EXOGENOUS TECHNOLOGY SHOCKS AND ECONOMIC GROWTH: EMPIRICAL ANALYSIS FOR THE DEVELOPING COUNTRIES

15052

The purpose of the present study is to theoretically determine how technology shocks and particularly external technology shocks affect the functioning of real economy within the framework of Reel Business Cycles Theory and to come up with significant statistical and economic empirical findings concerning the growth tends of 12 emerging countries including Turkey and external technology shocks they have experienced. Within the context of the present study, 12 emerging countries for which the required data were available for 1980-2008 period out of the 35 countries determined as the emerging countries by Dow Jones were included in the sampling. The findings obtained from the analyses show that the emerging countries are foreign investment and technology dependent to a great extent and they are considerably affected from the technology shocks defined as external. In addition, it was concluded that investment-specific technology changes have the power to account for high ratio of the changes seen in short-term conjectural movements.

53

Exogenous Technological Shocks , Real Business Cycles Theory , Economic Growth , Developing Countries , GMM Analysis

Ege Strategic Research Journal

75

Ege Strategic Research Journal