Abstract
THE RELATIONSHIP BETWEEN THE TOTAL EXPORT AND EXTENSIVE AND INTENSIVE MARGINS IN TURKEY
More and more countries in the world have implemented economic and sociopolitical strategies in order that they can meet their future expectations and increase their effectiveness in international arena when the concept of globalisation is today discussed regarding both scope and process. In recent years it is observed that countries applying to different economic strategies, on the one hand, have tended to follow more protective policies and have readdressed export-oriented growth strategies, on the other hand. These developments, in turn, have sparked the studies on export diversification and its main determinants as extensive and intense margins.
This paper examines the impact of the changes in extensive and intense margins on total exports through Maki (2012) cointegration test with structural breaks and Toda-Yamamoto Bootstrap causality tests developed by Toda-Yamamoto (1995) ve Hacker-Hatemi J. (2006) According to the results of cointegration analysis that conducted on the data involving the years between 1962-2014, a cointegration between the variables together with structural breaks is exist. When the causality is examined, it is indicated that a unidirectional casuality runs from total exports to intense margin while there is bi-directional causality between total exports and extensive margin. However, there is no statistically significant causality relationship between extensive and intense margines.
Keywords
Export Performance, Intensive Margin, Extensive Margin
