Economic Development in Türkiye, The Effects of Financial Development on Environmental Sustainability: The Role of Load Capacity Factor

This research examined the long and short-term effects of economic growth and financial development on environmental sustainability for the Turkish economy in the period between 1982 and 2022. In this context, he analyzed the effects of social and demographic variables. In the study, the effects of economic growth, financial development, and socio-demographic variables on the load capacity factor (LCF) were estimated using the distributed autoregressive (ARDL) bounds test approach. Our results revealed that economic development for Türkiye is an important determinant of environmental sustainability in both the long and short term. Especially in the long run, economic development promotes environmental sustainability. In this respect, encouraging financial policies supporting economic and environmental sustainability will contribute both to environmental sustainability and to Turkey's sustainable development efforts.