ACTUAL PROBLEMS OF ECONOMICS, sa.136, ss.460-466, 2012 (SSCI)
This empirical study is conducted to test the validity of the Feldstein-Horioka hypothesis for Turkey over the period 1960-2010 by means of fractional cointegration approach of Gil-Alana (2003) and Caporale and Gil-Alana (2004). According to the results, investment rate and savings rate series are fractionally cointegrated, supporting the validity of the Feldstein-Horioka hypothesis and low international capital mobility for Turkey.