nep-ara New Economics Papers
on Arab World
Issue of 2012‒10‒13
thirteen papers chosen by
Quentin Wodon
World Bank

  1. Mobile payment systems in Turkey By Nurdilek , Dalziel; Can Ali, Avunduk
  2. Balance-of-Payments Constrained Growth: the Case of Turkey By Halicioglu, Ferda
  3. Management of the Greek’s ekistics and cultural heritage in Turkey By Eleni Gavra; Anastasia Bourlidou; Klairi Gkioufi
  4. Temporal Causality and the Dynamics of Crime in Turkey By Halicioglu, Ferda
  5. Modelling Local and Regional Economic Development in Turkey: A Curate’s Egg By AKSEL ERSOY
  6. What are the factors of attractiveness of Istanbul for foreign investment? By Gülden Demet Oruç; Ferhan Gezici; Ebru Kerimoğlu
  7. REGIONAL DEVELOPMENT POLICIES AND INDUSTRIAL EMPLOYMENT CHANGE IN TURKEY: A SHIFT SHARE ANALYSIS (1992-2008) By ZEYNEP ELBURZ; FERHAN GEZICI
  8. AN ANALYSIS OF SUPPLY CHAIN OF ACCOMMODATION SECTOR: THE CASE OF MANAVGAT IN TURKEY By Ferhan Gezici; Gizem Küçüksarý
  9. THE SPATIAL DISTRIBUTION OF FIRE SERVICES IN IZMIR By ZEYNEP ELBURZ; VEDIA DOKMECI
  10. TERRITORIAL COOPERATION WITH NON-EU REGIONS By Juan Carlos Rodriguez-Cohard; Javier Alfonso; Antonio Vázquez-Barquero
  11. Changes in built environment and in vernacular architecture through globalization: Case of Battalgazi inTurkiye By Mucahit Yildirim; Mahir Korkmaz
  12. An expensive diversion: Abu Dhabi's renewables investments in the context of its natural gas shortage By Krane, J.
  13. MITIGATING WATER SCARCITY IN ISRAEL – A COMPUTABLE GENERAL EQUILIBRIUM ANALYSIS By Luckmann, Jonas; Siddig, Khalid H.A.; Flaig, Dorothee; Grethe, Harald

  1. By: Nurdilek , Dalziel; Can Ali, Avunduk
    Abstract: This chapter presents a brief introduction to electronic payments in Turkey followed by a detailed look into direct carrier billing (DCB).
    Keywords: mobile payments; cashless society; Turkey
    JEL: N8 L96 E42 H23 G21
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:41676&r=ara
  2. By: Halicioglu, Ferda
    Abstract: In order to test the existence of Thirlwall’s law for Turkey during the period of 1980-2008, bounds test approach to cointegration is applied. The empirical results suggest that Thirlwall’s law holds for Turkey. This study also suggests some policy recommendations to curb the deficits in the balance-of-payments.
    Keywords: Thirlwall’s law; balance-of-payments constraint; cointegration; growth; import elasticity; Turkey
    JEL: E12 O24 C22 F43
    Date: 2012
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:41791&r=ara
  3. By: Eleni Gavra; Anastasia Bourlidou; Klairi Gkioufi
    Abstract: Turkey constitutes a country privileged with ekistics and cultural heritage of crucial interest that is linked to ancient civilizations. Over the past decades, the turkish government has been formatting and developing a protective institutional framework, concerning the preservation of its historical environment. However, the country has endured many political and economical alterations that have influenced the qualitative character of the monumental architecture, as well as the regional development of historical communities. Ôhis paper deals with the Greek’s cultural heritage in Turkey today, targeting on the enhancement of strategic solutions that concern the symbiosis of the dualism of greek origin ekistics heritage and tourism development in the turkish territories. The methodology approach is achieved through bibliography and in situ research and analysis that have taken place during a scientific research program concerning the Greek’s cultural presence in Asia Minor (17th- 20th centuries). In addition to that, a thorough examination is followed in the evaluation of the existing turkish and international institutional framework, regarding the protection of the Greek’s ekistics and monumental heritage in Turkey. In this context, a series of strategic measures is proposed in order to preserve and enhance the cultural value and aesthetics of the Greek’s heritage in Turkey today. The governmental administration and international legislation, the elimination of bureaucratic issues, the promotion of strategic planning on both urban and architectural level, as well as the encouragement of the interstate relations between Turkey and Greece, are some of the potential solutions highly underlined in this paper.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p454&r=ara
  4. By: Halicioglu, Ferda
    Abstract: This study is concerned with understanding of the factors of aggregate, nonviolent and violent crime categories in Turkey for the period 1965-2009. The determinants of all crime categories are related to selected socio-economic factors. Bounds testing approach to cointegration is employed to test the existence of long-run relationship amongst the variables. Cointegration analysis yields the major contributors of crime are income and unemployment. The direction of causalities between the variables are established using within and out of sample causality tests. The findings from this study present the dynamics of aggregate, violent and non-violent crimes to design and implement any relevant policy measures to combat them.
