INVESTIGATION OF THE EFFECTS FOREIGN DİRECT INVESTMENTS ON FOREIGN TRADE, ECONOMİC GROWTH AND UNEMPLOYMENT: EXAMPLE OF TURKEY (2000-2018)


Abstract views: 102 / PDF downloads: 49

Authors

  • Erhan DUMAN Necmettin Erbakan Üniversitesi, Ereğli Adalet MYO, Hukuk Bölümü

Keywords:

Foreign Direct Investment, Foreign Trade, Economic Growth and Unemployment

Abstract

International economy with foreign direct investment in developing countries such as Turkey, improvement of infrastructure R & D is expected to increase efficiency in the provision of technological innovation and production factors. These investments are aimed at ensuring the stability of these variables by including the resources that are idle due to the lack of R & D infrastructure. This type of investment provides real production control. In this direction, liberal economic policies gained momentum in the international market in the 1980s when the increase in production and economic trade with the development of the free market led to an increase in interest in foreign direct investments. This study examines the relationship between foreign direct investment and foreign trade, economic growth and unemployment. The relationship between variables was analyzed using quarterly data of 2000-2018 Turkey's economy and relations Granger causality test was performed to detect. As a result, the causality between foreign direct investment and foreign trade and economic growth was found to be bi-directional. In addition, one-way and weak causality relationship was found between foreign direct investment and unemployment variable. According to the error correction model results; 1% increase in foreign direct investment increased foreign trade by approximately %0.18 and economic growth by % 0.16. It was found that the unemployment variable decreased by %0.04

Published

2022-06-11

How to Cite

DUMAN, E. (2022). INVESTIGATION OF THE EFFECTS FOREIGN DİRECT INVESTMENTS ON FOREIGN TRADE, ECONOMİC GROWTH AND UNEMPLOYMENT: EXAMPLE OF TURKEY (2000-2018). IKSAD JOURNAL, 5(19), 239–248. Retrieved from https://iksadjournal.com/index.php/iksad/article/view/120

Issue

Section

Articles