Kocaeli Üniversitesi Sosyal Bilimler Dergisi (KOSBED), sa.33, ss.45-56, 2017 (Hakemli Dergi)
Education considered to an important determinant of economic growth through its positive effects on labor productivity. Therefore determining the effects of education on economic growth constitutes a crucial research for macroeconomics. Development in education activities in terms of quality and quantity, besides its positive effects on economic growth, provides significant economic and social returns from the individual perspective.
In this study the relationship between economic growth and education is investigated in Turkey for 1998-2014 periods. In this context causality between education expenditures and economic growth is analyzed by bootstrap Toda-Yamamoto causality test for 1998Q1-2014Q4 period in Turkey. The findings of the study show that, as opposed to theoretical expectations, there is not a causal relationship between education expenditures and economic growth in Turkey, over the sample period. These results mean that efficiency of education system cannot be achieved so expected macroeconomic returns cannot be occurred. The permanent and fundamental changes made in education system in recent years confirm this conclusion.