FİYAT DÜZEYİ MALİ TEORİSİNİN TÜRKİYE AÇISINDAN GEÇERLİLİĞİ: AMPİRİK BİR ANALİZ

In this paper validity of the Fiscal Theory of Price Level in Turkey is investigated by using quarterly data and by applying Johansen cointegration test, vektor error correction model and impulse-response functions. The empirical analysis is applied over the period of 1988.4-2013.1 and the sub-periods of 1988.4-2001.1 and 2001.2-2013.1. Empirical evidence related to the period of 1988.4-2001.1 indicates a non-Ricardian regime in Turkey, whereas it shows the validity of a Ricardian regime for the period 2001.2- 2013.1. The findings related to the whole period, 1988.4-2013.1, imply that the effects of the economic policy implementation related to 1988.4-2001.1 period outweigh the effects of 2001.2-2013.1 period, meaning the validity of a non-Ricardian regime for the whole period as well.