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Persistence of Poverty Problem in Turkey
Abstract
A structural problem that lies behind the persistence of poverty in Turkey will be analysed through the existence of two vicious circles. In the first, poverty brings difficulties (via a set of reasons) to poor families in reaching high-quality education for their kids, which results in low human capital of the new generation, who will be unable to find secure and well-paid jobs in the formal sector and thus be obliged to go for the informal one, with the result that they will find themselves also trapped in the poverty threshold. In the second, given the existence of high level of informality, as a result of which taxes are evaded, a rather low level of public revenues compared to the national income is collected, which brings about a small magnitude of resources being allocated to social assistance, as a result of which poverty eradication gets a too little resource. Through this analytical framework, it will be argued that a structural operation is needed so as to properly tackle with the poverty issue in Turkey.
Discipline
Economics
Geographic Area
Turkey
Sub Area
Public Policy