Development of education system in Turkey and the effects of education expenditure on economic growth: Comparison with OECD countries

Economic growth is an important economic policy objective for every country. Education is also one of the most important elements contributing to the level of economic and social development of countries. For this reason, the expenditures on education are of great importance. The purpose for this study is; to investigate the introduction of the education system in Turkey and its impact on economic growth of spending on education. The analysis was conducted for comparison between countries, Turkey also performed on selected OECD countries. The study was analyzed between 1985 and 2015. The analyzed countries, Turkey, France, South Korea, the Netherlands and Portugal. In the analysis, Toda-Yamamoto causality analysis, Autoregressive Distributed Lag Bound Test were used to examine the short and long-term relationship between variables. As a result of the analysis, different results were obtained for each country. At the same time, the results of the country's educational outcomes are compared and the quality of education is more important than the amount of education expenditures. Keywords: Economic Growth, Education, Education Expenditures, Turkey, OECD Countries