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Journal of Economic Integration 2018 March;33(1) :1046-1095.
DOI: https://doi.org/10.11130/jei.2018.33.1.1046
Economic Integration Agreements and the Survival of Exports
Kemal Türkcan and 
Hülya Saygılı 
Akdeniz University, Antalya, Turkey
Central Bank of the Republic of Turkey, Ankara, Turkey
Corresponding Author: Kemal Türkcan ,Tel: +90 242 3106427, Fax: +90 242 2274454, Email: kturkcan@akdeniz.edu.tr
Copyright ©2018 Journal of Economic Integration
ABSTRACT
This study investigates how various Economic Integration Agreements between Turkey and its trading partners affected the exports of machinery during 1998~2013. In addition, it differentiates between trade in parts and components and finished products, and assesses the effects of Economic Integration Agreements separately on these two types of goods. Using a discrete-time probit model with random effects, we show that an Economic Integration Agreement increases the survival of export relations which were initiated before the agreement. It is found to be reasonably heterogeneous, that is, the effect is found to be larger for parts and components exports occurring within the Global Production Networks compared to finished products exports.

JEL Classification
F10: General
F14: Empirical Studies of Trade
C41: Duration Analysis; Optimal Timing Strategies
Keywords: Economic Integration Agreements | Export Duration | Fragmentation | Global Production Networks | Parts and Components | Survival Analysis
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