Turkish economy: ‘Look for what is necessary not what is extravagant’

ISTANBUL

Turkey is a very special country as it is simultaneously living in fully integrated modern geo-political and economic system, said an economist.

Mohamad Hammour, professor of economics at Ibn Haldun in Istanbul, said that Turkey cannot “experience economic or other matters independent of the system it is integrated with”.

“Turkey, by necessity, must be subject to the influence of capital flows and the adaption to the environmental systems that are world systems… much of the currency crisis that has happened has to do with Turkey being part of global… international economy,” Hammour said referring to the fluctuation in Turkish economy.

Talking to Anadolu Agency on the sidelines of 5th Ibn Haldun symposium hosted by Ibn Haldun University where scholars from across the globe are discussing 14th century Arab scholar Ibn Khaldun's view on power, economics and morality, Hammour said that Turkey also has a heritage and “it may be in the same way, Turkey is geographically at the intersection of Asia and Europe”.

“Turkey is also at the juncture of the civilization in which Ibn Khaldun flourished and the modern civilization as part of its history,” he observed.

“[So,] Turkey is very well positioned to understand better and help the modern world understand better its modern condition in the mirror of the civilization that is its heritage,” the economics professor added.

U.S.-based Duke University Professor Prasenjit Puara related state of economy in Turkey with the rest of the world.

“What Turkey is suffering [on economy] is what rest of the world is suffering,” Puara said.

“It has to do with global forces and the fact that the U.S. is now drawing-in a lot of global capital back in there, because it is there world is safer even though it may not be. Even if you look at China, India, a lot of appreciation of U.S. dollar,” Puara explained.

“Everybody is very nervous at this point,” he added. “Turkey is facing global [economic] tension.”

Ibn Haldun University Professor Bruce Lawrence said that the state of economy is more about “adjustment”.

“Vis-a-vis many many countries, Turkey is still in enviable [economic] position; one has to recognize if the crisis had to be shorter rather longer, people have to look for what is necessary not what is extravagant,” Lawrence said.