Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?

Turkey's poverty reduction performance in the 2000s has been remarkably consistent. Extreme and moderate poverty have fallen considerably since 2003. Between 2002 and 2011, extreme poverty fell from 13 percent to 5 percent, while moderate pove...

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Main Authors: Azevedo, Joao Pedro, Atamanov, Aziz
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2014
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2014/04/19354560/pathways-middle-class-turkey-reducing-poverty-boosting-shared-prosperity-helped
http://hdl.handle.net/10986/17722
id okr-10986-17722
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ABSOLUTE TERMS
ACCESS TO EDUCATION
ACCESS TO MARKETS
AGRICULTURAL EMPLOYMENT
AGRICULTURAL SECTOR
AVERAGE GROWTH
AVERAGE GROWTH RATE
AVERAGE RATE
AVERAGE WAGES
CARIBBEAN REGION
CHANGES IN POVERTY
CONSUMPTION AGGREGATE
CONSUMPTION GROWTH
CONSUMPTION PER CAPITA
CONSUMPTION POVERTY
COUNTERFACTUAL
CROSS-SECTIONAL DATA
DATA AVAILABILITY
DEMOGRAPHIC CHANGES
DEMOGRAPHIC FACTORS
DENSITY FUNCTION
DETERMINANTS OF POVERTY
DEVELOPMENT POLICY
DEVELOPMENT RESEARCH
DISADVANTAGED REGIONS
DISTRIBUTIONAL CHANGE
DISTRIBUTIONAL CHANGES
DOMESTIC SAVINGS
DRIVERS OF POVERTY REDUCTION
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC PERFORMANCE
ECONOMIC RESEARCH
ECONOMICS
EMPLOYMENT CREATION
EQUAL ACCESS
EQUALIZING IMPACT
EXTERNAL IMBALANCES
EXTREME POVERTY
FAMILY INCOME
FEMALE PARTICIPATION
FINANCIAL INSTITUTIONS
FIXED EFFECTS
GINI COEFFICIENT
GRADUAL INCREASE
GROWTH RATES
HEALTH CARE
HIGH GROWTH
HIGHER INEQUALITY
HOUSEHOLD BUDGET
HOUSEHOLD CONSUMPTION
HOUSEHOLD INCOME
HOUSEHOLD INCOMES
HOUSEHOLD MEMBERS
HOUSEHOLD PER CAPITA INCOME
HOUSEHOLD SURVEYS
IMPACT ON POVERTY
INCOME
INCOME COMPONENTS
INCOME DISTRIBUTIONS
INCOME GROWTH
INCOME INEQUALITY
INCOME POVERTY
INCOME SHARE
INDIVIDUAL COUNTRIES
INEQUALITY
INEQUALITY REDUCTION
INTERGENERATIONAL MOBILITY
JOB CREATION
LABOR FORCE
LABOR MARKET
LABOR MARKETS
LABOR PRODUCTIVITY
LINEAR MODEL
MACROECONOMIC POLICIES
MEAN VALUE
MEASUREMENT ERROR
MIDDLE CLASS
NEGATIVE EFFECT
NEGATIVE GROWTH
NET INCOME
OBSERVED CHANGES
OBSERVED POVERTY REDUCTION
OLD AGE
PER CAPITA GROWTH
POLICY DISCUSSIONS
POLICY RESEARCH
POLITICAL ECONOMY
POOR
POOR PEOPLE
POVERTY ASSESSMENT
POVERTY DYNAMICS
POVERTY ESTIMATES
POVERTY LEVEL
POVERTY LINE
POVERTY LINES
POVERTY MEASURE
POVERTY MEASUREMENT
POVERTY MEASURES
POVERTY OUTCOMES
POVERTY RATE
POVERTY RATES
POVERTY REDUCTION
PRIVATE SECTOR
PRODUCTIVE POTENTIAL
PUBLIC SERVICE
RAPID GROWTH
REDUCING POVERTY
REGIONAL DATA
REGIONAL POVERTY
REGIONAL POVERTY LINES
REGIONAL PRICE
REGIONAL PRICE DIFFERENCES
RELATIVE CONTRIBUTION
RURAL
RURAL AREAS
RURAL POOR
RURAL POVERTY
RURAL POVERTY REDUCTION
RURAL RESIDENTS
SAVINGS
SELF-EMPLOYMENT
SOCIAL ASSISTANCE
SOCIAL POLICY
SOCIAL SPENDING
STRUCTURAL REFORMS
UNEMPLOYMENT
URBAN AREAS
URBAN POVERTY
WAGE EARNERS
WAGE EMPLOYMENT
WEALTH DISTRIBUTION
WELFARE IMPROVEMENTS
WELFARE MEASURE
