Karahasan, Burhan Can (2009): Causal Links Between Trade And Economic Growth Evidence From Turkey And European Union Countries. Published in: Proceedings of GBATA (2009)
Download (188kB) | Preview
Openness and economic growth is discussed by heavy concentration on the deterministic relationship running from trade flows to economic growth. While traditional motive of export promotion based growth strategies is heavily discussed, it is the modern growth theories that define possible alternative mechanisms. Technology transfer, place of innovation and spillovers are at the center of the debate. However it is the more contemporary studies that also underline the possible reverse relationship. Originating from such a discussion the study aims to search for the causal relationship by working on a new European Union candidate country, Turkey. Results point out that short term dynamics illustrates a two way relationship.
|Item Type:||MPRA Paper|
|Original Title:||Causal Links Between Trade And Economic Growth Evidence From Turkey And European Union Countries|
|English Title:||Causal Links Between Trade And Economic Growth Evidence From Turkey And European Union Countries|
|Keywords:||international trade, causality, Turkey|
|Subjects:||C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models ; Multiple Variables > C32 - Time-Series Models ; Dynamic Quantile Regressions ; Dynamic Treatment Effect Models ; Diffusion Processes ; State Space Models
F - International Economics > F1 - Trade > F14 - Empirical Studies of Trade
F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F43 - Economic Growth of Open Economies
|Depositing User:||Burhan Can Karahasan|
|Date Deposited:||05. Apr 2011 17:53|
|Last Modified:||22. Feb 2015 20:52|
Awokuse T. O., “Causality between exports, imports and economic growth: Evidence from transition countries”, Economic Letters, No.94, (2007): 389, 395.
Balassa B., “Exports and economic growth: further evidence”, Journal of Development Economics, Vol.5, (1978): 181-189.
Bhagwati J., “Protectionism”, MIT Press, Cambridge, Massachusetts, (1988)
Coe T.D., Helpman E., “International R&D spillovers”, European Economic Review, Vol.39, (1995): 859-887.
Dickey, D. A. and Fuller, W. A., “Distribution of the Estimators for Autoregressive Time Series with a Unit Root.” Journal of the American Statistical Association, Vol. 74, Iss. 366, (1979): 427-431.
Dritsaki M., Dritsaki C., Adamopoulos A., “A Causal Relationship Between Trade, Foreign Direct Investment and Economic Growth for Greece”, American Journal of Applied Science, Vol.1 No.3, (2004): 230-235.
Engle, R. F. and Granger, C. W. J., “Co-Integration and Error Correction: Representation, Estimation, and Testing.” Econometrica, Vol. 55, No. 2, (1987): 251-276.
Granger, C.W.J., "Investigating causal relations by econometric models and cross-spectral methods", Econometrica, ,Vol.37, No.3, (1969): 424–438.
Grossman G.M., Helpman E., “Endogenous Innovation in the Theory of Growth”’, Journal of Economic Perspectives, Vol.8, No.1, (1994): 23-44
Helpman E., Krugman P.R., “Market Structure and Foreign Trade”, MIT Press, Cambridge, MA., (1985)
Hussain M.M., Saleem B. W., Muhammad A., “Causal Relationship Between Exports and Agricultural GDP in Pakistan”, MPRA Paper, No. 11845, (2008).
Johansen, S., “Statistical analysis of cointegration vectors.” Journal of Economic Dynamics and Control, Vol. 12, Iss. 2-3, (1988): 231-254.
Liu X., Song H., Romilly P., “An empirical investigation of the causal relationship between openness and economic growth in China”, Applied Economics, No:29, (1997): 1679-1686.
Rivera-Batiz L., Romer P.M., “Economic Integration and Endogenous Growth”, The Quarterly Journal of Economics, Vol.106, No.2, (1991): 531-555.