Omer Gokcekus

Trade liberalization and productivity growth: new evidence from the Turkish rubber industry

This paper empirically examines the effects of a change in foreign trade regime on productivity growth. Based on a Generalized Leontief factor demand function system, total factor productivity growth (TFPG) rates are calculated for the Turkish rubber industry during a substantial trade liberalization in the 1980s: TFPG was significantly higher following trade liberalization. Technological change was the major contributor to this growth. When a panel data estimation technique is used to explain technological change, the effects of trade liberalization become clearer: a one percentage point increase in the protection level led to more than a one percentage point (1.27) decline in the technological change rate.

How Did the 2003 Prescription Drug Re-Importation Bill Pass the House?

This paper examines the major interest groups in the debate over allowing the wholesale re-importation of prescription drugs through the Pharmaceutical Market Access Act. By making use of the logit model, we see the effects that each of these groups has had on the voting behavior of the 108 th Congress on the bill. We find evidence suggesting that Representatives are maximizing their electoral prospects: Contributions from pharmaceutical manufacturers and HMOs significantly influence the probability of voting for the Bill. Similarly, Representatives are sensitive to their constituencyis interest: employment in pharmaceutical manufacturing and the presence of senior citizens are also taken into account. However, the decision was by and large a partisan one: Party affiliation was the most important factor in passing the Bill.

Is Globalization Good for Wine Drinkers in the United States

To determine whether globalization is good for wine drinkers in the U.S., we examine the Wine Spectators annual Top 100 lists, published since 1988. During this period, the average real price for these wines decreases from

Trade liberalization and capacity utilization: New evidence from the Turkish rubber industry

43 to

Is There a Corruption-Effect on Conspicuous Consumption?

26. Quality is consistent at around 93 points. Variety increases from six to twelve countries; the share of countries dominating the early lists declines from 95% to 75% over time. Our regression analysis indicates that when a New-New World wine replaces an Old World one, the average real price of the Top 100 list falls by 2.5%. (JEL Classification: F120, F140, C200)

Does Trade Liberalization Benefit Young and Old Alike

This study empirically tests the hypothesis that trade liberalization increases capacity utilization. It calculates capacity utilization for the Turkish rubber industry by using a production theory framework. More specifically, plant-level capacity utilization levels are calculated using a Generalized Leontief cost function system. Capacity utilization levels were low but improved when the trade regime shifted from a restrictive to a more liberalized one. The size and location of plants were two significant factors which created capacity utilization differences within the industry. However, capacity utilization levels appeared to improve primarily because of trade liberalization.

Theories of technical change and investment : riches and rationality

This study empirically explores the following issue: Does corruption fuel conspicuous consumption? It examines the existence and magnitude of any potential corruption-effect on conspicuous consumption expenditure. Regression analyses of an unbalanced panel data for 20 OECD countries between 2004 and 2010 indicate that luxury car sales are higher by 191% in a country with a high perceived corruption level, e.g., CPI score of 4.5, as compared to a country with a low perceived corruption level, e.g., CPI score of 9.0, ceteris paribus.

Impediments to trade across the Green Line in Cyprus: Classic barriers and mistrust

In an overlapping generations model, capital and labor produce two tradeable goods. A kleptocratic government spends the tariff revenue. Trade liberalization, which lowers the relative price of the importable to the private sector, benefits the retired generation if and only if the relative price of the capital intensive good rises. Starting from autarky, it benefits subsequent generations if and only if it hurts the retired one, a result reminiscent of the Stolper Samuelson theorem. However, if the country is initially importing the good whose relative price falls, the terms-of-trade effect makes it possible for the welfare of all generations to rise.

Level and quality of openness and corruption in the ECA countries

Introduction - The Classics: Diverse Behavioral Assumptions - Keynes & the Post-Keynesians: Arbitrary Expectations - Neoclassical Models: Unbounded Rationality - Neoinstitutionalism: Bounded Rationality - Summing Up - Bibliography - Index

Are women more predictable than men

Cyprus is a divided island. Despite the lack of a comprehensive peace agreement reunifying the country, in 2004 trade commenced across the Green Line that separates the Greek and Turkish Cypriot communities. The volume of trade has grown steadily since, but has it reached its full potential? First, a gravity equation is estimated by using an ‘out-of-sample’ estimation strategy to predict potential trade for the period from 2004 to 2009. We observe a sizable gap between potential and actual volumes of trade. We then attempt to account for this gap by analyzing economic, legal, and social-psychological barriers that can explain this difference. It is found that (1) actual trade has only reached around 10% of its potential, with (2) legal constraints accounting for 35% of the missing trade, (3) extra transportation costs for about 5%, and (4) unmeasurable and social-psychological barriers for a significant amount of between 48% and 60%, depending on the year. The findings suggest that attention must be paid to the objective barriers to trade as well as the subjective interpersonal and intercommunal perceptions that can affect trade and ultimately, peaceful resolution of the conflict. These findings have implications for other conflicts in which divided communities with the potential for trading across a shared border seek to maximize the joint economic and political gains of emerging interdependence.