spellingShingle ABSOLUTE TERMS
ACCESS TO EDUCATION
ACCESS TO MARKETS
AGRICULTURAL EMPLOYMENT
AGRICULTURAL SECTOR
AVERAGE GROWTH
AVERAGE GROWTH RATE
AVERAGE RATE
AVERAGE WAGES
CARIBBEAN REGION
CHANGES IN POVERTY
CONSUMPTION AGGREGATE
CONSUMPTION GROWTH
CONSUMPTION PER CAPITA
CONSUMPTION POVERTY
COUNTERFACTUAL
CROSS-SECTIONAL DATA
DATA AVAILABILITY
DEMOGRAPHIC CHANGES
DEMOGRAPHIC FACTORS
DENSITY FUNCTION
DETERMINANTS OF POVERTY
DEVELOPMENT POLICY
DEVELOPMENT RESEARCH
DISADVANTAGED REGIONS
DISTRIBUTIONAL CHANGE
DISTRIBUTIONAL CHANGES
DOMESTIC SAVINGS
DRIVERS OF POVERTY REDUCTION
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC PERFORMANCE
ECONOMIC RESEARCH
ECONOMICS
EMPLOYMENT CREATION
EQUAL ACCESS
EQUALIZING IMPACT
EXTERNAL IMBALANCES
EXTREME POVERTY
FAMILY INCOME
FEMALE PARTICIPATION
FINANCIAL INSTITUTIONS
FIXED EFFECTS
GINI COEFFICIENT
GRADUAL INCREASE
GROWTH RATES
HEALTH CARE
HIGH GROWTH
HIGHER INEQUALITY
HOUSEHOLD BUDGET
HOUSEHOLD CONSUMPTION
HOUSEHOLD INCOME
HOUSEHOLD INCOMES
HOUSEHOLD MEMBERS
HOUSEHOLD PER CAPITA INCOME
HOUSEHOLD SURVEYS
IMPACT ON POVERTY
INCOME
INCOME COMPONENTS
INCOME DISTRIBUTIONS
INCOME GROWTH
INCOME INEQUALITY
INCOME POVERTY
INCOME SHARE
INDIVIDUAL COUNTRIES
INEQUALITY
INEQUALITY REDUCTION
INTERGENERATIONAL MOBILITY
JOB CREATION
LABOR FORCE
LABOR MARKET
LABOR MARKETS
LABOR PRODUCTIVITY
LINEAR MODEL
MACROECONOMIC POLICIES
MEAN VALUE
MEASUREMENT ERROR
MIDDLE CLASS
NEGATIVE EFFECT
NEGATIVE GROWTH
NET INCOME
OBSERVED CHANGES
OBSERVED POVERTY REDUCTION
OLD AGE
PER CAPITA GROWTH
POLICY DISCUSSIONS
POLICY RESEARCH
POLITICAL ECONOMY
POOR
POOR PEOPLE
POVERTY ASSESSMENT
POVERTY DYNAMICS
POVERTY ESTIMATES
POVERTY LEVEL
POVERTY LINE
POVERTY LINES
POVERTY MEASURE
POVERTY MEASUREMENT
POVERTY MEASURES
POVERTY OUTCOMES
POVERTY RATE
POVERTY RATES
POVERTY REDUCTION
PRIVATE SECTOR
PRODUCTIVE POTENTIAL
PUBLIC SERVICE
RAPID GROWTH
REDUCING POVERTY
REGIONAL DATA
REGIONAL POVERTY
REGIONAL POVERTY LINES
REGIONAL PRICE
REGIONAL PRICE DIFFERENCES
RELATIVE CONTRIBUTION
RURAL
RURAL AREAS
RURAL POOR
RURAL POVERTY
RURAL POVERTY REDUCTION
RURAL RESIDENTS
SAVINGS
SELF-EMPLOYMENT
SOCIAL ASSISTANCE
SOCIAL POLICY
SOCIAL SPENDING
STRUCTURAL REFORMS
UNEMPLOYMENT
URBAN AREAS
URBAN POVERTY
WAGE EARNERS
WAGE EMPLOYMENT
WEALTH DISTRIBUTION
WELFARE IMPROVEMENTS
WELFARE MEASURE
Azevedo, Joao Pedro
Atamanov, Aziz
Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
geographic_facet Europe and Central Asia
Turkey
relation Policy Research Working Paper;No. 6834
description Turkey's poverty reduction performance in the 2000s has been remarkably consistent. Extreme and moderate poverty have fallen considerably since 2003. Between 2002 and 2011, extreme poverty fell from 13 percent to 5 percent, while moderate poverty halved from 44 percent to 22 percent (respectively, defined using the World Bank's Europe and Central Asia regional poverty lines of 2.5 and 5 USD/PPP). Most of this poverty reduction (89 percent) has been driven by growth, a performance consistent