Authors:Harun SENCAL Abstract: This study aims to critically evaluate the institution of a legal personality from the perspective of Islamic economics. The legal personality of commercial entities plays an integral role in the emergence of the capitalist system. This system, in turn, is characterized by capital accumulation. We argue that although the social relations based on the solidarity envisaged by Islamic economics have weakened with the individualization of modern societies, the primary negative effect of individualization has been the commodification of several services provided by solidarity among the members of society in the capitalist market system. Typically, such a system has spurred the practice of leveraging the limited liability of commercial legal entities to earn unlimited profits. Furthermore, because corporations prefer earning profits by selecting the most efficient and cost-effective approaches developed by means of rational decision mechanisms, it leads to the increase of material inequality in society and the expansion of debt-based financial instruments. In addition, corporations move investments from the real sector to the financial field, therefore playing a significant role in the development of financial capitalism. In other words, incidental problems such as lack of regulation and supervision are effective in regulating the situation in the wake of the crises caused by financial capitalism and other social adversities; however, a pertinent issue that remains overlooked is the existence of commercial legal entities and the goal of obtaining unlimited profit, which has emerged as the mission imposed on these legal entities within the capitalist system. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Emrah KIRATOĞLU; İlknur Yeşim DİNÇEL Abstract: In primitive societies, individual and mass migration took place to settle in more productive and/or safer areas. In the modern world, migration occurs for similar reasons, such as obtaining a higher level of welfare, accessing educational and employment opportunities, and fleeing the dangers of war. The Todaro Paradox is an economic theory proposing that migration from rural to urban areas in developing countries can destroy the positive effect of increased urban employment opportunities. Based on the Todaro Paradox, this study sought to measure the effect of increased employment opportunities in cities and migration from rural to urban on urban unemployment in Turkey in the 1988-2019 time period. The findings obtained using ARDL bound testing reveal a statistically significant relationship between the relevant variables. Suggesting that migration from rural to urban areas in Turkey suppresses growth in employment opportunities and increases unemployment. As long as elevated expected income is not supported through rural development policies, internal migration will continue. Rising unemployment among urban populations will result in significant economic and sociological challenges. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Fatma KIZILKAYA Abstract: Oil-importing developing countries such as Turkey may be adversely affected by the increase in oil prices, which can raise production costs and the overall level of consumer prices. Increases in oil prices in international markets may also adversely affect the foreign trade balance of oil-importing countries. In this study, annual data for the period 1960–2019 in Turkey are used to investigate asymmetric causality relationships between oil prices and real exchange rate variables. Causality relationships between oil prices and real exchange-rate series, and between positive and negative shocks of these series, are examined using the Fourier Toda–Yamamoto method. The results show no symmetric causality relationship between oil prices and real exchange rate variables. However, a one-way causality relationship is revealed from positive oil price shocks to positive real exchange rate shocks, indicating that an increase in oil prices causes an increase in the real exchange rate in Turkey. According to these results, asymmetric effects should be considered when examining the relationship between oil prices and exchange rates in Turkey. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Mehmet AKYOL; Emrullah METE Abstract: Global warming and climate change, caused by greenhouse gas emissions, have compelled all countries to reconsider their production factors. Developing technologies to reduce emission volumes has been one of the priority targets for countries. This study investigated the impact of environmental technological innovations on CO2 emissions in 18 OECD members. The panel generalized method of moments (GMM)was employed in the study to produce estimates for the period between 2005 and 2018. Energy consumption, economic growth (GDP), and technological innovation data were used as independent variables in the study, CO2 emissions were used as dependent variable, whereas the number of patents preventing climate change was used as a technological innovation indicator. The analysis results showed that a 1% increase in patent applications for preventing climate change reduced CO2 emissions by 0.02%. However, a 1% increase in energy consumption caused an increase of 0.56% in CO2 emissions. Finally, the 1% increase in the GDP growth rate caused an increase of 0.002% in CO2 emissions. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Zühal ÖZBAY DAŞ Abstract: The study aims to see whether the long-run relation between inequality and import demand exists in Turkey. The Autoregressive Distributed Lag (ARDL) cointegration technique is used in this study to estimate the long-run relationships between real imports, income, relative price, real exports, and inequality for the period 1982-2015. The results revealed that the income elasticity of imports is greater than one as the literature suggests. The sign of the coefficient of relative price and its magnitude is also compatible with the literature, while it is not statistically significant. However, the results further reflect that inequality is positively associated with real imports in Turkey contrary to assumptions of the relation between inequality and imports that is found to be negative for lower income countries in some studies. Short-run coefficients reflect that real income and relative prices are associated with real imports, whereas exports and not surprisingly, inequality variables are not in the short-run. The coefficient of income parameter is less in magnitude in the short-run but still greater than one. However, the sign of the coefficient of the relative price turns out to be positive in the short-run PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Bilge