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« Distributive politcs, economic growth, and the Simpsons | Main | "Political Economy after the Crisis" »

February 03, 2012

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This is not only Turkey. Across the world fiscal deficit has become to popular that countries are taking measures to cut fiscal deficit at any cost. and this is what that is costing the world economy during this period of crisis. Fiscal deficit must be controlled and managed but it is not a bad thing. There is always right time for everything and taking measures to cut fiscal deficit at such moment is not right time for maximum of the economies in the world. Instead they must concentrate on increasing economic activities in their respective economies. Once the economic activities increase the problem of fiscal deficit will be taken care over time as the economy will not more fiscal support when economic cycle is upward.

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india was also going through economy slowdown in 2008.. people were thrown out of the jobs.. really turkey might have followed the history of great depression 1929

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