Skip to main content

The role of unemployment in wage determination: further evidence on the wage curve from Turkey

Buy Article:

$55.00 plus tax (Refund Policy)

Abstract:

This paper presents an empirical estimation of the correlation between wages and regional unemployment rates in Turkey, more specifically it explores the role of regional unemployment rates in wage determination. The analysis builds upon a series of recent empirical studies on the wage-unemployment relationship, now commonly known as 'the wage curve', a downward sloping curve in wage-unemployment space. The existing studies are for most part in advanced market economies, while this paper presents one of the few attempts at a wage curve analysis within the context of a developing market economy. A cross-sectional estimation of micro level individual wage data for the Turkish labour market in 1994, suggest a statistically significant negative correlation between wages and regional unemployment rates. Separate regressions for men and women, however, show a wage curve to exist only in the male labour market. The study also presents the results on other variables of wage determination such as returns to schooling, returns to age, job tenure, gender, industrial and occupational affiliation of the worker, economic sector and union status.

Document Type: Research Article

DOI: https://doi.org/10.1080/0003684022000040939

Affiliations: 1: Yeditepe University, Faculty of Economics and Administrative Sciences, Kayışdağı Caddesi, 81120 Kayışdağı-Erenköy-Istanbul, Turkey 2: New School for Social Research, Graduate Faculty of Political and Social Science, Department of Economics, 65 Fifth Avenue, New York, NY 10003, USA

Publication date: 2003-09-20

More about this publication?
  • Access Key
  • Free content
  • Partial Free content
  • New content
  • Open access content
  • Partial Open access content
  • Subscribed content
  • Partial Subscribed content
  • Free trial content
Cookie Policy
X
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more