Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?

Turkey has experienced rapid growth and improved social outcomes over the past decade. Per-capita income in United States dollar (USD) terms tripled during the first decade of the 21th century, and Turkey is now the world's 17th largest econom...

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Bibliographic Details
Main Author: World Bank
Format: Public Investment Review
Language:English
en_US
Published: Washington, DC 2014
Subjects:
CC
TAX
Online Access:http://documents.worldbank.org/curated/en/2014/05/19893358/turkey-public-finance-review-turkey-transition-time-fiscal-policy-pivot
http://hdl.handle.net/10986/19321
id okr-10986-19321
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 ACCESS TO CREDIT
ACCESS TO EDUCATION
ACCOUNTING
ACTIVE DEBT
AMORTIZATIONS
ASSET CLASSES
BANK CREDIT
BANKING CRISIS
BANKING SECTOR
BANKING SUPERVISION
BEQUEST
BINDING CONSTRAINT
BOND SPREADS
BORROWING
BORROWING COSTS
BORROWING REQUIREMENT
CAPITAL FLOWS
CAPITAL FORMATIONS
CAPITAL GAINS
CAPITAL INFLOW
CAPITAL INFLOWS
CAPITAL INVESTMENT
CAPITAL MARKETS
CAPITAL OUTFLOWS
CAPITAL SHARE
CAPITAL STOCK
CC
CENTRAL BANK
CONSUMER CONFIDENCE
CONTINGENT LIABILITIES
CREDIT MARKETS
CURRENCY
CURRENT ACCOUNT
CURRENT ACCOUNT DEFICIT
CURRENT ACCOUNT DEFICITS
DEBT BURDEN
DEBT FINANCING
DEBT MATURITIES
DEBT MATURITY
DEBT RATIO
DECENTRALIZATION
DEMOGRAPHIC
DEMOGRAPHIC PROFILE
DEVELOPING COUNTRIES
DISPOSABLE INCOME
DOLLAR VALUE
DOMESTIC CREDIT
DOMESTIC DEBT
DOMESTIC DEBT MARKETS
DOMESTIC INTEREST RATES
EARNINGS
ECONOMIC COOPERATION
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC OPPORTUNITIES
ECONOMIC POLICY
ECONOMIC REFORMS
EMERGING ECONOMIES
EMERGING MARKET
EMERGING MARKET ECONOMIES
EMERGING MARKETS
EMPLOYEE
EMPLOYER
EMPLOYER CONTRIBUTIONS
EMPLOYERS
EMPLOYMENT GROWTH
ENROLLMENT
EXCHANGE RATE
EXPENDITURE
EXTERNAL CAPITAL
EXTERNAL DEBT
EXTERNAL FINANCING
FAMILIES
FEDERAL RESERVE
FEDERAL RESERVE BANK
FINANCIAL ASSETS
FINANCIAL CRISIS
FINANCIAL GLOBALIZATION
FINANCIAL MANAGEMENT
FINANCIAL MARKETS
FISCAL DEFICIT
FISCAL DEFICITS
FISCAL EFFORT
FISCAL POLICY
FIXED CAPITAL
FLEXIBLE EXCHANGE RATE
FOREIGN CAPITAL
FOREIGN DIRECT INVESTMENT
FOREIGN FINANCING
FOREIGN INFLOWS
FORMAL SAVINGS
GLOBAL CAPITAL
GLOBAL ECONOMY
GLOBAL RISK
GLOBALIZATION
GOVERNMENT ACCOUNTS
GOVERNMENT EXPENDITURES
GOVERNMENT PAPER
GOVERNMENT REVENUE
GOVERNMENT REVENUES
GOVERNMENT SPENDING
GREATER ACCESS
GROSS DOMESTIC PRODUCT
GROWTH RATES
HOLDINGS
HOME OWNERSHIP
HOMEOWNERS
HOMEOWNERSHIP
HOUSEHOLD INCOMES
HOUSEHOLD SAVING
HOUSEHOLD SAVING RATES
HOUSEHOLD SAVINGS
HOUSEHOLDS
INCOME LEVELS
INCOME TAX
INCOME TAXES
INFLATION
INFLATION RATES
INFORMAL WORKERS
INFORMATION TECHNOLOGY
INSURANCE
INTEREST EXPENDITURES
INTEREST PAYMENT
INTEREST PAYMENTS
INTERNATIONAL CAPITAL
INTERNATIONAL DEVELOPMENT
INTERNATIONAL FINANCE
INTERNATIONAL STANDARDS
INTERNATIONAL TRADE
INVESTMENT FINANCING
INVESTMENT PORTFOLIO
INVESTMENT RATE
INVESTMENT RATES
INVESTMENT SPENDING
JOB CREATION
LABOR FORCE PARTICIPATION
LABOR MARKET
LIFE EXPECTANCY
LIQUIDITY
LOAN
LOCAL GOVERNMENTS
LOW INTEREST RATES
MACROECONOMIC STABILITY
