Resumen de Financial development and economic growth: evidence from turkey
In this paper we review the literature on finance-growth nexus and investigate the causality between financial development and economic growth in Turkey for the period 1975-2005. The empirical investigation is carried out in a vector autoregression (VAR) framework based on the theory of cointegration and error-correction representation of cointegrated variables. The results of the cointegration analysis provide evidence of no long-run relationship between financial development and economic growth. The empirical findings in the paper show a one-way causality running from economic growth to financial development in Turkey.
