This course aims to provide a systemic insight into how a model of growth and development works and evolves through its markets, public and private actors, and institutions in time. The course first makes a compact analysis of the key theories of G&D and then a comparative analysis of the failure and success of various models of G&D in pivotal countries such as United States, Germany, South Korea, and China. The analytic content of the course runs through macro economic policy, financial regimes, corporate governance, industrial policy, and political system.

Weekly Course Outline 1-2) Theories of Economic Development and Growth in Integrated Perspective 3-) Understanding the Fundamentals of G&D Analysis in Systemic Terms 4-) The Market-Led Model of G&D: The United States 5-) The State-Led Model of G&D: South Korea 6-) The Coordinated Model of G&D: Germany 7-) Chinese Developmental State between State and Market 8-) Turkey’s Success and Failure in G&D between State and Market. 9-) Revision of Candidate Papers 10-) Presentations by Candidates 11-) Presentations by Candidates 12-) General Review

Theoretical research, interactive discussion and presentation

Detailed Weekly Course Outline 1-2) Theories of Economic Development and Growth in Integrated Perspective Galor, Oded (2011) Unified Growth Theory, Princeton University Press. Philippe Aghion and Peter Howitt (2008) The Economics of Growth, MIT Press. Jan Nederveen Pieterse, Development Theory, Sage. Yujiro Hayami and Yoshihisa Godo (2005) Development Economics, Oxford: Oxford University Press. Cypher, James M. and Dietz, James L. (2009) The Process of Economic Development, London: Routledge. Szirmai, Adam Wim Naude and Ludovico Alcorta (2013) Pathways to Industrialization in the Twenty-First Century, Oxford: Oxford University Press. Demirgüç, A. and Levine, R. (2001) Financial Structures and Economic Growth: A Cross-Country Comparision of Banks, Markets, and Development, MIT Press. 3- Understanding the Fundamentals of G&D Analysis in Systemic Terms Wade, R. (1990). Governing the Market. Princeton: Princeton University Press. Lin, J. Y. (2009). Economic Development and Transition. Cambridge: Cambridge University Press. Hall, P., & Soskice, D. (2001). Varieties of Capitalism: The institutional Foundations of Comparative Advantage. Oxford: Oxford University Press. Evans, P. (1995). Embedded Autonomy: States and Industrial Transformation. Princeton: Princeton University Press. Acemoğlu, D., & Robinson, J. (2012). Why Nations Fail: The Origins of Power, Prosperity, and Poverty. New York: Crown Publishers. Kingstone, P. (2011). The Political Economy of Latin America: Reflections on Neoliberalism and Development. London: Routledge. Akan, Taner (2017) The Complementary Roots of Growth and Development, Cham: Palgrave. 4- The Market-Led Model of G&D: The United States Gordon, R. (2012). Is U.S. Economic Growth Over? Faltering Innovation Confronts the Six Headwinds. NBER Working Paper 18135. http://www.nber.org/papers/w18315.pdf Baily, M. N., & Bosworth, B. P. (2014). US Manufacturing: Understanding Its Past and Its Potential Future. Journal of Economic Perspectives, 28(1), 3–26. Akan, Taner (2017) ‘Chapter 2’ in the Complementary Roots of Growth and Development: Comparative Analysis of the United States, South Korea and Turkey, Cham: Palgrave, pp. 17-76. Summers, L. S. (2015). Demand Side Secular Stagnation. American Economic Review, 105(5), 60–65. Wade, R. (2014). The Paradox of US Industrial Policy: The Developmental State in Disguise. In J. M. Salazar-Xirinachs, I. Nübler, & R. Kozul-Wright (Eds.), Transforming Economies: Making Industrial Policy Work for Growth, Jobs, and Development (pp. 379–400). Geneva: International Labor Organization. Additional readings Gordon (2016) The Rise and Fall of American Growth, Princeton: Princeton University Press. Stiglitz, J. (2016). Rewriting the Rules of the American Economy: An Agenda for Growth and Shared Prosperity. New York: W.W. Norton & Company. Palley, T. (2012). From Financial Crisis to Stagnation: The Destruction of Shared Prosperity and the Role of Economics. Cambridge: Cambridge University Press. Financial Crisis Inquiry Commission (FCIC). (2011). Financial Crisis Inquiry Report. Submitted to the US Congress in January 2011, Washington, DC. Nester, W. R. (1998). A Short History of American Industrial Policies. Basingstoke: Macmillan. Keller, M. R., & Block, F. (2011). Do As I Say, or As I Do? US Innovation and Industrial Policy Since the 1980s. In J. Felipe (Ed.), Development and Modern Industrial Policy in Practice (pp. 219–246). Cheltenham: Edward Elgar. 