This paper investigates Turkey's sectoral trade flows to the EU based on panel data from the period 1988 to 2002. Turkey's sixteen most important export sectors are analysed. Emphasis is placed on the role of price competition, EU protection, and transport costs in the export trade between...

In Nowak-Lehmann et al. (2012), we used time-series methods to investigate the impact of aid on per capita GDP. Lof, Mekasha, and Tarp (LMT, 2014) criticize our econometric approach, our interpretation, and our data-handling procedure which lead to a large share of missing observations in some...

This paper uses the gravity model of trade to investigate the effect of foreign aid on exports of aid recipients to donor countries. Most of the theoretical work emphasises the possible negative impact of aid on recipient countries’ exports, primarily due to exchange rate appreciation,...

The objective of this paper is twofold: First, the applicability of a widely used dynamic model, the autoregressive distributed lag model (ARDL), is scrutinized in a panel data setting. Second, Chile’s development of market shares in the EU market in the period of 1988 to 2002 is then analyzed...

This article investigates Turkey's sectoral trade flows to the EU based on panel data from the period 1988 to 2002. Turkey's 16 most important export sectors are analysed. Emphasis is placed on the role of price competition, EU protection and transport costs in the export trade between Turkey...

We analyze the relationship between per capita income and foreign aid. We employ annual data and five-year averages and carefully examine the time-series properties of the data. Panel estimations with dynamic feasible generalized least-squares (DFGLS) show that aid generally has an insignificant...

This paper challenges the widespread belief that FDI generally has a positive impact on economic growth in developing countries. It addresses the limitations of the existing literature and re-examines the FDI-led growth hypothesis for 28 developing countries using cointegration techniques on a...

One reason donors provide foreign aid is to support their exports to aid-recipient countries. Time series data for Germany suggests an average return of between US$ 1.04 to US$ 1.50 for each US dollar of aid spent by Germany. Although this is well below previous estimates, the value is robust to...

In this paper we investigate the relationship between per capita income and foreign aid for a panel of 131 (alternatively 52) recipient countries over the period 1960 to 2006 by employing annual data and 5-year averages. Reliance on standard panel estimation techniques, such as 2-ways FE...