Return to search

The Bilateral J-curve Of Turkey For Consumption, Capital And Intermediate Goods

This study analyzes the J-curve effect for Turkey&rsquo / s bilateral trade with her three main trading partners / Germany, USA and Italy, for consumption, capital and intermediate goods. The bounds test is used to test for cointegration among the trade balance, the real bilateral exchange rate, the real domestic income and the real foreign income. The results show that the real exchange rate is not a significant determinant of trade in the short run. In the long run, it is significant only for trade with USA in consumption goods. Moreover, J-curve does not exist for Turkey&rsquo / s bilateral trade with Germany, USA, and Italy in consumption, capital and intermediate goods. The results support existence of a link between the bilateral trade balances and the real domestic income both in the short run and the long run.

Identiferoai:union.ndltd.org:METU/oai:etd.lib.metu.edu.tr:http://etd.lib.metu.edu.tr/upload/12609709/index.pdf
Date01 July 2008
CreatorsKeskin, Gizem
ContributorsAkbostanci, Elif
PublisherMETU
Source SetsMiddle East Technical Univ.
LanguageEnglish
Detected LanguageEnglish
TypeM.S. Thesis
Formattext/pdf
RightsTo liberate the content for public access

Page generated in 0.0012 seconds