Examining Determinants of Turkey Export to OIC Member Countries

Abstract

Using the traditional gravity model, this paper aims to analyze the determinants of Turkish exports to 41 OIC (Organization of Islamic cooperation) countries for the period from 2000 to 2017. Specifically, the paper analyzed the historical links, humanitarian diplomacy, economic diplomacy, trade costs and economic sizes as the main explanatory factors of the export of Turkey to Islamic countries. After implementing various robustness checks, results indicate that the economic size of OIC member countries and Turkish official development assistance have statistically significant effect on Turkish volume of export to OIC, however the GDP of Turkey was negative but not significant, which is contrary to the general assumption of Gravity model. The other factors such as common language, trade agreements, and Turkish business consulates are also found positive impacts on export of Turkey to OIC but not statistically significant.

Key words Gravity model, volume of export, OIC

DOI: 10.7176/JSTR/5-2-18