Case Study: Economic Pressures in Turkey

Turkey's economy experienced significant volatility in recent years. After a period of high growth, a combination of currency depreciation and unconventional monetary policy led to high levels of inflation. The Turkish Lira fell sharply against major currencies, raising the cost of imported raw materials and consumer goods. Real incomes fell, causing public discontent. Although the government attempted to stabilize the currency, monetary instability persisted. Unemployment, particularly among young people, remained stubbornly high, with official figures around 13.5%, but youth underemployment was estimated to be much higher. Living standards were squeezed as staple goods like bread and milk saw rapid price increases, forcing families to alter their consumption patterns.

Table 1: Annual Consumer Price Inflation in Turkey (2015–2021)