Urbanization And Productivity Evidence From Turkish Provinces Over The Period 1980-2000

Since the early 1980s, Turkey has been going through a rapid urbanization process at a pace beyond the World average. This paper aims at assessing the impact of this rapid urbanization process on the country's sector productivity. The authors built a database combining two-digit manufacturing d...

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Bibliographic Details
Main Author: Coulibaly, Souleymane
Other Authors: Lall, Somik, Deichmann, Uwe
Format: eBook
Language:English
Published: Washington, D.C The World Bank 2007
Subjects:
Web
Online Access:
Collection: World Bank E-Library Archive - Collection details see MPG.ReNa
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100 1 |a Coulibaly, Souleymane 
245 0 0 |a Urbanization And Productivity  |h Elektronische Ressource  |b Evidence From Turkish Provinces Over The Period 1980-2000  |c Coulibaly, Souleymane 
260 |a Washington, D.C  |b The World Bank  |c 2007 
300 |a 32 p. 
653 |a Macroeconomics and Economic Growth 
653 |a E-Business 
653 |a Localization 
653 |a Municipal Financial Management 
653 |a Productivity 
653 |a Financial support 
653 |a Health, Nutrition and Population 
653 |a Result 
653 |a Manufacturing 
653 |a Urban Development 
653 |a Market access 
653 |a Education 
653 |a Business environment 
653 |a Private Sector Development 
653 |a Finance and Financial Sector Development 
653 |a Knowledge for Development 
653 |a Economic Theory and Research 
653 |a Population Policies 
653 |a Web 
653 |a Results 
653 |a Market potential 
700 1 |a Lall, Somik 
700 1 |a Coulibaly, Souleymane 
700 1 |a Deichmann, Uwe 
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520 |a Since the early 1980s, Turkey has been going through a rapid urbanization process at a pace beyond the World average. This paper aims at assessing the impact of this rapid urbanization process on the country's sector productivity. The authors built a database combining two-digit manufacturing data and some geographical, infrastructural, and socio-economic data collected at the provincial level by the Turkish State Institute of Statistics. The paper develops a parsimonious econometric relation linking sector productivity to accessibility, localization, and urbanization economies, proxying variables in the tradition of the New Economic Geography literature. The estimation results suggest that both localization and urbanization economies, as well as market accessibility, are productivity-enhancing factors in Turkey, although the causation link between productivity and these agglomeration measures is not clearly established. The sector-by-sector estimation confirms this result, although the localization economies effect is negative for the non-oil mineral sector, and the urbanization economies effect is weak for natural-resource-based sectors such as the wood and metal industry. Although the data cover the period up to 2000 and thus ignore the financial crisis that hit Turkey in 2001, the current structural transformation of the country away from the agricultural sector gives room to use the insights of these results as a preliminary step to understand the new challenges faced by the Turkish manufacturing sector. The results provide a discussion base to revisit the policy agenda on the improvement of the accessibility to markets, the improvement of the business environment to ease the creation and development of new firms, and a well-managed urbanization process to tap in the economic potential of cities