MACROECONOMIC STABILIZATION
MACROECONOMIC UNCERTAINTY
MARKET CONSTRAINTS
MARKET REFORMS
MARKET TRENDS
MICRO DATA
MINIMUM WAGE
MINIMUM WAGES
MONETARY FUND
MONETARY POLICY
NATIONAL SAVING
NATIONAL SAVINGS
NOMINAL INTEREST RATES
OUTPUT
OUTPUT RATIO
PENSION
PENSION FUND
PENSION FUND CONTRIBUTIONS
PENSIONS
PERSONAL INCOME
PHYSICAL CAPITAL
POLITICAL STABILITY
PORTFOLIO
PORTFOLIO FLOWS
PORTFOLIO INVESTMENT
POSITIVE DEBT
PRIVATE FINANCING
PRIVATE INVESTMENT
PRIVATE SAVING
PRIVATE SAVINGS
PRIVATIZATION
PRODUCTION CAPACITY
PROPERTY TAX
PROPERTY TAXES
PUBLIC DEBT
PUBLIC DEBT MANAGEMENT
PUBLIC FINANCE
PUBLIC FINANCES
PUBLIC INVESTMENT
PUBLIC INVESTMENTS
PUBLIC POLICY
PUBLIC SAVING
PUBLIC SAVINGS
RAPID GROWTH
REAL ESTATE
REAL EXCHANGE RATE
REAL INTEREST
REAL INTEREST RATE
REAL INTEREST RATES
RECEIPTS
REGULATORY FRAMEWORK
RETIREMENT AGE
REVOLVING FUNDS
RISK AVERSION
RISK MANAGEMENT
SAVINGS ACCOUNTS
SAVINGS RATE
SAVINGS RATES
SOCIAL DEVELOPMENT
SOCIAL FUND
SOCIAL FUNDS
SOCIAL SECURITY
SOURCES OF FINANCE
SOVEREIGN BOND
SOVEREIGN RISK
SUSTAINABLE GROWTH
TAX
TAX COLLECTION
TAX POLICY
TAX RATE
TAX RATES
TAX SYSTEM
TELECOMMUNICATIONS
TREASURY
UNEMPLOYMENT
UNEMPLOYMENT INSURANCE
UNION
WEALTH EFFECT
WEALTH EFFECTS
spellingShingle ACCESS TO CREDIT
ACCESS TO EDUCATION
ACCOUNTING
ACTIVE DEBT
AMORTIZATIONS
ASSET CLASSES
BANK CREDIT
BANKING CRISIS
BANKING SECTOR
BANKING SUPERVISION
BEQUEST
BINDING CONSTRAINT
BOND SPREADS
BORROWING
BORROWING COSTS
BORROWING REQUIREMENT
CAPITAL FLOWS
CAPITAL FORMATIONS
CAPITAL GAINS
CAPITAL INFLOW
CAPITAL INFLOWS
CAPITAL INVESTMENT
CAPITAL MARKETS
CAPITAL OUTFLOWS
CAPITAL SHARE
CAPITAL STOCK
CC
CENTRAL BANK
CONSUMER CONFIDENCE
CONTINGENT LIABILITIES
CREDIT MARKETS
CURRENCY
CURRENT ACCOUNT
CURRENT ACCOUNT DEFICIT
CURRENT ACCOUNT DEFICITS
DEBT BURDEN
DEBT FINANCING
DEBT MATURITIES
DEBT MATURITY
DEBT RATIO
DECENTRALIZATION
DEMOGRAPHIC
DEMOGRAPHIC PROFILE
DEVELOPING COUNTRIES
DISPOSABLE INCOME
DOLLAR VALUE
DOMESTIC CREDIT
DOMESTIC DEBT
DOMESTIC DEBT MARKETS
DOMESTIC INTEREST RATES
EARNINGS
ECONOMIC COOPERATION
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC OPPORTUNITIES
ECONOMIC POLICY
ECONOMIC REFORMS
EMERGING ECONOMIES
EMERGING MARKET
EMERGING MARKET ECONOMIES
EMERGING MARKETS
EMPLOYEE
EMPLOYER
EMPLOYER CONTRIBUTIONS
EMPLOYERS
EMPLOYMENT GROWTH
ENROLLMENT
EXCHANGE RATE
EXPENDITURE
EXTERNAL CAPITAL
EXTERNAL DEBT
EXTERNAL FINANCING
FAMILIES
FEDERAL RESERVE
FEDERAL RESERVE BANK
FINANCIAL ASSETS
FINANCIAL CRISIS
FINANCIAL GLOBALIZATION
FINANCIAL MANAGEMENT
FINANCIAL MARKETS
FISCAL DEFICIT
FISCAL DEFICITS
FISCAL EFFORT
FISCAL POLICY
FIXED CAPITAL
FLEXIBLE EXCHANGE RATE
FOREIGN CAPITAL
FOREIGN DIRECT INVESTMENT
FOREIGN FINANCING
FOREIGN INFLOWS
FORMAL SAVINGS
GLOBAL CAPITAL
GLOBAL ECONOMY
GLOBAL RISK
GLOBALIZATION
GOVERNMENT ACCOUNTS
GOVERNMENT EXPENDITURES
GOVERNMENT PAPER
GOVERNMENT REVENUE
GOVERNMENT REVENUES
GOVERNMENT SPENDING
GREATER ACCESS
GROSS DOMESTIC PRODUCT
GROWTH RATES
HOLDINGS
HOME OWNERSHIP
HOMEOWNERS
HOMEOWNERSHIP
HOUSEHOLD INCOMES
HOUSEHOLD SAVING
HOUSEHOLD SAVING RATES
HOUSEHOLD SAVINGS
HOUSEHOLDS
INCOME LEVELS
INCOME TAX
INCOME TAXES
INFLATION
INFLATION RATES
