254 10 3494 https://omeka.ibu.edu.ba/files/original/e35850b3e59f26c9e8e1da59d69ed48b.pdf e6801fcf6614d0479eb3b63131364eec PDF Text Text Journal of Economic and Social Studies Roles of Investment and Innovation in Business Cycle from Kalecki’s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Başak Gül AKTAKAS Faculty of Economics Çukurova University, Adana, Turkey bgaktakas@cu.edu.tr Cengiz AYTUN Kozan Vocational School Çukurova University, Adana, Turkey cengiza@cu.edu.tr Cemil Serhat AKIN Yayladagı Vocational School Mustafa Kemal University, , Hatay, Turkey. csakin@mku.edu.tr Abstract: Business cycles are one of the best sources to understand current situation of a country’s economy. Michal Kalecki denotes investment as the best explanatory for the dimension and reason of cycles; on the other hand Schumpeter considers that innovation should be placed in a different position in this regard. In addition, both Kalecki and Schumpeter verify that investment and innovation are related with each other because innovation is also an important subject for investment. It is expected that investment and innovation have the effect in the same direction on output. In this study, business cycles have analyzed for 19712009 period by using the yearly data in Turkey and Greece and it has been dealt effects of investment and innovation on cyclical fluctuation. In this paper which growth rates have been discussed, ordinary least square estimation method has been used. In this respect firstly, it has been examined that the effect of innovation on investment and income. After that examined that effect of investment on output and finally innovation and investment have been evaluated by considering the effects on the output. It has been found that the obtained results support the views of Kalecki for both of the countries. KEYWORDS: Investment, Innovation, Business Cycles, Michal Kalecki ARTICLE HISTORY Submitted: 05 March 2012 Resubmitted: 12 May 2012 Resubmitted: 06 December 2012 Accepted: 24 December 2012 JEL codes: E12, E22, O31 95 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN Introduction Business cycles are the one of the important topic which macroeconomics has focused on. In this context, it has been seen that emphasis on balance results. Some of the neo-classical economists' perspective on this issue is how output and price act together throughout the cycle (Sawyer, 1985). In spite of these dominant views, it is seen that Post-Keynesians consider differently for the business cycles. In contrast to the main economic streams which see the all macroeconomic cycles as a function of external powers, Post-Keynesians think that business cycle is derived from internal powers (Snowdon and Vane, 2005; Harvey, 2011). It is seen that Kalecki who is one of the precursors of Post-Keynesian economics shares this view and creates a difference along with his views on business cycles. Kalecki refers specifically a central role for investment because of the effect on demand and output. According to him, the main reason of these cycles is resulted from the differences in investment. The determiner role of investment upon output presents his opposite views about Orthodox economic streams. Besides, it is seen that innovation has a significant place in the subject of investment. Whereas innovation has a positive effect on investment, herein the output has an effect in the same direction as well. Whilst Joseph Schumpeter deals with the effect of innovation upon output as a different topic all by itself, Kalecki shows investment as the main source of the shifts of output. However, there are some ideas which supports both investment and innovation have an effect on output together as dependent on conditions in current period (Courvisanos and Verspagen, 2004). In this study, it is addressed that the issue of cyclical fluctuations. In this regard, it has been examined relationships of investment and innovation with output for Turkey and Greece. Firstly, it will be given some information about primarily role attributed to investment as to Kalecki. Then, the connection of this topic with innovation will be placed. Afterwards, taking the topic as investment and innovation together, their relationship with business cycles will be handled. Lastly, after examining the effect of innovation for Turkey and Greece separately for both 96 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece investment and output, the effect of innovation and investment upon output will be dealt as being combined. The contribution of our study to the literature is composing an application upon Turkey and Greece by analyzing a concept within Kalecki perspective together with a Schumpeterian innovation idea. Theoretical Explanations It is seen that Kalecki, who is one of the leaders of Post-Keynasian economics, shows a difference with his views on business cycles. According to him, the growth models of today tend to be solving this problem being away from controlling stability. In addition, these models do not adopt the approach which is applied in the business cycles theory. Business cycles theory is composed with the foundation of two relationships. The first one depends on the effective demand effect which is created by investment. Here, investment is investigated within its role upon profit and national income. This relation does not include complicated problems. The other relationship is related with the way of determination of investment decisions to show the exchange ratio and level of economic activity. According to Kalecki, it is the most central topic of economics (Kalecki, 1968). In the approach presented by Kalecki to explain the business cycles, it is stated that cycles in investment expenditures is the basic factor, which created the macroeconomic change. The changes in investment have to be dealt in the respect of a growing economy. Because of the additional investment made upon the capital stock, an improvement occurs in economy and a growth expectation creates a net investment demand (Sawyer, 1985). The analysis of Kalecki takes the total levels into consideration and gets the conditions together which are not applicable only in firm level but also in total levels. The marginal efficiency of capital subjects to general demand level which depends on investment expenditures. If the firm plans more investment in the future period, demand and hence profit will be higher, due to the increased investment. Then the marginal efficiency of capital will be increased and the firms will therefore begin to plan to increase the investment again. This cumulative perspective towards the investment has been overlooked by not only Keynesians but also Neo-Classicals (Sawyer, 1985). 97 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN Kalecki, who developed many models about investment, gave the final shape to the investment model in 1968. Kalecki has improved a model in which consistently movement exists via a short-term and semi balanced sequence. Moreover, this movement will not return to any point of ultimate equilibrium and be cyclical because the business cycles continuously occur. According to this, it is supposed that the demand extending is a needed condition for growth in a long term and a sufficient one in the model of Kalecki. Indeed, the long term effective demand theory of Kalecki is the long term investment decisions theory. According to him, investment under capitalism is the main determiner of aggregate demand (Lopez and Assous, 2010). The proceeding of business cycles mechanism presented by Kalecki could be seen in Figure 1 (Kalecki, 1990): Figure 1. The Mechanism of the Business Cycle Source: Kalecki, 1990 98 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece θ : The time-lag between investment orders and obtaining of new equipment D : The curve of obtaining of new equipment I : The curve of investment orders A : The curve of the production of investment goods K : Volume of capital equipment t : Time In the Figure 1., investment orders (I) shows deviations from the average to produce of investment goods which is equal to gross capital accumulation (A) and obtain of new equipment (D); that is, I-I 0, A-A 0 , D-D 0 . The all averages (I 0 , A 0 , D 0 ) are equal and also equal to the need of renewal. While the D curve is positive, K will increase throughout this cycle (D ↑ K ↑ ; D↓ K ↓ ). In the current mechanism, it is accepted that the production of investment goods is equal to the gross capital accumulation. This is possible when the investors stay in a constant ratio. The obtaining of new fixed assets results in an enlargement in the volume of capital accumulation. This case can be illustrated in the shape as D-U. Herein U shows the need on renewal. This need stays fix in the course of business cycles. While the investment orders (I) is an increasing function of gross capital accumulation (A), the size of capital equipment is a decreasing function. When the D curve which shows the delivery curve is shifted within a course of time in an amount as θ to the place where the investment orders curve is I, the investment goods production curve-A catches the investment orders curve -I within a course of time as the half of θ (Kalecki, 1990). Kalecki states that there is a sharp line between investment decisions and realized investment expenditures. This difference is derived from the fact that there is a time difference between them. It takes time that goods are prepared for using. At the same time, firms can reschedule or cancel their investment orders in return of the change in the economic and political conditions. Therefore, why the most of investment goods are not achieved immediately is clarified in this sense (Laramie et al., 2004; Sawyer, 1985). 