This study aims to show the similarities and differences between the <em>fragile five classifications</em>, which include countries that are quite different from each other, and to show whether there is a need for a different classification of fragile five, econometrically. In this context, the data set consists of <em>old fragile five</em> and <em>new fragile five</em> classifications. Seven independent variables that are thought to affect the gross domestic product of the countries have been determined. The data are annual for the period 2001-2018. Panel data analysis and Panel vector autoregression are used as a methodology in this paper, respectively. As a result of the analysis, the effects of the independent variables used in the analysis on the dependent differ in the countries included in <em>fragile fives</em>. Also, a change in one of the countries included in <em>fragile fives</em> will affect other countries. Therefore, it concluded that the variables in the models of <em>fragile fives</em> generally have different coefficients from each other. Based on this, it is understood that the revision of <em>old fragile five</em> does not conform to <em>new fragile five</em>, econometrically. It can be suggested as a policy implication that a different classification of fragile five is necessary.
Authors: Esin Demirel, Şevket Işıl AKGÜL
DOI: https://doi.org/10.5281/zenodo.8335600
Publish Year: 2023
