Investment In Turkey Research Articles

Estimation of GHG Emissions in Turkey Using Energy and Economic Indicators

The greenhouse gas emissions (total greenhouse gas, CO2, CO, SO2, NO2, E (emissions of non-methane volatile organic compounds)) covered by the Kyoto Protocol are weighted by their global warming potentials and aggregated to give total emissions in CO2 equivalents. The subject in this study is to obtain equations to predict the greenhouse gas emissions of Turkey using energy and economic indicators by the artificial neural network approach. In this study, three different models were used in order to train the artificial neural network. In the first of them sectoral energy consumption (Model 1), in the second of them gross domestic product (Model 2), and in the third of them gross national product (Model 3) are used input layer of the network. The greenhouse gas emissions are in the output layer for all models. The aim of using different models is to estimate the greenhouse gas emissions with high confidence to make correct investments in Turkey. The obtained equations are used to determine the future level of the greenhouse gas emissions and take measures to control the share of sectors in total emission. According to artificial neural network results, the maximum mean absolute percentage errors for Model 1 were found to be 0.147151, 0.066716, 0.181901, 0.105146, 0.124684, and 0.158157 for greenhouse gas, SO2, NO2, CO, E, and CO2, about training data with Levenberg-Marquardt algorithm by eight neurons, respectively. Similarly, for Model 2 these values were found to be 0.487212, 0.701938, 0.718754, 0.232667, 0.272346, and 0.575421, respectively. And finally, for Model 3, these values were found to be 0.126728, 0.115135, 0.069296, 0.214888, 0.080358, and 0.179481, respectively. R2 values are obtained very close to 1 for all models. The artificial neural network approach shows greater accuracy for estimating the greenhouse gas emissions.

Corporate social responsibility in culture and art

PurposeThe purpose of this study is to understand and distinguish the mainstream of corporate social responsibility (CSR) in culture and art in Turkey. It aims to examine all parties related to CSR in culture and art (corporations, artists, art institutes and art communities) and their expectations of CSR. It is also aimed to understand the relationship between government and art institutions, communities and organizations.Design/methodology/approachTo be able to understand the general tendency, applications and problems of CSR in culture and arts, 17 in‐depth interviews were implemented with corporations, art institutes, communities and individual artists from different art fields. All interviews were digitally audio taped. All digital recordings were encoded and analyzed after the interviews and findings were grouped under four general topics.FindingsGeneral environment, comments and problems are defined in situation analyses. Government relations and corporation relations are separately evaluated. Future prospects, expectations and projects are included in the last headline. Government and corporations are the main supporters for art and art organizations but there is a very serious risk for art organizations to lose their corporate funds to environmental and educational CSR projects and sport sponsorships.Originality/valueThis study shows the gap of needed and existing funding and support in culture and art field in Turkey. There is a great potential in upcoming period for cultural investment in Turkey, which may produce both social welfare and corporate image increase. Turkish culture and art environment should be monitored for European Capital of Culture in 2010 organization.

Stock Market and Investment in Turkey: Evidence from Cointegration and Causality Tests

The objective of this paper is to investigate the causal effect of business investments on stock returns in Turkey for the period following the liberalization of capital flows (1987:01-2006:03). According to results of the cointegration tests and error correction model (ECM) causality is found to run from stock returns to business investments and not vice versa.

One Less Barrier to Foreign Direct Investment in Turkey?

Despite various reasons for the relatively low levels of foreign direct investment (FDI) inflow into Turkey throughout the postwar period, Istanbul has proved relatively successful in attracting inward FDI in services in recent years. Increased production by both foreign and domestic manufacturers in the wider Marmara region has also resulted in a concentration of service sector firms in the greater Istanbul metropolitan area. Examination of the profile of foreign investors and investment categories reveals that Germany and the Netherlands remain major sources of investment, and that investment from these two countries shows the most marked signs of functional linkage between manufacturing and service projects. This growth of functional linkage, exemplified by the increased importance of logistics operations, may represent the removal of one more factor inhibiting inward investment into Turkey on a scale appropriate to its size and growth potential.