INFORMAL WORKERS
INFORMATION TECHNOLOGY
INSURANCE
INTEREST EXPENDITURES
INTEREST PAYMENT
INTEREST PAYMENTS
INTERNATIONAL CAPITAL
INTERNATIONAL DEVELOPMENT
INTERNATIONAL FINANCE
INTERNATIONAL STANDARDS
INTERNATIONAL TRADE
INVESTMENT FINANCING
INVESTMENT PORTFOLIO
INVESTMENT RATE
INVESTMENT RATES
INVESTMENT SPENDING
JOB CREATION
LABOR FORCE PARTICIPATION
LABOR MARKET
LIFE EXPECTANCY
LIQUIDITY
LOAN
LOCAL GOVERNMENTS
LOW INTEREST RATES
MACROECONOMIC STABILITY
MACROECONOMIC STABILIZATION
MACROECONOMIC UNCERTAINTY
MARKET CONSTRAINTS
MARKET REFORMS
MARKET TRENDS
MICRO DATA
MINIMUM WAGE
MINIMUM WAGES
MONETARY FUND
MONETARY POLICY
NATIONAL SAVING
NATIONAL SAVINGS
NOMINAL INTEREST RATES
OUTPUT
OUTPUT RATIO
PENSION
PENSION FUND
PENSION FUND CONTRIBUTIONS
PENSIONS
PERSONAL INCOME
PHYSICAL CAPITAL
POLITICAL STABILITY
PORTFOLIO
PORTFOLIO FLOWS
PORTFOLIO INVESTMENT
POSITIVE DEBT
PRIVATE FINANCING
PRIVATE INVESTMENT
PRIVATE SAVING
PRIVATE SAVINGS
PRIVATIZATION
PRODUCTION CAPACITY
PROPERTY TAX
PROPERTY TAXES
PUBLIC DEBT
PUBLIC DEBT MANAGEMENT
PUBLIC FINANCE
PUBLIC FINANCES
PUBLIC INVESTMENT
PUBLIC INVESTMENTS
PUBLIC POLICY
PUBLIC SAVING
PUBLIC SAVINGS
RAPID GROWTH
REAL ESTATE
REAL EXCHANGE RATE
REAL INTEREST
REAL INTEREST RATE
REAL INTEREST RATES
RECEIPTS
REGULATORY FRAMEWORK
RETIREMENT AGE
REVOLVING FUNDS
RISK AVERSION
RISK MANAGEMENT
SAVINGS ACCOUNTS
SAVINGS RATE
SAVINGS RATES
SOCIAL DEVELOPMENT
SOCIAL FUND
SOCIAL FUNDS
SOCIAL SECURITY
SOURCES OF FINANCE
SOVEREIGN BOND
SOVEREIGN RISK
SUSTAINABLE GROWTH
TAX
TAX COLLECTION
TAX POLICY
TAX RATE
TAX RATES
TAX SYSTEM
TELECOMMUNICATIONS
TREASURY
UNEMPLOYMENT
UNEMPLOYMENT INSURANCE
UNION
WEALTH EFFECT
WEALTH EFFECTS
World Bank
Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
geographic_facet Europe and Central Asia
Turkey
description Turkey has experienced rapid growth and improved social outcomes over the past decade. Per-capita income in United States dollar (USD) terms tripled during the first decade of the 21th century, and Turkey is now the world's 17th largest economy. Fiscal policy was an important component of the reform program that delivered these successes. Prudent fiscal policy also provided the fiscal space to soften the blow of the global economic and financial crisis in 2008-2009. This report documents the central role played by fiscal policy over the last decade and presents simulation results from a computable general equilibrium model that will help inform the future direction of fiscal policy to support sustained high growth. The dynamics of fiscal outcomes and private investment and savings raise a series of tradeoffs for policy going forward. The analysis in this report suggests that public investment can crowd-in private investment and promote a more sustainable growth path. Government revenue dynamics present another set of trade-offs. These fiscal trade-offs are likely to be exacerbated as the structural transformation of Turkey's economy slows down. Structural reforms can support the fiscal policy pivot, particularly by strengthening the supply side of the economy, for instance through an increase in female labor force participation.
