Ekonomi TEK

Yazarlar: Selim SOYDEMİR

Konular:İktisat

Anahtar Kelimeler:Financial history,Ottoman’s budget finance,Borrowing instruments

Özet: When the state budget has a deficit, financing is preferred through borrowing. Considering that the expenditures made by borrowing are the spending of future revenues, this financing method can easily start exploiting future generations. From the 16th century onwards, the Ottoman Empire has chosen to finance its budget deficits first by borrowing from within the country and then from abroad. Not using borrowed resources for income generation and having uncontrolled expenditures resulted unsustainable financing. Moreover, meeting the expenditures of wars with borrowing caused deepen the financial problems. In particular, the failure to repay the debts and interests borrowed from abroad resulted in political dissolution beyond the economic collapse.

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