5- The State-Led Model of G&D: South Korea Eichengreen, B., Perkings, D. H., & Shin, K. (2012). From Miracle to Maturity: The Growth of the Korean Economy. Cambridge, MA: Harvard University Press. Haggard, S., & Moon, J. (2000). The Political Economy of the Korean Financial Crisis. Review of International Political Economy, 78(2), 197–218. Akan, Taner (2017) ‘Chapter 3’ in the Complementary Roots of Growth and Development: Comparative Analysis of the United States, South Korea and Turkey, Cham: Palgrave, pp. 77-128.. Kang, D. C. (2002). Bad Loans to Good Friends: Money Politics and the Developmental State in South Korea. International Organization, 56(1),177–207. Kang, N. (2010). Globalization and Institutional Change in the State-Led Model: The Case of Corporate Governance in South Korea. New Political Economy, 15(4), 519–542. Kim, L. (1993). National System of Industrial Innovation: Dynamics of Capability Building in Korea. In R. Nelson (Ed.), National Innovation Systems: A Comparative Analysis (pp. 357–383). Oxford: Oxford University Press. Additional readings Kim, E. M., & Park, G. S. (2011). The Chaebol. In B. K. Kim & E. Vogel (Eds.), The Park Chung-Hee Era: The Transformation of South Korea (pp. 265–294). Cambridge, MA: Harvard University Press. Koo, A. (2013). Evolution of Industrial Policies and Economic Growth in Korea: Challenges, Crises and Responses. European Review of Industrial Economics and Policy, 7, 1–18. Shin, J., & Chang, H. (2003). Restructuring Korea Inc. London: Routledge. Chang, H. (1996). The Political Economy of Industrial Policy. Basingstoke: Palgrave Macmillan. Cho, D. (2015). Growth, Crisis and the Korean Economy. Oxon: Routledge. Hemmert, M. (2012). Tiger Management: Korean Companies on World Markets. London: Routledge. Mo, J., & Weingast, B. R. (2013). Korean Political and Economic Development: Crisis, Security, and Institutional Rebalancing. Cambridge, MA: Harvard University Press. Park, S., & Koo, Y. (2013). Innovation-Driven Cluster Development Strategies in Korea. European Review of Industrial Economics and Policy, 5, 1–17. Pirie, I. (2015). Korea and the Global Economic Crisis. The Pacific Review, 29(5), 671–692. Shin, J. (2014). The Global Financial Crisis and the Korean Economy. London: Routledge. Song, B. N. (1990). The Rise of the Korean Economy. New York: Oxford University Press. Wade, R. (1998). The Asian Debt-and-Development Crisis of 1997-?: Causes and Consequences. World Development, 26(8), 1535–1553. 6- The Coordinated Model of G&D: Germany Giersch, Herbert, Paqué, Karl-Heinz, and Schmieding, Holger (1992): The fading miracle. Four decades of market economy in Germany, Cambridge: Cambridge University Press. Barry Eichengreen and Albrecht Ritsch (2009) Understanding West German economic growth, Cliometrica, 3:191–219. Streeck, W. (1997). German Capitalism: Does It Exist? Can It Survive? New Political Economy, 2(2), 237–256. Dittmann, I., Maug, E., & Schneider, C. (2009). Bankers on the boards of German firms: What they do, what they are worth, and why they are (still) there. Review of Finance, 14(1), 35-71. Soskice, David and Carlin Wendy 2009) ‘German economic performance: disentangling the role of supply-side reforms, macroeconomic policy and coordinated economy institutions’, Socio-Economic Review, Volume 7, Issue 1: 67–99. Gebhard Kirchga and Marcel Savioz (2001) Monetary Policy and Forecasts for Real GDP Growth: An Empirical Investigation for the Federal Republic of Germany German Economic Review 2(4): 339±365 Krahnen, J. & Schimdt, R. (2004) The German financial system. Oxford: Oxford University Press. Additional readings Beyer, J., & Hoppner, M. (2003). The disintegration of organised capitalism: German corporate governance in the 1990s. West European Politics, 26(4), 179-198. Bluhm, K., & Martens, B. (2009). Recomposed institutions: smaller firms' strategies, shareholder-value orientation and bank relationships in Germany. Socio-Economic Review, 7(4), 585-604. Mertens, D. (2017). Putting ‘merchants of debt’in their place: the political economy of retail banking and credit-based financialisation in Germany. New Political Economy, 22(1), 12-30 Seikel, D. (2014). How the European Commission deepened financial market integration. The battle over the liberalization of public banks in Germany. Journal of European Public Policy, 21(2), 169-187. Streeck, W.