Testing Wagner's Law for Turkey, 1960-2000
Review of Middle East Economics and Finance, 2003, vol. 1, issue 2, 31-42
This paper presents an empirical analysis of Wagner’s law in the case of Turkey over the period 1960–2000. The paper uses modern time-series econometric techniques to test the law’s proposition that in the course of economic development, government expenditures increase. The results of this study do not support the empirical validity of Wagner’s law for Turkey for the period 1960–2000. However, the paper finds statistical evidence for an augmented version of Wagner’s law.
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