Dynamics of Structural Transformation in Kütahya’s Economy (2004–2023)
Chapter from the book: Gözen, S. & Sağdıç, E. N. (eds.) 2025. Fiscal Developments in the Contemporary World: Theory and Practice.

İlhan Korkmaz
Kütahya Dumlupınar University
Güner Tuncer
Kütahya Dumlupınar University

Synopsis

This study examines the structural transformation of Kütahya’s economy over the period 2004–2023 at the sectoral level. Using province-level GDP chained volume index data published by the Turkish Statistical Institute, the study evaluates changes in the shares of agriculture, industry (manufacturing and non-manufacturing), construction, and services sectors through a descriptive analysis approach. The findings reveal a classical shift from agriculture to industry and modern services, consistent with the Clark-Fisher Hypothesis and Kuznets’ modern growth framework. While the share of agriculture declined significantly, the manufacturing industry more than doubled its share, indicating a structural move toward higher value-added production. Although the services sector remained relatively stable overall, the rapid growth of professional and financial services signals the onset of a knowledge-based servicification process. In conclusion, the case of Kütahya exemplifies a qualified regional structural transformation within Turkey, suggesting that manufacturing-led development has the potential to enhance the quality of economic growth.

How to cite this book

Korkmaz, İ. & Tuncer, G. (2025). Dynamics of Structural Transformation in Kütahya’s Economy (2004–2023) . In: Gözen, S. & Sağdıç, E. N. (eds.), Fiscal Developments in the Contemporary World: Theory and Practice. Özgür Publications. DOI: https://doi.org/10.58830/ozgur.pub963.c3971

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Published

December 8, 2025

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