The empirical assessment of the relationship amongst energy consumption, current deficit and economic growth in Turkey after 1990

Since The Industrial Revolution energy played a great deal role on world's economies. The mass usage of energy had showed deep effects not only on the very day life but also on the projections and designs of future settlements. The history of human kind keeps showing us many obstacles and advances at the same time. One of these obstacles and advances occured in 1970-80 which is generally called as oil crisis. After this phenomenon occurence, the effects of energy were begun to analyze via many methods. In this work, the aim is to show the general relationship amongst energy consumption, GDP and current deficit. It is tried to make inferences via using time series and panel data methodologies. By making this aim, the first part concludes the definiton and classification of energy, and the connections that energy makes with economy, especially macroeconomical ve international economic aspects. The second part yields the results of the usage of energy in the World and Turkey. By making this, the alternative sources of energy emphasized not only in the World but also in Turkey and this second chapter goes beyond with two aspects that are economic growth and current deficit balance in a sequence for both the World and Turkey. In the third part of this study, the data set between the years 1980-2014 is tested with econometric models. There are four different models, two of four models are based on time series analysis whereas the left two models are the panel data models. All four models with a cointegration aspect show long run relationships. There are no casualities amongst all the parameters. There is only one casualty between total energy consumption and current deficit. There are 20 countries in panel data analyses. All countries have at least one break points in time period. Global shocks affect economies by lags via break points which may occur due to globalization. These aforementioned shocks could be prevented with the aid of autarchic structures but such an political option cannot be easily put into practice for any of the countries of the World. Panel data models, in sum, show increases in GDP and decreases in current deficit while an increase appears in energy consumption.