International Conference on Eurasian Economies

1-3 July 2014 – Skopje, MACEDONIA

Paper detail

Paper ID : 1038
Status : Paper published
Language : Turkish
Topic : International Trade and Globalization
Presenter:
Session : 7B Uluslararası Ekonomi II

Analysing the Effects of Cultural Differences to International Trade in Manufactured Goods: A Literature Survey
Kültürel Farklılıkların Ülkeler Arası Mal Akımlarına Etkisi Üzerine Bir Literatür İncelemesi

• Ph.D. candidate Tuğçe Uğur (Çukurova University, Türkiye)
• Asst. Prof. Dr. Mehmet Sedat Uğur (Çankiri Karatekin Üniversitesi, Türkiye)

Abstract

Linder Theory which is a considerable theory about international manufactured goods trade suggests that international trade in manufactured goods will be more intense between countries with similar per capita income levels than between countries with dissimilar per capita income levels. But in practice, cultural differences between countries may also restrain the density of trade. This literature survey will aim to explain the relationship between income level and culture which may be different for one to another group. G. Hofstede who is an influential cultural anthropologist suggests five different cultural dimension to explain cultural differences between countries. Later, Hofstede calculates the values of different countries in these dimensions. So, in this study, initially, international trade in manufactured goods between similar per capital income levels will be examined. This will be done by comparing per capital income levels of selected countries. OECD data in trade and TÜİK's data (for Turkey) will be used in comparison. Later Hofstede's data will be used. In conclusion, the survey will try to explain how large are the effects of cultural differences between countries with similar income levels in international trade in manufactured goods. Previous studies generally find statistically significant results, but the main framework of these studies suggests controversial results. The study has aimed to commit a literature survey and in this study, comparisons of trade flow between countries are also controversial.

JEL codes: F10, Z10, Z13

Uğur, Tuğçe, Uğur, Mehmet Sedat (2014). "Analysing the Effects of Cultural Differences to International Trade in Manufactured Goods: A Literature Survey" in Proceedings of International Conference of Eurasian Economies 2014, pp.462-471, Skopje, MACEDONIA.

DOI: https://doi.org/10.36880/C05.01038

Full paper in PDF format.

Session 7B: Uluslararası Ekonomi II