Analysis of the causal relationship between macro factors and economic growth: The case of Turkey

The growth rate for developing countries like Turkey has always been a critical importance and has appeared as an important indicator of the general situation of the economy. In this study, the concept of economic growth and macroeconomic factors affecting the growth process have been analyzed in a practical way. Some macro factors affecting Turkey's economic growth have been analyzed with the data for the 2006: Q1- 2018: Q4 periods empirically. The aim of this study is to investigate the effects of macro factors on economic growth in Turkey. Macro factors between 2006 and 2018 and time series of economic growth have been analyzed with VAR model. In Granger causality analyzes conducted for the period covering 2006-2018; two-way causality relationship from the current account balance to economic growth and from economic growth to the current account balance and one-way causality relationship from economic growth and exchange rate to unemployment have been observed.