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IX. The turkish political economy: Globalization and regionalism

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Chapter Summary

Since the early 1980s, the Turkish economy has globalized via neoliberal reforms. Turkey’s globalization entailed a fundamental shift from the inward-oriented, state-led industrialization that had characterized the Turkish political economy for decades to a strategy of export-led growth in an open market economy. Regionalism also became a major component of Turkey’s globalization. In the post-Cold War era, the Turkish state has actively pursued multiple projects of regional economic integration. Regional projects are currently regarded as building blocks to Turkey’s more successful participation in globalization. However, Turkey’s neoliberal form of globalization so far has been characterized by major structural weaknesses, and it has resulted in recurrent economic crises. Economic liberalism was the exception rather than the norm in the history of the Republic of Turkey. The neoliberal reforms that embarked the Turkish economy on an entirely new course were initially launched within the framework of multiparty parliamentary politics.

Keywords: economic liberalism; globalization; neoliberal reforms; open market economy; post-Cold War era; regional economic integration; regionalism; Turkish political economy



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