that constitutes a significant financial and economic influence in Turkey In this respect, PSBR has an important place especially in the interpretation of budget deficits and understanding of possible cash deficits. That is a second reason the represents a more important approach for our study together with the other macro various This process, in which the external balance of payments deficits and tax revenues experienced significant deviations, caused significant fluctuations in terms of financial balances, in which PSBR was directly affected (Özen et al, 2013). It is possible to see the semantic responses of the dependent and independent variables in the econometric time series model in the table below:

Investment Goods Demand Variability
Res idual
Autocorrelation Partial Correlation
Recursive Residuals
Testing the Accuracy of the Model
Likelihood ratio
CONCLUSION
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