130 10 3494 https://omeka.ibu.edu.ba/files/original/ae64499ae7fda0588eabac76bbde613c.pdf 26f4e4ce4990915e5856b0f40f577319 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Economic Structure in a Rural Area in the 19th Century: A Comparison of Eleven Villages of Bartın District of Viranşehir Sanjak Ramazan Arslan Department of Economics, Bartın University, Bartın, Turkey E-mail: rarslan@bartin.edu.tr Abstract This study aims to examine the existing economic structure of a rural area of Ottoman Empire in 19th century. The sample field of the study is eleven villages of Bartın district, a significant coastal town of Ottoman Empire. Voluntary sampling was used in choosing the villages and attention was paid on choosing villages which could reflect the overall situation of the region in terms of economic structure. By looking into the Temettüat registers of the examined district for the year 1844, these results were tried to be identified. Keywords: Bartin district, Temettüat Registers, 19th Viranşehir Sanjak, Economic Structure,. Century, Ottoman Empire, In the periods before the reign of Ottoman Empire, states took in a set of inventories in order to produce social, economic, financial and military policies. It is known that one of these inventories was made in Old Egypt between 2500 – 3000 B.C. (Barkan, 2000, p. 181). In order to keep the Empire under control, Ottoman Empire developed a set of specific inventory systems (İnalcık, 1996, p.IX). Rapid increase in the number of soldiers with constant salaries in Ottoman army was placing a serious burden on the budget and forcing the central government to find more money income (Pamuk, 2007a, pp. 119-121). In order to resolve these problems in the financial structure, various measures such as creating lease holding system and transferring resources from the treasure were taken (Genç, 2000, p.101) and as it is known, finally, foreign borrowing was tried (Tabakoğlu, 1985, pp. 296-297). Although Ottoman bureaucracy was hesitant about foreign borrowing for a long period, in a short time foreign borrowing turned out to be the most frequently used method for budget deficits (Pamuk, 2007b, pp.144-145). Besides, solution seeking in financial field continued through reforms in budget and tax issues (Güran, 1989, pp 7-17), and instead of civil tax a new single tax called “Proportionate Tax” was brought in. In the 19th century, there had been significant differences in the economic structure of the government and significant changes occurred in traditional Ottoman regime (Pamuk, 2002, p.241). Beginning with Tanzimat possession inventories were made in Hüdâvendigar (Bursa), Ankara, Aydın, Izmir, Konya and Sivas cities (Çadırcı, 1987, p.190). Again in the same period tax resources were determined again by new tax regulations (Tabakoğlu, 2003, p.169), and thus, as a result of property, land, cattle and 67 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Temettüat inventories, Temettüat registers were formed. Temettüat inventories were made in order to determine the financial situation of the public, to establish a fair tax system and to increase public revenues; and the disrupted financial system was tried to be tinkered (Öztürk, 2000, p.550). After the inventory in 1840, all personal assets, real estate, land, cattle, product etc. information were recorded for each house in 1844 in each residential area like districts and villages. Classification of Temettüat registers were grounded on administrative partition and these registers were alphabetically prepared for each province. Total number of Temettüat Registers between 1844- 1845 is 17.747 (Başbakanlık Osmanlı Arşivi Rehberi, 2000, p.254). The main source of this research which aims to look into the properties of the existing economic structure of a rural area in the Ottoman Empire in the nineteenth century is the Temettüat Register no 02824 recorded at the ML.VRD.TMT. fund of Prime Ministry Ottoman Archive. Bartın, which was a significant coastal city of Ottoman Empire during the period (especially in lumbering) is chosen as the sample field for this study. Bartın, today, is one of Turkey’s cities in the West Black Sea Region. Rumor has it that the name Bartın comes from