Import dependency of export in Turkish economy (analyse of 1990 - 2006 years)

It?s a necessity in developing and changing world that one country keeps economic and social relations with the other countries. Foreign trade and balance of payments forms this situation?s economical side. If a country have foreign trade deficit, this means import is more than export. If a country have foreign trade surplus, this means export is more than import. In recent years the most important problem that Turkish economy have come face to face with current account deficit. If good and service import are more than their export in the balance of payments, this means current account deficit. The most important reason of current account deficit is development based on export. This decisions was taken in January 24th, 1980. Turkey wanted to increase its export, but once it increased, import ? related t oto export ? increased, too. Because intermediate godds and capital goods were necessary for production. First it was seemed normal and this occasion increased and decreased according to changeable foreign exchange market. Particularly after 2002, this dependency was serious condition. On the other hand, this condition was the first important factor of current account deficit. This is called import dependency on production. If a country makes foreign trade with this problem, it?s called import dependency on export. In our study, the first part concerning three major subjects: foreign exchange, Turkey?s foreign trade development between 1990 ? 2006 and balance of payments. 1990 is an important year, because Turkey?s extroversion increased from this year. Dating from 1990?s, Turkey?s development model that based on export, became development model that based on import. Because mostly export goods formed import goods. In addition this hypothesis was tested. At the top, manufactured industry export and consumption goods export dependency on capital and intermediate goods import was determined.