99 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN The process generally operates in following way (Kalecki, 1990): An increase in the order of investment goods results in another increase in the production of investment goods. This production increase is equal to the gross capital accumulation. As a result of this, a rise in investment activities occurs. Yet, after a course of time when investment orders exceed the need on renewal, the volume of capital equipment begins to increase. Initially, this case restricts the investment activity which is already increasing. On the other stage, it causes a decrease in the investment orders. It is actually impossible to stabilize the investment activity in a ratio that exceeds the need on renewal. Indeed, if the investment orders stay in a constant level, the production of investment goods, which is equal to gross capital accumulation, will stay unchanged. In addition to this, while the capital equipment is increasing, the investment will be greater than the need on renewal. However, under these sorts of situations, the investment orders will begin to decrease and move away from a fixed investment level. During the depression, the process will reverse. The investment orders are far away from the need on renewal. This case affects negatively the volume of capital equipment. As a result, a process in which an increase in the investment orders is taken back occurs. Stabilizing the investment in a lower ratio than the level, which establishes a sufficient renewal, is as impossible as stabilizing in a ratio, which exceeds the renewal need. In the recovery period, the investment orders are above the renewal need. Yet, the need on capital equipment has not begun to increase because the delivery of new equipment is still below the need on renewal. The production of investment goods (A) is equal to gross capital accumulation and increasing, but there is still a reduction in the size of equipment (K). When all of these occur, the investment orders increase rapidly. 100 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Throughout the boom period, the obtainment of new equipment has already begun to exceed the need on renewal. As a result, the capital equipment (K) begins to increase. The increase on K restricts the rate of increase on investment orders at the beginning. This results in the diminishing of investment orders after all. In the second half of revival period, this is followed by a decrease in the production of investment goods. During recession, the investment orders take place below the need on renewal. However, the volume of capital equipment still continues to increase because the new equipment deliveries still above this level. In this whole process, the production of investment goods which is equal to gross capital accumulation continues to decrease. This decrease occurs together with an increase in K. In this case, a sharp decrease happens in the investment orders. Within the depression period, the new equipment deliveries are still below the need on renewal. As a result, the capital equipment decreases. This decrease in K reduces the velocity of decreasing of investment orders firstly. Hence it results in the increase of investment orders. It is followed by an increase in the production of investment goods in the second half of depression period. As can be seen, the investment orders, capital accumulation and capital equipment are the elements, which make up the business cycle. Here, changes of the abovementioned factors are taken into account correlated with each other. In addition to all these, the capital accumulation exists within the concept of innovation (Courvisanos, 2005). The concept which is handled within the context of innovation is the technology (Kalecki, 1962). Technology is the stimulator of the change and economic growth. The contribution of Post-Keynesians in this context is a technological innovation concept which is demand centred. This mentioned innovation helps the increase of volatility which is created by the economic growth and modern neo-liberalism. Actors for Post-Keynesians have a central role on determining the technological innovation. It is accepted that those actors are capitalist. These capitalists set a relationship between innovation and the determinacy of investment decisions. Indeed, the items belonging to shifts in 101 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN effective demand and cycle are related with the cumulative process in all shapes of innovation at the firm/industry level on the broad base (Courvisanos, 2005). The classical proposal of an investment model which contains innovation is come up with Schumpeter. According to him, it is seen that wave action, namely the cycle, is embraced on an economic development base under capitalism. Real economic development1 and growth depend basically on the increase of productivity which is based on innovation. For Schumpeter, this view covers many steps: presenting a new good or bringing a new quality to a good; switching on a new production method, opening a new market, obtaining the new supply sources and finally actualizing a new activity type, which will be realized in any industry. The person who will make these all is the entrepreneur. This discussed person is the same actors whom a central role by Post-Keynesians is given, and the economic growth will begin when an entrepreneur applies an innovation which presents to him an extra monopolistic income. One of the reasons of in terms of imperfect competition outlook of Schumpeter on this topic can be considered as if pure competition does not result in high profitability. In such case, new reasons for innovation is out of question as well. Another reason is that the pure competition can not provide an inducement for capitalist, and the entrepreneur takes on the risk and uncertain projects because this type of competition can not guarantee an award in the form of extra income. What is more certain is that switching on the new technologies and new activity types, the innovations create a surplus of income on the costs. Competition is prone to eliminate these excess returns, but the diffusion of monopolistic structures and the power of large enterprises on enlarging ability about innovation recreate constantly these incomes again (Schumpeter’s study as cited in Michaelides etc, 2010; Ferlito, 2011). The analysis of Kalecki is composed under a different roof from a free competition hypothesis. According to this, imperfect competition and oligopolies structures dominate the market (Sardoni, 2011). As understood from these structures, Kalecki states that business cycles are derived from the cycles in private industrial enterprises in a capitalist economy. Capitalists receive their expenditures. The expenditures made upon investment are cyclical (Osiatynski, 1992). 