Factors Affecting Exports in Manufacturing Industry: Toda Yamamoto Causality Analysis For Basic Pharmaceutıcal Products Sector

Exports play an important role in promoting economic growth. For many countries, international trade, especially exports, has a crucial role as a driver of the national economy. Exports generate foreign exchange that can then be used to finance imports and the domestic economic development sector. In addition to directly increasing gross domestic product, an emphasis on exports can also lead to positive externalities in the form of knowledge spillovers in non-export sectors, such as more efficient management and production techniques. This can lead to increased innovation and production in export and non-export sectors, raising incomes and supporting growth. In this study, the factors affecting the exports of the basic pharmaceutical products sector, one of the manufacturing industry sectors, are investigated by Toda Yamamoto causality analysis. In the study, capacity utilization rate, industrial production index, number of patents and export series are used for causality and the study period is 2007-2022. The data used in the study are annual data. As a result of the causality analysis, a bidirectional causality relationship was found between capacity utilization rate, industrial production index, number of patents and exports.