    Keywords: crime; cointegration; causality; time series; Turkey
    JEL: C22 K42 A14
    Date: 2012
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:41794&r=ara
  5. By: AKSEL ERSOY
    Abstract: This paper explores and unpacks the nature of the processes shaping regional economic growth in Turkey using an econometric modelling strategy. Economic modelling is an important approach to the analysis and understanding of regional growth and development. Over the decades, there have been a range of attempts to measure and understand the dynamics of regional growth through the modelling of underlying internal and external forces. However, existing empirical research in this field has focussed on regions in economically advanced and technologically innovative economies and comparable studies of less developed and emerging countries and their regions that suffer from poverty, unemployment and regional disparities are far fewer. As a consequence, the broader picture of the dynamics of regional development in less developed countries, particularly its social and political origins and the overall changes in regional inequality, have remained elusive and less clear. However, as globalization deepens and processes such as Europeanization and regionalization facilitate and accelerate the implementation of externally developed policies, less developed and emerging economies have started to adopt the ‘successful’ regional economic planning policies and practices developed and implemented in totally different national contexts. The problem with this issue is that those policy ideas have only partial relevance in the developed country context potentially making them even less relevant in developing economies. To explore this problem, this paper seeks to understand, empirically, the drivers of local and regional development in Turkey and how they can be used to develop a theoretically informed econometric analysis in the context of an emerging market economy. Not only has this form of analysis not been undertaken in Turkey, but the theories of local and regional economic development have had a major impact on the Turkish regional planning process. A set of econometric models is developed to explore the validity of a range of theoretical propositions in explaining the trajectories of regional economic change in Turkey between 2004 and 2008. Growth is calibrated in terms of employment and changing rates of unemployment in the chosen time period in the eighty one provinces of Turkey. The results of the study explain that implications of the current local and regional economic development theories are a Curate’s Egg – good in parts – because these theories are only partially relevant in the Turkish context. JEL codes: R10 Abstract content: Regional growth, emerging economies, Turkey
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p179&r=ara
  6. By: Gülden Demet Oruç; Ferhan Gezici; Ebru Kerimoğlu
    Abstract: Istanbul metropolitan region is the economic heart of Turkey, which is generally listed among the emerging economies of the last decade. Although compared to other European regions foreign capital and investment are underrepresented in Istanbul, economic growth and the stability of Turkey in the last decade made of Istanbul the most developed region and the most attractive for foreign capital not only in Turkey but also in a wider regional context, with a notable effect on the attraction of human flows into the city. Istanbul has been one of the main destinations of internal migration in Turkey, since the beginning of industrialization process in the 1960s. The main motivation for the people who migrate (especially the unskilled) has been traditionally related to employment and emancipation. However, the recent changes of the Turkish economy – and the policy objectives that are attached to it – are transforming Istanbul into a new hub for other types of migration, like high skilled foreign workers from OECD countries and other forms of short-to-medium term mobilities, which overlap and interact with the traditional opportunity-driven migration. In this paper we will especially focus on Istanbul’s current situation and proactive strategy of attracting foreign investments and companies, looking for factors that may explain the performance of Istanbul in terms of flows attracted. First, we perform an assessment of the situation of Istanbul in terms of attractiveness. On this basis, we develop an in-depth profile of Istanbul as an attractive city characterized by an increased capacity to attract specific flows. The profile of the region is analyzed through the existing position, potentials and obstacles. In the second part, we address the questions as the main factors that explain the attraction of foreign investors and labor to Istanbul, the characteristics of specific successful mobilization strategies, the expectations concerning the future development of Istanbul’s attractiveness, using qualitative analysis obtained though face-to face interviews with stakeholders. Keywords: Attractiveness, foreign investment, Istanbul Jel codes: J11 O19 R28 R58
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p608&r=ara