102 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece According to investment-profit relation presented by Kalecki, two determiners of the real profit increase of new investments are discussed. The first determiner appears in such a case that technical process is overlooked for a moment when new investment catched the yearly increase of profit in only a small part. Kalecki builds his arguments on imperfect competition due to the tendency on being held by market forces, old equipment and the previous profit in the market. The second determiner emerges in the existence of the technical process. The new equipment which is more productive than the old one includes a new income. In the mean time, the profits gained from old equipment for given total volume of profit drop with the same amount because the real cost of using these goods increase, as a result of using the new ones (Lopez and Assous, 2010; Sawyer, 1985). If the investment is put forward in order to maintain the profitability, there will be both a positive expansion effect and a negative "kickback effect". If the positive effect is embraced as to the demand, it is the one, to increase the profitability of investment. The negative effect presented by Kalecki reveals at the supply side. As to this, if a demand increase occurs, the risk of decreasing profitability will be engaged (Lopez and Assous, 2010; Asimakopulos, 1971; Driver, 1994; Toporowski, 2003). A risky profitability and even a decreasing profitability ratio make the investments more fragile. Investment is more intensive towards a collapse case. If it is looked at in the historical context, this sort of a high sensitivity can be identified with the increasing financial costs and gearing ratios and decreasing utilization ratios. In the Post-Keynesian analysis, one of the main factors of intensivity is innovation. This factor associates with investment decisions (Courvisanos and Verspagen, 2004). As it is seen the susceptibility relation between the investment and innovation as to the perspective of Schumpeter, an investment function is drawn attention in response to the cycles of optimism and permission defined by him. This function causes an innovation cluster. Therefore, a bunch of investment arises. This case generates susceptibility towards unstable investment activities and actually develops a trigger mechanism to start new innovation systems which have long cycles. Herein, it should be stated that the thing which results in long cycles in economy is the results of the innovation cluster (Courvisanos and Verspagen, 2004; Courvisanos, 2003). 103 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN In order to analyze the relationship among the Schumpeterian and Kaleckian dynamics, a differentiation between the three stages of Schumpeterian basic innovation life cycle and the high and low intensivity cases in Kaleckian cycle. This situation can be seen more clear in the following table (Courvisanos and Verspagen, 2004): Table 1. The relationship among Schumpeterian and Kaleckian dynamics The Basic Stages of Innovation’s Life The Low Intensivity of Investment The Primitive (Undeveloped) Period The most appropriate conditions for the “take off paradigm”, which are fragile and sensitive rises, being The possible obstacles in the formed with the diffusion of new diffusion of new main innovation. technological system at the beginning stages. Middle (Early or Developing) Period Long, fast, and strong rises, the fast diffusion of new technological system. Short, weak falls, the slow diffusions of new technological system. Maturement Period The rapid development of intensivity: Short and weak improvement, the pressure for the crash of old paradigms. Strong and rapid declines, possible long straits “sailing ship effect” as the most appropriate conditions. The High Intensivity of Investment Source: Courvisanos &Verspagen, 2004. 104 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece As it is seen in the Table 1., the increase of innovation has an important place in the early and matureness stages. The abundance of technological opportunities (scarcity) shows a difference as the early (matureness) periods. An old basic innovation's matureness period generally overlaps with a new basic innovation's primitive (undeveloped) period, because of the "creative destruction". Therefore, the differentiation of the first and last stages is hard in practice. The Kaleckian and Schumpeterian cycles are fed by different extensions throughout the periods different from each other. When the basic innovations are new and newly made, they generate a cluster of innovation. At this point, the Schumpeterian cycle is strong. When the cycle is weak periods, the basic innovations will be exhausted. These types of different pressures in business cycles affect directly the investment decisions process. Disappearance of low susceptibility, strong strategic competitive pressures and investment obstacles encourages the technological innovation. In spite of this, high susceptibility prevents the technological innovation by way of largely prevent the diffusion of innovation and increase the pressure for the postponement of investment decisions (Courvisanos and Verspagen, 2004). The amount of innovation will not only affect the enhancement of investment cycles but also change the trend growth line, via vicious circle if it is hard and severe, otherwise via a productive circle. The effect generated by the productivity of cycle exists when the density of innovation increased. This increase reveals with the increase of investment activities and the shift of trend line upwardly (Courvisanos, 2003). According to Kalecki, innovation has a cyclic trend effect on the investment function. This important factor is the innovation effect on the investments which generates an increase in the productivity owing to the technical process2 (Courvisanos, 2003; Kalecki, 1968). Kalecki who admits the innovation as a development factor also accepts that this factor is an explanatory for the long- term upward trend (Richardson and Romilly, 2008). This positive effect of technological innovation on growth reveals because of its positive relation with employment in the meantime. This effect involves a common perception for not only Schumpeter but also Kalecki (Gamulka, etc., 1989). Being one of the main components of autonomous expenditures, a high investment means a high total demand and output level. Output's being at a high level will reflect a high profitability and capital 105 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN utilization ratios. In this case, for the next period, it will generate a tendency towards stimulating high investment ratios and output. If the investment decisions are indifferent to capital utilization and the changes in the profitability relatively, the time path followed by the output will converge to the long term equilibrium (Skott, 2003). Conversely, if there is the high sentiment of investment, this situation makes it difficult to reach long-term equilibrium. Economy can not turn into the equilibrium, but move into a more point (Skott, 2003). The effect of a hard and severe cycle will show itself in the downward movement. A low technical process will mean a low investment inducement. For instance, the firms which can not compete with new firms and make innovation will be harmed and new investment will be limited. Therefore the facilities presented by innovation will be exhausted. According to Schumpetter, this downward tendency coincides the same period with recession. This decrease continues because of optimism excess and faults. Indifferent, faithless and other unsuccessful enterprises occur in the excess of optimism. This discussed type of entrepreneur can not engage in successful activity during the recession periods. This kind of enterprises is eliminated and eventually a status panicus will exist. Due to firms’ not maintaining out of action pressure, a decrease in their activities will occur. This case pushes them under the balance level they exist. This case coincides with depression in Schumpeterian cycle. This case on being at the bottom will continue until all investments will be rectified. When this point is reached, there will be a new movement towards the balance (more precisely towards a point, which is near to the equilibrium) and this stage will correspond to the “revival” in Schumpeterian model (Schumpeter’s study as cited in Michaelides etc, 2010; Courvisanos and Verspagen, 2004; Courvisanos, 2003; Sawyer, 1985; Michaelides etc, 2010). Innovation changes the types of susceptibility as to whether it is internal or external. The internal and external innovation determines how the innovation passes into the process of cumulative causality (Courvisanos and Verspagen, 2004). The concept used by Kalecki in order to show the given capital investment level with the density of innovation is the “external innovation”. As to this, any shift in the density of innovation is derived from the basic business opportunities which are defined as the source of a scientific invention or innovation. Indeed, a decrease in the density of innovations will cause a deterioration in business cycles at first. Therefore, it will be 106 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece suggested that a collapse case has occurred. Eventually, a lower long-term investment level will occur (Kalecki’s study as cited in Courvisanos, 2005). This condition will result in a downward shift in the long term. Because, if an increase in the density of innovation occurs, the line followed by the economic growth in the long period will be upward. As to Kalecki, a stable growth ratio is an increasing function of the density of innovations. In the contrary case, downward swings will occur. This kind of an approach has a close relation with Schumpeter’s “clust-bun” effect3 (Kalecki, 1962; Courvisanos, 2005). Moreover, the internal innovation has also similar meanings for Kalecki and Schumpeter. The concept considered as internal innovation by