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Keywords:

  • Turkey;
  • agglomeration;
  • disparities;
  • new trade theory;
  • new economic geography;
  • neoclassical theory

Abstract

Along with an increasing integration with global goods and services markets, regional centres of industrial development have emerged in Turkey. Global linkages may play an important role in regional disparities in a developing country like Turkey through the determination of the locations of industries. This paper examines to what extent global linkages, operationalised by export performance, impact on agglomeration economies and regional disparities in industrial production and industrial employment in Turkey. To this end, using province-level industrial data, panel regressions are run to analyse the determinants of disparities and agglomeration in terms of industrial value added and employment by adding the size of exports as an explanatory variable. Copyright © 2011 John Wiley & Sons, Ltd.