Abstract

In this study, which examines the relationship between foreign trade and employment, which is directly proportional to economic growth, the aim is to investigate the effect of import and export on employment by including neighborhood relations. In the study, while the number of insured 4a, 4b and 4c in Turkey's 81 provinces is considered as employment variable, annual import, export and population values are also considered as independent variables and the period of 2009-2020 is examined. Using the spatial econometrics application, which also includes the effect of neighborhood relations, remarkable results were obtained in the study, which was examined under three headings: spatial Durbin, spatial autoregressive and spatial error model. Models were estimated using the Maximum Likelihood (ML) method. In the study, Moran's I index was calculated to examine the convergence in employment rates between provinces. According to the model results, it was determined that there is a significant inverse relationship between exports and employment. Population variable, on the other hand, was found to have a significant relationship in the same direction with employment. A significant effect of the import variable could not be determined. When the variables of neighboring provinces were examined, it was concluded that the variables of import and employment were significant.

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