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Dependency on Imported Intermediates in Turkey: Two Different IO Approach

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  • Yasemin Asu ÇIRPICI

Abstract

Import dependency on intermediates is an important problem in the Turkish economy. Therefore it is subject to many empirical studies. These studies mostly depend on Input Output (IO) tables. In this study, we calculated the import requirement ratio (IRR) from the 2018 IO Table for Türkiye. Also, we weighted the IRR values by the value-added percentage of the sectors (IRR-VA) and compare the results with the pure IRR values. It is seen that most of the sector rankings change significantly. According to the pure IRR calculations, the sectors that are most dependent on the imported intermediates are Coke and refined petroleum products, Electrical equipment, Motor vehicles, trailers and semi-trailers, Rubber and plastics products, Chemical and chemical products, and Machinery and equipment, nec. On the other hand, IRR-VA calculations result in Construction, Electrical equipment, Transport, storage and communications, Coke and refined petroleum products, Food products, beverages and tobacco, Textiles, textile products, leather and footwear sectors. This indicates that a careful analysis is needed when it comes how to determine the import dependency.

Suggested Citation

  • Yasemin Asu ÇIRPICI, 2023. "Dependency on Imported Intermediates in Turkey: Two Different IO Approach," Fiscaoeconomia, Tubitak Ulakbim JournalPark (Dergipark), issue 1.
    • Handle: RePEc:fis:journl:230127
    DOI: 10.25295/fsecon.1186260
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    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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