nep-cwa New Economics Papers
on Central and Western Asia
Issue of 2017‒11‒05
four papers chosen by
Sultan Orazbayev


  1. Turkish investments abroad, with a special focus on Central and Eastern Europe By Tamas Szigetvari
  2. Does Maternal Education Affect Childhood Immunization Rates? Evidence from Turkey By Mustafa Özer; Jan Fidrmuc; Mehmet Ali Eryurt
  3. A new strategy for European Union-Turkey energy cooperation By Simone Tagliapietra; Georg Zachmann
  4. Activated History - The Case of the Turkish Sieges of Vienna By Christian Ochsner; Felix Rösel

  1. By: Tamas Szigetvari (Institute of World Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences)
    Abstract: With the growing global integration of the Turkish economy, the country has emerged as a capital investor abroad, and it has become one of the leading investors in its neighbouring regions. Beside the growing vitality of the Turkish corporate sector as a driving factor, the changing Turkish foreign policy has also promoted the active presence of Turkish companies in neighbouring countries, as part of its new strategy aiming at strengthening the central position of Turkey in the region. By looking for the motivations of TMNEs, we found different reasons depending also on the type of firms and the sectors they are active in. A continously increasing motivation of TMNEs for outward investment was the brandbuilding and the upgrading of their technologies, to be able to compete on more developed markets as well. We has also examined the special characteristics of Turkish OFDI in the Central and Eastern European countries. On the one hand, we could find here several of the above mentioned specificities of TMNEs motivations. They invest in these countries to enter new markets, in many cases they use other, mainly Dutch firms as the direct investor company. It was also common that they aimed by the investment to manage their brands more effectively and to improve EU costumers’ perceptions and attitudes towards their products. Central and Eastern Europe as a region closely connected to the core European markets which shares several institutional weaknesses of the Turkish domestic market may have a much higher importance for TMNEs investent in the future.
    Keywords: Turkish multinationals. OFDI, internationalization strategy
    JEL: F21 F23 G11
    Date: 2017–10
    URL: http://d.repec.org/n?u=RePEc:iwe:workpr:233&r=cwa
  2. By: Mustafa Özer; Jan Fidrmuc; Mehmet Ali Eryurt
    Abstract: We study the causal effect of maternal education on childhood immunization rates. We use the Compulsory Education Law (CEL) of 1997, and the differentiation in its implementation across regions, as instruments for schooling of young mothers in Turkey. The CEL increased the compulsory years of schooling of those born after 1986 from 5 to 8 years. We find that education of mothers increases the probability of completing the full course of DPT and Hepatitis B vaccinations for their children. Furthermore, education increases the age of first marriage and birth, changes women`s and their spouse’s labour market status, and significantly affects women`s attitude towards spousal violence against women and gender discrimination in a manner that empowers women.
    Keywords: DPT (diphtheria, pertussis and tetanus), Hepatitis B, maternal education, autonomy of women, fertility, difference-in-difference-in-differences, instrumental variable
    JEL: H51 H52 I12
    Date: 2017
    URL: http://d.repec.org/n?u=RePEc:ces:ceswps:_6439&r=cwa
  3. By: Simone Tagliapietra; Georg Zachmann
    Abstract: This paper was produced within the framework of the European Neighbourhood Energy and Climate Dialogues, with the kind support of Stiftung Mercator In a period of stress in the relationship between the European Union and Turkey, cooperation over energy could be a bright spot, because of strong mutual interests. However, EU-Turkey cooperation over energy requires a rethink. Up to now, gas and electricity have represented the main components of cooperation. Though highly visible, cooperation in these fields appears to be limited in practise. By contrast, cooperation in other fields – such as renewables, energy efficiency, nuclear energy and emissions trading – could make a real impact on long-term energy, climate and environmental sustainability, and on overall macroeconomic and geopolitical stability. On renewables and energy efficiency, the EU could support Turkey by scaling-up the financial support it currently provides within the framework of its climate finance commitments. This would reinforce the case for renewables and efficiency projects in Turkey, particularly as the cost of capital continues to represent a major barrier for these investments. On nuclear energy, the EU can make a sensible contribution to the establishment of a nuclear energy sector in Turkey. This can notably be accomplished by integrating Turkey into the framework of Euratom. On carbon markets, the EU can offer institutional support to Turkey, as is already being done with other countries such as China. Refocusing bilateral cooperation on renewable energy, energy efficiency, nuclear energy and carbon markets would be more effective and strategic for both the EU and Turkey. For the EU, it would provide an opportunity to put its sustainable energy leadership aspirations into practice, while opening up new commercial opportunities. For Turkey, it would enhance both climate and environmental performance, while reducing the energy import bill and energy dependency on Russia. This change in priorities would also be important to head off Turkey’s rush into coal. Turkey currently has the third largest coal power plant development programme in the world, after India and China.
    Date: 2017–10
    URL: http://d.repec.org/n?u=RePEc:bre:polcon:22488&r=cwa
  4. By: Christian Ochsner; Felix Rösel
    Abstract: We study whether long-gone but activated history can shape social attitudes and behavior even after centuries. We exploit the case of the sieges of Vienna in 1529 and 1683, when Turkish troops pillaged individual municipalities across East Austria. In 2005, Austrian right-wing populists started to campaign against Turks and Muslims and explicitly referred to the Turkish sieges. We show that right-wing voting increased in once pillaged municipalities compared to non-pillaged municipalities after the campaigns were launched, but not before. The effects are substantial: Around one out of ten votes for the far-right in a once pillaged municipality is caused by salient history. We conclude that campaigns can act as tipping points and catalyze history in a nonlinear fashion.
    Keywords: salience, persistence, right-wing populism, political campaigns, collective memory, Turkish sieges, Austria
    JEL: D72 N43 N44 Z13
    Date: 2017
    URL: http://d.repec.org/n?u=RePEc:ces:ceswps:_6586&r=cwa

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