Articles

Turkey: Financial Stability under Threat (Some Aspects of a Failed Attempt to Enact Fiscal Rule)?

Vostok/Oriens '2013, №3

 
The implementation of the so-called fiscal rule was going to be one of the most important innovations in the sphere of public finance management in Turkey at the end of the first decade of the twenty-first century. Fiscal rule means financial supervision of the executive power, severely limiting its ability to fall back upon populist economic policy. At the same time fiscal rule is a kind of guarantee for long-term stable development of the national economy. That is why it is important to analyze what are the reasons for Turkey to reject fiscal rule implementation in spite of its officially proclaimed intention for it, as well as the possible consequences of this step.

Keywords: Turkey, fiscal policy, fiscal rule, financial stability, transitional democracy, social policy, currency emission, inflation

Pages: С. 75–87