Asymmetric causality test and an application on export-economic growth

The empirical determination of causality between economic variables were firstly investigated with Granger causality test. In this test, it is determined that, whether one variable effect on the other regularly or not and for the implementation of this test, there is a condition of stationary. Then Toda Yamamoto test which does not require stationary and cointegration precondition was improved. Then asymmetric causality test which is considered that reactions to the positive and negative shocks may be different from each other has been developed. The causality relationship between economic growth and exports in Turkey is researched during 1985-2013 period and asymmetric causality analysis is used in this study. According to the results there is only a unidirectional causality from economic growth to export in negative shocks.