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Sources of Structural Change and its Impact on Interdependence: An Input-Output Perspective for The Post-1980 Turkish Economy

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  • Ebru Voyvoda

    (Department of Economics, Middle East Technical University, Turkey)

Abstract

The objective of this study is to analyze the patterns of structural and technological movements in the post-1980 Turkish economy. This period is known to span the overall transformation of the Turkish economy from domestic demand-oriented import substitutionist industrialization to one with export-orientation and integration with the global commodity and financial markets. What was theoretically expected from the process of outward orientation, was that as the economy would be exposed to more competition and technological know-how in the global markets and rapid gains in productivity would be converted into an engine of growth through technological improvements. It is the purpose of this paper to analytically depict and decompose the output movements in Turkey from 1980 onwards. By doing so, it becomes possible to observe whether trade orientation has been (one of) the major stimulating factors of output growth. To this end, this study uses input-output tables and employs Structural Decomposition Analysis to decompose the output change in the economy into the fraction attributable to changes in technology, the fraction attributable to import penetration in intermediate demand and the fractions attributable to level and composition of final demand, both in terms of its domestic and foreign components.

Suggested Citation

  • Ebru Voyvoda, 2009. "Sources of Structural Change and its Impact on Interdependence: An Input-Output Perspective for The Post-1980 Turkish Economy," Working Papers 507, Economic Research Forum, revised Dec 2009.
  • Handle: RePEc:erg:wpaper:507
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    References listed on IDEAS

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    1. Jan Oosterhaven & Jan Van Der Linden, 1997. "European Technology, Trade and Income Changes for 1975-85: An Intercountry Input-Output Decomposition," Economic Systems Research, Taylor & Francis Journals, vol. 9(4), pages 393-412.
    2. Ebru Voyvoda & A. Erinc Yeldan, 2001. "Patterns of Productivity Growth and the Wage Cycle in Turkish Manufacturing," International Review of Applied Economics, Taylor & Francis Journals, vol. 15(4), pages 375-396.
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    6. Erik Dietzenbacher & Bart Los, 1998. "Structural Decomposition Techniques: Sense and Sensitivity," Economic Systems Research, Taylor & Francis Journals, vol. 10(4), pages 307-324.
    7. James Riedel, 1976. "A Balanced-Growth Version of the Linkage Hypothesis: A Comment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 90(2), pages 319-322.
    8. Sanchez Choliz, Julio & Duarte, Rosa, 2006. "The effect of structural change on the self-reliance and interdependence of aggregate sectors: the case of Spain, 1980-1994," Structural Change and Economic Dynamics, Elsevier, vol. 17(1), pages 27-45, January.
    9. Henrik Jacobsen, 2000. "Energy Demand, Structural Change and Trade: A Decomposition Analysis of the Danish Manufacturing Industry," Economic Systems Research, Taylor & Francis Journals, vol. 12(3), pages 319-343.
    10. Erin Yeldan & Kivilcim Metin-…zcan & Ebru Voyvoda, 2000. "On the Patterns of Trade Liberalization, Oligopolistic Concentration and Profitablility : Reflections from Post-1980 Tukrish Manufacturing," Working Papers 0012, Department of Economics, Bilkent University.
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    Cited by:

    1. Ezzahid, Elhadj & Chatri, Abdellatif, 2015. "Imports contents, value added generation and structural change in morocco: input output analysis," MPRA Paper 63512, University Library of Munich, Germany.
    2. ELALAOUI, Aicha & EZZAHIDI, Elhadj & TOUNSI, Said & NIHOO, Abdelazziz, 2011. "Key sectors in the Moroccan economy: an application of input-output analysis," MPRA Paper 56822, University Library of Munich, Germany, revised 2012.
    3. Tounsi, Said & Ezzahid, El hadj & Alaoui, Aicha El & Nihou, Abdelaziz, 2013. "Key sectors in the Moroccan economy: An application of input-output analysis," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 7, pages 1-19.

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