Edited By Rasim Yilmaz, Günther Löschnigg, Hasan Arslan and Mehmet Ali Icbay
Relationships between Loan Usage and Growth in Turkey ([Tuba Turgut Isik] [Fatma Esra Gormez])
Tuba Turgut Isik1* & Fatma Esra Gormez2** Relationships between Loan Usage and Growth in Turkey Introdution In this study, it is aimed to confirm the relationship between the level of income and loan use using data from the Turkey economy in 2003: 1–2012: 4 is used. For loan use, monthly data published by the Central Bank that covers housing, auto- mobile, and other loans and data on the use of credit cards are transformed into quarterly data. For level of income, quarterly gross domestic product (GDP) data that is published by TUIK is used. In the unit root test done by the Augmented Dickey-Fuller (ADF) test, it is found that both data series are I(1). The short-term relationship of variables is confirmed by the granger casuality test and a one way Granger casuality from loan use to the level of income is found. By the Engle- Granger co-integration analysis, it is found that there is relationship between variables. In other words, variables are co-integrated. In the set error correction model, the error term is found to be negative and statistically significant. Accord- ingly, 45% of deviance occurs in equality in the current term is closed in next term. In this study, by using Turkish economic data pertaining to 2003 (Q1) –2012 (Q4), an attempt has been made to determine the relationship between loan us- age and income level. In the literature, the relationship between loan usage and economic growth is mostly tackled from the perspectives of financial development and...