Research on Turkish construction industry and its contribution to national economy

While nearly all of the construction materials were imported in the republican era during the historical process of the Turkish construction sector, the architects and engineers working were also foreigners. The construction sector, especially the residential construction sector underwent a rapid development after 1960?s especially with the start of migration from rural areas to urban areas. Te Turkish construction sector gained significant acceleration in the area of residential construction both in terms of architectural and also engineering productions following establishment of TOK (Mass Residence Administration) in year 1984 and it experiences its golden age during the last years by also expanding abroad. Following the VAR (Vector Auto Regression) analysis conducted, a change of one unit in the standard deviation of the growth variable has a positive effect on the residence variable for the first two years. The construction sector of which approximately 80% comprises of the residential construction sector is the second largest sector following the agricultural sector from the perspective of creating added value and employment. As a consequence of this feature of the sector, many countries the economy of which has entered recession have achieved to strengthen their economies by accelerating the construction sector. The most striking example of this is the fact the Germany, which was burned and knocked down after the Second World War strengthened its economy by emphasizing the construction sector. Furthermore, it was also observed in the Var analysis conducted by me that a change of one unit in the standard deviation of the inflation variable, which is a variable about this subject, had a negative effect on costs during the first year and that also a change of one unit in the standard deviation of the inflation variable had a positive effect on the housing variable. It was observed that GNP increases, inflation fell and employment increased during the years when the construction sector gained speed in Turkey. Generally, the Turkish construction sector was reviewed in this work, the effects of the construction sector and especially of the residential construction sector was indicated in this study with the analysis conducted. Keywords : Construction Sector, Construction of Residences, Economy