Determinants of Rural Development in European Union Countries and Türkiye

Abstract

There are many variables that can affect rural development. The aim of the study is to find out what variables affect rural development in Türkiye and European Union countries. The data period used in the study was, annual data for the period 2002-2020. According to the results of the random effects model, Inflation, Rural Population, and Rural Population Increasing variables from 8 independent variables affect Rural Development. According to the results of the Generalized Estimation Equality Mass Average Test based on the Random Effects Model, population growth in Rural Areas, Population in Rural Areas and Inflation variables were statistically significant. In the study, the Granger causality test was performed to measure the causality links of the variables. It was found that there is a bidirectional causality relationship between the exports of Agricultural Raw Material and the employment rate of young people aged 15 -24 in rural areas. Results with unidirectional causality or no causal relationship were found among the remaining variables.