THE NEW RIGHT STATE AND ECONOMIC LIBERALISM IN THE PERIOD OF TURGUT ÖZAL: POLITICAL ECONOMY OF STATE AND MARKET RELATIONSHIP

After the second world war, Keynesian expansion ended and The global economic crisis erupted in 1970s laid the groundwork for transition from social state approach to liberal market economy. Hence the state was redefined based on the liberal economic policies and the developed nations have reformed their administrative structure. One of these regulatory reform, as the New Right state the opposition emerges. Sometimes policies known Reaganism, Thatcherism and Ozalism in Turkey were implemented. Then after Second World War, Turkey had to deviate from liberal economic aspect because of trading import policies. By this mean 24 January 1980 decisions have become a turning point for the development of liberal economic thought in Turkey. Özal introduced a liberal and conservative understanding in Turkey by synthesizing liberal approach in politics and economics with conservative values. Özal has been a critical figure when Turkey abandoned the state socialism and adopted neoliberal politics in the 1980s. The developments in Turkish Economy between the years 1980-1990 are denominated as “Özal Term”. Both the role of Turgut Özal in 1980s decisions and being the prime minister in 1983 made this termmentioned with his name.