Zoltán Pogátsa's blog on economics in English

Zoltán Pogátsa's blog on economics in English
Showing posts with label GDP/head. Show all posts
Showing posts with label GDP/head. Show all posts

Monday, 3 June 2013

Turkey: caught between modernisation in postmodernity and Islamisation in Islamophobia


The current crisis in Turkey was sparked by government insistence to build a mall, shaped as a one time Ottoman barracks, in place of the last remaining patch of green around Taksim square. Obviously, the government went overboard. When thousands demonstrate against change in the city landscape, you suspend the bulldozers, not shoot tear gas canisters at the protesters. Then hundreds of thousands went marching into the streets across Turkey, beating pots and pans,indicating that more was at stakes than trees.

The events arise from much deeper tensions within Turkish society. There are actually two Turkeys living side by side, mixed but apart, like oil and water. Ataturkists believe themselves to be westernisers and modernisers. They wish to join the EU, although decades spent in the waiting room of the organisation make it seem more like a living room. In fact it is clear Turkey will never be allowed to join, yet no one wants to be the first to say so.

Kemalism is not equivalent to a Western style democracy. Ataturk's rule was within a one party state, with a strong cult of personality, limited press freedom, and an overly strong military. Above all, its active secularism is not shared by any EU state apart from France.

It is intriguing that in a country where almost everyone is a Muslim, no Islamic party was allowed to exist. The AKP came very late to fill that gap. Had Kemalists been a little more accepting, the AKP could have become the functional equivalent of a Christian democratic party on a Western political spectrum. This could have made Turkey a model democracy for the other Muslim societies in the Middle East. Kemalists, however, stuck to active secularism. Of course the Islamophobia engineered by the United States governments did not help. All this made Erdogan and his party more radical. To be sure, AKP is popular: they have been reelected twice. The economic figures also look good on paper. The per capita GDP has been tripled over the last decade, although it is still only half of that of Central and Eastern Europe. In addition, regional differences are enormous. While Istanbul and the Mediterranean coast might easily be at around 80% of EU average GDP, in the Eastern provinces it is about 5%.

As a consequence, the enormous internal migration leads to overurbanisation, and the east and middle part of the country is emptying out. Most of the fast development is unsustainable. Istanbul has grown from a city of a few million to 18 000 000 inhabitants, although the authorities lost count at 12 million. (Similar overurbanisation took place in Ankara and along the Mediterranean coast.) Since figures are very unreliable in Turkey, it is difficult to tell how much of the GDP grow is highly unsustainable overurbanisation. The AKP has been balancing between traditionalist cultural policies and neoliberal economic policies. It has also developed a cozy relationship with major construction companies. Unsustainable bulding projects include a number of environmentally damaging dams in mountainous areas, highways in Istanbul, a third Bosphorous bridge, a third airport for Istanbul (Europe's largest), a canal to connect the Black Sea and the Sea of Marmara, and now the Gezi Park shopping mall.

It takes two hour to leave Istanbul by car, and about four to get from one end to the other. The city is a utopian urban jungle of fifteen storey housing blocks, highways and plazas. It is essentially the nightmare scenario of what happens when the developing the world begets a middle class similar to the west. Dirt, pollution, cars and concrete. Although unreliable official figures speak of low unemployment, it is impossible to know how many migrants really find work here. Only high end shops give you an invoice. Modernisation in the age of postmodernity.

Thus the difference between the two Turkeys is cultural. Erdogan wants a Muslim country, the Kemalists want a westernised one, As the case of the foreseen Taksim plaza shows, however, both sides are in the pocket, of the constriction industry.

Friday, 18 June 2010

Hungarians in Romania no longer more prosperous


For decades it has been widely believed that Hungarians in Romania are more prosperous than the rest of the country. This no longer seems to be the case.

Hungarians in Romania live predominantly in Transylvania, although there is a considerably non-historical minority in Bucharest, who have moved there predominantly because of administrative occupations in the capital.

Hungarians form a large majority of the population in the counties of Harghita (84.6%) and Covasna (73.79%), and a large percentage in Mures (39.3%), Satu Mare (35.22%), Bihor (25.91%), Salaj (23.07%), Cluj (17.4%) and Arad (10.70%) counties.

Within Transylvania, Hungarians cluster around the Hungarian border region, as well as deep within Transylvania, in a non-official area generally referred to as Szeklerland.

The 1998 Green Paper on regional development in Romania placed counties on a six scale index according to their global level of development (1-worst, 6-best). In Szeklerland, Covasna and Harghita were level 4, Mures was level 5. In the border region Satu Mare was 4, Bihor was 5. In the two counties with a relatively smaller number of Hungarians Cluj was 6, top, but Salaj was only 3, below average.

The GDP/per head of Romania was 344650,6/ 21537563= 0.01601 million lei at 2008 prices in 2006. For the Szeklerland it was Covasna 2779,7/223364=0.01244, Harghita 4464,5/325611=0.0137, and Mures 8174,1/581759=0.0141. Thus this whole region is well below the national average. As for the other partially Hungarian counties Bihor 9475,4/594232=0.0159, Cluj 13558,6/692316=0.0196, Satu Mare 4699,7/366270=0.0129, and Salaj 3054,0/243257=0-01255. Thus with the exception of county Cluj, all other counties are well below the national average. (Own calculations based on Romanian Statistical Office.)

