Testing the validity of economic growth theories with Seemingly Unrelated Regression models: Application to Turkey in 1980-2010

SÜMER K. K.

Applied Econometrics and International Development, cilt.12, sa.1, ss.63-72, 2012 (Scopus) identifier

  • Yayın Türü: Makale / Derleme
  • Cilt numarası: 12 Sayı: 1
  • Basım Tarihi: 2012
  • Dergi Adı: Applied Econometrics and International Development
  • Derginin Tarandığı İndeksler: Scopus
  • Sayfa Sayıları: ss.63-72
  • Anahtar Kelimeler: Barro, Endogen growth, Growth, Harrod-Domar, Neo clasical growth, R&D, Romer, Seemingly Unrelated Regression, Solow, SUR
  • İstanbul Üniversitesi Adresli: Evet

Özet

Contrary to the Simultaneous Equation Systems, there is not any type of relation between equations in the Seemingly Unrelated Regression method. What is intended with the correlation state, indicating whether correlated or not, of regression models within the equation system, is the correlation state, indicating whether correlated or not, of error terms related to the models in question. With the help of different exogenous variables, economic growth theories are trying to explain the same endogenous variable, namely, economic growth. The primary objective of this study is to test the joint validity of the growth models, introduced by Solow, Harrod-Domar, Barro and Romer, for the Turkish economy by applying the Seemingly Unrelated Regression method.