Kalecki seems as the increasing innovation for Schumpeter. The development period seen as the second phase of a basic innovation in Table 1 provides appropriate conditions for this innovation type. This type of innovation is rather seen in entrepreneur activities and involves new investment expenditures. When Kalecki is dealt with in relation to investment cycle, this kind of an innovation is named as internal. In the perspective of Kalecki upon innovation the internal innovation has a secondary importance regarding the scientific aspect. This situation is arisen from three reasons. The first one is the insignificant condition of adapting the previous capital equipment. The second one is the esthetic improvement of the old goods. And the last one is related with the improvement of the sources of previous raw material. This kind of innovations is named as internal. Because this is a cycle in which it stimulates innovation and the increase of investment order level by itself. The analysis with the internal innovation occurred in a Kaleckian macro economy, focuses on how this kind of innovations with will increase at the firm or industry level and eventually affect the economy. When a firm decides to increase the investments at a relatively low sentiment level under competitive pressures and higher suspension costs, the research-development (R&D) investments in the past gets ready to realize these innovations. R&D expenditures have an important place in the internal innovation process in which strong firms with great profits exist. These profits provide the increase of R&D expenditures. R&D investments increase the strategic profitably capacity of firm effectively. In an industry in which the innovation has a regular competition strategy, R&G expenditures will be great and change under susceptibility pressures like capital expenditures. When the innovation is made occasionally in an industry, R&D expenditures will be small and relatively fix on the investment cycle. Nonetheless, firms at the high susceptibility level are under the pressure of the 107 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN suspension of investment orders. This state includes the same process for the internal innovations. Nevertheless, the R&D activities which generates the patents are meant, and the decrease of these activities is possible in respect of process (Courvisanos and Verspagen, 2004; Courvisanos, 2003). In our study, Kaleckian and Schumpeterian cycle for the two Balkan States as Turkey and Greece is analyzed. According to this, after the effect of internal innovations on the investments and income is handled separately for both countries taking the decisiveness of investments on business cycle into consideration, the investment-national income relation will be tested. In this way, the effect of investment and internal innovation upon national income for both Kaleckian and Schumpeterian perspective will be primarily tested separately, and included into the model in an aggregated manner. Related Literature Klette and Kortum (2004) have attempted to present the relationship between innovation and growth in their articles in which it was stated that Schumpeterian “creative destruction” concept diffuses into all of their studies. The measurement of the innovation output is made according to the patent data about which it is stated that it has a positive correlation with productivity and research-development. According to this, it is stated that firms are getting bigger with making innovation, and economy is getting bigger, because the quality of innovation product set increased (Klette and Kortum, 2004). In the study of Aghion and Howitt (1992), they emphasize that a successful innovator will have a patent exists. It is stated that this bellowed right can be used in order that the innovators keep the intermediate goods in their monopolies. In the available their studies, it is stated that growth is derived from technological process at a large scale. The developments in the technology are seen as a result of the competition among the firms which make innovation (Aghion and Howitt, 1992). Supporting this argument in their studies, Lentz and Mortensen (2008) shows that the more productive firms grow more rapidly and eventually in the steady state, they are excluded from the less productive firms. A more innovator firm, namely the one which got its good involved into a qualified development process can set the higher price and will be in a more profitable status. As a result of this, the firm invests more on innovation and relatively gets bigger more rapidly (Lentz and Mortensen, 2008). It is seen in the 108 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece study of Allred and Park (2007) in which they have dealt with the relationship between patent and innovation in both national and firm level, two different results for the developed and developing countries exist. According to this, there is a positive linear relationship between research-development and getting patent. Yet as this result is proved in the countries in which patent system is developed very well, because innovation of patent right stimulate at a large scale, this kind of a case is not valid for developing countries. Andres and Goel (2012) tests inversely the effect of items which affect the innovation like patent on growth. In their study which examined effect of software piracy on economic growth for the in the medium-term, they found negative relationship between the two variables. Great computer software reduces the economic growth. However, the relationship among these factors is not linear. Decrease in the economic growth reduces piracy. The low piracy ratios, slows down the growth, due to decreasing investments (Andres and Goel, 2012). By obtaining a result, which is reverse to the general, Gangopadhyay and Mondal (2012) state that intellectual property rights which represents patent in our study might not always stimulate the innovation or economic growth. The key point in these findings the assumption that the free circulation of the right of which license is given might prevent the diffusion of scientific knowledge and the reveal of the talents of researches on the previous studies. According to the findings obtained, the intellectual property rights of which license was taken are increasing the benefit which is expected from innovation and because of the limited knowledge diffusion, they are complicating the innovation future (Gangopadhyay and Mondal, 2012). While the elements effecting on innovation and the effect of these factors on output with innovation are generally in this way, in the recent periods, it presents with the production function of neoclassical statement, it is seen that a different result is focused on. According to this standard function, output is taken as a function of labor, capital and technological innovation. Looking at the recent studies, it is seen that the relationship between fixed capital investments and output has been dealt. The studies of De Long and Summers (1992) seems to us as a study in this sense like a sample and provision study. Their analysis is set on the assumption that there is a strong relationship between the machine-equipment investment and growth. According to this, the equipment investment is a pushing force in a role for economic growth (De Long and Summers, 1992). Temple concluded in his study in 109 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN which he dealt with the relationship between machine-equipment investment and growth that the social bring out of the fixed capital investment for the developing countries is at very high levels. According to this, it is detected that in this set of countries, the machine-equipment investments has a central role on the growth of countries (Temple, 1998). Madsen’s study (2002) in which he questioned the causality relation between investment and economic growth supports this finding. Madsen has a result that machine-equipment investment is heavily effected by supply and as well demand factors when he has also concluded that demand items only effect the investments in the structures. For the latter, the direction of causality is from income towards investment. Both demand and technological process are effective on machine-equipment investment. According to this, it is concluded that there is no feedback from growth to investment in effect (Madsen, 2002). In Crowder and Jong (2009)’s investigations in the continents as Asia, Africa, Europe and America, they have found two-way relationship generally between output and fixed investments. As Kalecki supports as well, the causality relationship which is from investment to output keeps the validity at %19 for all the countries included in Crowder and Jong’s studies (Crowder and Jong, 2009). In Herrerias and Orts’ analysis (2012) for the machine-equipment investment and growth, the long-term causality relation is valid for China. This case is true of all models predicted. Along with it regarding the period dealt, it is mentioned that the investment usually increases more rapidly that GDP. It is seen that the equipment investment is obtained via the positive relationship between both the output and productivity (Herrerias and Orts, 2012). 