Investigation on Trade of Çorum With Surrounding Provinces by Gravity Model

Abstract

In this study, the trade relationship of Çorum province with the surrounding provinces was examined by using Newton's Gravity Model. Newton's Gravity Model is used to model the gravitational forces of planets and their physical states in space. It is possible to adapt this model to inter-provincial or inter-country trade relations. The analysis results show that the Gravity Model has a strong representation property in explaining inter-provincial trade of Çorum where has a great potential to further develop the commercial relations it has with its neighbours. In addition, it was found that Nevşehir and Karabük are, two neighbours but close cities to Çorum, remained below the potential and the sales volume of Çorum to these provinces was low.