TOTAL FACTOR PRODUCTIVITY GROWTH IN TURKISH MANUFACTURING INDUSTRY BETWEEN 1963 - 1983: AN ANALYSIS

Measurement of TFP is based on the theory of production.\nFor this purpose the theory consists of a production function with a\nconstant return to scale as necessary conditions for producers' equilibrium.\nTFP growth of the Turkish Manufacturing industry in the\nperiod 1963-83 has been estimated by using translog production\nfunction. Our analysis shows that TFP growth has been low to\nnegligable in most of the Turkish manufacturing industry. One of\nthe interesting results was that the public enterprises had a greater\nTFP growth than did the private enterprises. This difference in\nTFP growth between public sector and private sector can be explained\nby the differences in capital stocks per worker and size of\nthe firms in both sectors