Atlantic Economic Journal

, Volume 41, Issue 1, pp 1–27 | Cite as

Observations on Turkey’s Recent Economic Performance

  • Asaf Savaş Akat
  • Ege Yazgan


We establish that the Turkish economy underwent a remarkable transformation during the last decade. We identify the underpinnings of this successful transformation as well as the inadequate policies that enabled vulnerabilities to accumulate. Despite improvement in the economic fundamentals, volatility and dependence on external finance not only persisted, but actually increased during the last decade. We discuss the structural causes of the widening external deficit. Finally, we evaluate Turkey’s outstanding economic performance in the aftermath of the global financial crisis and the recent soft landing and rebalancing episode.


Economic growth External deficit Capital flows Soft-landing Global financial crisis 


E60 F32 F43 


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Copyright information

© International Atlantic Economic Society 2012

Authors and Affiliations

  1. 1.Faculty of Economics and Administrative Sciences, Department of Economicsİstanbul Bilgi UniversityIstanbulTurkey

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