Abstract:

The concept of industrialization refers to the reflection of technological developments and increased efficiency to economic growth, while on the other hand it also refers to the country’s economic well-being and changes in the social sense. The latest industrial revolution, known as Industry 4.0, has become very important with the changes that smart production systems, advanced information and communication technologies have made in the industrialization. Therefore, the study aims to test the development of Industry 4.0 in the G20 countries, using panel data analysis for the 2000-2020 period, the long-term and short-term relationship. In the study, the second generation CIPS unit root test, which identified the existence of horizontal cutting dependency between units, has been conducted with the stagnation analysis. As the variables are stable at levels I(0) and I(1) Panel ARDL analysis was used, the Swamy-S Homogenity test and the series were identified as heterogeneous, the PMG predictor was used in determining the long and short-term relationship. The PMG estimates have found that the error correction rate in the models is negative and meaningful.