In 2007, unemployment in all of Romania was 4% (Romanian Statistical Office). The same indicator in the Szeklerland was 7% in Covasna, 5.1% in Harghita, 4.3% in Mures. Altogether this is worse than the national average. In the other counties: Bihor 2.4%, Satu Mare 2.6%, Salaj 4.4%, Cluj 3%, altogether better than the national average.

The dependency ratio (employed person per total population) for all of Romania is 4885319/21537563=23%. For the Szeklerland it was Covasna 49788/223364=22%, Harghita 64401/325611=20%, and Mures 127953/581759=22%. Thus this region is only slightly below average. As for the other partially Hungarian counties Bihor 163325/594232=27%, Cluj 194239/692316=28%, Satu Mare 75246/366270=21, and Salaj 46343/243257=19%. Thus this shows a mixed picture. The figures for Bihor and Cluj are most likely inflated by the cities of Oradea and Cluj, where Hungarians make up 28% and 19% respectively. Thus Hungarians are slightly overrepresented in these cities! (Own calculations based on Romanian Statistical Office)

As for income, the whole of Romanian averaged 1396 lei gross and 1042 lei net per month in 2007. Average monthly income in the Szeklerland was 1036/792 in Covasna, 1081/814 in Harghita, and 1265/950 in Mures, all significantly lower. On the other counties it was 1086/811 in Bihor, 1489/1113 in Cluj, 1171/896 in Satu Mare and 1208/920 in Salaj. Thus in this non-core region only CLuj had higher than average earnings, where the percentage of Hungarians is the lowest.

In summary it can therefore be stated that the core regions of the Hungarian ethnic group in Romania, the Szeklerland, is well below Romanian average. So are the other areas where Hungarians form a considerable minority, with the single exception of Cluj county, whose figures are largely determined by the high significance of the city of Cluj in the Romanian economy.

Sunday, 28 February 2010

Actual Individual Consumption


A múltkori PPS-ről, árakról szóló bejegyzés érdekes gondolatokat hozott felszínre az olvasók között. Az egyiket most megosztom, ez a gazdasági felzárkózás izgalmas és releváns mutatója, az úgynevezett Tényleges Egyéni Fogyasztás (Actual Individual Consumption). Az Eurostat számolja és publikálja, csak valamilyen rejtélyes okból hallgat róla mint a sír. A tartalma az egyének tényleges fogyasztói kosara, egyes termékek gyakoriságával súlyozva, és ugyanazok árszínvonalával korrigálva. Ez valószínűleg elég jó közelítést ad az uniós országok tényleges életszínvonaláról, mindenesetre sokkal jobbat, mint bármifajta GDP/per fő vásárlóerő paritáson.

Lássuk akkor a tényeket, a táblázat rákattintva kinagyítható.

Amint látható, a tényleges fogyasztás általában korrelál a kibocsátással de vannak eltérések. A fejlettebb országokat lefelé mozdítja, a fejletlenebbeket felfelé.

Nekem továbbra is kétségeim vannak, hogy ezek a számok megfelelőek-e. Mivel a keleti bérek valahol 35% körül vannak a nyugatiakhoz képest, az árak meg mondjuk 2/3 környékén, ezért szerintem ez a mutató is felüllövi a keleti életszínvonalat.

Fogadjuk el azonban egy pillanatra az adatokat. Mit látunk? Azt, hogy a nyugat-európa valahol 100-120% között van, kelet pedig 44-70%-ig. (A szlovén modell teljesen más, őket nem számítom keletnek.) Azaz egy tipikus nyugati fogyasztása igen elnagyoltan minimum másfélszerese, maximum háromszorosa a keletinek.

Persze ne felejtsük el, hogy az adatok két nagyon fontos dolgot elfednek! Az egyik, hogy a tényleges fogyasztásból mennyi a megélhetési kényszerfogyasztás, és mennyi az ezen felüli, mondjuk úgy, hogy luxusfogyasztás. Míg kelet-európa nagy része a megélhetésért küszködik, addig nyugaton ez relatíve garantáltan teljesítve van, bőségesen marad önfejlesztésre, amortizáció pótlására, szórakozásra, pihenésre.

A másik dolog, amit az adatok elfednek, hogy a fogyasztás teljesítése után mekkora összeg marad meg megtakarításként. Tudjuk. hogy ez Kelet-Európában minimális, alig van az embereknek tényleges vagyoni biztonsága. Az is alapvető közgazdasági tapasztalat, hogy a magasabb jövedelmekből az emberek sokkal nagyobb részt tesznek félre.

Még egy tanulsága van a táblázatnak, amit depressziókeltést elkerülendő csak félve említek meg. Míg szinte mindenhol a térségben volt valami felzárkózás a AIC tekintetében, addig Magyarország oda süllyedt, hogy a trendeket nézve már csak a bolgárokat és a románokat előzzük meg fogyasztás tekintetében, a bejövő horvátok is valószínűleg már magasabban vannak, és a törökök sincsenek már olyan nagyon nagyon messze...