Transportation investments and development in Turkey

There are three basic aims for this thesis. First is to investigate how and in which direction transportation investments affect the economic development and growth. Second is to express the essential approaches that analyze the relationship between transportation investments and economic development and growth. Third is to investigate the relationship between transportation investments, transportation facilities and economic growth in Turkish economy. In line with these objectives primarily five important values were calculated for Turkey. Namely, accessibility, accessibility gap, mobility, transportation services index and real fixed capital stock series. The basic theoretical result of this thesis is that any explanation with regard to the relationship between transportation investments and economic growth and development must include the concepts of accessibility, accessibility gap and mobility. Parameters estimated indicate that for the Turkish economy transportation investments affect the gross domestic product, private sector efficiency and average labour productivity positively. However, impact of transportation investments on gross domestic product inserts its influence with a time lag of 6 years. Key Words 1. Transportation Investments 2. Economic Growth 3. Economic Development