182k views
2 votes
Turkey is a surprising addition to the list of rapidly developing economies; with a GDP increase of 8.5% in the year 2011 alone. However, such rapid growth leaves worries regarding possible side-effects. For instance, in 2011 Turkey's rate of inflation was well above that of its peers. Secondly, there is increasing concern regarding Turkey's growing dependency on foreign capital. A large portion of the Turkish banking system is part-owned by banks within the Eurozone. As the single currency falters, such a dependency raises questions about the stability of Turkish growth.

The Turkish economy was surprisingly stagnant in 2011.
A.True
B.Probably True
C.More Information Required
D.Probably False
E.False

User BLimitless
by
7.8k points

1 Answer

4 votes

Final answer:

Turkey's rapid economic growth in 2011 raised concerns about inflation and dependency on foreign capital.

Step-by-step explanation:

Turkey's rapid economic growth in 2011 raised concerns about possible side-effects. One concern was the high rate of inflation in Turkey, which was above that of its peers. Another concern was Turkey's growing dependency on foreign capital, with a large portion of its banking system being part-owned by Eurozone banks. These factors raised questions about the stability of Turkey's growth.

User Sean Hall
by
7.7k points