the mythological Greek word “Parthenios”, which means “river”. Bartın, which had fell under the domination of various states at different times in history, was annexed to the Ottoman Empire with the conquest of Amasra by Mehmet the Conqueror ( II. Mehmed) in 1461 (Bartın Rehberi, 1927, p.8). After annexed to the Ottoman Empire, Bartın was taken into the Bolu district of Anatolian Governorship; it became a town in 1867 and its municipal organization was founded in 1876. In 1920 it was joined to Zonguldak lieutenant governor, then after Zonguldak became a city in 1924, Bartın turned to be a district of the city and in 1991, Bartın itself became a city. Today Bartın has 4 districts which are: Center, Amasra, Ulus and Kurucaşile; 9 municipalities including Arıt, Kozcağız, Kumluca and Abdipaşa towns; and 262 villages (Bartın Valiliği, 2011). 1.INCOME SOURCES Income sources in an economy differ according to sectors and locations. Villages or if we are to say it with a more general expression, rural areas are small residential areas where there is no specialization in economic life and indeed, it is not necessarily needed, where production is at the level of earning one’s keep, and where agriculture and husbandry are important income sources (Öztürk, 1996, p.109). These residential areas also inform us about the agriculture in the Ottoman Empire. The economic structure of Ottoman Empire which was based on agriculture in general also draws attention in the 11 residential area we work on. Besides, it is also seen that lumbering is placed on the top as a source of income. 68 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 1.1.Number of Residential Areas In this study, the records of 11 villages annexed to Bartın township, chosen as the sample field of the study, and registered to Temettüat Register no 02824 recorded at the ML.VRD.TMT. were examined and the features of the economic structure in a rural area of the Ottoman Empire in the midst of the nineteenth century were tried to be put forward. The villages used in this study are: “Mekeçler” (BOA, ML.VRD.TMT No:02824, pp.4-10), “Kurtköy” (BOA, ML.VRD.TMT No:02824, p.11-16), “Receb Beşeoğlu” (BOA, ML.VRD.TMT No:02824, pp. 17-21), “Gedikler” (BOA, ML.VRD.TMT No:02824, pp.22-24), “Çayır” (BOA, ML.VRD.TMT No:02824, pp.25-32), “Bonlar” (BOA, ML.VRD.TMT No:02824, pp.32-34), “Kıran” (BOA, ML.VRD.TMT No:02824, pp.35-39), “Hoşafçılar” (BOA, ML.VRD.TMT No:02824, pp.40-41), “Emiroğlu” (BOA, ML.VRD.TMT No:02824, pp.42-43), “Pınarlı” (BOA, ML.VRD.TMT No:02824, pp.44-49) and “Akmescid’’ (BOA, ML.VRD.TMT No:02824, pp.49-50). Aforementioned rural area has 154 tax-paying houses and all of people living in these houses are Muslim. 1.2.Resource Balance Income from lumbering has an important share in the distribution of income sources in the rural area and it takes the first place. We collected all relevant We put all lumbering-relevant incomes in Temettiat register under the same topic. Revenue from lumbering within the total product was 59,69% in 1260/1844 in Bartın rural area. (graphic 1) And this shows that lumbering is an important income source in our study field. Forestland in Bartin is one of the most interesting and among the richest forestlands in Turkey in terms of plant and tree species diversity (Bartın Valiliği, 2011). Agricultural income is the second income source for rural areas. The rate is 33.51%. In this context, income from fields, vegetable gardens and grape vines are included in agricultural income sources. The reason for agricultural income to take the second place as an income source can be explained with the economic properties of the region. Income rate from being a laborer is 4,66%. Laborer which means worker (Devellioğlu, 2005, p.31) has been a considerable income source in villages. Income from husbandry, on the other hand, is the last item in income resources in the region with a rate of 2.14%. Due to rich pastures and humid climate, bovine breeding is widespread in the region. In the graphic below, the distribution of income sources of the rural area is given. Graphic 1: Breakdown of Income Resources (%) 69 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo In the distribution of incomes, large amount of income is obtained from lumbering in villages. Lumbering transportation has an important share in all villages. It is 38,89%. Income obtained from lumber milling has the second place with a ratio of 36,65%. Income from both lumbering and its transportation takes the third place as an income source. Lumber trading is only done in Akmescid village. 