Abstract

The main aim of this study to test the causal relation of economic growth and technology proxies at provincial level. The relationship between the growth and technology might be either direct as stated by the neoclassical economic theory or indirect via exports. Besides economic growth, sectoral (agriculture, industry and services) growth, technology proxies (patent registry, patent application and patent success) and (total and manufacturing industry) exports are used in the analysis. It is used NUTS3 level Turkish data between 2004 and 2018. After Levin, Li and Chu (2002) (panel common unit root) and, Im, Pesaran and Shin (2003) (panel individual unit root) tests, Dumitrescu and Hurlin (2012) test which is an extension of Granger Causality (1969) for panel data is performed. According to test results, there is a one way relation from patent registry to economic growth while there is bidirectional relation from patent applications and patent success to economic growth. Direct causal relationship appear between technology and economic growth in provincial level.

Key words: Innovation, Regional Economics, Patent, Causality, Türkiye. JEL Codes: O30, R11, C23.

Article Language: EnglishTurkish