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The Evolution of Import Content of Production and Exports in Turkey: 2002-2017

Author

Listed:
  • Yasemin Erduman
  • Okan Eren
  • Selcuk Gul

Abstract

This study explores the evolution of the import content of production and exports in Turkey for the 2002-2017 period. Using 2002 and 2012 input-output tables, we estimate the production and imported input use for the remaining years based on a large data set of production and foreign trade for 20 selected sectors, mostly from the manufacturing industry. Import requirement ratios, comprising both direct and indirect linkages, for each sector are calculated using the Leontief inverse matrix. Our findings indicate that import dependency increases for exports, but stays roughly the same for production over time. In general, the import content of production is below the import content of exports. This divergence can mainly be attributed to the services sector, which has relatively low import dependency, yet a significant share in production. Sectors with the highest import requirements are found to be those with higher capital and technology intensity such as coke and refined petroleum products, basic metals and motor vehicles. Agriculture, forestry, and fishery; service and mining sectors are found to have the lowest import requirements.

Suggested Citation

  • Yasemin Erduman & Okan Eren & Selcuk Gul, 2019. "The Evolution of Import Content of Production and Exports in Turkey: 2002-2017," Working Papers 1909, Research and Monetary Policy Department, Central Bank of the Republic of Turkey.
    • Handle: RePEc:tcb:wpaper:1909
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    File URL: https://www.tcmb.gov.tr/wps/wcm/connect/EN/TCMB+EN/Main+Menu/Publications/Research/Working+Paperss/2019/19-09
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    Citations

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    Cited by:

    1. Danila Karpov, 2023. "Russia's Import Dependence and Estimated Consequences of Import Restrictions," Russian Journal of Money and Finance, Bank of Russia, vol. 82(1), pages 55-86, March.
    2. M. Faruk Aydin & Selcuk Gul, 2020. "The Role of Real Exchange Rates in Export Price Determination," CBT Research Notes in Economics 2006, Research and Monetary Policy Department, Central Bank of the Republic of Turkey.

    More about this item

    Keywords

    Input-output tables; Leontief inverse matrix; import content;
    All these keywords.

    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • D57 - Microeconomics - - General Equilibrium and Disequilibrium - - - Input-Output Tables and Analysis
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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