Enhancing competitiveness by fostering the growth of the formal sector

Source: OECD Economic Surveys, Volume 2008, Number 14, July 2008 , pp. 159-192(34)

Publisher: OECD - Organisation for Economic Co-operation and Development

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Abstract:

The Turkish business sector's successful post-crisis performance has come under strain. Mounting competition from low-cost countries and strong real currency appreciation - until the early months of 2008 - have together undermined the performance of the trade-exposed sector, in particular of the segments dependent on low-skilled labour and domestic inputs. The resulting competitive squeeze gradually spilled-over to trade-sheltered activities, slowing down GDP growth.

Document Type: Review article

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