1.3.Distribution of Income Sources by villages In all village settlements income from lumbering has an important share as a source of income. Mekeçler Village had the highest agricultural income among total product across the villages. Income from lumbering amounted 58,04% in this village. The lowest agricultural income was in Kıran Village with a rate of 30,04%. Income from husbandry among total product was the highest in Akmescid Village with the rate of Graphic 2: Breakdown of Lumbering Income Resource (%) 2,14% and lowest in Mekeçler village with 0,21%. There was no income obtained from husbandry in Hoşaflar Village. There was no laborer income in three villages in all sources. Laborer income was the highest in Recep Beşoğlu Village. When income from lumbering is looked into in total product in all villages, it has a big share of 59,69%. Among villages, Kıran village had the highest income from lumbering with a rate of 66,52%. Table 1: Distribution of Income Sources by villages Villages Agricultural Income (Kurus) % Husbandry Income (Kurus) % Labor Income (Kurus) % Lumbering Income (Kurus) % Unexpected (Kurus) % Total (Kurus) Mekeçler 5.914 37.56 50 0.32 450 2.86 9.330 59.26 0 0.00 15.744 Kurtköy Receb Beşeoğlu 4.512 37.78 125 1.05 500 4.19 6.807 56.99 0 0.00 11.944 4.392 34.62 144 1.14 1.600 12.61 6.551 51.64 0 0.00 12.687 Karagedikler 2.649 36.08 44 0.60 700 9.53 3.950 53.79 0 0.00 7.343 Karaçayır 4.166 34.64 59 0.49 1.250 10.40 6.550 54.47 0 0.00 12.025 Bonlar 2.467 39.77 36 0.58 0 0.00 3.700 59.65 0 0.00 6.203 Kıran 4.019 30.04 111 0.83 150 1.12 8.901 66.52 200 1.49 13.381 761 37.84 0 0.00 0 0.00 1.250 62.16 0 0.00 2.011 Hoşafçılar 70 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Emiroğlu Pınarlı 2.269 35.72 154 2.42 0 0.00 3.930 61.86 0 0.00 6.353 4.646 33.60 132 0.95 150 1.08 8.900 64.36 0 0.00 13.828 Akmescid 11.153 33.51 713 2.14 1.550 4.66 19.870 59.69 0 0.00 33.286 TOTAL 46.948 34.83 1.568 1.16 6.350 4.71 79.739 59.15 200 0.15 134.805 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50. 1.4.Income Distribution by Houses Income per capita is an important indicator of the level of the welfare of the people of a country. The amount of income per capita is directly related to the economic structure of a country and rises in income shows the progress of the financial development move of a country (Öztürk, 1996, p.115). Since the sources we use include the incomes of the tax payers, the people the people we include here will be tax-paying houses. Table 2: Total Income of the Villages and Income per House Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Kıran Hoşafçılar Emiroğlu Pınarlı Akmescid TOTAL Number of Houses 20 18 12 8 22 6 13 5 6 17 26 153 Total Income 23.426 11.944 12.687 7.343 12.025 6.203 13.381 2.011 6.353 13.828 33.286 142.487 Income per House 1.171 664 1.057 918 547 1.034 1.029 402 1.059 813 1.280 931 In Village Average + + + + + + Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Income per house in the rural area was found as 931 kurus. Among the total 11 villages 6 of the villages were recorded to have an income above the average and 5 of them were recorded to have an income below the average. Income per house was the highest in Akmescid Village with an average income of 1,280 kurus per house. And, the lowest average income, on the other hand, was in Hoşaflar Village with 402 kurus per house. The reason behind the high rate of average income in Akmescid village is that lumbering trade is only made in this village. In general, there are no significant differences between the averages of plus and minus income groups. It is possible to say that the income levels of the houses in the same group are close to each other. 