with most countries in Europe and Central Asia. This is substantially different form the recent performance of other regions, such as Latin America, where redistribution contributed to poverty reduction almost four times more than in Turkey. Turkey has also achieved sustained consumption growth of the bottom 40 percent of the population, even during the years of the world recession. Turkey's performance in poverty reduction and increased shared prosperity has been complemented by the systematic expansion of the middle class by 20 percentage points. This paper analyzes the main drivers of poverty reduction, shared prosperity, and changes in inequality in Turkey from 2002 to 2011. The analysis shows that labor markets, demographics, pensions, and social assistance have played a critical role in this process. It further explores some of the mechanisms that have facilitated these changes.
format Publications & Research :: Policy Research Working Paper
author Azevedo, Joao Pedro
Atamanov, Aziz
author_facet Azevedo, Joao Pedro
Atamanov, Aziz
author_sort Azevedo, Joao Pedro
title Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
title_short Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
title_full Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
title_fullStr Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
title_full_unstemmed Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped?
title_sort pathways to the middle class in turkey : how have reducing poverty and boosting shared prosperity helped?
publisher World Bank, Washington, DC
publishDate 2014
url http://documents.worldbank.org/curated/en/2014/04/19354560/pathways-middle-class-turkey-reducing-poverty-boosting-shared-prosperity-helped
http://hdl.handle.net/10986/17722
_version_ 1764438273463156736
spelling okr-10986-177222021-04-23T14:03:40Z Pathways to the Middle Class in Turkey : How Have Reducing Poverty and Boosting Shared Prosperity Helped? Azevedo, Joao Pedro Atamanov, Aziz ABSOLUTE TERMS ACCESS TO EDUCATION ACCESS TO MARKETS AGRICULTURAL EMPLOYMENT AGRICULTURAL SECTOR AVERAGE GROWTH AVERAGE GROWTH RATE AVERAGE RATE AVERAGE WAGES CARIBBEAN REGION CHANGES IN POVERTY CONSUMPTION AGGREGATE CONSUMPTION GROWTH CONSUMPTION PER CAPITA CONSUMPTION POVERTY COUNTERFACTUAL CROSS-SECTIONAL DATA DATA AVAILABILITY DEMOGRAPHIC CHANGES DEMOGRAPHIC FACTORS DENSITY FUNCTION DETERMINANTS OF POVERTY DEVELOPMENT POLICY DEVELOPMENT RESEARCH DISADVANTAGED REGIONS DISTRIBUTIONAL CHANGE DISTRIBUTIONAL CHANGES DOMESTIC SAVINGS DRIVERS OF POVERTY REDUCTION ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC PERFORMANCE ECONOMIC RESEARCH ECONOMICS EMPLOYMENT CREATION EQUAL ACCESS EQUALIZING IMPACT EXTERNAL IMBALANCES EXTREME POVERTY FAMILY INCOME FEMALE PARTICIPATION FINANCIAL INSTITUTIONS FIXED EFFECTS GINI COEFFICIENT GRADUAL INCREASE GROWTH RATES HEALTH CARE HIGH GROWTH HIGHER INEQUALITY HOUSEHOLD BUDGET HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD MEMBERS HOUSEHOLD PER CAPITA INCOME HOUSEHOLD