IDEAS home Printed from https://ideas.repec.org/a/ist/ekoist/v0y2024i41p133-150.html
   My bibliography  Save this article

Basic Innovation Indicators Affecting Exports According to Technology Intensity: An Application Based on Time Series Analysis for Türkiye

Author

Listed:
  • Sevda Yapraklı

    (Atatürk Üniversitesi, İktisadi ve İdari Bilimler Fakültesi, İktisat Bölümü, Erzurum, Türkiye)

  • Fatma Kanca Kervan

    (Atatürk Üniversitesi, Sosyal Bilimler Enstitüsü, İktisat Anabilim Dalı, Erzurum, Türkiye)

Abstract

Analysis of the impact of innovation on exports is a significant topic in the international economics literature. Ceteris paribus, the effect of innovation on exports according to technology intensity is crucial for countries’ competitiveness, foreign trade earnings, and development levels. Although Turkey, as an open country, has an export-oriented production structure and active export activities, its export performance remains relatively low. This study examines the effects of key innovation indicators such as R&D expenditures, patent application numbers, Information Technology Communications (ICT), and Total Factor Productivity (TFP) on exports according to technology intensity. For this purpose, predictions were made using the Vector Auto-regression (VAR) model, using annual data from the period 1990-2021 for Turkey. Variance decomposition and ımpulse-response functions were employed to identify the relationships between the variables in accordance with the VAR model estimates. In the Variance Decomposition analysis, it was determined that the most effective innovation indicator in exports according to the technology intensity is R&D expenditures. The impulse-response functions indicate that the main innovation indicator affecting the export of medium-high-tech products is ICT, while the indicator affecting the export of high-tech products is R&D expenditures. Furthermore, it has been determined that the positive effect on future period export performance of past period performance of the export of mediumhigh-tech products is higher than the effect of the export of high-tech products. The analysis results recommend that the level of technology exports influenced by innovation and the ability to gain the international competitive advantage in Turkey is low.

Suggested Citation

  • Sevda Yapraklı & Fatma Kanca Kervan, 2024. "Basic Innovation Indicators Affecting Exports According to Technology Intensity: An Application Based on Time Series Analysis for Türkiye," EKOIST Journal of Econometrics and Statistics, Istanbul University, Faculty of Economics, vol. 0(41), pages 133-150, December.
    • Handle: RePEc:ist:ekoist:v:0:y:2024:i:41:p:133-150
    DOI: 10.26650/ekoist.2024.41.1548638
    as

