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Analysis of the Relationship between Trade Openness and Economic Growth: The Case of Turkey

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  • Mehmet Vahit EREN
  • Ayşe ERGİN-ÜNAL

Abstract

The aim of this study, the relationship between trade openness and economic growth, is to analyze in terms of econometric by utilizing the annual data of the years 1960-2016 for the Turkish economy. For this purpose, the national income ratio of the sum of exports and imports and the real per capita income variables are used in the analysis. Engle-Granger and Gregory-Hansen cointegration tests and the Toda-Yamamoto Granger causality test were used to analyze the relationship between trade openness and economic growth. The results show that a long-run relationship was not found between the variables, and a unidirectional causality relationship was found from economic growth to trade openness.

Suggested Citation

  • Mehmet Vahit EREN & Ayşe ERGİN-ÜNAL, 2019. "Analysis of the Relationship between Trade Openness and Economic Growth: The Case of Turkey," Sosyoekonomi Journal, Sosyoekonomi Society.
    • Handle: RePEc:sos:sosjrn:190105
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    References listed on IDEAS

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    More about this item

    Keywords

    Trade Openness; Economic Growth; Economic Development; Turkey.Issue:27(39);
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General

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