Interlinkages between credit, debt and the labour market: evidence from Turkey


Karacimen E.

CAMBRIDGE JOURNAL OF ECONOMICS, vol.39, no.3, pp.751-767, 2015 (Journal Indexed in SSCI) identifier identifier

  • Publication Type: Article / Article
  • Volume: 39 Issue: 3
  • Publication Date: 2015
  • Doi Number: 10.1093/cje/beu016
  • Title of Journal : CAMBRIDGE JOURNAL OF ECONOMICS
  • Page Numbers: pp.751-767

Abstract

This article examines workers' use of credit in the context of a developing country, Turkey, based on empirical material collected through questionnaires and interviews with workers in the metal sector. The results provide evidence of a link between workers' debt and the type of wage employment in two ways. First, I demonstrate that insecurity of employment and income is important in determining the increased tendency to borrow and increasing the vulnerability of workers to debt service problems. Second, I reveal that debt adds new dimensions to capital labour relations by functioning as a disciplining mechanism.