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Employers in January were required to raise the minimum wage by 26 percent, and now the government is even paying three months of wages and a year of social security for new workers, a bid to coax businesses to hire more people and rein in unemployment , which is at almost 14 percent.

The Political Economy of Regulation in Turkey | Tamer Çetin | Springer

Among youth, one out of every four people is out of work. He was then elected in June last year to a vastly empowered presidency and named his son-in-law as finance minister to manage the economy. The economy is the top worry in opinion polls ahead of the March 31 election, when nearly 58 million voters will choose more than 80 mayors. Who has ever heard of a food terrorist before? We want to hear what you think about this article. Submit a letter to the editor or write to letters theatlantic. People wait in line to buy vegetables at a tent set up in Istanbul by the municipality. The following table shows the main economic indicators in — As of , Turkey is the world's largest producer of hazelnuts , cherries , figs , apricots , and pomegranates ; the second-largest producer of quinces and watermelons ; the third-largest producer of cucumbers , green peppers , lentils and pistachios ; the fourth-largest producer of apples , tomatoes , eggplants , and olives ; the fifth-largest producer of tea , chickpeas and sugar beet ; the sixth-largest producer of almonds and onions ; the seventh-largest producer of lemons , grapefruit , and cotton ; and the eighth-largest producer of barley.

Turkish agriculture emits greenhouse gases and suffers from climate change in Turkey. The country's large agricultural sector accounted for Turkey is dismantling the incentive system. Fertilizer and pesticide subsidies have been curtailed and remaining price supports have been gradually converted to floor prices.

Turmoil and terrorism breed economic uncertainty for Turkey

The government has also initiated many planned projects, such as the Southeastern Anatolia Project G. P project. The program includes 22 dams, 19 hydraulic power plants, and the irrigation of 1. The livestock industry, compared to the initial years of the Republic, showed little improvement in productivity, and the later years of the decade saw stagnation. Fishing is another important part of the economy; in Turkish fisheries harvested , tons of fish and aquaculture. Turkey is the EU's fourth largest non-EU vegetable supplier and the seventh largest fruit supplier.

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The European Commission had already started the formal process for extending the Customs Union Agreement to agricultural products, [85] [86] before European Union—Turkey relations deteriorated and efforts to extend and modernize the Customs Union Agreement came to a halt in Olio Officina Globe reported olive statistics for Turkey: There are million trees covering , hectares 1,, acres with a production of , tonnes , long tons; , short tons of table olives and , tonnes , long tons; , short tons of olive oil.

Exports are 70, tonnes 69, long tons; 77, short tons of table olives and 60, tonnes 59, long tons; 66, short tons of olive oil a year. Turkey's Vestel is the largest TV producer in Europe , accounting for a quarter of all TV sets manufactured and sold on the continent in In Turkey produced 1,, motor vehicles, ranking as the fifth-largest producer in Europe behind the United Kingdom and above Italy and the twelfth-largest producer in the world.

The automotive industry is an important part of the economy since the late s. The companies that operate in the sector are mainly located in the Marmara Region. Turkey's annual auto exports, including trucks and buses, surpassed 1 million units for the first time in as foreign automakers' investment in new models and a recovery in its mainstay European market lifted shipments.

Auto exports hit a record high for the fourth straight year. Turkey has many modern armament manufacturers. Turkey ranks 8th in the list of countries by steel production. In , total steel production was 29 million tonnes. Its objectives include academic research in nuclear energy, and the development and implementation of peaceful nuclear tools.

Turkish government companies for research and development in military technologies include Turkish Aerospace Industries , Aselsan , Havelsan , Roketsan , MKE , among others. It consists of the construction of a spaceport , the development of satellite launch vehicles as well as the establishment of remote earth stations. The Turkish construction and contracting industry is made up of a large number of businesses, the largest of which was ranked 40th in the world by size.

Over half of Turkey's building stock contravenes housing regulations. In mid-February , an 8-story building that was registered in the amnesty collapsed killing 21 people. As Turkey is prone to strong earthquakes, poor building quality is even more concerning. In there were ninety-eight airports in Turkey , [] including 22 international airports. Trials began on April 23, , and revenue earning service began on March 13, As of , the Turkish merchant marine included 1, ships registered at home , ranking 7th in the world.

As of , there were 17,, operational landline telephones in Turkey, which ranked 18th in the world; [] while there were 65,, registered mobile phones in the country, which ranked 15th in the world during the same year. The telecommunications liberalisation process started in after the creation of the Telecommunication Authority, and is still ongoing. Private sector companies operate in mobile telephony, long distance telephony and Internet access.

Additional digital exchanges are permitting a rapid increase in subscribers; the construction of a network of technologically advanced intercity trunk lines, using both fiber-optic cable and digital microwave radio relay, is facilitating communication between urban centers. As of , there were 16 AM, FM, and 6 shortwave radio stations in the country. As of , there were 42,, internet users in Turkey, which ranked 15th in the world; [] while as of , there were 7,, internet hosts in the country, which ranked 16th in the world.

