Does trade follow the flag? Turkey’s relations with Israel and Egypt

Uslu, Bekir Can
This thesis aims to analyze the interaction between bilateral political and economic relations. The main question is whether there is a relationship between bilateral political relations and economic relations and if so, what is the scope of the relationship. In this thesis, this question will be analyzed using the case of Turkey and two of her neighbors in the Middle East: Israel and Egypt. A correlation analysis is done between the chart of political relations through the years and three different variables – total trade volume, foreign direct investment and number of tourists – to understand the scope of the interaction. In these analyses, due to the differences between the Israeli and Egyptian economies, three major factors; liberalism, degrees of institutionalization and potential trade, and their effects on the correlation between politics and economics is analyzed. In addition, statistical analyses are used to further understand the big picture. The study consists of four chapters. In the first chapter, the theoretical framework is presented and the phases of the study are scrutinized. In the second chapter, Turkey’s bilateral political and economic relations with Israel are analyzed. In the third chapter Turkey’s relations – both political and economic – with Egypt are similarly analyzed. In the last chapter, the main arguments of the thesis are put forth based on the data and analysis described in chapters 2 and 3.  


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Citation Formats
B. C. Uslu, “Does trade follow the flag? Turkey’s relations with Israel and Egypt,” M.S. - Master of Science, Middle East Technical University, 2017.