SURVEYS IMPACT ON POVERTY INCOME INCOME COMPONENTS INCOME DISTRIBUTIONS INCOME GROWTH INCOME INEQUALITY INCOME POVERTY INCOME SHARE INDIVIDUAL COUNTRIES INEQUALITY INEQUALITY REDUCTION INTERGENERATIONAL MOBILITY JOB CREATION LABOR FORCE LABOR MARKET LABOR MARKETS LABOR PRODUCTIVITY LINEAR MODEL MACROECONOMIC POLICIES MEAN VALUE MEASUREMENT ERROR MIDDLE CLASS NEGATIVE EFFECT NEGATIVE GROWTH NET INCOME OBSERVED CHANGES OBSERVED POVERTY REDUCTION OLD AGE PER CAPITA GROWTH POLICY DISCUSSIONS POLICY RESEARCH POLITICAL ECONOMY POOR POOR PEOPLE POVERTY ASSESSMENT POVERTY DYNAMICS POVERTY ESTIMATES POVERTY LEVEL POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MEASUREMENT POVERTY MEASURES POVERTY OUTCOMES POVERTY RATE POVERTY RATES POVERTY REDUCTION PRIVATE SECTOR PRODUCTIVE POTENTIAL PUBLIC SERVICE RAPID GROWTH REDUCING POVERTY REGIONAL DATA REGIONAL POVERTY REGIONAL POVERTY LINES REGIONAL PRICE REGIONAL PRICE DIFFERENCES RELATIVE CONTRIBUTION RURAL RURAL AREAS RURAL POOR RURAL POVERTY RURAL POVERTY REDUCTION RURAL RESIDENTS SAVINGS SELF-EMPLOYMENT SOCIAL ASSISTANCE SOCIAL POLICY SOCIAL SPENDING STRUCTURAL REFORMS UNEMPLOYMENT URBAN AREAS URBAN POVERTY WAGE EARNERS WAGE EMPLOYMENT WEALTH DISTRIBUTION WELFARE IMPROVEMENTS WELFARE MEASURE Turkey's poverty reduction performance in the 2000s has been remarkably consistent. Extreme and moderate poverty have fallen considerably since 2003. Between 2002 and 2011, extreme poverty fell from 13 percent to 5 percent, while moderate poverty halved from 44 percent to 22 percent (respectively, defined using the World Bank's Europe and Central Asia regional poverty lines of 2.5 and 5 USD/PPP). Most of this poverty reduction (89 percent) has been driven by growth, a performance consistent with most countries in Europe and Central Asia. This is substantially different form the recent performance of other regions, such as Latin America, where redistribution contributed to poverty reduction almost four times more than in Turkey. Turkey has also achieved sustained consumption growth of the bottom 40 percent of the population, even during the years of the world recession. Turkey's performance in poverty reduction and increased shared prosperity has been complemented by the systematic expansion of the middle class by 20 percentage points. This paper analyzes the main drivers of poverty reduction, shared prosperity, and changes in inequality in Turkey from 2002 to 2011. The analysis shows that labor markets, demographics, pensions, and social assistance have played a critical role in this process. It further explores some of the mechanisms that have facilitated these changes. 2014-04-10T19:37:41Z 2014-04-10T19:37:41Z 2014-04 http://documents.worldbank.org/curated/en/2014/04/19354560/pathways-middle-class-turkey-reducing-poverty-boosting-shared-prosperity-helped http://hdl.handle.net/10986/17722 English en_US Policy Research Working Paper;No. 6834 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Europe and Central Asia Turkey