Distribution Relations During The Transition Of Turkish Economy To Neoliberalism
Please cite the paper as:
“Aykut Ozturk, (2013), Distribution Relations During The Transition Of Turkish Economy To Neoliberalism, World Economics Association (WEA) Conferences, No. 4 2013, Neoliberalism in Turkey: A Balance Sheet of Three Decades, 28th October to 16th December 2013”
From 1980s onwards, Turkey started a period of economic integration into the neoliberal global economy. For an inward-oriented economy, this was a very tough and uneven process in which forward steps, backward steps, crises and political struggles followed each other. Hence the integration process of Turkey into the neoliberal global economy is comprised of several periods with differentiated distribution relations in the each one of these periods. Following this insight, my aim in this paper is to map the huge variations of the distribution relations during these thirty years and demonstrate the winners and losers of these policies in the subsequent periods.
While mapping the distribution relations in the society, I make a normative preference to take the class relations in the society as my entry point. My theoretical framework to map the flows between the classes is borrowed from Resnick&Wolff(1987). There are several reasons for this. First, this framework helps us to overcome some questions born with the current state of the capitalism. Focusing on the “process” of extraction of the surplus value obviates the need to determine the “class” of a worker who owns some shares in a company or owns his own shop or is simply married and live off his wife. Second, Resnick&Wolff framework makes bare the heterogeneous economic relations in a society. For example, the surplus gained by an enterprise at the expense of the worker is separated from the other incomes gained by monopoly rents. This allows for the exact determination of the surplus value produced in an economy. Since the surplus value is the key Marxian concept, this framework allows me to map these terms from a truly Marxian perspective. Finally, the equation system focused on the enterprises, the state and the households helps us to better determine the winners and the losers of the neoliberal era.
I will start my paper by presenting a very brief overview of the neoliberal experience in Turkey. Then I will introduce the Resnick&Wolff framework in detail and finally I will focus on the changes in the budgets of states, industrial enterprises and the households. I will conclude by questioning the possible reasons for the households to generally concede to the economic changes that are negative for their budget.