Domestic production, local industry, domestic economy, and national assets are initially appealing topics. They contain elements that could be correct in terms of economic and external dependency. It is also important for creating added value and developing economic values by utilizing resources in the most optimal way.
However, how sustainable is it to develop this model by keeping the doors closed to the outside world? In fact, this is not a new topic; the world has experienced such scenarios over the past two centuries. Especially in 1930s Germany, after the Great Depression, economic activity was developed by emphasizing a statist local economy, but the country eventually suffered due to closed and excessively nationalistic policies.
The establishment of the EU evolved through mutual benefit principles with the cooperation of iron and steel, transforming into an economic union and to some extent, a political union. Over forty years, duty-free trade, a common market, free movement of capital and labor, and the removal of borders integrated countries with each other in various ways. This situation has positively reflected itself in social and economic life, to the extent that even the UK couldn't determine how its exit would unfold.
Economic-political systems that couldn't renew themselves after the 2000s, incompetence in solving problems of warlike dimensions, focusing more on national phenomena rather than being global, and various confusions have led to a stagnation in transformation. Even the United States is discussing racism in 2020. Corona, at an unexpected moment, warned the world and prompted a reevaluation of everything.
Now, how will an economic model develop behind closed doors with a focus on local and national economy? I am confused about this...
If our local product is tourism and education, tourists and students should come from abroad. Raw materials in production should be sourced from outside at the most favorable prices. We should export what we produce, enhance trade by overcoming customs barriers, market ourselves to foreign populations, attract foreign investment under suitable conditions, somehow channelize into international systems, and ultimately become a self-sufficient country. However, my intuition tells me that achieving this will require much more rational and pragmatic thinking.
Dr. Bilinç Dolmacı
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