TÜRKONFED has published a book addressing Türkiye’s century-old challenges ranging from the economy and agriculture to industrialization, growth, and development, offering concrete solution proposals. Edited by Assoc. Prof. Dr. Ümit İzmen, the book titled “The Turkish Economy Entering Its Second Century” features contributions from 10 academics and economists, each authoring a dedicated chapter. Assoc. Prof. Dr. Ümit İzmen stated: “Türkiye’s current situation shows that old policies are no longer suitable for solving these century-old problems. With this book, we aim to contribute to the discussions that will help achieve the long-desired development in the country’s second century.”
10 Experts, 10 Solutions for Türkiye’s 10 Key Challenges
Through its research, reports, and publications, Turkish Business Confederation (TÜRKONFED) continues to contribute not only to the business world but also to the development of ideas and policies that will shape Türkiye’s future, focusing on social welfare and sustainable development. In this context, TÜRKONFED has recently released “The Turkish Economy Entering Its Second Century”, edited by Assoc. Prof. Dr. Ümit İzmen, faculty member at Tekirdağ Namık Kemal University. The book brings together the perspectives of ten leading academics and economists, each proposing solutions to one of Türkiye’s most persistent challenges. The book was launched at a panel hosted by the Western Anatolian Industrialists and Businesspeople Federation (BASİFED), attended by BASİFED members and TÜRKONFED Board of Directors. The panel was moderated by Assoc. Prof. Dr. Ümit İzmen, with speakers including Rauf Gönenç (Former Senior Turkey Analyst, OECD), Prof. Dr. Fatih Özatay (TOBB University of Economics and Technology), Prof. Dr. Burhan Can Karahasan (MEF University), and Dr. M. Murat Kubilay (Economist).
Assoc. Prof. Dr. Ümit İzmen: “Old Policies Are No Longer Suitable to Solve Our Problems”
Highlighting the increasing frequency of global economic shocks, Dr. İzmen stated: “Since the collapse of the post–World War II global economic model in the 1970s, we have faced new shocks every five to ten years—oil crises, financial crashes, emerging market crises, the rise of BRICS countries, the COVID-19 pandemic, regional wars, refugee crises, population aging, the climate crisis, and radical technological shifts. These rapid transformations have forced all nations, including Türkiye, to keep changing gears. However, Türkiye entered the second century of the Republic still carrying its century-old problems—such as price instability, unequal income distribution, insufficient domestic savings, and a low-productivity production structure. These issues have persisted through changing global contexts, governance systems, and governments. This shows that old policies are not suitable to solve century-old problems. With this book, we aim to contribute to the debates that will pave the way for the development Türkiye has long aspired to achieve.”
Comprehensive Solutions for Structural Challenges
The book explores Türkiye’s long-standing structural problems and presents specific policy proposals for each area: “Long-Term Growth and Structural Reforms in Türkiye” by Assoc. Prof. Dr. M. Aykut Attar (Hacettepe University) discusses how growth and development processes can enhance welfare and how the right policies can influence these outcomes. “Industrial Policy in the Second Century” by Prof. Dr. Erol Taymaz (Member of the Science Academy) examines the technological dimensions of growth and the role of industry policy.
“Our Productive Fabric and Economic Policy in the Age of Creative Destruction” by Rauf Gönenç (Former OECD Senior Turkey Analyst) highlights the need to account for heterogeneity in Türkiye’s microeconomic structure to achieve a more stable, competitive, and inclusive growth path. “Transformation in Agricultural Structure and Agricultural Policies” by Prof. Dr. Ahmet Halis Akder focuses on the inefficiencies of agricultural support mechanisms and the lack of reliable data in policy design.
“The Two Faces of Regional Inequality in Türkiye: Growth and Development” by Prof. Dr. Burhan Can Karahasan explores how regional disparities, persisting since before the Republic, can be reduced. “Inflation and Monetary Policy in the Second Century” by Prof. Dr. Fatih Özatay analyzes why inflation remained high throughout the first century of the Republic and how its effects can be mitigated.
“The Problem of Worsening Predictability in Inflation” by Eren Ocakverdi (Chief Advisor, Central Bank of the Republic of Türkiye) examines the evolution of inflation forecasting challenges and their implications for relative price volatility. “What Kind of Financial System for Türkiye’s Second Century?” by Dr. M. Murat Kubilay discusses the importance of an effective institutional structure in ensuring financial stability and strengthening the financial sector.
“Evaluating Tax Expenditures in the Context of Tax Reform in Türkiye” by Prof. Dr. Murat Batı (Ondokuz Mayıs University) provides an overview of past tax reforms and emphasizes that tax expenditures have yet to be addressed within reform agendas. “Where Does Türkiye Stand in the Fight Against the Climate Crisis?” by Prof. Dr. Alp Erinç Yeldan (Member, Science Academy and UNEP International Resource Panel) discusses the global dimensions of the climate crisis and outlines the transformations needed in Türkiye’s economy to meet its international obligations.
The book, printed in limited copies, is available for free online access.