The effect of fourth industrial revolution on public expenditures

The globalization process from the late 18th century to the present is consisted of four main stages. In this process, mechanical production has been realized with the invention of the steam machine, and the use of electricity in production systems has enabled the production to speed up by providing mass production. Later, the expansion of the use of electronic, computer and information communication technologies has enabled automation in production. Every emerging technology has accelerated globalization by making the world a little smaller. In 2011, The fourth industrial revolution has started with the Industry 4.0 strategy that developed by Germany as a public policy. With the begining of the revolution, the countries that started to apply advanced technologies in their production processes have begun to gain an advantage in global competition. This situation has been effective of supporting the digital transformation process brought about by the the fourth industrial revolution by governments through infrastructure work and public expentures and it is curious how this revolution, will have an impact on public expenditures. In this thesis which aims to examine the impact of the fourth industrial revolution on public investment and transfer expenditures, it has observed that the fourth industrial revolution increased public expenditures to a certain extend through R&D works, supports and incentives. It is possible to say that these public expenditures and supports have an important place for the growth and development of the country's economy.