Title: A new evidence for the Turkish wage curve
Authors: Hüseyin Kaya; Özer Selçuk
Addresses: Department of Economics, Istanbul Medeniyet University, 34000 Kadikoy, Istanbul, Turkey ' Department of Economics, Istanbul Medeniyet University, 34000 Kadikoy, Istanbul, Turkey
Abstract: As an accepted empirical law of economics, the wage curve establishes a negative relationship between local unemployment rates and level of wages. By using microdata from the Household Labor Force Survey and especially focusing on the period 2014-2017, this paper analyses the existence of the Turkish wage curve for the five-year periods from 2006 to 2017. We find strong evidence for the existence of the Turkish wage curve for all periods prior to 2014, but no evidence for the period 2014-2017. We believe that this is a consequence of the recent significant changes in the Turkish labour market.
Keywords: wage curve; regional labour markets; local unemployment; fixed effects.
Global Business and Economics Review, 2022 Vol.26 No.2, pp.163 - 184
Received: 24 Jan 2021
Accepted: 25 May 2021
Published online: 21 Feb 2022 *