MEASURE OF THE EFFECTIVENESS OF MICRO CREDITS IN WOMEN LABOR PARTICIPATION AND OVER THE ECONOMIC GROWTH IN TURKEY

One of the first problems to be solved in the Turkish economy is the inability of women to participate in employment. Until then, this problem has not been overcome despite the policy of increasing the employment of women, which is applied by the state and by the private sector. One of the applications for this purpose is micro-credits. Micro-credits are attracting attention at the point of increasing women's participation in the workforce and fighting the problem of poverty. The aim of this study is to test the effectiveness and impact of micro-credit applications in Turkey on female employment and economic growth, after having explained the function of micro-credit application in general terms. In this context, regression analysis of micro-loans granted in Turkey in the context of poverty alleviation and employment was conducted. According to the obtained results, the 1 unit increase in the credit used in Turkey causes 0,045-unit increase in self-employed women and 0.05 unit increase in economic growth. According to the ARDL results, the long-run elasticity of real income was estimated to be positive (0.00612) in the direction of expectations. According to the results of 1% increase in micro-credit in Turkey boost real GDP 0.05%. In addition, short cycle deviations are again reach back to the long-term equilibrium in about 5.5 years