International Congress on Eurasian Economies

International Conference on Eurasian Economies

29-31 August 2016 – Kaposvár, HUNGARY

Paper detail

Paper ID : 1643
Status : Paper published
Language : Turkish
Topic : International Trade and Globalization
Presenter: Ph.D. candidate Gizem Akbulut
Session : 5B Uluslararası Ticaret

The Role of Extensive and Intensive Margins in Export Growth of Turkey to Central and Eastern European Countries
Türkiye’nin Merkezi ve Doğu Avrupa Ülkelerine İhracat Artışında Yaygın ve Yoğun Ticaretin Rolü

Abstract

In the recent years, Central and Eastern Europe Countries-10 (CEEC-10) countries are implementing policies for developing in international trade relations and these countries are relatively small and open economies. On the other hand, they increase both provide a dynamic increase in exports and export market share, to facilitate the European Union (EU) and their activities to integrate into world trade. The purpose of this study, with CEEC-10 of Turkey’s sectoral export growth rates decomposes into extensive and intensive margins. Also intensive margin decomposes into price and quantity components. By building on the methodology pioneered by Feenstra (1994) and Hummels and Klenow (2005) and then “the decomposition of export growth rates” method developed by Bingzhan (2011). Intensive margin is the growth in products that were exported in both periods. Extensive margin is the growth in product variety or new trade partners. In the empirical part of the study were used the BACI international trade database from CEPII. The database provides the export values and quantities for Turkey to CEEC-10 at the Harmonized System’s (HS96) six-digit level over period 2006 to 2013. Foreign trade activities of countries is an important channel both to gain of international qualification and to the realization of economic growths and/ or in terms of sustainability of the current growth rates. According to results of a study, with CEEC-10 Turkey’s export is mainly explained generally by the quantity growth rather than price growth. In other words, export growth carries with the low added value product.

JEL codes: F10, F12, F14

Akbulut, Gizem (2016). "The Role of Extensive and Intensive Margins in Export Growth of Turkey to Central and Eastern European Countries" in Proceedings of International Conference of Eurasian Economies 2016, pp.317-322, Kaposvár, HUNGARY.

DOI: https://doi.org/10.36880/C07.01643

Full paper in PDF format.

Session 5B: Uluslararası Ticaret

Eurasian Economists Association Istanbul Beykent University Kaposvár University Kyrgyz-Turkish Manas University Turkish-Hungarian Businessmen Association TIKA