110 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Data and Empirical Methodology For the model to be used in the article, the study done by Courvisano and Verspagen (2004) is followed. In the discussed study, as to Schumpeterian and Kaleckian dynamics, an effort of study, which covers the years 1870-2000 for United States, United Kingdom, Japan, Germany and France, has done. At the end of the study, getting the approaches of Kalecki and Schumpeter together an aggregated application has done. The way followed in our available study is an application which has been done by both composing Kaleckian and Schumpeterian dynamics and separately using them. When Kaleckian cycle is integrated Schumpeterian innovation it can seen that there is a strong relationship between life cycle of innovation and susceptibility of investment. Thus, they influence together to length of wave. However, in our study there are two differences. Firstly, in the aim of using gross domestic product (GDP), a different path has followed. While Courvisanos and Verspagen (2004) take GDP data as a profitability indicator, we included the data as a real national income, along with its meaning represented, into our applications. Because, looking at the aim of the handling style of article in Kaleckian and Schumpeterian business cycles approaches, it is seen that GDP is evaluated by regarding its self-significance. Secondly, it can not been analyzed a long period in the followed article. Because fixed capital investment and gross domestic product data are not available for Turkey. Meantime, being appropriate to the followed model in our study, the patent serial has taken representing the internal innovations, and the fixed capital investments have used representing the investments. The sample period covers quarterly data from 1971 to 2009. The raw data have been collected from OECD (Organization for Economic Co-operation and Development) data set. Being studied in different countries, taking the data from the same source has paid attention. All variables have been included in the analysis in terms of growth ratio. Gross domestic product and fixed capital investment variables are used with 2005 based prices. In this paper used variables which are gross domestic product (GDP), fixed capital investment (FC) and patent numbers (PT) is consistent with Kalecki and Schumpeter’s approaches. According to this, patent numbers are 111 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN efficient on fixed capital investment and length of cycles. On the other hand, fixed capital investment influences size of business cycles. After all these effects are handled separately for both Turkey (TR) and Greece (GR) being aggregated a gathered evaluation will be done. The Ordinary Least Square (OLS) estimation method has preferred, as series are constant at the level and testing the average relation among variables in a sense being mostly real-alike. Therefore, OLS method has used to be on the point of patent explanatory variable in order to show the relation between investment-patent and GDP-patent. In addition to this, in order to see the effect of investment upon GDP and in respect of presenting the relationship of investment with GDP in a way by embracing it with innovation, again the same method has applied. In this study, auto correlation, heteroscedasticity and normality tests have done, and any problem has not met. 112 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Empirical Results In this part empirical results are given in order. In the first section unit root test results are given. Second section presents the ordinary least square test results. Unit root test results The results from unit root tests are given in Table 2 and suggest that all the variables are integrated of the same order, i.e. I(0). Table 2. Unit Root Test Results Variables Level ADF ADF_Prob. Greece KPSS Turkey Greece Turkey Greece Turkey GDP -5.6057 [0]* -4.6138 [0]* (0,0000) (0,0007) 0.0866 FC -6,5636 [0]* -5,2418 [0]* (0,0000) (0,0001) 0.0615 0.1046 PT -5,6586 [0]* -5,9044 [0]* (0,0000) (0,0000) 0.0628 0.1374 0.182 The critical values with constant for the ADF and KPSS are from Davidson-MacKinnon (1993) and Kwiatkowski, etc. (1992). Lag length in [ ], Asterisk (*) shows significance at 5% level. 113 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN Ordinary least square test results The results from ordinary least square tests are given in Table 3-4-5-6. Table 3. Patent-Fixed Capital Investment Relationship Independent Variable Coefficient Std.Error t-Statistic Prob. Turkey Greece Turkey Greece Turkey Greece Turkey Greece C 0.0738 0.0288 0.0261 0.0176 2.8201 1.6314 0.0077 0.1113 PT -0.2295 -0.0223 0.0829 0.0237 -2.7689 -0.9403 0.0087 0.3531 R-squared 0.1716 0.0233 Adjusted R-squared 0.1492 -0.0030 F-statistic 7.6668 0.8842 Prob (F-statistic) 0.0087 0.3531 Model 1: ΔFC=β 0 + β 1 PT ΔFC TR =0.0738 - 0.2295PT (0.0261) (0.0829) ΔFC GRC =0.0288 - 0.2223PT (0.0176) (0.0237) 114 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece According to this result, the positive relationship between innovation and investment was not validated for both countries. Moreover, it is seen that the force on explaining the shifts in the fixed capital investment with patent is considerably weak. Table 4. The Effects of Fixed Capital Investment and Patent on Gross Domestic Product Independent Variables Coefficient Std. Error t-Statistic Prob. Turkey Greece Turkey Greece Turkey Greece Turkey Greece FC 0.1831 0.2454 0.0264 0.0315 6.9188 7.7813 0.0000 0.0000 C 0.0303 0.0200 0.0048 0.0034 6.2508 5.7664 0.0000 0.0000 R-squared 0.5640 0.6207 Adjusted R-squared 0.5522 0.6104 PT -0.0540 -0.0028 0.0203 0.0074 -2.6519 -0.3866 0.0117 0.7012 C 0.0444 0.0268 0.0055 6.9154 0.0000 R-squared 0.1597 0.0040 Adjusted R-squared 0.1370 -0.0228 0.0064 4.8141 0.0000 Model 2: ΔGDP=β 0 + β 1 FC ΔGDP TR =0.0303 + 0.1831FC (0.0048) (0.0264) ΔGDP GRC =0.0200 + 0.2454FC (0.0034) (0.0315) 115 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN Model 3: ΔGDP=β 0 + β 1 PT ΔGDP TR =0.0444 - 0.0540PT (0.0064) (0.0203) ΔGDP GRC =0.0268 - 0.0028PT (0.0055) (0.0074) According to Table 4, there is a positive relationship between fixed capital investment and output which supports Kalecki’s argument for Turkey and Greece. It is seen that while the 56% of GDP changes in Turkey is explained with fixed capital investments, this ratio for Greece is found as 62%. Conversely, the positive relationship between innovation and GDP which is confirmed by literature is not validated for both countries. It is seen that the force on explaining on changes in GDP with patent is considerably weak. 116 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Figure 2. The Path Followed by Fixed Capital Investment and GDP Together for Turkey .6 .4 .2 .0 -.2 -.4 1970 1975 1980 1985 1990 GDPTR 1995 2000 2005 FCTR Figure 3. The Path Followed by Fixed Capital Investment and GDP Together for Greece. .3 .2 .1 .0 -.1 -.2 -.3 -.4 1970 1975 1980 1985 1990 G D PGRC 1995 2000 2005 F C G RC 117 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN The significant relationship between investment and GDP can be seen in the figures numbered as 2 and 3, in the path they followed. As to Figure 2, in the periods in which the investment in Turkey is highly sensitive that is excessively in the tendency about falling, output shows a similar trend. The same positive relationship keeps on its validity in the conditions in which the investment is lowly sentiment. As is seen in Figure 3, the effect of investment on GDP supports the results in Table 4. According to this, being as to the cases in which the investment is high or low susceptibility the output collaterally moves. Table 5. Fixed Capital Investment and Patent-Gross Domestic Product Relationship Variables Coefficient Std.Error t-Statistic Prob. Turkey Greece Turkey Greece Turkey Greece Turkey Greece C 0.0317 0.0196 0.0051 0.0035 6.2006 5.4690 0.0000 0.0000 FC 0.1723 0.2482 0.0291 0.0322 5.9098 7.7049 0.0000 0.0000 PT -0.0144 0.0026 0.0161 0.0047 -0.8932 0.5637 0.3777 0.5764 R-squared 0.5734 0.6240 Adjusted Rsquared F-statistic 0.5497 0.6031 24.2033 29.8755 Prob (F-statistic) 0.0000 0.0000 Model 4: ΔGDP=β 0 + β 1 FC+ β 2 PT ΔGDP TR =0.0317 + 0.1723FC - 0.0144PT (0.0051) (0.0291) (0.0161) ΔGDP GRC =0.0196 + 0.2482FC + 0.0026PT (0.0035) (0.0322) (0.0047) As to the Table 5, the 57% of GDP shifts in Turkey is explained with the variable involved in the model, and for Greece this ratio is found as 