Turkey’s Experience In Debt Welfare Within The Capitalist System

Capitalism is a system that leads to injustice in income distribution. Although various reforms have been made, the system has not achieved justice in income distribution. Capitalism, which represents historical progress in increasing and improving production, cannot show the same success and motivation when it comes to distribution. In the historical process, capitalism has faced the problem of labor scarcity, and attempts to overcome this problem have been blocked by underconsumption. Although capitalism experienced serious bottlenecks, it could survive by stimulating the continuous consumption of economic units. The tendency of individuals towards continuous consumption has increased the importance of the concept of borrowing. Borrowing usually takes place through financial markets. In this market, monetary flow is provided from the economic units that supply funds to those who demand funds. Thus, economic units with surplus funds can generate interest income, while those in need of funds can consume in exchange for interest expense. There are substitutes for consumer loans in the debt market, which are applied for different reasons for each income group. In the study, the problem of borrowing in the functioning of the capitalist system will be examined. Then, consumer credit substitutions, which are considered as debt welfare types, will be analyzed with Turkey data. Thus, it will be tried to reveal the position of Turkey within neoliberal capitalism from a broad perspective, and to show that the wealth obtained by credit channels mortgages the day and future of the working class.