format Economic & Sector Work :: Public Investment Review
author World Bank
author_facet World Bank
author_sort World Bank
title Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
title_short Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
title_full Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
title_fullStr Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
title_full_unstemmed Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot?
title_sort turkey public finance review : turkey in transition--time for a fiscal policy pivot?
publisher Washington, DC
publishDate 2014
url http://documents.worldbank.org/curated/en/2014/05/19893358/turkey-public-finance-review-turkey-transition-time-fiscal-policy-pivot
http://hdl.handle.net/10986/19321
_version_ 1764443677912989696
spelling okr-10986-193212021-04-23T14:03:51Z Turkey Public Finance Review : Turkey in Transition--Time for a Fiscal Policy Pivot? World Bank ACCESS TO CREDIT ACCESS TO EDUCATION ACCOUNTING ACTIVE DEBT AMORTIZATIONS ASSET CLASSES BANK CREDIT BANKING CRISIS BANKING SECTOR BANKING SUPERVISION BEQUEST BINDING CONSTRAINT BOND SPREADS BORROWING BORROWING COSTS BORROWING REQUIREMENT CAPITAL FLOWS CAPITAL FORMATIONS CAPITAL GAINS CAPITAL INFLOW CAPITAL INFLOWS CAPITAL INVESTMENT CAPITAL MARKETS CAPITAL OUTFLOWS CAPITAL SHARE CAPITAL STOCK CC CENTRAL BANK CONSUMER CONFIDENCE CONTINGENT LIABILITIES CREDIT MARKETS CURRENCY CURRENT ACCOUNT CURRENT ACCOUNT DEFICIT CURRENT ACCOUNT DEFICITS DEBT BURDEN DEBT FINANCING DEBT MATURITIES DEBT MATURITY DEBT RATIO DECENTRALIZATION DEMOGRAPHIC DEMOGRAPHIC PROFILE DEVELOPING COUNTRIES DISPOSABLE INCOME DOLLAR VALUE DOMESTIC CREDIT DOMESTIC DEBT DOMESTIC DEBT MARKETS DOMESTIC INTEREST RATES EARNINGS ECONOMIC COOPERATION ECONOMIC DEVELOPMENT ECONOMIC GROWTH ECONOMIC OPPORTUNITIES ECONOMIC POLICY ECONOMIC REFORMS EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET ECONOMIES EMERGING MARKETS EMPLOYEE EMPLOYER EMPLOYER CONTRIBUTIONS EMPLOYERS EMPLOYMENT GROWTH ENROLLMENT EXCHANGE RATE EXPENDITURE EXTERNAL CAPITAL EXTERNAL DEBT EXTERNAL FINANCING FAMILIES FEDERAL RESERVE FEDERAL RESERVE BANK FINANCIAL ASSETS FINANCIAL CRISIS FINANCIAL GLOBALIZATION FINANCIAL MANAGEMENT FINANCIAL MARKETS FISCAL DEFICIT FISCAL DEFICITS FISCAL EFFORT FISCAL POLICY FIXED CAPITAL FLEXIBLE EXCHANGE RATE FOREIGN CAPITAL FOREIGN DIRECT INVESTMENT FOREIGN FINANCING FOREIGN INFLOWS FORMAL SAVINGS GLOBAL CAPITAL GLOBAL ECONOMY GLOBAL RISK GLOBALIZATION GOVERNMENT ACCOUNTS GOVERNMENT EXPENDITURES GOVERNMENT PAPER GOVERNMENT REVENUE GOVERNMENT REVENUES GOVERNMENT SPENDING GREATER ACCESS GROSS DOMESTIC PRODUCT GROWTH RATES HOLDINGS HOME OWNERSHIP HOMEOWNERS HOMEOWNERSHIP HOUSEHOLD INCOMES HOUSEHOLD SAVING HOUSEHOLD SAVING RATES HOUSEHOLD SAVINGS HOUSEHOLDS INCOME LEVELS INCOME TAX INCOME TAXES INFLATION INFLATION RATES INFORMAL WORKERS INFORMATION TECHNOLOGY INSURANCE INTEREST EXPENDITURES INTEREST PAYMENT INTEREST PAYMENTS INTERNATIONAL CAPITAL INTERNATIONAL DEVELOPMENT INTERNATIONAL FINANCE INTERNATIONAL STANDARDS INTERNATIONAL TRADE INVESTMENT FINANCING INVESTMENT PORTFOLIO INVESTMENT RATE INVESTMENT