Özet:

The purpose of this study; To examine the impact of econometric capital flows and external debt growth of Turkey for the period 1986-2018. One of the most important problems of the developing countries like Turkey is the lack of the resources needed to grow domestic savings and capital accumulation. Employment becomes an important problem, especially if sufficient resources are not available to ensure development and growth. Therefore, developing countries have to grow at certain rates. The resources required for development can be solved by borrowing foreign debt, attracting foreign direct investments to the country and foreign portfolio investments. As investment expenditures are made to increase production, the level of employment increases, capital accumulation expands and consequently national income increases. External debt is also seen as an important source for developing countries. However, the important point here is the level of foreign debt and the purpose of this debt. Because, excessive external borrowing affects growth negatively. In the analyzes, the stationarity of the variables was first analyzed with the unit root test Lee-Strazicich (2003). Afterwards, Maki (2012) analyzed whether there is a long-run relationship between capital movements and external debt and growth. Finally, Stock and Watson (1993) estimated the long-term coefficients with DOLS. According to the analysis findings, it was determined that capital movements, external debt and growth, act together in the long term. According to the long-term coefficient estimator results, it was found that direct investments positively affect economic growth, portfolio investments negatively affect economic growth. On the other hand, the effect of foreign debts on economic growth up to the threshold value (52%) was positively affected, however, if this threshold was exceeded, it was found to affect growth negatively.