    Download full text from publisher

    File URL: https://cdn.istanbul.edu.tr/file/JTA6CLJ8T5/5A42005578E94E7CB0A06F51411B65A7
    Download Restriction: no
    File URL: https://iupress.istanbul.edu.tr/tr/journal/ekoist/article/teknoloji-yogunluguna-gore-ihracati-etkileyen-temel-inovasyon-gostergeleri-turkiye-icin-zaman-serisi-analizlerine-dayali-bir-uygulamat
    Download Restriction: no
    File URL: https://libkey.io/10.26650/ekoist.2024.41.1548638?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Laursen, Keld, 1999. "The impact of technological opportunity on the dynamics of trade performance," Structural Change and Economic Dynamics, Elsevier, vol. 10(3-4), pages 341-357, December.
    2. DiPietro, William R. & Anoruo, Emmanuel, 2006. "Creativity, innovation, and export performance," Journal of Policy Modeling, Elsevier, vol. 28(2), pages 133-139, February.
    3. Jonathan Eaton & Samuel Kortum, 1997. "Technology and Bilateral Trade," Boston University - Institute for Economic Development 79, Boston University, Institute for Economic Development.
    4. Zivot, Eric & Andrews, Donald W K, 2002. "Further Evidence on the Great Crash, the Oil-Price Shock, and the Unit-Root Hypothesis," Journal of Business & Economic Statistics, American Statistical Association, vol. 20(1), pages 25-44, January.
    5. Fagerberg, Jan, 1988. "International Competitiveness: Errata," Economic Journal, Royal Economic Society, vol. 98(393), pages 1203-1203, December.
    6. Fagerberg, Jan, 1988. "International Competitiveness," Economic Journal, Royal Economic Society, vol. 98(391), pages 355-374, June.
    7. Joachim Wagner, 2008. "Exports and Firm Characteristics – First Evidence from Fractional Probit Panel Estimates," Working Paper Series in Economics 97, University of Lüneburg, Institute of Economics.
    8. Wakelin, Katharine, 1998. "Innovation and export behaviour at the firm level," Research Policy, Elsevier, vol. 26(7-8), pages 829-841, April.
    9. Dahai Fu & Yanrui Wu & Yihong Tang, 2012. "Does Innovation Matter for Chinese High-Tech Exports? A Firm-Level Analysis," Frontiers of Economics in China-Selected Publications from Chinese Universities, Higher Education Press, vol. 7(2), pages 218-245, June.
    10. Montobbio, Fabio & Rampa, Francesco, 2005. "The impact of technology and structural change on export performance in nine developing countries," World Development, Elsevier, vol. 33(4), pages 527-547, April.
    11. M. Landesmann & M. Pfaffermayr, 1997. "Technological competition and trade performance," Applied Economics, Taylor & Francis Journals, vol. 29(2), pages 179-196.
    12. Badri Narayan Rath & Vaseem Akram, 2017. "Export diversification and total factor productivity growth in case of South Asian region," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 19(1), pages 196-210, April.
    13. Rasiah, Rajah, 2003. "Foreign ownership, technology and electronics exports from Malaysia and Thailand," Journal of Asian Economics, Elsevier, vol. 14(5), pages 785-811, October.
    14. Sims, Christopher A, 1980. "Macroeconomics and Reality," Econometrica, Econometric Society, vol. 48(1), pages 1-48, January.
    15. Seev Hirsch & Ilan Bijaoui, 1985. "R&D intensity and export performance: A micro view," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 121(2), pages 238-251, June.
    16. R. Scott Hacker & Abdulnasser Hatemi-J, 2003. "How productivity and domestic output are related to exports and foreign output in the case of Sweden," Empirical Economics, Springer, vol. 28(4), pages 767-782, November.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. de Rassenfosse, Gaétan & Grazzi, Marco & Moschella, Daniele & Pellegrino, Gabriele, 2022. "International patent protection and trade: Transaction-level evidence," European Economic Review, Elsevier, vol. 147(C).
    2. Tavassoli, Sam, 2013. "The Role of Product Innovation Output on Export Behavior of Firms," Working Papers 2013/05, Blekinge Institute of Technology, Department of Industrial Economics.
    3. Dosi, Giovanni & Grazzi, Marco & Moschella, Daniele, 2015. "Technology and costs in international competitiveness: From countries and sectors to firms," Research Policy, Elsevier, vol. 44(10), pages 1795-1814.
    4. Rodil, Óscar & Vence, Xavier & Sánchez, María del Carmen, 2016. "The relationship between innovation and export behaviour: The case of Galician firms," Technological Forecasting and Social Change, Elsevier, vol. 113(PB), pages 248-265.
    5. Richard Harris & John Moffat, 2011. "R&D, Innovation and Exporting," SERC Discussion Papers 0073, Centre for Economic Performance, LSE.
    6. Sonia Mukherjee, "undated". "The Role of Services in Enhancing Indian Manufacturing Exports: A Firm Level Analysis, 2000-01 to 2011-12," Centre for International Trade and Development, Jawaharlal Nehru University, New Delhi Discussion Papers 15-08, Centre for International Trade and Development, Jawaharlal Nehru University, New Delhi, India.
    7. repec:spo:wpmain:info:hdl:2441/941 is not listed on IDEAS
    8. Dario Guarascio & Mario Pianta & Francesco Bogliacino, 2017. "Export, R&D and New Products: A Model and a Test on European Industries," Economic Complexity and Evolution, in: Andreas Pyka & Uwe Cantner (ed.), Foundations of Economic Change, pages 393-432, Springer.
    9. Cristiano Antonelli & Christophe Feder, 2021. "The Schumpeterian creative response: export and innovation: evidence for OECD countries 1995–2015," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 38(3), pages 803-821, October.
    10. Abdul Rauf & Ying Ma & Abdul Jalil, 2019. "Revisiting the Innovation-export Nexus using Industry-level Data: Evidence from China's Large- and Medium-sized Industrial Enterprises," International Journal of Economics and Financial Issues, Econjournals, vol. 9(3), pages 73-80.
    11. Alessandro Sterlacchini, 2001. "The determinants of export performance: A firm-level study of Italian manufacturing," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 137(3), pages 450-472, September.
    12. Ana Urraca Ruiz & C. Frederico Rocha, 2011. "On the relations between technological opportunity, specialization and growth," Working Papers 13-2011, Universidade de São Paulo, Faculdade de Economia, Administração e Contabilidade de Ribeirão Preto.
    13. Santosh K. Sahu & K. Narayanan, 2015. "Technology Import, R and D Spillover and Export: A Study of Automobile Sector in India," Working Papers 2015-098, Madras School of Economics,Chennai,India.
    14. repec:spo:wpecon:info:hdl:2441/941 is not listed on IDEAS
    15. Wakelin, Katharine, 1998. "Innovation and export behaviour at the firm level," Research Policy, Elsevier, vol. 26(7-8), pages 829-841, April.
    16. Sterlacchini, Alessandro, 1999. "Do innovative activities matter to small firms in non-R&D-intensive industries? An application to export performance," Research Policy, Elsevier, vol. 28(8), pages 819-832, November.
    17. Busayo Ajayi, 2016. "The Impact of Entrepreneurial Orientation and Networking Capabilities on the Export Performance of Nigerian Agricultural SMEs," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 2(1), pages 1-23, January.
    18. Eddy LEE & Marco VIVARELLI, 2006. "The social impact of globalization in the developing countries," International Labour Review, International Labour Organization, vol. 145(3), pages 167-184, September.
    19. Angela Cheptea & Lionel Fontagné & Soledad Zignago, 2014. "European export performance," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 150(1), pages 25-58, February.
    20. Mahjus Ekananda & Dion Jogi Parlinggoman, 2017. "The Role of High-Tech Exports and of Foreign Direct Investments (FDI) on Economic Growth," European Research Studies Journal, European Research Studies Journal, vol. 0(4A), pages 194-212.
    21. Montobbio, Fabio & Rampa, Francesco, 2005. "The impact of technology and structural change on export performance in nine developing countries," World Development, Elsevier, vol. 33(4), pages 527-547, April.
    22. repec:spo:wpecon:info:hdl:2441/7305 is not listed on IDEAS
    23. Sarah Guillou, 2006. "Competitiveness and export market shares in high tech industries in the US and the EMU countries: A comparative study," Working Papers hal-03607649, HAL.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ist:ekoist:v:0:y:2024:i:41:p:133-150. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Istanbul University Press Operational Team (Ertuğrul YAŞAR) (email available below). General contact details of provider: https://edirc.repec.org/data/ifisttr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.