Economic liberalization boosts productivity growth in Turkey's manufacturing industries.
The study looks at how economic changes in Turkey affected productivity in manufacturing industries. They found that when the country opened up its trade policies in the 1980s, total factor productivity increased. By adjusting for factors like competition and scale, they showed that this growth was linked to economic liberalization. Interestingly, markups in Turkey were lower than in the US, despite the US being more competitive. This suggests that economic policies can impact productivity in different ways.