Turkey's FDI Policy and Chinese Foreign Direct Investments in Turkey

The Republic of Turkey and the People's Republic of China are two countries with emerging market economies on the eastern and western borders of Eurasia. Turkey, with its notable economic improvement after the 2001 banking crisis and China, with entrenched economic reforms that have promoted the opening of its market to the world, have become attractive for international investors. Both states’ economic liberalization processes led to considerable increase in Foreign Direct Investment (FDI) although the amount of FDI is much higher for China. China, in turn, is likely to become a major investor in the coming years rather than just being an FDI magnet. This article analyses the FDI environment and recent developments in Turkey as well as indications of Chinese investments which are taking place in Turkey. The rapid expansion of the trade volume between Turkey and China, China's increasing foreign exchange reserves and its desire to enter world markets including the European market are all signalling an increase of its investments in Turkey. The implications of Chinese investments for Turkey are also discussed.

Foreign Direct Investment in Turkey: Historical Constraints and the AKP Success Story

Foreign Direct Investment in Turkey: Historical Constraints and the AKP Success Story

Prediction of net energy consumption based on economic indicators (GNP and GDP) in Turkey

The most important theme in this study is to obtain equations based on economic indicators (gross national product—GNP and gross domestic product—GDP) and population increase to predict the net energy consumption of Turkey using artificial neural networks (ANNs) in order to determine future level of the energy consumption and make correct investments in Turkey. In this study, three different models were used in order to train the ANN. In one of them (Model 1), energy indicators such as installed capacity, generation, energy import and energy export, in second (Model 2), GNP was used and in the third (Model 3), GDP was used as the input layer of the network. The net energy consumption (NEC) is in the output layer for all models. In order to train the neural network, economic and energy data for last 37 years (1968–2005) are used in network for all models. The aim of used different models is to demonstrate the effect of economic indicators on the estimation of NEC. The maximum mean absolute percentage error (MAPE) was found to be 2.322732, 1.110525 and 1.122048 for Models 1, 2 and 3, respectively. R 2 values were obtained as 0.999444, 0.999903 and 0.999903 for training data of Models 1, 2 and 3, respectively. The ANN approach shows greater accuracy for evaluating NEC based on economic indicators. Based on the outputs of the study, the ANN model can be used to estimate the NEC from the country's population and economic indicators with high confidence for planing future projections.

Prospects for Future Projections of the Basic Energy Sources in Turkey

The main goal of this study is to develop the energy sources estimation equations in order to estimate the future projections and make correct investments in Turkey using artificial neural network (ANN) approach. It is also expected that this study will be helpful in demonstrating energy situation of Turkey in amount of EU countries. Basic energy indicators such as population, gross generation, installed capacity, net energy consumption, import, export are used in input layer of ANN. Basic energy sources such as coal, lignite, fuel-oil, natural gas and hydraulic are in output layer. Data from 1975 to 2003 are used to train. Three years (1981, 1994 and 2003) are only used as test data to confirm this method. Also, in this study, the best approach was investigated for each energy sources by using different learning algorithms (scaled conjugate gradient [SCG] and Levenberg-Marquardt [LM]) and a logistic sigmoid transfer function in the ANN with developed software. The statistical coefficients of multiple determinations (R2-value) for training data are equal to 0.99802, 0.99918, 0.997134, 0.998831 and 0.995681 for natural gas, lignite, coal, hydraulic, and fuel-oil, respectively. Similarly, these values for testing data are equal to 0.995623, 0.999456, 0.998545, 0.999236, and 0.99002. The best approach was found for lignite by SCG algorithm with seven neurons so mean absolute percentage error (MAPE) is equal to 1.646753 for lignite. According to the results, the future projections of energy indicators using ANN technique have been obviously predicted within acceptable errors. Apart from reducing the whole time required, the importance of the ANN approach is possible to find solutions that make energy applications more viable and thus more attractive to potential users.

06/01219 Comparison of Turkey's electrical energy consumption and production with some European countries and optimization of future electrical power supply investments in Turkey: Tunç, M. et al. Energy Policy, 2006, 34, (1), 50–59

06/01219 Comparison of Turkey's electrical energy consumption and production with some European countries and optimization of future electrical power supply investments in Turkey: Tunç, M. et al. Energy Policy, 2006, 34, (1), 50–59

Strategic environmental assessment and national development plans in Turkey: Towards legal framework and operational procedure

