Capital mobility and foreign debt sustainabilty: some evidence from Turkey

Mohammadi H., Cak M. , Cak D.

APPLIED ECONOMICS, cilt.39, sa.19, ss.2441-2449, 2007 (SSCI İndekslerine Giren Dergi) identifier identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 39 Konu: 19
  • Basım Tarihi: 2007
  • Doi Numarası: 10.1080/00036840600707274
  • Sayfa Sayıları: ss.2441-2449


This paper address the extent of capital mobility and foreign debt sustainability in Turkey over the 1962-2003 period by examining the relationship between saving and investment, and imports and exports, respectively. The empirical investment is based on cointegration, error correction models, and threshold and momentum threshold autoregressive models. Our findings are consistent with the existence of capital mobility and the 'Strong' form of foreign debt sustainability.