THE IMPACT OF FOREIGN ECONOMIC ACTIVITY ON ECONOMIC GROWTH OF CHINA, INDIA AND TURKEY

Abstract

This research investigates the multifaceted relationship between foreign economic activities and economic growth in three prominent emerging economies: China, India, and Turkey. The study is aimed at understanding the implications of international economic engagements—encompassing trade, foreign direct investment (FDI), and currency exchange fluctuations—on the economic trajectories of these nations. The analysis commences with a detailed examination of international trade volumes, focusing on how exports and imports influence GDP growth. The research evaluates the effects of trade balances, trade policies, and global market conditions on economic performance. It further delves into the role of foreign direct investment, analyzing its impact on economic growth through capital infusion, technological advancement, and managerial expertise. The study identifies key sectors that attract significant FDI and assesses how these investments contribute to industrial development and overall economic progress. Additionally, the study explores the dynamics of exchange rate fluctuations and their influence on economic stability and growth. It investigates the relationship between exchange rate volatility and key economic indicators such as inflation, investment flows, and trade balances. A comparative analysis of economic policies adopted by China, India, and Turkey is conducted, highlighting the impact of trade, investment, and currency management strategies on their global economic integration. The research also addresses the effects of globalization on the economic performance of these countries, exploring how increased global interconnectedness influences growth prospects and economic stability. The study identifies potential risks associated with reliance on foreign capital and trade, including susceptibility to global economic fluctuations and geopolitical tensions, while also discussing opportunities for sustained economic development. Utilizing a comprehensive range of statistical data from authoritative sources such as the World Bank and the International Monetary Fund, the research offers valuable insights into how China, India, and Turkey can effectively navigate the complexities of the global economy to achieve sustainable economic growth.