Özet:

We live in an age of the recurrent economic-financial, social and health crisis that deepen socioeconomic problems at global and national levels. Currently, it is stated that the economic recession, income loss and employment crisis caused by the Covid-19 would increase poverty as observed in previous global crisis processes. Besides, studies highlight the need for inclusive and effective social transfers to fight against increasing poverty. This situation requires the questioning of the dynamics and the effectiveness of social transfers. This study examines the effectiveness of social transfers and their role in reducing poverty in Turkey using the data from the Turkish Income and Living Conditions Surveys. Our findings reveal that the poverty-reducing impact of social transfers has increased from 6 percent to 19 percent during the period 2006-2018. Despite this significant improvement, social transfers in Turkey are found not to be relatively and sufficiently effective compared to EU-28 countries. Only 7 percent of poor individuals can access to premium-based social transfers, including retirement and widow’s/orphan’s pensions that constitute 91 percent of all social transfers. This situation results from low employment rate and widespread informal employment among the poor. In the long run, policies aiming at increasing labor force participation and employment rates and decreasing informality might reduce poverty. However, in order to deal with the increasing poverty caused by crisis in the short-run, policies aiming at increasing the scope of the transfers in the non-premium system (such as in-kind and cash social assistance, housing, child benefits) should be implemented. In fact, we find that the poverty rate decreases as the access of the poor to social transfers increases.

Anahtar Kelimeler: