Trade liberalization and some macroeconomic indicators in Turkey (1980-2018)

Alzabadi, Nader

This study aims to examine the impact of trade liberalization on some macroeconomic indicators (foreign direct investment, exports, imports, trade balance, and government size) in Turkey. Our study employed the autoregressive distributed lag bound test (ARDL) approach, unit root test, bound test for long-run estimation, and error correction term (EC). Findings show that trade liberalization does not have a positive impact on foreign direct investment inflow into the Turkish market, as well as that currency depreciation accompanied by an open economy decreases foreign capital inflow. Trade libe ...More