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The International Trade Analysis of Turkey’s Polluting Industries

Author

Listed:
  • Cihat Koksal

    (Istanbul Ticaret Universitesi, Isletme Fakultesi Uluslararasi Ticaret Bolumu, Istanbul, Turkiye)

  • Guldenur Cetin

    (Istanbul Ticaret Universitesi, Isletme Fakultesi Iktisat Bolumu, Istanbul, Turkiye)

Abstract

The aim of this study is to test the international trade of Turkey’s polluting sectors using variables such as foreign direct investments and economic growth within the scope of the pollution haven hypothesis and to present policy recommendations for other developing countries. This study analyzes the annual data for the 1985-2017 period by using the multivariate regression model. As a result of the empirical tests, it is seen that Turkey is more attractive in the polluting sectors because environmental regulations are not very strict during the examined periods, and it has become more likely to export in these sectors through foreign direct investments. According to the analysis results, it has been revealed that Turkey can be qualified as a pollution shelter for the relevant period, and various policy recommendations have been developed in this context.

Suggested Citation

  • Cihat Koksal & Guldenur Cetin, 2021. "The International Trade Analysis of Turkey’s Polluting Industries," Journal of Economic Policy Researches, Istanbul University, Faculty of Economics, vol. 8(2), pages 257-275, July.
    • Handle: RePEc:ist:iujepr:v:8:y:2021:i:2:p:257-275
    DOI: 10.26650/JEPR.930212
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    More about this item

    Keywords

    Pollution haven hypothesis; Pollution halo hypothesis; International trade; Foreign direct investments; Ecological footprint JEL Classification : E00 ; F10 ; F40;
    All these keywords.

    JEL classification:

    • E00 - Macroeconomics and Monetary Economics - - General - - - General
    • F10 - International Economics - - Trade - - - General
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General

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