Tax and spend, or spend and tax? An inquiry into the Turkish budgetary process.

A study was conducted to examine the intertemporal relationship between government spending and taxation in Turkey. Data were drawn from the IMF data tape, International Financial Statistics, for the period 1967-94. Engle-Granger and Johansen tests consistently support the existence of one nonzero...

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Publicado en:Southern Economic Journal Vol. 64; no. 4; pp. 940 - 957
Autor principal: Darrat, Ali F.
Formato: Artículo
Publicado: Southern Economic Association April 1998
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Acceso en línea:Ver este registro en EBSCOhost
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        atl: Tax and spend, or spend and tax? An inquiry into the Turkish budgetary process.
      aug:
        au: Darrat, Ali F.
      su:
        Government spending policy
        Causal models
        Budget
        Taxation
        Türkiye
      sug:
        subj:
          Türkiye
          Government spending policy
          Causal models
          Budget
          Taxation
      ab: A study was conducted to examine the intertemporal relationship between government spending and taxation in Turkey. Data were drawn from the IMF data tape, International Financial Statistics, for the period 1967-94. Engle-Granger and Johansen tests consistently support the existence of one nonzero cointegrating vector representing a stable long-run relationship between government spending and taxes in Turkey, and multivariate error correction models show that taxes unidirectionally Granger-cause negative changes in government spending, both in the short term and in the long term. Therefore, in Turkey, raising taxes is perhaps the best solution to the current budget deficit situation.
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    language: English
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