71 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 2.LAND DISTRIBUTION Total land recorded for agricultural purposes ( as fields and vegetable gardens) in village settlements was 2033 decare. These lands are 100% planted areas.2 All the lands in the villages were used for planting cereals, vineyards, vegetable gardens. 93,21% (1895 decare) of the agricultural lands were fields and 6,79% (138 decare) of the lands were vegetable gardens. This shows that agricultural production is the second source of income in the region after lumbering. 2.1.Distribution of land by villages and the amount of land per house In this part, land shares, amount of planted areas and their shares among the total 2033 decare agricultural area will be emphasized. 100% of the 2033 decare land that villages have are planted areas. There are no lands allowed to lie for fallow. Total land amount per taxpaying houses is 13,29 decares (Özlü, 2008, p.118).3 Graphic 3: Agricultural Distribution of Lands (%) Akmescid Village has the highest share in land distribution. Total land amount of this village is 422 decares. The village with the lowest amount of land is Hoşafçılar village with 21 decares. When we look into the amount of land per house, Bonlar Village has the highest rate with 20.33 decares per house. Again Hoşafçılar Village has the lowest amount of land with 4.20 decares per house. In terms of planted area, again Akmescid has the highest amount while Hoşafçılar has the lowest amount of planted area. The amount of planted area in Akmescid Village is 422 decares and the same amount is 21 decares in Hoşafçılar Village. The amount of planted area per house is the highest in Bonlar Village with 20.33 decares per house. The lowest amount is in Hoşafçılar Village with 4.20 decares per house. 2 In the analysis in 37 villages of Bilecik 36.55% of the land was lied to fallow and 63% of the land was planted. See Öztürk, 1996, p.121; it was 71.7% on the same dates in Akçakoca rural area. See Zeynel Özlü, “XVIII. ve XIX. Yüzyıllarda Karadeniz’de Bir Kıyı Kenti Akçakoca”, Yeditepe Yayınevi, İstanbul 2008, p.185. 3 Number of houses in Akçakoca on the same period: 294, total planted area: 857,25 decares, planted areas per house 2,7 decare. See. Özlü, p.188. 72 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The total land amount of all villages, the amount of planted and fallow land, amount of land per house is given in detail in Table 3. 2.2.Distribution of Planted Area by Villages In their distribution by the type of agricultural production and villages, it is seen that the total land reserved for branches of production is used to full capacity. The usage rate of fields reserved for such products as wheat, barley, oat and flax are close to one another. The largest land use in grains production is in Akmescid Village with 380 decares while the least land amount is in Hoşafçılar Village with 17 decares. The land distributed for vegetable gardens is the highest again in Akmescid Village with 42 decares and lowest in Bonlar Village with 5 decares. 2.3.Comparison of planted areas with the villages of Banaz district When the planted areas of the rural area is compared to the villages of Banaz district in terms of product diversity4 it is seen that the land reserved for grains and broad bean has a larger share in the villages of Banaz district (94.3%). The share of land reserved for vineyards, orchard and vegetable production is higher in the villages of Bartın district (6,79%). This validates that agriculture is an important income source in the villages of Banaz while in Bartın villages lumbering stands out as the main source of income. Table 3: Land Distribution Villages Nr. of Houses Total Unplant Total Planted Land Unpl Total Planted Unplan ed land Planted Area per per anted Land Area ted per Area House House land % land house (Decare) (Decare) (Decare) (Decare) % (Decare) Mekeçler 20 280 14,00 Kurtköy 18 206 11,44 Receb Beşeoğlu 12 189 15,75 Karagedikler 8 117 14,63 Çayır 22 195 8,86 Bonlar 6 122 20,33 Kıran 13 186 14,31 Hoşafçılar Village 5 21 4,20 Emiroğlu 6 94 15,67 Pınarlı 17 201 11,82 Akmescid 26 422 16,23 153 2033 13,29 TOTAL Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 - (Decare) - Table 4: Distribution of Agricultural Production Land Vineyard, Fields where orchard Nr. Of grains are and Village % Houses planted vegetable (Decare) production (Decare) 4 280 206 189 117 195 122 186 21 94 201 422 2033 % 14,00 11,44 15,75 14,63 8,86 20,33 14,31 4,20 15,67 11,82 16,23 13,29 100 100 100 100 100 100 100 100 100 100 100 100 Total Production (Decare) % - Among 37, only the first 11 villages of Banaz district were chosen to make comparison. See: Güler Erdem Bay, “19. Yüzyılda Banaz Kazası’nın Sosyo-Ekonomik Yapısı”, İstanbul Üniversitesi Sosyal Bilimler Enstitüsü Yayınlanmamış Yüksek Lisans Tezi, İstanbul 2010, p.15.; Planted area grain land in Akçakoca rural area in 1844 was 412 decare. See (Özlü, p.185). 