Change in firm population and spatial variations: The case of Turkey

provided by Research Papers in Economics

CHANGE IN FIRM POPULATION AND SPATIAL VARIATIONS:

THE CASE OF TURKEY

by Nazmiye BALTA

M.Sc. in Urban and Regional Planning

Tel: +90 212- 284 79 37

E-mail: [email protected]

Paper prepared to be presented at

The 38th Congress of The European Regional Science Association,

28 August-1 September 1998 in Vienna

Abstract: This paper aims to describe how spatial characteristics of regions relate
to the growth of firm population in Turkey. Between the observed period, from
1985 to 1992 in most parts of the country change in firm population is negative.
The regions with positive rates are located on the main highways of Turkey and
they do form an axis from the Southeast through the inner part to the North and
Northwest. The major causal factors affecting these changes are rather different for
total firm population, micro and non-micro firm population. Although the industrial
production characteristics and market growth rate are the main factors for the first
two, employment structure is the most influential factor on the growth of Turkish
non-micro firm population. While section 1 provides the introductory points of the
study, section 2 outlines the profile of Turkish manufacturing industry. Section 3
figures out the changes in firm population within Turkey and the following section
conducts spatial variations. The last section is devoted to conclusion, emphasising
the need for examination of the causal factors of the firm growth in other sectors as
well.

1. Introduction

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