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Latent Comparative Advantages of the Turkish Economy: Evidence from the GIFF Application
Atlantic Economic Journal Pub Date : 2023-06-26 , DOI: 10.1007/s11293-023-09772-x
Eren Can Gurbuz , Ismail Tuncer

This study identifies the key industries with latent comparative advantages which have the potential to stimulate economic growth and structural change in Turkey (Türkiye). The New Structural Economics asserts that factor endowment differences dictate systematic structural differences in the economy. This factor endowment evolves over time and determines the latent comparative advantages of the economy. For successful industrial upgrading, economic growth and catching up, the industrial structure should be chosen to fit the given factor endowment best. To identify industries with latent comparative advantages, this study exploited the growth identification and facilitation framework proposed by New Structural Economics for the Turkish economy. Along with the pure growth identification and facilitation framework methodology, this study also benefits from product space tools, namely PRODY, measuring the income/productivity level of goods; EXPY, measuring the income/productivity level of a country’s export basket, and economic complexity and complexity outlook indices. The Baltic countries (Estonia, Latvia, Lithuania), and Poland and Slovakia, were identified and selected as benchmark countries for comparison. Based on the export structure comparison of benchmark countries, the results indicate that Turkey has latent comparative advantages in agricultural and some labor-intensive industries. The most binding constraints of the identified products and industries with latent comparative advantages were detected via growth diagnostic analysis. In light of the results, measures that ease latent comparative advantages have been proposed for certain industries to reduce production cost, enhance competitiveness in national and global markets, and foster the Turkish economy's economic transformation.



中文翻译:

土耳其经济的潜在比较优势:来自 GIFF ​​应用的证据

本研究确定了具有潜在比较优势、有潜力刺激土耳其经济增长和结构变革的关键产业。新结构经济学认为,要素禀赋差异决定了经济的系统性结构差异。这种要素禀赋随着时间的推移而演变,决定了经济的潜在比较优势。为了成功实现产业升级、经济增长和赶超,必须选择最适合既定要素禀赋的产业结构。为了识别具有潜在比较优势的产业,本研究利用了新结构经济学为土耳其经济提出的增长识别和促进框架。除了纯粹的增长识别和促进框架方法论之外,这项研究还受益于产品空间工具,即 PRODY,用于衡量商品的收入/生产率水平;EXPY,衡量一个国家出口篮子的收入/生产率水平,以及经济复杂性和复杂性前景指数。波罗的海国家(爱沙尼亚、拉脱维亚、立陶宛)以及波兰和斯洛伐克被确定并选为基准国家进行比较。通过对基准国家的出口结构比较,结果表明,土耳其在农业和部分劳动密集型产业方面具有潜在的比较优势。通过增长诊断分析发现了具有潜在比较优势的已确定产品和行业的最具约束力的约束。从结果来看,

更新日期:2023-06-27
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