  7. By: ZEYNEP ELBURZ; FERHAN GEZICI
    Abstract: REGIONAL DEVELOPMENT POLICIES AND INDUSTRIAL EMPLOYMENT CHANGE IN TURKEY: A SHIFT SHARE ANALYSIS (1992-2008) It is necessary for policy-makers to assess region’s overall performance and given sector’s efficiency relative to other industry sector’s performance in the region to achieve regional policy objectives. Regional economics has attempted to develop techniques to analyze differences among regional growth patterns. Shift-share analysis is one method to describe growth of sub-national economies. Shift–share analysis is a traditional tool for interregional comparison, measuring and evaluating sectoral performance of a specific region over a period of time. The purpose of shift share analysis is to provide local policymakers with simple and easy to use tools that will assist them in describing and documenting changes in their local economy in a way that enables them to make sound and informed decisions. In shift share analysis, the chance in employment is partitioned into three components measuring the influence of national share, industrial mix, and regional shift. The aim of this study is to measure and evaluate regional economic performance in Turkey, in order to able to achieve regional policy objectives. In this study the shift share analysis was used to measure regional economic performance. Regional industrial employment (15-37 codes - NACE REV 1.1) changes in Turkey estimated in 26 NUTS 2 regions from 1992 to 2008. The results of shift share analysis of manufacturing employment change in Turkey from 1992 to 2008 indicates that national share component has a great effect on total manufacturing employment increment during that time. In addition to that, industrial mix component has an effect on reducing employment by 7.962 and regional shift component has an effect on reducing employment by 9.464. According to the results of shift share analysis there is only one region which has both positive industrial mix and regional shift components. Also four regions which include the most developed regions in Turkey, such as Ãstanbul and Ãzmir sub-regions, have positive industrial mix and negative regional shift components. With the helping of these results, policy makers should reconsider the regional development policies in Turkey. KEY WORDS: Regional Policies, Shift Share Analysis Industrial Employment JEL CODES: L60 O25 R11 R12 R58
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p1012&r=ara
  8. By: Ferhan Gezici; Gizem Küçüksarý
    Abstract: Realizing the significance and contribution of tourism sector to regional/local economy, has increased the number of studies which have been trying to analyse the impacts of tourism on economic development. Several approaches and methodologies have already been developed for this purpose. The economic impact analysis mostly focuses on the spending of tourists, however it is not easy not only because of the data availability, but also the reliability since the cycle of spending has become more complex in the economy. In this paper, accommodation sector has taken into consideration as one of the main components of tourism sector. Supply chains of accommodation units have examined in order to evaluate the demand of tourism, linkages among different economic sectors and regional-spatial impacts of these linkages. Manavgat which is one of the main concentration districts within Antalya (the Mediterranean region), has been selected as the case study. The number, the size, the period of being supplier and the location of suppliers are defined as the main factors based on the different branches of service and activities of accommodation sector. The findings of the analysis put forward that most of the suppliers are located in Antalya rather than Manavgat. Therefore the demand of accommodation sector could not create expected capacity for supply in Manavgat and the economic impacts remain relatively low within local economy. Key words: tourism, accommodation, supply chain, economic impact, Turkey
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p239&r=ara
  9. By: ZEYNEP ELBURZ; VEDIA DOKMECI
    Abstract: THE SPATIAL DISTRIBUTION OF FIRE SERVICES IN IZMIR Zeynep Elburz Vedia Dokmeci Abstract During the recent decades, the transformations in the global economy, technology and economic development have stimulated the growth of service sector, especially the growth of producer services at the international level. The producer services support the growth of economy and investment and contribute to a great extent to the restructuring of mega-cities in developed and developing countries. Especially, in some of the developed countries, suburban sub-centers have more producer services than the center of the city. This study investigates the spatial distribution of FIRE services employment and firms in Izmir which is the third most important city of Turkey and has been integrated with international trade for centuries. Free trade policy and globalization increased trade with other countries. Service sector covers more than fifty percent of employment in Izmir as one of the characteristics of a