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Demand-pull and cost-push effects on labor income in Turkey, 1973 - 90

Listed author(s):
  • Erik Dietzenbacher
  • Gülay Günlük-Senesen

In this paper we attempt to assess the changes in the Turkish production structure, and labor income in particular, between the 1970s and the 1990s. During this period a shift has taken place from an inward-looking policy towards an outward-oriented one. For our analysis we use two partially closed (or extended) input - output models. The demand-driven model is traditional for this type of analysis and examines the effects of a demand pull (for example, an increase in exports). For an open economy, however, it is not only important to investigate the effects of a demand pull, but also to examine how a cost push (for example, an increase in import prices) affects total gross output, value added, or labor income, for example. To study the effects of a cost push we introduce the partially closed supply-driven input - output model. Instead of analyzing the effects of a specific exogenous demand pull or cost push, we focus on various types of multiplier.

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Article provided by Pion Ltd, London in its journal Environment and Planning A.

Volume (Year): 35 (2003)
Issue (Month): 10 (October)
Pages: 1785-1807

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Handle: RePEc:pio:envira:v:35:y:2003:i:10:p:1785-1807
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