Daron Acemoğlu explains how the Turkish economy will recover: 'Within 15-20 years...'

Nobel laureate in Economics Prof. Dr. Daron Acemoğlu appeared on journalist Fatih Altaylı's program to share his assessments of the Turkish economy. Acemoğlu stated that "poverty" is at the forefront of Turkey's economic problems and pointed to the need for reforms for a recovery.

Stating that there is a remaining window of opportunity for Turkey, Acemoğlu said, "Turkey will be much older in 15-20 years and will face the risk of falling behind the times. Therefore, it is essential to invest in technology and human capital rapidly."

"Reform in Education and the Judiciary is Essential"

Economist Acemoğlu highlighted three fundamental elements for the long-term recovery of the Turkish economy.

Emphasizing the need to establish a reliable judicial system, Acemoğlu stated that a radical reform in the education system is mandatory.

He remarked, "It is not possible for the Turkish economy to recover permanently without building an education system that is open to competition and encourages free thinking."

Technology and Productivity Increases are Necessary

Touching upon the importance of the correct use of technology for the country's future, Acemoğlu said, "We must use technology not only for automation but also to improve workers' skills and open new job areas for them. To increase worker wages, it is necessary to focus on productivity growth."

"Low Worker Wages Lead to Economic Imbalance"

Stating that low worker wages are one of the fundamental dynamics increasing poverty and inflation, Acemoğlu said, "Almost half of the workers in Turkey work for the minimum wage. There is a flaw in this equation. By increasing the productivity of workers, we must ensure that employers are compelled to pay higher salaries."

"We Can Solve Poverty and Unemployment by Increasing Productivity"

Acemoğlu stated that the way to overcome economic problems in Turkey is to increase productivity through technology and education, adding, "Taking these steps will not only lower inflation but also significantly reduce poverty and unemployment."