Is there a J-curve effect in Turkish services?

Is there a J-curve effect in Turkish services? This paper explores the existence of the J-curve effect in Turkish services. The model of Bahmani-Oskooee (Rev Econ Stat 67:500–504, 1985), one of the most commonly employed model in the j-curve literature, is adopted. Using quarterly data from 1986: I to 1998: III, we find that, as a result of real depreciation of Turkish currency, YTL, services trade balance initially improves, then worsens and improves again in the short run. This is a pattern indicating that J-curve effect does not exist in Turkish services sector. We also find that depreciation of Turkish Lira improves the trade balance of the sector in the long run, a result consistent with earlier findings for the whole Turkish economy. Quality & Quantity Springer Journals

Is there a J-curve effect in Turkish services?

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Springer Netherlands
Copyright © 2009 by Springer Science+Business Media B.V.
Social Sciences; Methodology of the Social Sciences; Social Sciences, general
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