Skip to main content

What’s Waiting Turkey Budget




Negotiations for higher salary were concluded between the government and the public sector. The government offered 4%+4% for 2020 and 3%+3% for 2021. The public sector wanted total 20% rise. They could not deal and went to arbitration. The government’s offer was accepted by arbitration.  Already, government's members constitute a big part  of arbitration. The public sector is not satisfied about the decision but the decision is absolute.
Why this happened. If we look deeper we will see the problems. Let’s find out.
Turkey's budget deficit has been incredibly increasing in the last years. In 2008, the budget deficit was 72.6 billion Turkish Lira (14.8 billion dollars). The budget deficit to GDP was 1.9%. Now, just in the first seven months of 2019; the budget deficit is 68.7 billion Turkish Lira (12.3 billion dollars). These are huge numbers for Turkey that already has international trade deficit.
However, the point problem was caused by the government's hand with populist policies. Turkish population number was 66 million in 2002 and it has became 82 million in 2019. The population number has increased 24%. On the other hand, public officer's number  was 2.155 million in 2002 and it has became 3.200 million in 2019. Public officer number has increased 50%. To sum up, while the population increased 24%, public officer number increased 50%
Mistakes which has made affect the budget expense. Expense of public officers  was 18% in the budget expense at 2002 . When we look at the budget expense in 2019 this ration increased  25.7%
So, the government faces two big problem. Public officer number was expanded and public officer's expenses cause big part of the government budget expense. If the government cannot solve these problems, we will face bad budgets in the next years. 
                                        THE WORST IS YET TO COME

Comments

Post a Comment

Popular posts from this blog

Behavioral Economics (I): Conformity

Conformity is influence of majority. If anyone has a polar attitude or action, they would not prefer to reveal them against majority. People intend to modify their thoughts to blend in majority. For example , suppose that you   are watching a movie with your friends at the cinema. After the ending of it, if your whole friends said that they liked it, you would agree them even though you did not like it because you do not want to be rejected by them. It is called ‘’ normative conformity’’. On the other hand,   if a teacher asked a question in the class   and some students answered it , if you have no knowledge about question or you doubt yourself, you would agree the previous students. It is called ‘’informational conformity’’                                                                                                                                                               Market speculation is similar to conformity. When people heard any speculation they think that "
Post a Comment
Read more

Barcelona; Another World

It is obvious that cities reflect people’s culture, country structure, government success, and community mentality. Can you imagine a city which sidewalks wider than the road of cars? If you live in İstanbul it is impossible to imagine. Because of that when I went to Barcelona the first time, I was surprised so much. If you want to learn your country care people or not, just look at the measure of the sidewalks. It shows that Barcelona gives priority to all people not just certain a class. As you know capitalism creates its rich class. My first taught   Barcelona is a social country. ( If you have sufficient patience, you will learn why I am calling country). Already while you are walking you can see many water sources for drinking in short distances. On the other hand, there are a lot of seats. Most of them are for one person. It shows that people are introvert. Normally, before I go to the one country whose hostel prices too expensive I   use couch surfing. I used for Paris and V
Post a Comment
Read more