Home > Publications > ERF 26th Annual Conference > The Effects of Openness and Global Value Chains on the Performance of Turkish Sectors

ERF 26th Annual Conference

The Effects of Openness and Global Value Chains on the Performance of Turkish Sectors

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    • No.

    ERF26_109

    Publisher

    ERF

    Date

    August, 2020

    Topic

    O2. Development Planning and Policy

    O4. Economic Growth and Aggregate Productivity

    F2. International Factor Movements and International Business

    F1. Trade

    O1. Economic Development

    Regarding the dynamics of contemporary world economy, success in a domestic economy cannot be achieved without effective integration policies for capital and goods flows. In order to evaluate this proposition, we utilize a large number of openness measures for two periods: 1995-2009 and 2005-2014. For the earlier data set, we find that export and export of domestic value added increase total factor productivity growth. These variables are also positively associated with value added growth. Tariff rates which Turkey face are negatively related to value added growth, which means decreasing competitiveness of Turkish goods and services in the international markets. Forward GVC participation leads to increase in value added growth. For export growth, tariff rates faced significantly reduce the growth rate of both export and domestic value added export. For the later data set, all covariates other than tariff rates lose their significances. However, tariff rates Turkey imposes are still positively related to both total factor productivity and value added growth. The negative effect of faced tariff rates is also persistent in export growth. Overall, designing and implementing trade policies to effectively integrate with the global economy is an important task for our country.
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    • The Effects of Openness and Global Value Chains on the Performance of Turkish Sectors

    Research Associates

    Pinar Tat

    Assistant Professor, Department of Economics, Gebze Technical...

    The Effects of Openness and Global Value Chains on the Performance of Turkish Sectors

    Authors

    Abdullah Altun

    Assistant Professor, Department of Economics, Gebze Technical...

    The Effects of Openness and Global Value Chains on the Performance of Turkish Sectors

    Authors

    Halit Yanikkaya

    Professor, Department of Economics, Gebze Technical University,...

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