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Structural transformation and sources of growth in Turkey

Author

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  • Ahmet Ihsan Kaya
  • Cumhur Çiçekçi

Abstract

This paper provides a comprehensive analysis of the supply and demand side of structural transformation in Turkey. Using the GGDC/UNU-WIDER Economic Transformation Database, we find that labour productivity improvements explain more than half of economic growth in the period 1980-2021. This is mainly thanks to within-sector productivity improvements, while the contribution of structural change declines over time. Time-series regression analysis shows that structural change is driven by per capita income growth and financial openness but is halted by trade integration.

Suggested Citation

  • Ahmet Ihsan Kaya & Cumhur Çiçekçi, 2023. "Structural transformation and sources of growth in Turkey," WIDER Working Paper Series wp-2023-71, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2023-71
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    References listed on IDEAS

    as
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    4. Barlow, Robin & Senses, Fikret, 1995. "The Turkish export boom: Just reward or just lucky?," Journal of Development Economics, Elsevier, vol. 48(1), pages 111-133, October.
    5. Ercan Uygur, 1997. "Export Policies and Export Performance: The Case of Turkey," Working Papers 9707, Economic Research Forum, revised 06 May 1997.
    6. World Bank, 2014. "Turkey’s Transitions : Integration, Inclusion, Institutions," World Bank Publications - Reports 20691, The World Bank Group.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Labour productivity; Structural transformation; Economic growth; Input–output; Economic linkages;
    All these keywords.

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