PEKÇAĞLAYAN Abstract: In this study, it is aimed to examine the determinants of the industrial production index, which is necessary for a sustainable growth. Even though the share of the industrial sector in the total output is around 20%, it is still significant as a precursor to the gross domestic product. When the literature on the industrial production index is examined, it is seen that the factors affecting the industrial production index and the analysis methods differ from each other. In this study, the leading indicators that effects the industrial production index are examined with the ARDL (Autoregressive Distributed Lag) Model using monthly data between 2007 and 2020 in the Turkish Economy. According to the results of the study, it was concluded that the variables of electricity consumption and manufacturing industry capacity utilization rate are significant in explaining the industrial production index in the long run. The leading variable that is most effective in explaining the industrial production index in the long run is electricity consumption. Accordingly, 1% increase in electricity consumption will increase the industrial production index by 1.2%. The fact that the error correction coefficient is significant and negative in the short- term model indicates that if there is a deviation from the long-term equilibrium value in the industrial production index, the system will reach equilibrium in approximately 3.5 months. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Hande AKSÖZ YILMAZ; Fatih GÜZEL Abstract: This paper aims to investigate the impact of the exchange rate on stock market indices of four main sectors in Turkey. For this purpose, the paper uses monthly data spanning the period between 06/2008-11/2020 and employs the panel GMM estimation method. This method instrumentalizes the past observation values of the dependent variable to control the endogeneity and provides efficient results. Considering that firms operating in many sectors in Turkey are affected by the volatility of the exchange rate, the paper takes initiative in understanding how stock market indices of four sectors react to the fluctuation in USD and Euro prices. This study contributes to the current literature, performing the panel GMM estimation method, unlike studies that only examine the causality relationship on the link between exchange rate and the stock market. The results show that there is unidirectional causality from the exchange rate to stock market indices. According to our findings, the USD/TRY exchange rate negatively affects stock market indices, and the Euro/TRY exchange rate positively affects stock market indices. The findings obtained from the analysis results confirm prior knowledge acquired from Turkey’s foreign trade structure. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Hasan BAKIR; Görkem BAHTİYAR Abstract: The dominant form of theory in the world of economics today, namely, the Neoclassical economics, claims its theories are universal, scientific and rational. Relying on the positivist methodology, the claim that humanity will be able to dominate the environment through positive analysis, which is one of the tenets of the enlightenment and hence modernism has an important place in the development of this perspective in economics. However, the idea that the social environment of man could easily be manipulated with positive inferences like those in the natural sciences seems problematic. The debate over whether it is possible to mention of single positive facts in economic life started long ago and more pluralistic points of view flourished later. Within this process, diversity and difference replaces the single fact positivism, and methodological individualism is replaced by a more holistic approach. At the same time individuals’ thoughts and emotions as well as cultural norms of different societies are subjects o scrutiny again. In this vein, the Original Institutional Economics and the Heuristic approach to economics and mentality came into the fore again. The aim of this study is to present the evolution of economics from modernism to postmodernism as a disciplined thought process. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Devran ŞANLI; Aziz KONUKMAN Abstract: This study aims to present new findings to the literature by analyzing the impact of high-tech(HT) exports on revenue using panel data methods in 49 countries and under both Cobb-Douglas and Translog production functions for the period 1988-2017. No other study has been found in the literature investigating the HT-Income relationship in the Translog production function. In this aspect, the current analysis is a pioneer study. Regression coefficients were estimated by the Driscoll-Kraay method, which produces robust standard errors in cases where OLS assumptions cannot be met. Furthermore, the existence of cointegration between the series was investigated by the stationarity of the residuals. According to the findings, the income elasticity of the physical capital contributing to the scale is 0.668; income elasticity of human capital was calculated as 0.584 and income elasticity of HT exports was calculated as 0.071. However, HT exports have been found to contribute to income per labor force, while human capital contributes to income per labor force along an increasing curve. The relationship between physical capital and income seems decidedly linear. These findings were tested for robustness with alternative regression methods in addition to the main models, and results compatible with the existing models were obtained. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Authors:Orhan CENGİZ Abstract: Developing countries are exposed to various risks as they open their economies. While becoming more integrated with the global economy and removing trade barriers is expected to improve efficiency in resource allocation and increase welfare, in many countries this does not occur. In addition to the economic consequences of trade openness, its impact on political and institutional structures is significant for developing countries as removing trade barriers in pursuit of trade liberalization can lead to rent-seeking activities. This study investigates the impact of trade openness on corruption using the Augmented Mean Group (AMG) method with data from Turkey and selected MENA countries over the period 1996-2018. The results show that trade openness reduces control of corruption, while economic growth, the rule of law, and public expenditures increase control of corruption. n addition, Dumitrescu-Hurlin’s (2012) causality test findings reveal the existence of different linkages between variables. PubDate: Fri, 31 Dec 2021 00:00:00 +030
Open Access journal
[18 journals]
