While the Dutch textile industry declined rapidly, Turkish entrepreneurs created a growing industry for fashion goods with highly flexible demand in an informal sector that was initially tolerated by the autorities and attracted many undocumented immigrants. It led to the unusual spectacle of a labour market visibly in perfect competition; predictions of that model are clearly supported. Crackdown of the authorities led to the demise of the sector: production, capital and labour all proved internationally mobile.
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Find related papers by JEL classification: J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities and Races; Non-labor Discrimination J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure J42 - Labor and Demographic Economics - - Particular Labor Markets - - - Monopsony; Segmented Labor Markets J61 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Geographic Labor Mobility; Immigrant Workers J68 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Public Policy
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