From the Perspective of Inclusive Growth, the Examination of Türki̇ye’s Economic Growth After 2002

Hülya Deniz Karakoyun, Safa Eymen Yorulmaz

This study aims to examine Türkiye’s economic experience with GDP growth from 2002 onwards within two sub-samples (2002-2011 and 2011-2019) from the perspective of the inclusive growth approach, which was accepted by the United Nations as the eighth of the Sustainable Development Goals in 2015. The notion of inclusive growth emerged at the beginning of the 2010s, as neo-classical growth-led policies failed to stimulate sufficient convergence between different income groups in societies. The high growth rates in developing countries do not provide similar opportunities for people at all income levels. In addition, the global financial crisis led to a worsening of the income gap in many countries. Therefore, growth strategies in many countries after 2010 aim to foster inclusive and sustainable growth as opposed to the neo-classical growth-oriented approach. For this reason, this study estimates the inclusive growth for Türkiye creating an index for the last two decades based on the McKinley (2010) and Hakimian (2016) indices and then analyzes the determinants of inclusive growth for each subperiod. The results show that inclusive growth structure of Türkiye had more inclusive features in 2002-2011, and it dramatically changed after 2011.

Keywords: Inclusive growth, sustainable growth, Turkish economy, inclusive growth index

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Pursuing Sustainable Development Goals

CHAPTER

From the Perspective of Inclusive Growth, the Examination of Türki̇ye’s Economic Growth After 2002

References

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