62%. As can seen, fixed capital investment is a significant determinant on output for both countries. In spite of that, explanatory of patent is weak for GDP. 118 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Conclusion A business cycle, which exists in the primary topics of macro economy, has also a great importance for Post-Keynesian economics in a central role. It is seen that, Kalecki correlates this subject with investment. The perspective of Schumpeter towards the business cycles is mostly upon innovation. In addition to this, both economists present that investment and innovation are related with each other in the mean time. In addition, while Kalecki draws attention on the determiner position of investment on output in relation to investment-innovation-output, Schumpeter gives important essentially upon innovation. In the current paper, these all relationships have been estimated by using the OLS method for both Turkey and Greece. Gained results show that the innovation has no significant relationship with investment and output for both countries and the explanatoriness of innovation upon investment and output is considerably low. On the other hand, the explanatory power of investment upon output is at the high levels. At same direction movements in the business cycles because of a positive correlation between investment and output present reasonable results for both Turkey and Greece in accordance with Kalecki’s argument. 119 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN References Aghion, P. & Howitt, P. (1992). A model of growth through creative destruction. Econometrica, 60,2, 323-351. Allred, B.B. & Park, W.G. (2007). Patent rights and innovative activity: evidence from national and firm-level data. Journal of International Business Studies, 38,6, 878900. Andres, A.R. & Goel, R.K. (2012). Does software piracy affect economic growth? Evidence across countries. Journal of Policy Modeling, 34, 284-295. Asimakopulos, A. (1971). The determination of investment in Keynes’s model, Canadian Journal of Economics, IV:3, pp. 382-388. Courvisanos, J. (2003). Innovation, In J.E.King (Ed.), Post Keynesian Economics, UK: Edward Elgar Publishing Limited. Courvisanos, J. & Verspagen, B.(2004). Innovation and investment in capitalist economies, 1870-2000:Kaleckian Dynamics and evolutionary life cycles, In L.R. Wray&M.Forstater (Eds.), Contemporary Post Keynesian Analysis, UK: Edward Elgar Publishing Limited. Corvisanos, J. (2005). Technological innovation:Galbraith, the Post Keynesians, and a heterodox future. Journal of Post Keynesian Economics, 28,1, 83-92. Courvisanos, J. & Richardson, C. (2008). Invention, innovation, investment:heterodox simulation modeling of capital accumulation. In J.T.Harvey and R.F.Garnett, Future Directions For Heterodox Economics, USA: The University of Michigan University Press. Crowder, W.J. & Jong, P.J. (2011). Does investment lead to greater output? A panel error-correction model analysis. Applied Economics, 43, 773-785. Davidson, R. & MacKinnon, J.G. (1993). Estimation and inference in econometrics, New York:Oxford University Press. 120 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece De Long, J.B. & Summers, L.H. (1992). Equipment investment and economic growth: How strong is the nexus?. Brookings Papers On Economic Activity, 2, 157211. Driver, C. (1994). Investment theory and radical perspectives. In P.Arestis & M.Sawyer (Eds.), UK: Edward Elgar Publishing Limited. Ferlito, C. (2011). Sylos Labini’s Unpublished Notes on Schumpeter’s Business Cycles. The Quarterly Journal of Austrian Economics, 14,1, 88-129. Gangopadhyay, K & Mondal, D. (2012). Does stronger protection of intellectual property stimulate innovation. Economic Letters, 116, 80-82 Gomulka, S., Ostaszewski, A. & Davies, R.O. (1990). The innovation rate and Kaleki’s theory of trend, unemployment and business cycle. Economica, 57, 525-540. Harvey, J.T. (2011). United States business bycles From 1971 through 2010: A post keynesian explanation. Journal Of Economic Issues, XLV, 2, 381-390. Herrerias, M.J. & Orts, V. (2012). Equipment investment, output and productivity in China. Empirical Economics, 42,1, 181-207. Johansen S. & Juselius J.K. (1990). Maximum likelihood estimation and inference on cointegration with applications to demand for demand. Oxford Bulletin of Economics and Statistics, 52, 169-210. Kalecki, M. (1962). Observations on the theory of growth. The Economic Journal, 72,285, 134-153. Kalecki, M. (1968). Trend and business cycles reconsidered. The Economic Journal, 78,310, 263-276. Kalecki, M. (1990). Collected Works of Michal Kalecki Vol.I. Edited by J.Osiatynsky, Oxford University Press. Klette, T.J. & Kortum, S. (2004). Innovating firms and aggregate innovation. Journal Of Political Economy, 112,5, 986-1018. 121 �Başak Gül AKTAKAS, Cengiz AYTUN & Cemil Serhat AKIN Kwiatkowski, D., Phillips, P.C.B., Schmidt, P. & Shin, Y. (1992). Testing the null hypothesis of stationarity against the alternative of a unit root: How sure are we that economic time series have a unit root?. Journal of Econometrics, 54, 159-178. Laramie, A.J., Mair, D. & Miller, A.G. (2004). Kalecki’s investment theory reconsidered, In Z.L.Sadowski and A. Szeworski (Eds.), Kalecki’s Economics Today, London:Routledge Lentz, R. & Mortensen, D.T. (2008). An empirical model of growth through product innovation. Econometrica, 76,6, 1317-1373. Lopez G, J. & Assous, M. (2010). Michal Kalecki, UK: Palgrave Macmillan MacKinnon, J.G. & Haug, A.A. & Michelis, L. (1999). Numerical Distribution Functions of likelihood ratio tests for cointegration. Journal of Applied Econometrics, 14,5, 563-77. Madsen, J.B. (2002). The causality between investment and economic growth. Economics Letters, 74, 157-163. Michaelides, P.G., Milios, J., Vouldis, A. and Lapatsioras, S. (2010). Emil Lederer and Joseph Schumpeter on Economic Growth, Technology and Business Cycles. Forum For Social Economics, 39,2, 171-189. Osiatynski, J. (1992). Price and monopoly in Kalecki’s theory, In P.Arestis&V.Chick (Eds.), Recent Developments in Post-Keynesian Economics, UK:Edward Elgar Publishing Richardson, C. & Romilly, P. (2008). Investment functions and the profitability gap. Journal of Post Keynesian Economics, 31,1, 35-56 Sawyer, M.C. (1985). The Economics of Michal Kalecki, New York:M.E.Sharpe Armonk. Sardoni, C. (2011). Unemployment, Recession and Effective Demand-The Contributions of Marx, Keynes and Kalecki, UK:Edward Elgar Publishing. 122 Journal of Economic and Social Studies �Roles of Investment and Innovation in Business Cycle from Kalecki´s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Skott, P. (2003). Business cycles, In J.E.King (Ed.), Post-Keynesian Economics, UK:Edward Elgar Publishing. Snowdon, B. & Vane, H.R. (2005). Modern Macroeconomics. UK:Edward Elgar Publishing. Temple, J. (1998). Equipment investment and the Solow model. Qxford Economic Papers, 50, 39-62. Toporowski, J. (2003), Kaleckian Economics, In J.E.King (Ed.), Post Keynesian Economics, UK:Edward Elgar Publishing Notes 1. Herein it has to be highlighted that he embraces the development as an evolution. 2. It caused that profits change direction from the old equipment to the new one. 3. According to this effect, effective demand should be stimulator via the diffusion of clustering case. Clustering can be achieved through availability of the funds belonging to public sector or profits for investment. At this point, the investment analysis of Kalecki explains how the triggering mechanism works (Corvisanos & Richardson, 2008). 123 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1390 Title A name given to the resource Roles of Investment and Innovation in Business Cycle from Kalecki’s Perspective with a Schumpeterian Approach: An Empirical Analysis for Turkey and Greece Author Author Başak, Gül AKTAKAS Cengiz , AYTUN Cemil , Serhat AKIN Abstract A summary of the resource. Business cycles are one of the best sources to understand current situation of a country’s economy. Michal Kalecki denotes investment as the best explanatory for the dimension and reason of cycles; on the other hand Schumpeter considers that innovation should be placed in a different position in this regard. In addition, both Kalecki and Schumpeter verify that investment and innovation are related with each other because innovation is also an important subject for investment. It is expected that investment and innovation have the effect in the same direction on output. In this study, business cycles have analyzed for 1971-2009 period by using the yearly data in Turkey and Greece and it has been dealt effects of investment and innovation on cyclical fluctuation. In this paper which growth rates have been discussed, ordinary least square estimation method has been used. In this respect firstly, it has been examined that the effect of innovation on investment and income. After