73 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL 20 18 273 198 97,50 96,12 7 8 2,50 3,88 280 206 100 100 12 178 94,18 11 5,82 189 100 8 22 110 184 94,02 94,36 7 11 5,98 5,64 117 195 100 100 6 117 95,90 5 4,10 122 100 13 177 95,16 9 4,84 186 100 5 17 80,95 4 19,05 21 100 6 17 83 178 88,30 88,56 11 23 11,70 11,44 94 201 100 100 26 380 90,05 42 9,95 422 100 153 1895 93,21 138 6,79 2033 100 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 2.3.Distribution of Land by Usage Area In all villages a large amount of the land is reserved for grain production. The income from a 1895-decare-field reserved for field crops was 38.352 kurus. The highest revenue was obtained in Akmescid village as 9.155 kurus. The lowest income level belongs to Hoşafçılar village with 545 kurus. Graphic 4: Agricultural Distribution of Lands (%) An area of 138 decare was left for vineyards, gardens and vegetable gardens. The revenue from this area is 1998 kurus. The highest revenue is obtained from Kurt Köy with 1.245 kurus. Again, the lowest revenue was obtained from Hoşafçılar Village with 216 kurus. The total area reserved for wheat, barley, oat, flax, vineyard and fruits& vegetable is 2033 decares. 46.948 kurus revenue was made from an area of 2033 decares in all villages (Özlü, 2008, p.118).5 The highest income was obtained in Akmescid Village in 5 When we compare this income with Akçakoca on the same period, we find a significant difference between the two. It was figured that 46757 kurus revenue would be earned from 746,5 decare area in Akçakoca rural area ( See Özlü, p.188). This means 62,63 kurus per decare. On the other hand, 46948 kurus revenue was generated from 2033 decare in Bartın rural area, and such a low number as 23,09 was found per decare. 74 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo all villages with 11.153 kurus. The lowest income was obtained in Emiroğlu Village with 2.269 kurus. Table 5: Distribution of Land by Villages in terms of their usage area and value, 1844 Village Fields where grain production is made Income Decare (Kurus) 273 4.802 198 3.267 Vineyard, orchard and vegetable garden Income Decare (Kurus) 7 1.112 8 1.245 Mekeçler Kurtköy Receb 178 3.681 11 Beşeoğlu Karagedikler 110 2.118 7 Çayır 184 3.446 11 Bonlar 117 2.125 5 Kıran 177 3.407 9 Hoşafçılar 17 545 4 Village Emiroğlu 83 2.017 11 Pınarlı 178 3.789 23 Akmescid 380 9.155 42 TOTAL 1895 38.352 138 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Total 280 206 Income (Kurus) 5.914 4.512 711 189 4.392 531 720 342 612 117 195 122 186 2.649 4.166 2.467 4.019 216 21 761 252 857 1.998 8.596 94 201 422 2033 2.269 4.646 11.153 46.948 Decare 2.4.Comparison of grain areas with surrounding districts in terms of productivity When we compare Bartın rural area with Bilecik, Bursa and Akçakoca rural areas in the same period, we find totally different ratios. Among the three districts Bilecik has the highest rate. Bartın rural area has the lowest level of productivity among the four districts. Table 6: Comparison of Bartın rural area with surrounding districts’ rural areas in terms of productivity ( Kurus) City Bilecik Bursa (Öztürk, 1996, p.134) Akçakoca (Özlü, 2008, p.207) Bartın Grain Productivity Level 68,95 44,22 38,50 20,24 2.5.Productivity of Agricultural Production by villages The productivity of crops in agricultural land varies according to the type of product and geographical properties, on the other hand, effect productivity. Differences in practice in the production phase and use of fertilizers also effect productivity. When we leave all other factors aside except the geographical factors and make an evaluation; it is possible to set forth in which productive product a residential area should specialize in by determining in which product a village gets the highest revenue per decare (Öztürk, 1996, p.132). 