An evaluation on the stationation characteristics of the industrial production index in Turkey (1986-2023)

The idea that industrialization is of fundamental importance to achieve sustainable economic growth is a widely accepted fact among development economists. The reason behind this phenomenon is that the countries that are considered developed countries today started and realized their development processes through industrialization. In this context, it is seen that the industrial sector in general and the manufacturing industry sector in particular are accepted as the driving force of economic growth and that developing countries are trying to industrialize by giving special importance to the industrial sector in order to converge with developed countries in terms of per capita income. In this context, the thesis aims to econometrically examine the stationarity properties of the industrial production index, which is considered an important indicator for the industrial sector, in the period 1986:1-2023:8. It is considered that knowing the stationarity properties of macroeconomic time series is very important in order to make inferences regarding both theoretical and economic policy. The results of the unit root test conducted to examine the stationarity properties of the industrial production index in Turkey show that the series examined is not stationary during the examination period. All these results obtained as a result of the unit root test results are evaluated as the impact of global/local shocks on the industrial production index series will be permanent.