that examined that effect of investment on output and finally innovation and investment have been evaluated by considering the effects on the output. It has been found that the obtained results support the views of Kalecki for both of the countries. Publisher An entity responsible for making the resource available International Burch University Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Article PeerReviewed H Social Sciences (General),HB Economic Theory,HG Finance Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 982 Title A name given to the resource Taking the Bull by the Horns: A Cognitive Linguistic Approach to Teaching Idioms Author Author Berberovic, Sanja Hundley, Lisa Abstract A summary of the resource. During the course of their English language studies, many students are asked to learn various kinds of idiomatic expressions in English, ranging from phrasal verbs to idioms. While learners may be able to memorize the standard meanings of such phrases, they frequently lack the contextual knowledge in order to use them appropriately. This presentation will describe a series of classroom activities conducted with 20 first-year English language students at the University of Tuzla in Bosnia & Herzegovina. The activities are designed based on cognitive theory of metaphor and metonymy (Lakoff and Johnson 1980, Kövecses 2002, Radden & Kövecses 1999) and are intended to bridge the gap between learners’ understanding of meaning and usage of idioms. Specifically, these activities will encourage learners to hone their fluency via appropriate use of idioms while also suggesting ways for instructors to devise assessment mechanisms for appropriate use of these phenomena. The benefits of linking cognitive linguistic theory to meaning-focused classroom approaches and materials design will also be discussed. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 978 Title A name given to the resource Motivation and Student Perception of Acquiring L2 in the Tertiary Education Author Author Bujak, Samra Akbarov, Azamat Abstract A summary of the resource. This research concerns the study of the perception of the importance of motivation in English language learning. It aims to find out how important students perceive the importance of motivational factors in arousing their motivation learn EL. Motivation in learning has captured a lot of attention from researchers as a complicated, yet important phenomenon that decides learners’ learning performance. Dornyei (2001, pp.1-2) states that motivation is what influences people’s behavior and it has been largely agreed to play a very important role in determining the success or failure of learners in any learning context. Language learning is, of course, not an exception. In particular, the overall findings of research in ELT show that learner’s positive attitudes and motivation are related to success in second language learning (Gardner, 1985, cited in Lightbown & Spada, 1999). As a result, understanding factors that have impacts, either negative or positive, on learners’ motivation is of great importance. Having given the general content of the significance of motivation in education, it is important to take into consideration that motivation plays a significant and a decisive role in language learning, and the motivational factors are regarded as effective in determining the success or failure of language learning. Among the important contextual factors is the environment where students should have the chance to participate and decide on their learning, students' curiosity should always be aroused and their attention must be attracted in order to guarantee a successful acquisition of the foreign language. Other motivational factors considered important in language learning are personality factors, related to the learner himself such as his anxiety, his self feeling and how far his interests are met in the course of learning foreign language. The other important side of motivational factors is related to the instructional factors, and how far the teacher is capable to enhance students' motivation to learn through proper interaction. The issue of motivation in language learning and student perception of studying English language will be discussed in further details through my paper. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 940 Title A name given to the resource EFL Teacher Trainees' Perceptions of the Sufficiency of the Coursebooks in terms of Proverb Instruction Author Author CAN, Nilufer Hatipoglu , Ciler Abstract A summary of the resource. Proverbs are formulaic expressions that mirror the culture of a language (Hirsch et al. 2002) and it is said that every native speaker possesses ‘proverb competence’ (De Caro, 1978) which allows them to comprehend and employ those expressions where necessary. When proverbs are used, the speech can become more fluent, natural and colourful (Prodromou, 2003; Sinclair, 1992). For these reasons, proverbs can be influential in the development of communicative competence (CC) which is an essential attribute of a successful language teacher. The research also shows that coursebooks are the main sources in Turkish EFL classrooms where prospective language teachers are learning the language (Can 2011). Therefore, in this study, EFL teacher-trainees were asked to evaluate the sufficiency of the English coursebooks they used in Anatolian Teacher Training High Schools (ATTHS) in Turkey in terms of proverb instruction. Teacher-trainees as language learners were chosen as a focus group in this study since as the prime users and the reasons why coursebooks are developed they can provide very useful feedback to other stakeholders in the educational system (Cunningsworth 1995; McGrath 2002). The data for this study were collected using questionnaires and interviews specifically designed for this study. Both qualitative and quantitative analyses of the data were performed and the following results were obtained: (1) the bulk of the informants thought that many of their coursebooks did not include a sufficient number of proverbs; (2) some students stated that their books incorporated proverbs randomly without adequate instruction; (3) all of the informants wanted the coursebooks to include more proverbs and to emphasise the teaching of their various aspects. The findings of the study highlight the importance of obtaining continuous student feedback for material selection, evaluation and revision; and show how there sometimes might be discrepancies between administrative decisions and users’ needs and perceptions. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 959 Title A name given to the resource Analyzing the Educational Objectives in Primary School English Curriculum as to Affective Domain Taxonomy Author Author Can Cap , Rabia Arı, Asım Abstract A summary of the resource. One of the various purposes of the educational activities in schools is to develop and provide affective features of students. However, it is observed that affective domain is often neglected in the educational system practices (Reece and Walker, 1997) and weight is given on cognitive domain behaviors and sometimes on pyschomotor domain behaviors. Affective domain involves the dimensions such as “interests, attitudes, appreciations, values and emotional sets or biases” (Krathwohl, 1964). These dimensions are product of the experiences the individual realizes whole of his/her life. Therefore, affective domain behaviors may not be developed only within the school system. School must undertake to function effectively in respect of providing the affective domain behaviors. Reflecting affective features to class environment will also positively change and develop the learning climate in the class (Gömleksiz, 2003). Situations like student interaction, individual behaviors, cultural structure and social climate of the class are related with affective domain rather than the cognitive. All these enable students to work cooperatively with the teacher and other students and to participate efficiently to the learning process (Cooper ve McIntyre, 1998). Values in the cultural environment where individual takes place can also determine the success in the learning environment. So educational objectives from affective domain are a vital component in the development of English curriculum for primary students. Our purpose here is to relate research on affective dimensions to foreign language instruction. We will discuss Krathwohl’s Taxonomy of Educational Objectives on the Affective Domain and try to detemine to what extent English Curriculum for Primary Schools in Turkey involve these. We will also state the importance and benefits of affective domain in teaching English. Research data will be collected and analyzed by using document analysis method. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 979 Title A name given to the resource Teaching other subjects through English Author Author Causevic, Sandra Abstract A summary of the resource. Many children are now relatively proficient in general English by the time they reach secondary school and need something more than simple revision of what they have already learnt. Teaching other subjects through English provides a better preparation for professional life than teaching English as a subject empty of content. There are many motivational advantages in teaching English for a well-defined purpose which is considered to be relevant by the students. Content and Language Integrated Learning (CLIL) has attracted great attention in recent years, especially in Europe. In this paper we are going to show what the advantages of CLIL are and how efficient and useful teaching other subjects through English can be. We are also going to present some of the ways in which we can correlate other subjects and English. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 772 Title A name given to the resource Instructive proposals for the most effective teaching of the article in Greek (definite – indefinite – no article) based on the results of the use of a learner corpus Author Author Chatzitheodorou, Antigoni Abstract A summary of the resource. The analysis proposed, although based on the Theory of Error Analysis (Corder 1960’s), tends to establish a different way of approaching language errors (Theodoropoulou & Papanastasiou: 2001, Theophanopoulou – Kontou: 2001, Christidis: 1987, Brown: 1981) in second language acquisition, by maintaining the positive sides that the theory introduced to literature (Norrish: 1983 & Krashen: 1981). I shall argue about how useful making mistakes can be for the formation of the interlanguage of students and I focus on the acquisition of the article (definite – indefinite – no article) in Greek. The aim of my study is to explore whether the relevant errors on the subject during the acquisition of a language like Greek, which has article, depend on the mother tongue of the student. This is the reason why, in 2008, I conducted a learner corpus with data provided by the Modern Greek Language Teaching Center of the National and Kapodistrian University of Athens, where students of different nationalities (England, Russia, Turkey etc.) study Greek. The learner Corpus consists of 100 compositions with a word limit of 250 words. From these, 38 have stated that they have completed the A2 level, 28 the B2, 19 the C1 and 15 didn’t write the level they had completed. The data was analysed by the use of the Computer Programme “Simiotis.exe”. My conclusion was that similar errors can be observed in the output of students, which are native speakers of languages with and languages without article. After having completed a contrastive analysis of the article in English and in Greek in order to show that language transfer is not enough to explain the errors considering the article and by analysing the data, I shall propose an effective way of teaching the phenomenon, so that some errors can either be expected by the tutor or even prevented. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 961 Title A name given to the resource English Teachers and Deaf Students inside the Educational Inclusion in Brazil Author Author Cristina de Carvalho Brito, Rejane Abstract A summary of the resource. This study investigates the representations that the English teachers from Minas Gerais state (Brazil) public schools have about deaf students’ educational inclusion into regular schools. The research objective is the teacher-subject’s discourse, considering that such a subject is constituted in/by language and historically and socially built. We focus on teachers’ representations about their teaching practice, the English language, about deaf and hearing students, and also the Brazilian sign language and its interpreters. The results indicates that considering such representations, the way the teachers deal with their practice and with the other people involved in the teaching-learning process can be better understood. This research located in the Applied Linguistics field is based on concepts of Discourse Analysis. The corpus was built through audio-recorded interviews and class observation. After transcribing the interviews, the corpus was linguistically and discursively analyzed, identifying the identity shifts, contradictions on discourse, discourse regularities as well as the representations presented by the teachers about their practice. Through interpretation gestures, a chain of representations have been achieved, to perceive how teachers develop their teaching deaf and hearing students in the classroom. Based on the interviewed teachers’ discourse, the results indicate that the Inclusive Education is seen as an impossible reality. Moreover, those teachers do not see themselves as the idealized teacher who is pictured on political and pedagogical discourses. As a conclusion, the study points that teachers predominantly take two enunciative positions, ranging from that of inhibition to a creative one. In the first position they are inhibited when they face deaf and hearing students in the same classroom. In the second position, though, they are creative in the same situation. The contradiction on different enunciative positions indicates two discursive formation in the teachers discourse which were defined as inhibi(ac)tion and crea(c)tion. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 963 Title A name given to the resource Reflexions about the Metalinguistic Use of Turcisms in Contemporary Slovene Author Author Dapit, Roberto Abstract A summary of the resource. The aim of the paper is to point out the semantic aspects of some selected turcisms used in the linguistic system of contemporary Slovene. From a lessical corpus of loanwords of turkish origin, as classified in the two etymological dictionaries of the Slovene language (ESSJ, SES), the author has identified some items that have developed a semantic value, which is relevant also in an anthropological discourse about the perception of alterity. By observing the process of acquisition of the selected loanwords, we realize that they entered in the Slovene vocabulary relatively late and mostly through the Serbo-Croatian. Their semantic evolution towards a pejorative meaning, which can be shared, in fact, also by other Balkan languages as Bosnian, Croatian or Serbian, allows to outline a discussion on a metalinguistic level. The most significant case from the point of view of the diversity perception is the item čefur 'immigrant from the former Yugoslav republics', that have been in recent time morphologically tranformed in the Slovene linguistic space. This word carries the highest semantic strength by conveying the definition of the other, moreover it appears in literary works and other typologies of written language with relatively frequent occurrences, if compared with other items. The examination of this phenomenon from several perspectives will be first an attempt to analyse the question on a metalinguistic level and, at the same time, an exploration of the stereotyps which are conceived as definition of the other in Slovenia today. They essentially represent a result of the interaction with the Balkan linguistic and cultural world in the last century. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 902 Title A name given to the resource The Effects of Concept Mapping Strategy Instruction on Reading Strategy Utilization of EFL University Students Author Author Ebrahimi, Maryam Moini, M. Raouf Abstract A summary of the resource. The purpose of the present study was to investigate the effect of instruction of concept mapping (CM) strategy as one of the metacognitive strategies on reading strategy utilization of Iranian EFL university students. Another purpose of the study was determining L2 learners’ attitudes towards use of CM strategy in reading tasks. A pretest-treatment-posttest design and CALLA model for the CM strategy instruction were used. A questionnaire consisting of 30 items (Global Strategies (13 items), Supportive Strategies (9 items), and Problem Solving Strategies (8 items) was used to find out the possible change in participants’ reading strategies utilization. The result of Paired Samples Statistics and t-test showed that after CM instruction participants’ applications of global strategies significantly increased, while the application of other strategies did not change. Moreover, the data obtained from CM questionnaire revealed that participants had significantly positive attitudes towards use of CM in reading tasks. Implications and pedagogical applications for EFL and ESL are discussed. Date A point or period of time associated with an event in the lifecycle of the resource 2012 Keywords Keywords. Conference or Workshop Item PeerReviewed P Philology. Linguistics