post-modern city. The growth of service sector follows the growth pattern in Turkey. During the last two decades, while service sector employment almost doubled, FIRE services employment were tripled which was much more than population growth ratio in Izmir. Spatial distribution of FIRE firms is investigated according to the concentric zones. The results of the analysis reveal that FIRE firms are mostly concentrated in the core area of Izmir as in the large cities of developing countries, due to highly educated people who they need, high quality cultural and public services demanded by these people, their customers and their linkages with the other firms are mostly found in or near the core area. This trend is within the concept of central place theory. However, there are recently developing two suburban sub-centers which cover one third of FIRE firms due to their higher income background. Also, the distribution of FIRE firms is investigated with respect to sub-sectors. According to these results, while the ratio of financial and insurance firms are higher in the core area, the ratio of real estate firms is higher in the intermediate zone and in the periphery due to large amount of construction going on in these areas. Thus, this trend stimulates multi-center development of the city to some extent as one of the major characteristics of a post-modern city. Key words: Service sector; FIRE service employment; FIRE firms; Space economy; Izmir JEL codes: D39 G21 G22 L84 L85
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p1014&r=ara
  10. By: Juan Carlos Rodriguez-Cohard; Javier Alfonso; Antonio Vázquez-Barquero
    Abstract: TERRITORIAL COOPERATION WITH NON-EU REGIONS Territorial Cooperation (TC) has been possible because there is a trajectory of many years of work invested by the local actors, participants who have become the architects of TC through the city or region involved. Transcontinental cooperation as studied by the European Union TERCO project is providing important lessons for understanding TC. The purpose of the presentation is to analyze the Andalusian-North of Morocco territorial cooperation during the last twenty years. Twinning cities, bilateral cooperation agreements and networks have structured participation in projects with varying degrees of impact on the economic, social, urban and environmental conditions. The initiatives have always been local and with a bottom-up approach. The management capacity of key organizations working in a descentralized way and their background on local development governance have made available the implementation of local iniciatives. The projects with the best results are those that are carried out jointly and adapt to Moroccan needs in agreement with its territorial development strategy which was previously defined. Special institutional and cultural mechanisms of developing in both sides of Mediterranean Sea were very helpful. The institutional weaknesses and the complexity of decision-making mechanism in Andalusia and Morocco can make relations difficult and therefore territorial cooperation weak. Territorial Cooperation needs to be flexible enough to respond to changes in the socio-economic environment. The case study of Andalusia-North of Morocco shows that local economic development (e.g. technological innovation or international trade) are important. These issues are usually approached through public-private coordination organizations, such as development agencies. As shown by some other case studies of the TERCO project the results of the participation of such agencies are still modest. Special attention should be given to TC with Morocco due to geo-strategic relations both with Spain and Europe. Not only are there sporadic problems of a bilateral strategic nature between Spain (EU) and Morocco at the Central Government level which can affect decentralized TC, but also, problems with illegal migration (an EU concern), and difficulties in acquiring visas to travel for the cooperating agents, could very well jeopardize TC initiatives. Key words: Territorial Cooperation, Local Development, Governance. JEL codes: O15, O43, R58.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p837&r=ara
  11. By: Mucahit Yildirim; Mahir Korkmaz
    Abstract: Housing and its architectural characteristics physically change in step with changes in culture, social demographics, behavior and environmental structures. These physical changes influence the environment and housing because of contemporary life-styles and behaviors. The cultural identity which has been created in a long period of time is going to be lost rapidly. Cultural changes also include migration. The migration from rural areas to the downtowns causes variety in traditions and the architectural spaces. The cultural environment consists of such elements, each are affecting the evolution of the culture. These are religion, belief systems, ecology, economy and the social aspects like family structures, and cultural interaction. Vernacular architecture is a manifestation, a physical representation of the culture of a people. Malatya-Battalgazi which is the oldest habitation area in Anatolia is