Today’s post will be short. I spent the day mostly doing interviews and ran short on time. I was planning to write about Turkey at some point, but Brian Romanchuk beat me to it. So I’m just going to set things up and encourage you to read what Brian has written.
Have you noticed how the powers that be like to mention Turkey, but never bother mentioning what is going on in Zimbabwe at the moment?
Zimbabwe has followed the World Bank and IMF prescriptions to the letter. Have a look what their interest rate and inflation rates are.
In Turkey Erdogan believes public interest is a sin, which used to be the mainstream position prior to the 17th century. Sovereign debt was advanced to the sovereign interest free, and died when they died.
Erdogan wants interest eliminated as a matter of religious devotion due to his Muslim beliefs. In everything else he's as neoliberal as they come. Sovereign debt in foreign currencies, importing energy and food - alongside lots of gold, government spending without sufficient taxation to free up resources. About as far from a policy informed by MMT analysis as you could get.