75 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Table 6: Productivity of Agricultural Products by Villages (Kurus) Vegetable Grape Vineyard Village Grains s vine Income Mekeçler 4.802 347 765 -Kurtköy 3.267 253 792 100 Receb Beşeoğlu 3.681 324 351 Karagedikler 2.118 189 306 Karaçayır 3.446 234 360 Bonlar Village 2.125 117 225 Kıran Village 3.407 162 387 Hoşafçılar Village 545 72 81 Emiroğlu 2.017 162 Pınarlı 3.789 324 243 Akmescid Village 9.155 713 533 TOTAL 38.352 2.897 4.043 100 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Fruit Tree 126 63 63 63 290 702 1.307 Cloth Trading Income 100 50 150 Miscellan eous Fruits 36 36 27 99 Total 5.914 4.512 4.392 2.649 4.166 2.467 4.019 761 2.269 4.646 11.153 46.948 The village with the highest productivity in grain production in rural area is Akmescid Village. With a 9.155 kurus revenue Akmescid is the village with the highest revenue among all villages and it is also the village with the highest revenue in vegetable and fruit growing. Hoşafçılar Village has the lowest revenue in grain production with 545 kurus revenue. Highest revenue in vegetables belongs to Akmescid Village with 713 kurus revenue. Hoşafçılar village where the lowest revenue is obtained is also the village with the lowest grain and grape revenue. Kurtköy has the highest grape income with 792 kurus and Hoşafçılar has the lowest grape income with 81 kurus. Grapevine and cloth trading income is only obtained in Kurtköy with 100 kurus each. In miscellaneous fruits part 99 kurus revenue was obtained in three villages in total. 2.5.Size of Agricultural Enterprises In Ottoman agricultural statistics enterprises were divided into three groups according to their size. Companies with an area below 10 decares were grouped as “imalât-ı sağire”(small scale enterprise), those with an area between 10-5- decares were grouped as “ imalât-ı mutavassıta”( medium-sized enterprise), and those with an area more than 50 decares are grouped as “imalât-ı cesime (large-scale enterprise)’’ (Güran, 1998b, p. 242). According to this division the rate of small businesses in Bartın rural area is 18.15% while the rate of medium-sized businesses counts for 81.85%. There are no big-sized enterprises ( with an area over 50 decare) among agricultural businesses. 76 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo And this shows that there are mostly medium-sized enterprises in the villages (Sarı, 2007, p.45).6 Table 7: Size of Agricultural Enterprises Over 50 % decare 1-10 Decare % 10-50 Decare % Planted field 231 12.19 1664 87.81 - 0 Vegetable garden 138 100 - 0 - 0 TOTAL/AVERAGE 369 18.15 1664 81.85 - 0 2.6.Grain Production We see that grain production, which was the most important source of income for Ottoman Empire (Keyder and Tabak, 1998, p.182), had been an important source of income in Ottoman rural areas, a small reflection of the empire, as well. Moving from the data regarding the grain production of eleven villages chosen, numbers about the type of grain and their amounts (table 8) will be presented. 2.7.Distribution of Grain Production by Villages in terms of Amount All the fields in the Temettüat register, the main source of our study, are planted areas. There are no fields allowed to lie for fallow. Wheat, barley and oat are grown in all villages. Besides, reed plant and flax oil grows in Akmescid too. The highest wheat production is made in Akmescid village with 880 bushels while the lowest production is made in Hoşafçılar village with 50 bushels. As is seen, wheat production takes the first place in grain production. In the villages we realized our study, a total amount of 3840 bushels wheat production was made. After wheat, the second most produced grain is barley. Barley is most produced in Kıran Village and least produced in Hoşafçılar Village. The total production of field products was 8315 bushels. The highest share belongs to Akmescid Village with 1900 bushels and the lowest share belongs to Hoşafçılar Village with 85 bushels. Table 8: Distribution of