We explore the impact of labour turnover on firm performance by analysing the predictions of an extension of the efficiency wage model of [Salop, S., (1979) 'A Model of the Natural Rate of Unemployment', American Economic Review, 69, 117-125.] developed by [Garino, G. and Martin, C., (2008) 'The...

This paper investigates changes to the macroeconomic transmission mechanism in Turkey following a major reform of monetary policy in the early 2000s. We use a Threshold VAR (TVAR) framework to test for and then estimate a model with endogenous transitions between regimes. We detect two regimes,...