Abstract:

When the developments in the international trade are analyzed, it can be seen that foreign trade has been mainly depending on the inter-industry trade, especially in recent years this dependence has also been accompanied by intra-industry trade at an increasing rate. While inter-industry trade is explained depending on the production factors’ differences that countries own, intra-industry trade is rather explained by on the economies of scale and product differentiation among the countries, which have similar factor endowment. Within this scope, in this study, Turkish advantaged commodity groups are determined on the basis of inter-industry and intra-industry trade in European Union by using Balassa’s Index and Grubel-Lloyd index. Results demonstrate that Turkey has advantage of low added value goods in general

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