Kamu Açıkları ve Borçlanma İlişkisi: Türkiye, Azerbaycan, Kazakistan ve Kırgızistan Üzerine Bir Uygulama

While borrowing is accepted as important source of financing for growth, development and technology producing in developed countries, is accepted as important source of financing for public deficits in some developing countries. As it is known, taxes are the most important financing resources for covering the public expenditures. However, at the periods of time that expenses exceed incomes (while this situation is seen periodically in developed countries, held as a chronic case in developing countries and assessed as an economical instability element that is mostly comes with structural problems.) The most important kinds of alternative financing methods that is used for financing the concerned deficits and that takes place in most theoretical discussions, is domestic and external debt. There are plenty of factors which give shape to the amount and the decisions of private investments in developing countries. Real interest rate is the important factor in this process. Public debt that uses to finance intensively public deficits has crowding out effect on private investment level by high interest rate and affect the growth and development process negatively. On the other hand, public deficits in high level are accepted as the cause of negative progress on most of macro economic variables such as interest rate, economic growth, inflation and public debt. Also, problems those caused by deficit become the reasons that lead to more public deficits and make it more costly. The purpose of this study is to examine the relationship between public deficits and public debt on the theoretical generally and empirical grounds for Turkey, Azerbaijan, Kazakhstan and Kyrgyzstan.