amounts (Bushel) Village Wheat Barley Mekeçler 370 390 Kurtköy 310 220 Receb Beşeoğlu 340 270 Karagedikler 230 160 Çayır 480 290 Bonlar Village 240 120 Kıran Village 390 220 Hoşafçılar Village 50 30 6 Grain Production according to their Oat Reed Plant Total 190 950 120 650 200 810 50 440 190 960 110 470 80 690 5 85 According to a study in 2007, when the ratio of the sizes of the agricultural businesses and the area they cover is looked into the total rate of three group business with 50-100 and 100-200 and 200-499 decare (da) size make 60,75%. In Bartın, on the other hand, the number of businesses with 0-20 da make up 29,2%.And the companies with 20-100 da make up the 68,7%. Besides, there are no companies larger than 500 da in Bartın (Salih Sarı. Bartın City Agrarian Geography, Unpublished Post Graduate Thesis, Sakarya University Institute of Social Sciences, 2007, p.45). 77 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Emiroğlu Pınarlı Akmescid Village TOTAL 180 370 880 3840 140 190 390 2420 30 130 350 1455 120 200 280 600 470 890 1900 8315 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 2.8.Annual amount of grains produced by their type When we calculate annual grain amount produced annually based on the product type, following results are obtained: Graphic 5: Grain Product Amounts (Bushel) 2.9.Grain Amount per House (Kg) We can find if there is a surplus product in the total agricultural production amount of the villages. When doing this, we can use the tithe paid for one year in the villages. Total tithe from wheat in the villages is 384 bushels. Since this tax in-kind corresponds to 10% of the total product, moving from this information we can find the total wheat production as 3840 bushels. When 384 bushels, the tithe, is deducted from the total production, the amount of wheat the villagers will consume in a year is found; and this amount corresponds to 3456 bushels (88.354 kg). Does this amount supply the villagers with the necessary amount they need? When we consider that a person can consume almost 8 bushels (205 kg) of wheat in a year (Güran, 1998 a, p.16), wheat consumption of the villages in the same year is calculated as 6120 bushels (156.978 kg) (Özlü, 2008, pp. 195-196).7 According to this calculation, it is revealed that villagers cannot even supply their own wheat amount 7 153 houses, the population of the village is found as 765 by calculating 5 people living in each house. As it is known that each person consumes 8 bushels of wheat every year, total consumption is found as 765x 8= 6.120 bushels. Please see Ömer Lütfi Barkan, “Tarihi Demografi Araştırmaları ve Osmanlı Tarihi”, Türkiye Mec., C:X, İstanbul 1953, p.1-26 for Ömer Lütfi Barkan’s thesis stating that each Ottoman house’s population is five people. The same calculation can be made for Akçakoca rural area. There were 294 houses in Akçakoca. And accordingluy, the total population is 1470. Total annual wheat consumption is 1470x8= 11.760. However, the total wheat production in Akçakoca was 1790 bushels. Thus, all dwellings of Akçakoca produce less wheat than they need. And this brings in mind that the people in the villages provide their wheat need from the districts in the neighbourhood partially. See Özlü, pp. 195-196. 78 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo for themselves and their families let alone merchandise it. 8 The required amount of wheat-deficit for aforementioned villages to nourish themselves is 2.280 bushels or in other words 58.482 kg. However, this deficit should be approached with precaution because in those aforementioned villages such supporting products as barley, oat, reed plant, flax and flax oil are also grown. 