National development plans were started to be prepared in Turkey in 1963. These plans are mandatory for public investments and guiding principles for private investments. They have a quality which guides and sets objectives for other plans in the country. Therefore, they can be evaluated as the main reason of successes and failures of sectoral investments or the problems that they cause directly or indirectly. Turkey is undergoing rapid industrialization, urbanization and population growth, thus environmental problems are on the increase. Although Environmental Impact Assessment (EIA) has been applied to individual investments in Turkey since 1993, natural environment has continued to be affected because of human activities. Today, parallel to the developments in the world, it has been discussed that it is necessary to strengthen project-level Environmental Assessment (EA) and to practice Strategic Environmental Assessment (SEA). The interest in SEA, that is, EA at the level of proposed policies, plans and programs has grown significantly since 2000 in the country. Discussions and preparations have started about regulation which provides the legal and institutional framework for SEA in The Ministry of Environment and Forestry. However, since the scientific approach into the subject is very new in Turkey, it will take time to answer the questions about how and in what fields to practice. This research project aims at analyzing the possible practice opportunities of SEA in Turkey and the practicability of SEA into the National Five-Year Development Plan (FYDP) which is assumed at the highest level of planning hierarchy in the country. The research is conducted on two sections. In the first section, procedural approaches to SEA on national development plans are investigated and a framework for these approaches is adapted at the institutional level. In the second section, SEA form for energy sector in the development plans is developed. In this article, the findings related to the first part of the project are given.

Foreign Direct Investment in Turkey: The Implications of EU Accession

Despite huge potential, Turkey has failed to attract levels of foreign direct investment (FDI) entering countries of comparable size such as Mexico and Argentina. Several barriers have squandered the advantages that Turkey could offer to foreign investors. Turkey was given a date for starting negotiations with the EU and although Turkey’s accession to the EU in the future cannot be taken for granted, the prospect of future membership could boost FDI in Turkey on the condition that ongoing efforts of democratization and economic stabilization implemented by the Erdoğan government remain high priorities on Ankara’s agenda.

‘Knowing your way in the Balkans’: Greek foreign direct investment in Southeast Europe

Greek businesses are at the forefront of foreign direct investment in south eastern Europe. Their decade long entrepreneurial activity in the region has placed them in a position to profoundly shape the economic geography of these neighbouring transition countries. The contribution explores the reasons why Greek companies have identified and taken advantage of an entirely new set of investment opportunities in the region. Geographical proximity is a key parameter driving Greek FDI in the Balkans. By contrast, the track record of Geek investments in Turkey is shaped by a very different set of parameters, despite the vicinity of both countries.

Comparison of Turkey's electrical energy consumption and production with some European countries and optimization of future electrical power supply investments in Turkey

Energy issues are directly related to the development of a country and the living standards of its people. Turkey is currently in a rapid industrialization process with a young and dynamic population of over 65 million. Due to relatively high growth rate of the population, increasing consumer oriented attitudes and as a result of rising levels of affluence, the primary energy demand is rising rapidly at an annual rate of 6.7 percent. In this study Turkey's energy resources, installed electric power capacity, electric energy production and consumption rates are investigated and compared with that of France, Germany and Switzerland. Turkey's electric energy consumption rates are predicted with regression analysis for the years of 2010 and 2020 and finally linear mathematical optimization model is developed to predict the distribution of future electrical power supply investments in Turkey.

The regulatory framework for foreign investment in Turkey

The authors explain reforms to the Turkish foreign investment regime circa 2004. Article by Associate Professor Arslan Kaya and Dr Mehmet Nafi Artemel published in Amicus Curiae - Journal of the Society for Advanced Legal Studies. The Journal is produced by the Society for Advanced Legal Studies at the Institute of Advanced Legal Studies, University of London.

Macroeconomic adjustment and private manufacturing investment in Turkey: a time-series analysis

Despite the drastic switch to market-based policies and outward orientation in Turkey during the 1980s, private investment in manufacturing industry has still not revived after seventeen years of structural adjustment. This paper examines the main determinants of private investment in the manufacturing sector and the impacts of structural adjustment (particularly financial liberalisation as an integral part of the reform) on it. The results show that liberalisation policies in financial markets appear to have positive effects by reducing the stringency of quantity constraints on investment while the high interest rates resulting from financial liberalisation had no significant impact on investment. Macroeconomic instability, proxied by the variability of the inflation rate, seems to have discouraged investment in manufacturing.

