 Testing for Symmetric and Asymmetric Causality between FDI and Foreign Trade in TurkeyUğur Pata () and Harun Terzi Romanian Economic Journal, 2016, vol. 19, issue 61, 47-70 Abstract: In this paper, the relationship between FDI and foreign trade is investigated by symmetric; Sims (1972), Dolado-Lütkepohl (1996), Hacker-Hatemi (2006) and asymmetric; Hatemi-J (2012) causality analysis after the liberalization period 1983-2014 for the Turkish economy. The results of the empirical analysis show that unidirectional positive and statistically significant causality is going from total (goods and services) and only goods export, import and foreign trade (total import and export) to FDI. The conclusion is that findings point out to the existence of complementary relationship between the variables. Consequently, these results support that the government should encourage foreign trade to increase FDI inflows in Turkey. Keywords: FDI; foreign trade; Symmetric and Asymmetric Causality Tests; Turkey. (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:rej:journl:v:19:y:2016:i:61:p:47-70 Access Statistics for this article Romanian Economic Journal is currently edited by Ioan Popa, PhD More articles in Romanian Economic Journal from Department of International Business and Economics from the Academy of Economic Studies Bucharest Contact information at EDIRC. |
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