RATES INVESTMENT SPENDING JOB CREATION LABOR FORCE PARTICIPATION LABOR MARKET LIFE EXPECTANCY LIQUIDITY LOAN LOCAL GOVERNMENTS LOW INTEREST RATES MACROECONOMIC STABILITY MACROECONOMIC STABILIZATION MACROECONOMIC UNCERTAINTY MARKET CONSTRAINTS MARKET REFORMS MARKET TRENDS MICRO DATA MINIMUM WAGE MINIMUM WAGES MONETARY FUND MONETARY POLICY NATIONAL SAVING NATIONAL SAVINGS NOMINAL INTEREST RATES OUTPUT OUTPUT RATIO PENSION PENSION FUND PENSION FUND CONTRIBUTIONS PENSIONS PERSONAL INCOME PHYSICAL CAPITAL POLITICAL STABILITY PORTFOLIO PORTFOLIO FLOWS PORTFOLIO INVESTMENT POSITIVE DEBT PRIVATE FINANCING PRIVATE INVESTMENT PRIVATE SAVING PRIVATE SAVINGS PRIVATIZATION PRODUCTION CAPACITY PROPERTY TAX PROPERTY TAXES PUBLIC DEBT PUBLIC DEBT MANAGEMENT PUBLIC FINANCE PUBLIC FINANCES PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC POLICY PUBLIC SAVING PUBLIC SAVINGS RAPID GROWTH REAL ESTATE REAL EXCHANGE RATE REAL INTEREST REAL INTEREST RATE REAL INTEREST RATES RECEIPTS REGULATORY FRAMEWORK RETIREMENT AGE REVOLVING FUNDS RISK AVERSION RISK MANAGEMENT SAVINGS ACCOUNTS SAVINGS RATE SAVINGS RATES SOCIAL DEVELOPMENT SOCIAL FUND SOCIAL FUNDS SOCIAL SECURITY SOURCES OF FINANCE SOVEREIGN BOND SOVEREIGN RISK SUSTAINABLE GROWTH TAX TAX COLLECTION TAX POLICY TAX RATE TAX RATES TAX SYSTEM TELECOMMUNICATIONS TREASURY UNEMPLOYMENT UNEMPLOYMENT INSURANCE UNION WEALTH EFFECT WEALTH EFFECTS Turkey has experienced rapid growth and improved social outcomes over the past decade. Per-capita income in United States dollar (USD) terms tripled during the first decade of the 21th century, and Turkey is now the world's 17th largest economy. Fiscal policy was an important component of the reform program that delivered these successes. Prudent fiscal policy also provided the fiscal space to soften the blow of the global economic and financial crisis in 2008-2009. This report documents the central role played by fiscal policy over the last decade and presents simulation results from a computable general equilibrium model that will help inform the future direction of fiscal policy to support sustained high growth. The dynamics of fiscal outcomes and private investment and savings raise a series of tradeoffs for policy going forward. The analysis in this report suggests that public investment can crowd-in private investment and promote a more sustainable growth path. Government revenue dynamics present another set of trade-offs. These fiscal trade-offs are likely to be exacerbated as the structural transformation of Turkey's economy slows down. Structural reforms can support the fiscal policy pivot, particularly by strengthening the supply side of the economy, for instance through an increase in female labor force participation. 2014-08-14T19:39:00Z 2014-08-14T19:39:00Z 2014-05-20 http://documents.worldbank.org/curated/en/2014/05/19893358/turkey-public-finance-review-turkey-transition-time-fiscal-policy-pivot http://hdl.handle.net/10986/19321 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ Washington, DC Economic & Sector Work :: Public Investment Review Economic & Sector Work Europe and Central Asia Turkey