Foreign direct investment in Turkey: regional determinants

The uneven regional distribution of foreign direct investment (FDI) in Turkey poses an interesting question from the perspective of multinational firms (MNFs) and policy-makers alike. This paper focuses on the factors governing the location decisions of MNFs within Turkey with specific reference to policy implications. Using a conditional logit model, it is found that agglomeration, depth of local financial markets, human capital, and coastal access dominate location decisions for the aggregate sample of foreign investors in Turkey. This study reveals no evidence that public investment is successful in attracting MNFs to particular regions. Also importantly, the location determinants vary dramatically by broad industrial category, investment composition, and origin-country characteristics, including income category and region.

Complex automation and control systems in heavy process industries: An evaluation study

Heavy process industries such as iron and steel plants, cement plants and paper mills have made a considerable investment in Turkey during last decade and a half for capacity improvement and modernization. Process automation systems have held an indispensable part in these investments. The strategic value of automation systems lies in its ability to improve product quality while saving energy and raw material. In this paper the application experience gained over a dozen large and medium size automation projects are summarized and various qualitative and quantitative results are given. Among these results, return on investment (ROI) obtained from few plants occupies prominent place. ROIs found were notably short compared to the economical life cycle to justify the use of automation systems.

Kalkınma Finansmanında Yapısal Değişim ve Türkiye Kalkınma Bankası

Development finance is experiencing a structural change from classical project finance and standard loans towards more sophisticated capital markets financial techniques. Similarly in Turkey, structural change is underway especially in development finance in line with changes taking place in international finance. The Turkish Development Bank was founded in 1089 when the Tourism Bank and the DESİYAP Bank were merged. In the context of the present restructuring program, the Development Bank should be transformed into a new bank to finance investments in industry, tourism and trade sectors both in Turkey and in the neighboring countries. The new restructuring program should give special priority to the following targets: - The Development Bank should serve small and medium sized enterprises (SMSEs) which form the backbone of the Turkish Economy and should finance their investments in Turkey, in the Turkic Republics and in neighboring countries. - A particular concern should be to finance technological innovations and new venture-capital projects. Priority should be given to projects in tourism, to infrastructure investments and to environmentally sensitive projects. - The Bank should be one of the leading financer for capital-goods trade for the investment projects of the SMSEs. It should also offer project finance for industry, tourism and transport infrastructure and environmental protection. - On behalf of the Turkish government, The Development Bank should finance project-related advisory services such as project evaluation and implementation, cash flow and pay-back flows. - In line with the structural changes in development finance, The Bank should be able to use new and more sophisticated financial tools in capital markets to raise new funds.. - The Bank should be able to increase the quality of its own human resources by using the newly developed training-techniques and payroll-policies.

Determinants of direct foreign investment in Turkey

Attempts to discuss a rarely debated issue in the literature of international business i.e. Turkey’s attractiveness as a manufacturing location, and examines the determinants of foreign direct investment in Turkey. After briefly concluding the main location‐specific factors of Turkey, the findings of three different surveys are demonstrated. The surveys’ results suggest that overemphasis made by the Turkish officials on location‐specific factors such as “low cost labour and cheaper inputs” and “geographical location” is a sign of mis‐policy design since the major determinants of foreign direct investment seem to be factors such as “the promising Turkish economy” and “growing local market”.

Trading Turkey's External and Internal Risks: A Value at Risk Analysis

In earlier work we showed we could not reject the hypothesis that returns to investments in Turkey's stock market were positive functions of risk generated by the World outside Turkey and by risks unique to Turkey. We found statistical evidence of Turkey's internal risks producing substantial returns and changes in returns over time. This article carries the analysis further by bringing our earlier results into a more concrete environment, asking whether these risks can be profitably managed as a practical matter. In particular we consider results of two strategies in trading cross-market portfolios. We examine a long position in the ISE Dollar Return Index, offset by a short position in the S&P 500 Composite Total Returns Index. In this analysis we verify profitability directly by computing actual profit produced by an implementable trading strategy. We identify our two portfolio management strategies using Value-at-Risk-inspired measures of risk and return. We also examine the importance of secondary issues in portfolio management, such as identification of buy and sell signals and selection of a trading position. We examine two issues determining the performance of a trading position in this cross-market portfolio. First, are there predictable and substantial periods of time when it is good to be long Turkey and short the Rest of the World and the reverse? Second, how important is it to monitor the time path of the risks unique to Turkey's Financial Markets in comparing returns in Turkish and World Markets? Our answers are first, Yes and second, Very.