Financial center or air transportation hub? An empirical analysis for Istanbul

Abstract

This study investigated whether Istanbul should focus to become an international financial center or an air transportation hub with the contribution of the new Istanbul Airport and growing air transportation. This matter was empirically tested by analyzing a survey conducted with individuals who use air travel. Regression analysis was applied to determine the Istanbul Airport’s contribution to the city. Applying ordinal regression analysis revealed that the Istanbul Airport, whose construction has faced severe opposition, and the increase in air transportation contribute more to the hypothesis that the city can become an air transportation hub. Therefore, aiming for Istanbul to become an air transportation hub rather than a financial center is likely a more reasonable and meaningful strategy for the Turkish government to follow.