This article is thought provoking. I have two questions concerning its findings which seemingly in contradiction with Sonat and Herr’s article that is also published in these pages.

1- Duman and Duman argue that disposable income in Turkey shrinks with increasing burden of debt payments and rent on household budgets. This affects real consumption growth (“which dropped to zero”). However, Sonat and Herr, along with many other political economists, argue that private consumption has been the engine of growth in Turkey in the recent years. These seemingly contradictory findings demand a class analysis of the consumption patterns.

2 – Duman and Duman argue that home ownership rate in urban areas is in significant decline. However, Sonat and Herr point to the high real estate investment as a result of increasing capital inflows. If both are true, then we need a better analysis of the actors involved in this process? Who makes investments? Who are the buyers?

My hope is that these questions/comments will seed a rich discussion.