The Impact of Fiscal Policies on Inclusive Growth in Turkiye

Countries aim to inclusive growth to find a common solution the problems that poverty, income inequality, and unemployment. To boost inclusive growth, policies differ by country but fiscal policies play a crucial role in making growth more inclusive. In this study, five different indices were calcul...

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Main Authors: Bağdat Sıla Avcı, Özgür Tonus
Format: Article
Language:English
Published: Istanbul University Press 2022-12-01
Series:Journal of Economy Culture and Society
Subjects:
Online Access:https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/2FE26E69FCCE419A82CAF42C5AF4F652
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author Bağdat Sıla Avcı
Özgür Tonus
author_facet Bağdat Sıla Avcı
Özgür Tonus
author_sort Bağdat Sıla Avcı
collection DOAJ
description Countries aim to inclusive growth to find a common solution the problems that poverty, income inequality, and unemployment. To boost inclusive growth, policies differ by country but fiscal policies play a crucial role in making growth more inclusive. In this study, five different indices were calculated to measure whether Turkish economic growth was inclusive. After obtaining the result that growth is inclusive, the calculated indices were used as the inclusive growth indicator, and we inquired in which direction the fiscal policies on education, health, social transfers, and taxes affect inclusive growth. Annual data covering the period 2006-2018, and the ARDL method were used to test the relationship between fiscal policies and inclusive growth. We figured out that fiscal policies had different effects on created inclusive growth indices. The results obtained show that public expenditures for health and education have a decreasing effect on inclusive growth indices while social transfers contributed positively to inclusive growth index, two indices were negatively affected by indirect taxes.
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publishDate 2022-12-01
publisher Istanbul University Press
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series Journal of Economy Culture and Society
spelling doaj-art-26fc40f8b0f84b5fb888d9fa5e951a432025-08-20T02:15:59ZengIstanbul University PressJournal of Economy Culture and Society2645-87722022-12-016629330610.26650/JECS2021-1018055123456The Impact of Fiscal Policies on Inclusive Growth in TurkiyeBağdat Sıla Avcıhttps://orcid.org/0000-0002-9622-5794Özgür Tonus0https://orcid.org/0000-0003-0950-3328Anadolu Üniversitesi, Eskişehir, TürkiyeCountries aim to inclusive growth to find a common solution the problems that poverty, income inequality, and unemployment. To boost inclusive growth, policies differ by country but fiscal policies play a crucial role in making growth more inclusive. In this study, five different indices were calculated to measure whether Turkish economic growth was inclusive. After obtaining the result that growth is inclusive, the calculated indices were used as the inclusive growth indicator, and we inquired in which direction the fiscal policies on education, health, social transfers, and taxes affect inclusive growth. Annual data covering the period 2006-2018, and the ARDL method were used to test the relationship between fiscal policies and inclusive growth. We figured out that fiscal policies had different effects on created inclusive growth indices. The results obtained show that public expenditures for health and education have a decreasing effect on inclusive growth indices while social transfers contributed positively to inclusive growth index, two indices were negatively affected by indirect taxes.https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/2FE26E69FCCE419A82CAF42C5AF4F652inclusive growthfiscal policiesinclusive growth index
spellingShingle Bağdat Sıla Avcı
Özgür Tonus
The Impact of Fiscal Policies on Inclusive Growth in Turkiye
Journal of Economy Culture and Society
inclusive growth
fiscal policies
inclusive growth index
title The Impact of Fiscal Policies on Inclusive Growth in Turkiye
title_full The Impact of Fiscal Policies on Inclusive Growth in Turkiye
title_fullStr The Impact of Fiscal Policies on Inclusive Growth in Turkiye
title_full_unstemmed The Impact of Fiscal Policies on Inclusive Growth in Turkiye
title_short The Impact of Fiscal Policies on Inclusive Growth in Turkiye
title_sort impact of fiscal policies on inclusive growth in turkiye
topic inclusive growth
fiscal policies
inclusive growth index
url https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/2FE26E69FCCE419A82CAF42C5AF4F652
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AT bagdatsılaavcı impactoffiscalpoliciesoninclusivegrowthinturkiye
AT ozgurtonus impactoffiscalpoliciesoninclusivegrowthinturkiye