Estimation of International Trade

The study analyzed foreign trade volume among Turkey and 37 OECD countries, especially the sway of the logistics performance index on Turkey's foreign trade volume. In light of this, the effects of the logistic performance index in determining Turkey's foreign trade volume were analyzed by using the data of Turkey and OECD countries in the 2007-2020 period. In the study, three different models were established in which the total foreign trade volume, Turkey's exports to OECD countries, and Turkey's imports with OECD countries are dependent variables. The variables used in the models are the GDP of Turkey and OECD countries, R&D investments, population, logistics performance index, and distance between countries. Since the models have problems with autocorrelation, heteroskedasticity, and cross-section dependence, the Huber-Eicker-White estimator, which is robust to these problems, was used. When the results obtained were examined, it was concluded that the sign of the relationship between GDP and foreign trade volume of the countries in the model in which the foreign trade volume was the dependent variable was positive. The gravity model has main variables used in the studies. Among these, the variable that expresses the geographical distance between countries is among the most used. In the study, the direction of relationship with trade flows is negative. Turkey's logistics performance index positively and significantly affects foreign trade volume in the first two models. It has been observed that there is a positive relationship between the populations of OECD countries and Turkey's foreign trade volume, in line with expectations. When the study's primary purpose is evaluated, Turkey's logistics performance index has a positive and significant effect on foreign trade volume.