ASSESSMENT OF THE SUSTAINABILITY OF THE TURKISH CURRENT ACCOUNT DEFICIT BETWEEN 1992 AND 2010 BY USING TIME SERIES ANALYSIS

A. Oznur Umit ()
Additional contact information
A. Oznur Umit: Ondokuz Mayis University

Anadolu University Journal of Social Sciences, 2011, vol. 11, issue 3, pages 135-148

Abstract: The main objective of this paper is to examine the sustainability of the Turkish current account deficit after 2008 crisis while considering the structural changes caused by 1994 and 2001 crises. This study is based on Husted’s (1992) intertemporal model and examines the long-run relation between imports and exports. By using Augmented Dickey Fuller (ADF), Phillips-Perron (PP) Unit Root test and the Zivot-Andrews Unit Root test with structural breaks for the quarterly data of 1992:1-2010:2 period, the degree of cointegration of the series is analyzed through Johansen cointegration method. The test results indicate that there is long run relationship between exports and imports despite current account deficits could be sustainable at a low level for Turkey.

Keywords: Current Account Deficit; Sustainability; Intertemporal Budget Constraint; Johansen Cointegration Test. (search for similar items in EconPapers)
JEL-codes: C22 F32 H62 (search for similar items in EconPapers)
Date: 2011
References: Add references at CitEc
Citations Track citations by RSS feed

Downloads: (external link)
http://www.anadolu.edu.tr/arastirma/hakemli_dergil ... 011_3/2011-03-09.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:and:journl:v:11:y:2011:i:3:p:135-148

Access Statistics for this article

Anadolu University Journal of Social Sciences is edited by Ramazan Geylan

More articles in Anadolu University Journal of Social Sciences from Anadolu University
Contact information at EDIRC.
Series data maintained by Social Sciences Institute ().