Türkiye’de Yönetimler Arası Transferlerin Kişi Başı Gelir Üzerindeki Etkisi: Panel Veri Analizi

Abstract

This study tests whether intergovernmental transfers affect the income per capita of Turkey with panel data analysis for the period of 2010 to 2017 including the cities of Turkey. The Hausman test gives supporting results about using the fixed effects model. According to the fixed effects model results, when the transfers increase by 1%, income increases by 0.04% two periods later with the inclusion of control variables. The possible reasons for the significant but small impact of transfers on income are three-fold: i) the intergovernmental transfers may not be used efficiently, ii) municipalities may not update the resource allocation successfully with the increasing urbanization rate, iii) the increase in the number of immigrants may prevent the positive effect of transfers on income through labor market channels. Furthermore, the effects of transfers on income differentiate with respect to being a metropolitan municipality or not.