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The implication of domestic, foreign and renewable technologies on Turkey's industrialization: a bootstrap ARDL approach

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  • Nai̇moğlu, Mustafa
  • Özbek, Sefa
  • Ridwan, Ibrahim lanre
  • Al-Mulali, Usama

Abstract

This study aims to analyze the effects of domestic, foreign, and green technologies on industrialization in the Turkish economy during the globalization period, and to identify the key determinants of industrialization. The study covers data from 1990 to 2021; patent applications represent domestic technology, foreign direct investments represent foreign technology, renewable energy technologies represent green technology, and industrial value added is used as an indicator of industrialization. The Fourier Bootstrap Autoregressive Distributed Lag (ARDL) method was applied in the analysis. The findings show that domestic technologies have the strongest and statistically significant positive effect on industrialization, green technologies play a supportive role in industrialization, and the effect of foreign technologies remains relatively limited. According to the ARDL results, a 1 % increase in domestic technologies increases industrialization by approximately 0.27 %, while 1 % increases in green and foreign technologies increase industrialization by approximately 0.03 % and 0.01 %, respectively. The validity and reliability of the results were tested using Fully Modified Least Squares (FMOLS) and Dynamic Least Squares (DOLS) methods, and the findings were consistent with the ARDL results. These findings reveal that the sustainability of industrialization in Turkey largely depends on domestic and green technology investments. The study emphasizes the importance of technology-based industrial policies and offers strategic recommendations to policymakers to strengthen domestic R&D capacity and promote environmentally friendly technologies in order to support long-term sustainable economic growth.

Suggested Citation

  • Nai̇moğlu, Mustafa & Özbek, Sefa & Ridwan, Ibrahim lanre & Al-Mulali, Usama, 2026. "The implication of domestic, foreign and renewable technologies on Turkey's industrialization: a bootstrap ARDL approach," Energy, Elsevier, vol. 344(C).
    • Handle: RePEc:eee:energy:v:344:y:2026:i:c:s0360544226001490
    DOI: 10.1016/j.energy.2026.140047
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