The Relationship Between Financial Depth and Current Account Deficit in Turkey
International Journal of Management Economics and Business, cilt.13, sa.3, ss.1-10, 2017 (Hakemli Dergi)
- Yayın Türü: Makale / Tam Makale
- Cilt numarası: 13 Sayı: 3
- Basım Tarihi: 2017
- Dergi Adı: International Journal of Management Economics and Business
- Derginin Tarandığı İndeksler: TR DİZİN (ULAKBİM), Other Indexes
- Sayfa Sayıları: ss.1-10
- Çanakkale Onsekiz Mart Üniversitesi Adresli: Evet
Özet
In this study, the relationship between financial depth and current account deficit in Turkey is investigated in the short-run and long-run by using Bounds Test approach developed by Pesaran & Shin (1999) and Pesaran (2001) for the period 1987:01-2014:04. According to the results, there is a long-term relationship between financial depth and the current account deficit, but there is no short-term relationship. In addition, there is a negative relationship between the current account deficit variables and financial depth indicating that the more f inancial depth increases; there is an improvement in the current account deficit.