In this study, the relationship between military expenditure, economic growth, and environmental pollution were examined for Turkey for the period 1961-2016. Stationary degrees of the variables in the study were investigated using the Fourier Augmented Dickey-Fuller unit root test, which allowed smooth structural breaks. The results show that all the variables are stationary at the first differences while they have a unit root at the levels. In the study, causality between variables was investigated using the Fourier Toda-Yamamoto causality test, which allows smooth structural breaks and traditional Toda-Yamamoto causality test. According to the causality test results, there was a causality between economic growth and military spending. The direction of causality detected is from economic growth to military spending. On the other hand, there was no causal relationships between other variables for both tests. The determination of the causality detected using the Fourier Toda-Yamamoto causality test shows the importance of structural breaks in causal relationships. As a result of the study, it is seen that a sustainable economic growth is important in terms of being a source of military expenditures. These results are expected to be a guide for policy makers.
Primary Language | Turkish |
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Subjects | Economics |
Journal Section | Makaleler |
Authors | |
Publication Date | August 31, 2020 |
Acceptance Date | August 26, 2020 |
Published in Issue | Year 2020 Volume: 5 Issue: 2 |