among the downtowns that losing its cultural identity. The civil architecture in the town has suffered but the religious architecture is nearly conserved related with the beliefs. The history of Battalgazi, which is called as Old Malatya till to 1988, goes to ancient times. The first habitation of Malatya is the artificial hill called Aslantepe in the boundary of village Bahçebaþý. Strabon, the ancient times geographer, called Malatya as Melitene. Town cannot betray its identity in nowadays. The lack of preservation consciousness, changes in the culture and searching the contemporary life style comfort in the new built environment cause deterioration on the built environment. The cultural identities are going to be disappeared in front of globalization. In Battalgazi, with the impact of the new built environment, the people want to live in new structures to have “contemporary life style†abandoning the vernacular houses. One of them is Poyrazlar House which shows the characteristics of vernacular houses that oriented with two storeys due to the bigness of the patriarchal family. The foundation of the house was constructed from stone and the wall was from mud brick. The flooring was created from wood sticks and the covering from old tile. In the upper-floor there are the recess, living room and bed room, in ground-floor; the kitchen, toilet and the stable. The recess was used as the connection space of the rooms in the upper floor. The ornamented elevation looks to the courtyard and with a bay to the street. This paper aims to research the changes in cultural, socio-economic technological conditions in the built environment and vernacular architecture within the case of Battalgazi-Turkey Keywords: Globalization, culture, vernacular architecture, sustainability.
    Date: 2012–10
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa12p207&r=ara
  12. By: Krane, J.
    Abstract: In the midst of a shortage of natural gas, Abu Dhabi has launched an investment into renewable energy. Why? Will renewables allow the Persian Gulf sheikhdom to meet rising electricity demand without simultaneous increases in conventional power? No. Even in one of the world’s sunniest places – but not one of its windiest – conventional solar generation is unable to handle a demand peak that extends past sundown. Renewables offer an intermittent electricity supply at a much higher average cost than the existing gasfired system. Abu Dhabi will be neither able to forgo construction of a single conventional generating plant, nor reduce its reliance on gas imports from Qatar. The contribution to energy security will be negligible. This paper finds two main benefits, among several limitations. First, renewables may allow reduced fuel consumption in conventional power plants, which will cut carbon emissions and burning of expensive backup fuels. Second, the highly publicized investment has improved the regime’s international image, bringing acclaim as a leader in clean energy, despite its status as a key OPEC oil producer. In the political context of a rentier monarchy, such prestige is as an important source of domestic legitimacy.
    Keywords: renewables, natural gas, energy security, subsidies, Abu Dhabi, United Arab Emirates, Persian Gulf, GCC, OPEC, rentier state, monarchy
    JEL: P42 Q41 Q42 Q48
    Date: 2012–10–04
    URL: http://d.repec.org/n?u=RePEc:cam:camdae:1237&r=ara
  13. By: Luckmann, Jonas; Siddig, Khalid H.A.; Flaig, Dorothee; Grethe, Harald
    Abstract: Water is a scarce resource in Israel. With fluctuating supplies and an increasing demand, the need for using alternative water sources such as reclaimed wastewater, brackish groundwater and desalinated seawater increases. This paper investigates the economy-wide effects of a de-clining supply of natural fresh water (ground and surface water) and the increasing utilization of alternative water sources (recycled wastewater, brackish water, desalinated seawater). To ac-count for different production structures and usage options, a single country Computable Gen-eral Equilibrium (CGE) model is used, in which several water activities produce differentiated water commodities. These water commodities are used as intermediate inputs in other produc-tion activities or are consumed by households. Results suggest that especially the agricultural sector would be affected by a reduction of natu-ral fresh water availability, as it is the largest water user. However, the effect can be mitigated if substitution possibilities with alternative water sources are increased, especially the desalination of seawater can contribute to this. The rest of the economy is affected to a lesser extent, as water is only a minor input in other sectors and the water sector itself is small compared to the whole Israeli economy.
    Keywords: CGE, water, wastewater reclamation, desalination, CES nesting structure, Israel, Wasser, Abwasseraufbereitung, Abwasserrückgewinnung, Entsalzung, CES, Israel, Agricultural and Food Policy, Resource /Energy Economics and Policy,
    Date: 2012
    URL: http://d.repec.org/n?u=RePEc:ags:gewi12:133942&r=ara

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