The Effects of Financial Development on Trade Openness: Evidence from Panel Threshold Regression Models

Yıl 2021, Cilt: 6 Sayı: 1, 53 - 68, 30.06.2021

Zühal Kurul

https://doi.org/10.25229/beta.887369

Cited By: 2

Öz

This paper attempts to re-examine the finance-trade nexus and tests whether higher levels of financial development can reduce trade openness. Using static and dynamic panel threshold regression techniques based on 64 countries over the period of 1970-2014, this study shows that financial development fosters trade openness until a certain level of threshold is achieved and beyond that threshold level, further increases in financial development lead to decline in trade openness. The results of this study suggest that there is a need for developing alternative and new trade financing channels to increase trade openness as well as it provides a strong empirical support for trade-limiting effects of financial development. Hence, this study is possibly encouraging for policy makers to redesign trade enhancing policies.

Anahtar Kelimeler

Financial Development, Trade Openness, Panel Threshold Regression Models

Finansal Gelişmişliğin Ticari Açıklık Üzerindeki Etkisi: Panel Eşik Değer Regresyon Modellerinden Kanıtlar

Öz

Bu çalışmanın amacı finans-ticaret ilişkisini yeniden incelemek ve finansal gelişmişliğin ticari açıklık üzerinde azaltıcı etkilerinin olup olmadığını test etmektedir. Çalışmada 64 ülkeye ait 1970-2014 dönemini kapsayan verilerle ve statik ve dinamik panel eşik değer regresyon teknikleri kullanılarak elde edilen sonuçlara göre finansal gelişmişlik ticarete açıklığı belirli bir eşik düzeye kadar artırmakta birlikte bu eşik değerin aşılmasıyla finansal gelişmişlikteki iyileşmeler ticari açıklığın düşmesine neden olmaktadır. Çalışmanın sonuçları finansal gelişmişliğin ticaret azaltıcı etkilerine yönelik olarak güçlü ampirik kanıtlar sunmakla birlikte ticari açıklığı artırıcı yeni ve alternatif yolların geliştirilmesi gerekliliğini ortaya koymaktadır. Dolayısıyla bu çalışma politika yapıcıların ticareti genişletmeye yönelik politikaları yeniden tasarlanması için teşvik edicidir.

Anahtar Kelimeler

Finansal Gelişmişlik, Ticarete Açıklık, Panel Eşik Değer Regresyon Modelleri, Finansal Gelişmişlik, Ticarete Açıklık, Panel Eşik Değer Regresyon Modelleri

Kaynakça

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