The Examination of The Impact of Growth Expectations on Rural Supports in Turkey Using The Todo-Yamamoto Method

Abstract

In the rapidly developing and growing world, there is an increase in human needs. The constant increase and changes in human needs over time have led to the adoption of different production methods in countries. The changes in production techniques vary depending on the development potential of countries. Advanced countries have observed an increase in production in various sectors with the implementation of technological production methods. In the agricultural sector, for example, the increase in mechanization has resulted in significant production growth. In underdeveloped countries, on the other hand, production is still carried out using traditional methods. The potential for production in such countries depends on their internal dynamics. In countries classified as underdeveloped, the ability to produce is subject to the necessary capital structure. The support given to the producers by the public institutions is sometimes in the form of in-kind and sometimes in the form of cash support. These supports provided by the public economy have an impact on Turkey's annual growth rates. The study conducted in this regard examines the impact of the supports provided for rural development in Turkey on economic growth. The data obtained from the Central Bank of the Republic of Turkey is analyzed using the Todo-Yamamoto method. The study examines the causality between rural development supports and growth expectations in Turkey.