Onaran, Ö.Yentürk, N.2024-07-182024-07-1820020926-6437https://hdl.handle.net/11411/6723The aim of this study is to shed light on the movements of the mark-up rate for the case of Turkey following trade liberalization. For this purpose, first the relationship between the labor and non-labor costs that lies behind the movements of the mark-up rate is analyzed, and second, the effect of trade liberalization on mark-up rates is tested. The trade-off between labor and non-labor costs is analyzed based on a model, which assumes that prices are set by a mark-up over average variable costs. The paper also tests the effect of international trade on the mark-up rate and the effect of the exchange rate via its effect on competitiveness and input costs using the panel data for the sub-sectors of private manufacturing industry. The most striking result of this analysis is the absence of any strong link between foreign trade and the mark-up rates.eninfo:eu-repo/semantics/closedAccessDistributionMark-UpStructural AdjustmentTrade LiberalizationReview Article2-s2.0-2442607763413-4N/A2111