Tourism is one of the most dynamic and fastest developing sectors in Turkey. It possesses the sole right to issue notes. It also has the obligation to provide for the monetary requirements of the state agricultural and commercial enterprises. All foreign exchange transfers are exclusively handled by the central bank.

Until , establishing a private sector bank in Turkey wasn't easy and was subject to strict government controls and regulations.

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In , there were 72 banks in Turkey ; most of which were owned by construction companies that used them as financial assets for siphoning money into their other operations. The Turkish lira , which was pegged to the U. This financial breakdown reduced the number of banks to During the past decade since , the Turkish lira has also gained a considerable amount of value and maintained its stability, becoming an internationally exchangeable currency once again in line with the inflation that dropped to single-digit figures since The economy grew at an average rate of 7.

Fiscal deficit is benefiting though in a small amount from large industrial privatizations. Banking came under stress beginning in October as Turkish banking authorities warned state-run banks against the pullback of loans from the larger financial sectors. The five big state-owned banks were restructured in Political involvement was minimized and loaning policies were changed.

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There are also numerous international banks , which have branches in Turkey. A number of Arabian trading banks, which practice an Islamic banking , are also present in the country. National Reinsurance Corporation which was founded on February 26, The insurance market is officially regulated through the Ministry of Commerce.

In recent years, the chronically high inflation has been brought under control and this has led to the launch of a new currency, the "New Turkish lira ", on January 1, , to cement the acquisition of the economic reforms and erase the vestiges of an unstable economy. In , 12 Turkish companies were listed in the Forbes Global list - an annual ranking of the top public companies in the world by Forbes magazine. There are also 2 conglomerates followed by transportation and beverages industries with 1 companies each.

As of , listed companies were:. These values are calculated using the revision of the Harmonized System classification. The energy sector is the main source of greenhouse gas emissions by Turkey and contributes to climate change in Turkey , which is in turn affecting the economy by increasing droughts, which reduce agriculture and hydropower in Turkey.

Turkey is an oil and natural gas producer, but the level of production by the state-owned TPAO is not enough to make the country self-sufficient, which makes Turkey a net importer of both oil and gas. The Baku—Tbilisi—Ceyhan pipeline , the second-longest oil pipeline in the world, was inaugurated on May 10, The pipeline delivers crude oil from the Caspian Sea basin to the port of Ceyhan on Turkey's Mediterranean coast, from where it is distributed with oil tankers to the world's markets. The planned Nabucco Pipeline will also pass from Turkey and provide the European Union member states with natural gas from the Caspian Sea basin.

The Blue Stream , a major trans- Black Sea gas pipeline, is operational since November 17, , and delivers natural gas from Russia to Turkey. The Tabriz—Ankara pipeline is a 2,kilometre-long 1,mile natural gas pipeline, which runs from Tabriz in northwestern Iran to Ankara in Turkey.

The pipeline was commissioned on July 26, In the future, these two pipelines will be among the main supply routes for the planned Nabucco Pipeline from Turkey to Europe. To cover the increasing energy needs of its population and ensure the continued raising of its living standards, Turkey plans to build several nuclear power plants. Following the construction of experimental reactors, proposals to build large scale nuclear power plants were presented as early as in the s by Turkish Atomic Energy Authority , [] but plans were repeatedly canceled even after bids were made by interested manufacturers because of high costs and safety concerns.

Turkey has always chosen CANDU reactors because they burn natural uranium which is cheap and available locally and because they can be refueled online. Turkey has the fifth-highest direct utilization and capacity of geothermal power in the world. Turkey is a partner country of the EU INOGATE energy programme, which has four key topics: enhancing energy security , convergence of member state energy markets on the basis of EU internal energy market principles, supporting sustainable energy development, and attracting investment for energy projects of common and regional interest.

The share of renewable energy, which serves as one of the most important pillars of the National Energy and Mine Policy and led by hydro, wind and solar energy, reached 32 percent in the third quarter of , surpassing the target of 30 percent that was set for Turkey led the way in Europe with an increase of 1.

Turkey is the tenth-ranked producer of minerals in the world in terms of diversity.

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  • Around 60 different minerals are currently produced in Turkey. According to the CIA World Factbook , other natural resources include coal , iron ore , copper , chromium , uranium , antimony , mercury , gold , barite , borate , celestine strontium , emery , feldspar , limestone , magnesite , marble , perlite , pumice , pyrites sulfur , clay , arable land , hydropower , and geothermal power. With the establishment of the Turkish Environment Ministry on August 9, currently the Ministry of Environment and Urban Planning , Turkey began to make significant progress addressing some of its most important environmental problems.

    The country's wealth is mainly concentrated in the northwest and west, while the east and southeast suffer from poverty, lower economic production and higher levels of unemployment. These cities are known as the Anatolian Tigers. Source: Eurostat - ESA 95 [].

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    JavaScript is currently disabled, this site works much better if you enable JavaScript in your browser. Economics Economic Policy. Free Preview. Brings together contributions from international experts on regulatory reform and the economics of regulation Offers the first comprehensive evaluation of network industries in Turkey by focusing on economic and legal aspects Includes observational, empirical and anecdotal evidence and relates the Turkish experience to other emerging markets see more benefits.

    Why Turkey's currency crisis has global implications

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