Premature Liberalization, Incomplete Stabilization

Premature Liberalization, Incomplete Stabilization
Author: Dani Rodrik
Publisher:
Total Pages: 64
Release: 1990
Genre: Deficit financing
ISBN:

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In late 1979, Turkey stood in the throes of a foreign exchange crisis, with widespread shortages, negative growth, and inflation into triple digits. A decade later, Turkey has a comfortable balance-of-payments situation, and sits atop considerable foreign exchange reserves. The economy has achieved a remarkable transformation from an inward-oriented outlook to an outwardoriented one. Yet, after some success in the early 1980s, inflation remains unconquered and the public sector budget is out of control. This paper provides an interpretation of the Turkish experience in the 1980s. It is argued that foreign capital inflows in the early 1980s cushioned the fiscal squeeze, and allowed a relatively painless reduction in inflation alongside a process of export-oriented growth. In the best of all possible worlds, the outward-oriented reforms would have taken sufficient root by the mid-1980s to allow the public sector to undertake the delayed retrenchment as the inflows came to an end, at no great cost to output. Instead, policy followed a mix of liberalization with patronage politics detrimental to monetary discipline. Financial liberalization reduced demand for base money at the same time that fiscal balances came under increasing strain due to the external transfer. Inflation was rekindled under the dual influence of fiscal deficits and a shrinking base for the inflation tax.

Premature Liberalization, Incomplete Stabilization

Premature Liberalization, Incomplete Stabilization
Author: Dani Rodrik
Publisher:
Total Pages: 60
Release: 1990
Genre: Deficit financing
ISBN:

Download Premature Liberalization, Incomplete Stabilization Book in PDF, Epub and Kindle

In late 1979, Turkey stood in the throes of a foreign exchange crisis, with widespread shortages, negative growth, and inflation into triple digits. A decade later, Turkey has a comfortable balance-of-payments situation, and sits atop considerable foreign exchange reserves. The economy has achieved a remarkable transformation from an inward-oriented outlook to an outwardoriented one. Yet, after some success in the early 1980s, inflation remains unconquered and the public sector budget is out of control. This paper provides an interpretation of the Turkish experience in the 1980s. It is argued that foreign capital inflows in the early 1980s cushioned the fiscal squeeze, and allowed a relatively painless reduction in inflation alongside a process of export-oriented growth. In the best of all possible worlds, the outward-oriented reforms would have taken sufficient root by the mid-1980s to allow the public sector to undertake the delayed retrenchment as the inflows came to an end, at no great cost to output. Instead, policy followed a mix of liberalization with patronage politics detrimental to monetary discipline. Financial liberalization reduced demand for base money at the same time that fiscal balances came under increasing strain due to the external transfer. Inflation was rekindled under the dual influence of fiscal deficits and a shrinking base for the inflation tax.

Strategic Relations Between the US and Turkey 1979-2000

Strategic Relations Between the US and Turkey 1979-2000
Author: Ekavi Athanassopoulou
Publisher: Routledge
Total Pages: 230
Release: 2014-07-11
Genre: Political Science
ISBN: 1317694546

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Taking the period from the end of the 1970s to the end of the 1990s, this book critically examines the evolution of the strategic relationship between the US and Turkey during this period, with a particular focus on the Middle Eastern context. Strategic Relations Between the US and Turkey employs interviews with US, Turkish and Israeli officials and archival research in order to offer an alternative reading of the realities that shaped bilateral co-operation through multi-level analysis. The unraveling of these realities enlightens the reader about the past course of events but also aids the understanding of the dynamics of the relationship today. Essential reading for students and scholars of U.S. and Turkish foreign policy, this study of co-operation between a super-power and a relatively weak state in the international system will also be of use to those interested in International Relations, Diplomatic History and World Politics more broadly.

Inflation and Disinflation in Turkey

Inflation and Disinflation in Turkey
Author: Faruk Selcuk
Publisher: Routledge
Total Pages: 190
Release: 2018-04-27
Genre: Social Science
ISBN: 135173928X

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This title was first published in 2002. Since the 1990s Turkey has experienced a number of disasters, both physical and economic. The result has been a decrease in economic performance compared to other European states. This study addresses the country's ongoing economic struggles.

The World Bank

The World Bank
Author: Devesh Kapur
Publisher: Brookings Institution Press
Total Pages: 1310
Release: 2011-08-01
Genre: Business & Economics
ISBN: 9780815720126

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This effort constitutes the most comprehensive and authoritative work to date on the history of the International Bank for Reconstruction and Development, or the World Bank. Author-editors John Lewis, Richard Webb, and Devesh Kapur chronicle the evolution of this institution and offer insights into its successes, failures, and prospects for the future. The result of their intense labors is an invaluable resource for other researchers and a fascinating study in its own right. The work is divided into two volumes. The first is organized thematically and examines the critical events and policy issues in the World Bank's development over the last fifty years. Chapter topics include poverty alleviation, structural adjustment lending, environmental programs, the International Finance Corporation (IFC), the International Development Association (IDA), and the evolution of the Bank as an institution. The second volume contains case studies written by experts with experience in the various regions in which the Bank operates. There are chapters on the Bank's activities in Korea, Mexico, Africa, South Asia, and Eastern Europe. Volume 2 also contains essays on the World Bank's relationship with the United States, Japan, and Western Europe, and its partnership with the International Monetary Fund (IMF). By special arrangement, the authors have had wide-ranging access to confidential documents at the World Bank, making this work a unique source of information on the internal workings of this critical institution. They have also drawn on extensive interviews with current and past Bank officials. Moreover, publication could not be more timely, coming as it does when many in the development community and in the U.S. Congress are questioning the Bank's track record and even its reason for existence. The World Bank: Its First Half Century will be of great interest not only to development practitioners but also to students of international relations, development economics, and global finance. During the course of the project, John P. Lewis and Richard Webb were nonresident senior fellows, and Devesh Kapur was a program associate, in the Foreign Policy Studies program at the Brookings Institution.

The Ravages of Neo-liberalism

The Ravages of Neo-liberalism
Author: Nesecan Balkan
Publisher: Nova Publishers
Total Pages: 258
Release: 2002
Genre: Business & Economics
ISBN: 9781590332795

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Ravages Of Neo-Liberalism Economy, Society & Gender In Turkey

An Econometric Analysis of the Determinants of Inflation in Turkey

An Econometric Analysis of the Determinants of Inflation in Turkey
Author: Ms.G. C. Lim
Publisher: International Monetary Fund
Total Pages: 33
Release: 1997-12-01
Genre: Business & Economics
ISBN: 1451858388

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High and variable inflation has been a central feature of the Turkish economy since the 1970s. This paper seeks to shed some light on the determinants of inflation in Turkey by analyzing price determination within the framework of a multi-sector macroeconomic model during 1970–95. The main findings are that monetary variables (initially money, more recently the exchange rate) play a central role in the inflationary process, that public sector deficits contribute to inflationary pressures, and that inertial factors are quantitatively important. Policymakers’ commitment to active exchange rate depreciation on several occasions in the past 15 years has also contributed to the inflationary process.

Trade Policy and Industrialization in Turbulent Times

Trade Policy and Industrialization in Turbulent Times
Author: Gerald K. Helleiner
Publisher: Psychology Press
Total Pages: 592
Release: 1994
Genre: Business & Economics
ISBN: 9780415107112

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With the relationship between trade policy and industrialization coming in for increasingly close scrutiny, this book assesses how far trade policy has promoted economic growth in fourteen developing countries in the 1970s and 1980s.