Focal Interest
Focal Interest
AI Summary of Peer-Reviewed Research

This page presents an AI-generated summary of a published research paper. The original authors did not write or review this article. [See full disclosure ↓]

Publishing process signals: STANDARD — reflects the venue and review process. — venue and review process.

Public debt is linked to lower economic growth in Türkiye

A person's hand holds a smartphone displaying financial charts and data graphs with a dark interface, while a computer monitor showing market data is visible blurred in the background in an indoor office setting.
Research area:Economics, Econometrics and FinanceEconomics and EconometricsFiscal Policy and Economic Growth

What the study found

Public debt was found to have a detrimental impact on economic growth in Türkiye. The authors also report that their nonlinear model shows a U-shaped relationship between public debt and economic growth, with a 61-63% threshold.

Why the authors say this matters

The authors conclude that increasing public debt to stimulate growth is not a viable policy. They suggest borrowing should be used for productive investments that raise output and employment rather than for financing budget deficits.

What the researchers tested

The study examined the public debt and economic growth relationship in Türkiye from 1968 to 2019. The researchers used the Fourier-Augmented ARDL methodology, which is a time-series approach that can account for possible structural changes and nonlinear patterns.

What worked and what didn't

The analysis showed that public debt had a negative effect on economic growth in both linear and nonlinear models. These findings remained consistent after robustness checks. The nonlinear model differed from most prior findings by indicating a U-shaped relationship and a 61-63% threshold.

What to keep in mind

The abstract does not describe detailed limitations beyond the country and period studied. The results are specific to Türkiye over 1968-2019, so the abstract does not claim they apply everywhere.

Key points

  • Public debt had a detrimental impact on economic growth in Türkiye.
  • The nonlinear model showed a U-shaped relationship with a 61-63% threshold.
  • The results stayed consistent after robustness checks.
  • The authors say borrowing should fund productive investment rather than budget deficits.
  • The study analyzed Türkiye from 1968 to 2019 using Fourier-Augmented ARDL.

Disclosure

Research title:
Public debt is linked to lower economic growth in Türkiye
Authors:
Oğuzhan Bozatlı
Institutions:
Cukurova University
Publication date:
2026-02-27
DOI:
10.25229/beta.1812157
OpenAlex record:
View
AI provenance: This post was generated by OpenAI. The original authors did not write or review this post.

More posts