The Role Of Internet Usage on Intertanional Trade: Evidence From Turkey

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Internet usage reached global dimensions in the 2000s. The main purpose of this paper is to investigate whether expansion of internet usage have a boosting impact on trade volume between Turkey and European Union countries. The empirical analysis is used data set of Turkey and 25 European Union countries from 2005 to 2014. The data set includes GDP, population, distance, internet usage ratio, openness ratio and civil liberties ratio. To measure the impact of the internet usage upon Turkish international trade, we apply the method of strongly balanced panel data and panel gravity model. Results of panel data analyses and gravity model reveal that internet usage have meaningful impact on trade volume between Turkey and European Union countries. Furthermore, increasing of countries’ GDP, population and opennes ratio boost trade volume between Turkey and European Union countries. On the other hand, distance among these countries decrease international trade volume of Turkey. Civil liberties ratios of European Union countries do not have any impact on Turkey’s trade volume.

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Internet , International Trade , Turkish Trade Volume , Panel Data , Gravity Model

Ege Academic Review (EAR)

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Ege Academic Review (EAR)