(2009). Re-Forming Capitalism:Institutional Change in the German Political Economy. Oxford University Press. Grömling, Michael, (2008): Reunification, restructuring, recessions and reforms: the German economy over the last two decades, Working paper 102. Würzburg, Germany: Bayerische Julius Maximilians Uiversitaˉt Würzburg Gebhard Kirchga and Marcel Savioz (2001) Monetary Policy and Forecasts for Real GDP Growth: An Empirical Investigation for the Federal Republic of Germany German Economic Review 2(4): 339±365 R. Lee (2017) German industry and German industrialisation: essays in German economic and business history in the nineteenth and twentieth centuries, London: Routledge. Horst Siebert (1991) German unification: the economics of transition Economic Policy, Volume 6, Issue 13, 1 October 1991, Pages 287–340. 7- Chinese Developmental State between State and Market Barry Naughton (2006). The Chinese Economy: Transitions and Growth. MIT Press, Cambridge, London. Yanrui Wu (2003) China’s Economic Growth: A Miracle with Chinese Characteristics, London: Routledge. Zhu, X.D.(2012). Understanding China's Growth: Past, Present, and Future. Journal of Economic Perspectives,26(4): 103-24. Holz, C. A. (2008). China’s economic growth 1978–2025: what we know today about China’s economic growth tomorrow. World Development, 36(10), 1665-1691. Laurenceson James and Joseph Chai (2001). State Bank and Economic Development in China. Journal of International Development, Vol. 13(2), pp. 211-225 Yan, W., & Yudong, Y. (2003). Sources of China's economic growth 1952–1999: incorporating human capital accumulation. China Economic Review, 14(1), 32-52. Lin J., Fang Cai and Zhou Li (2003) The China Miracle: Development Strategy and Economic Reform, Hong-Kong: Chinese University Additional readings Qiang, Jian and Zhou Teng (2006) ‘Financial development and economic growth: Evidence from China, China Economic Review, 17(4): 395-411. Baizhu Chen Yi Feng (2000)’Determinants of economic growth in China: Private enterprise, education, and openness’, China Economic Review, 11(1): 1-15. Shujie Yao, "Economic Development and Poverty Reduction in China over 20 Years of Reforms," Economic Development and Cultural Change 48(3): 447-474. I Hasan, P. Wachtel and M. zhour (2009) Institutional development, financial deepening and economic growth: Evidence from China, Journal of Banking and Finance: 33(1): 157-170. Liu, S. (2005). Corporate governance and development: the case of China. Managerial and Decision Economics, 445-449. OECD (2011), Corporate Governance of Listed Companies in China: Self-Assessment by the China Securities Regulatory Commission, OECD Publishing. 8. Turkey’s Success and Failure in G&D between State and Market. Bayar, A. H. (1996). The Developmental State and Economic Policy in Turkey. Third World Quarterly, 17(4), 773–785. Altuğ, S., Filiztekin, A., & Pamuk, Ş. (2008). Sources of Long-Term Growth for Turkey, 1880–2005. European Review of Economic History, 12(3), 393–430. Öniş, Z. (1998). State and Market: The Political Economy of Turkey in Comparative Perspective. İstanbul: Bosphorus University Press. Yeldan, E. (2013) ’Orta Gelir Tuzağından Çıkış: Hangi Türkiye’, Cilt 1-2, İstanbul: Türkonfed. Akan, Taner (2017) ‘Chapter 4’ in the Complementary Roots of Growth and Development: Comparative Analysis of the United States, South Korea and Turkey, Cham: Palgrave, pp. 129-168. Additional Readings Ararat, M. (2011). Comply or Explain Without Consequences: The Case of Turkey. In C. A. Mallin (Ed.), Handbook on International Corporate Governance (pp. 355–370). Cheltenham: Edward Elgar. Bakır, C., & Öniş, Z. (2010). The Regulatory State and Turkish Banking Reforms in the Age of Post-Washington Consensus. Development and Change, 41(1), 77–106. Boratav, K., Türel, O., & Yeldan, E. (1996). Dilemmas of Structural Adjustment and Environmental Policies Under Stability: Post-1980 Turkey. World Development, 24(2), 373–393. Central Bank of Turkey (TCMB). (2002). The Impact of Globalization on Turkish Economy. Ankara: TCMB. Eser, E. (2011). Türkiye’de Uygulanan Yatırım Teşvik Sistemleri ve Mevcut Sistemin Yapısına Yönelik Öneriler. Ankara: İktisadi Sektörler ve Koordinasyon Genel Müdürlüğü. TKB. (2014b). 10th Development Plan. Ankara: TKB. TKB. (2015a). Öncelikli Dönüşüm Programları. Retrieved June 27, 2015, from http://odop.kalkinma.gov.tr/ 9. Revision of Candidate Papers 10. Presentations by Candidates 11. Presentations by Candidates 12. Review