In this study the return spillovers and volatility spillovers between South-East European (SEE) stock markets are investigated as well as vis-à-vis regional and global stock markets (e.g. Europe, Japan, China and the US). By using Frequency Domain Causality approach, the evidence is found of significant spillover effects between markets. The results of study indicate both short-and long-run intra- and inter-regional return and volatility spillovers detected between South-East European (SEE) stock markets and the emerging and the mature markets around the globe, implying limited diversification benefits for international investor portfolios allocated to these markets. Thus, these results should be taken into account by portfolio managers, investors and policy makers before making any investment decision into region’s stock markets. The policy makers and regulators of these markets should consider the nature and frequency of regional and global integration of their stock markets.

The financial technology (hereinafter: fintech) industry is growing rapidly which is supported by the fact that it received more than $20 billion in investment last year alone. This article surveys historical development of fintech and its influence on market structure in banking industry, efficiency, strategic plans of participants, and stability of financial market. Based on World Bank database, the paper tests the fundamental premise - whether there is a relationship between country GDP and population and usage of new technology and smartphones in financial transactions and payment processing. The results of the study provide evidences of statistically significant positive relationships between per capita GDP and usage of new technology and smartphones in financial transactions and payment processing. Also, they indicate statistically significant positive relationships between per capita GDP and payment of utilities and received wages through a mobile phone. Thus, the results of study should be taken into consideration when forming the policies regarding the use of new technology and smartphones in financial transactions and payment processing.

The aim of this study was to investigate the causal relations between COVID-19 economic supports and Bitcoin markets. For this purpose, we first determined the degree of the integration of variables by implementing Fourier Augmented Dickey–Fuller unit root tests. Then, we carried out both linear (Bootstrap Toda–Yamamoto) and non-linear (Fractional Frequency Flexible Fourier form Toda–Yamamoto) causality tests to consider the nonlinearities in variables, to determine if the effects of multiple structural breaks were temporary or permanent, and to evaluate the unidirectional causality running from COVID-19-related economic supports and the price, volatility, and trading volume of Bitcoin. Our study included 158 countries, and we used daily data over the period from 1 January 2020 and 10 March 2022. The findings of this study provide evidence of unidirectional causalities running from COVID-19-related economic supports to the price, volatility, and trading volume of Bitcoin in most of the countries in the sample. The application of non-linear causality tests helped us obtain more evidence about these causalities. Some of these causalities were found to be permanent, and some of them were found to be temporary. The results of the study indicate that COVID-19-related economic supports can be considered a major driver of the surge in the Bitcoin market during the pandemic.

This paper studies the dynamic relationships between real Gross Domestic Product (GDP), real exchange rate (RER) and real tourism income (TOTREC) in Turkey over the period from 2003: Q1 to 2014: Q4 by using frequency domain causality approach developed by Breitung and Candelon (2006). Our findings reveal that real GDP Granger causes real tourism income both in the short-and long-run, while real tourism income only Granger causes real GDP in the short run. Moreover, there is no Granger causality neither between real tourism income and real exchange rate nor between real GDP and real exchange rate. These findings support Tourism-led Growth Hypothesis (TLGH) only in the short-run. Therefore, there is an urgent need to develop and implement appropriate tourism policies so that the sector’s contribution to economic growth can be extended to long-run.

The main purpose of this study is to examine the effects of total tourism demand as well as the effects of both foreign and domestic tourism demand (measured by overnight stays) on regional inflation in Turkey based on the Nomenclature of Territorial Units for Statistics regions classified by Turkish Statistical Institute. To obtain the region-specific effects of tourism demand on inflation, we used the Random Coefficient Regression developed by Swamy by using the annual panel data over the period between 2004 and 2013. Before estimating Swamy Random Coefficients Regressions, we first tested the existence of cross-sectional dependence among the regions of Turkey. And then, based on the results of these tests, we examined the stationarity properties of variables by using second-generation panel unit root tests. The results of the study indicate that there are significant differences in regional effects of different forms of overnight stays on regional inflation. Also, the results show that the contribution of domestic overnight stays to overall and regional inflation is greater than that of foreign overnight stays. Thus, the findings of the study have significant importance in Turkey for designing tourism, industrialization, and monetary policies, particularly aiming to reduce the inflation by adopting inflation targeting regime.