Abstract
Show me your phone!”, “Look at the residences surrounding us; everybody has become a homeowner!”, “Everybody claims there is poverty, but notice the abundance of luxury vehicles traversing our streets!” These remarks vividly illustrate the AKP supporters’ primary defense against critiques of diminishing purchasing power throughout the party's reign in Turkey. I posit that the expanded influence of commercial banks during the AKP era has played a crucial role in shaping these “distorted perceptions” among the party’s conservative base about its economic achievements, which, in turn, has reinforced their support for the AKP’s authoritarian trajectory. The volume of credit distributed by privately owned banks has increased more than sixfold during the AKP's tenure, with a considerable portion directed towards consumer credit schemes and mortgage plans. By boosting the disposable income of lower- and middle-income groups, these financial instruments have enabled these segments of the population to surpass their traditional consumption levels, thereby diminishing their demand for redistribution—a key mechanism that sustains autocratic leaders in power. Utilizing an original survey, I demonstrate that the endurance of the AKP’s authoritarian rule is significantly influenced by the increased access to consumer credit, which has fostered a “distorted perception” of economic well-being and, consequently, increased support for the autocratizing ruling party.
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