3.HUSBANDRY 3.1.General Structure Husbandry is at the bottom of the list as an income source in the region. Its share in the total revenue is 2.14% (Özlü, 2008, p.82) .9 Existing husbandry, as far as it seems, is for meeting needs. It is not possible to say that production for the market is made and that husbandry is done as an occupation. It appears that only ox among cattle is used in ploughing. Such pack animals as bear, horse, donkey and hinny are not found in the villages. Table 9: Ovine and Cattle Distribution Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL Ovine (Number) 9 15 10 0 3 24 61 Incomegenerating ovine (Number) 3 14 6 3 14 40 Total Revenue Cattle (Number) 6 14 12 4 29 65 56 35 43 26 23 25 63 5 32 32 110 450 Incomegenerating cattle (Number) 2 6 4 2 2 3 8 8 5 28 68 Total Revenue (Kurus) 20 75 40 20 50 30 80 150 105 598 1168 The number of bovine in rural area is 61. Among these 61 animals, 40 of them brought in money; the income generated from these 40 animals was 65 kurus. Akmescid Village ranks in the first place in raising ovine with 24 ovine. Again the highest income from ovine was generated in Akmescid Village with 29 kurus. The total number of cattle is 450. There are cattle in all rural areas. The highest number of cattle is in Akmescid Village. The number of cattle in this village is 110. The income generated from these 110 cattle is recorded as 1168 kurus. An important part of this revenue is generated from milk cows and milk buffalos. The rate of ovine among all animals is 11.94% while the rate of cattle is 88.06%. When we group the animals raised in rural areas according to their species (Table 10) we see that cattle species has the highest share. It is seen that ovine breeding did not develop in the villages in rural areas while bovine breeding significantly improved. 8 For similar and comperative calculations see Öztürk, 1996, p. 146; A. Mesud Küçükkalay-Ayla Efe, Osmanlı Ziraî Sektörünün Ticarileşebilme İmkânı Üzerine Bir Deneme:1844-45 Alpu Köyü Örneği, p.252. 9 In Özlü’s study on Akçakoca, the share of husbandry in Akçakoca rural area was found to have 3% share in total revenue. Between 1811-1864 Akçakoca was a town attached to Bolu-Safranbolu (Viranşehir)- Has Voyvodalığı (Özlü, p.32). 79 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Table 10: Total Animal Distribution in Villages by their species Animal species Goat Sheep Cattle Number 15 46 424 % 3,09 9,48 87,42 3.2.Ovine breeding It is seen in the records that goat and sheep were the animal species in which ovine breeding developed. There was no information on poultry so we cannot comment on poultry. The total number of goats and sheep that we assessed in total ovine is 61 (Table 11). Among these 61 ovine, 15 of them are goats and 46 of them are sheep. Among both species sheep has a predominant place. Table 11: Distribution of Ovine by Villages Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL Milk Milk sheep sheep (number) Revenue Infertile sheep (number) Infertile sheep revenue Milk goat (number) Milk goat revenue Infertile goat (number) Infertile goat revenue Goat kid Lamb 3 0 6 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6 0 7 14 0 0 0 0 0 0 0 8 0 6 0 0 0 12 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 4 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 3 0 4 0 0 0 0 0 3 6 4 9 7 14 0 0 5 5 19 38 4 9 7 14 3 4 5 23 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Annual revenue from 61 ovine is 65 kurus. And 18 kurus of this amount is earned from goats and 47 of it is earned from sheep. It seems that when annual revenue from each animal is considered, sheep is a more productive animal. As goat species mostly milk goats are raised. Goat is only raised in Emiroğlu (3 ) and Akmescid (12) villages. And in sheep species again mostly milk sheep are raised. It is seen that these animals are mostly raised in Recep Beşeoğlu village. 3.3.Bovine Breeding The distribution of bovine breeding in the rural area is as follows (Table 13); Number of cattle is higher than the number of pack animals. Except from milk cow and milk buffalo, no income is generated from the other animals among cattle. The number of draught animals among cattle is high. And among pack animals there are no donkeys in all rural areas except 1 in Emiroğlu village. 80 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Donkey 6 1 2 0 0 2 0 0 1 1 2 6 Female Buffalo Male Buffalo Calf Female Buffalo Calf Infertile cow Mare Calf 0 4 2 1 4 0 0 2 0 0 7 2 1 1 0 0 0 2 0 2 5 0 0 0 2 0 5 0 1 2 3 9 10 5 12 24 Young horse 3 0 2 0 0 0 1 0 0 0 1 2 0 0 1 0 0 0 0 0 2 2 7 4 10 Male Calf 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 2 3 Young cattle 1 0 0 2 Female Calf Mekeçler 2 20 0 0 28 1 4 3 Kurtköy 5 50 1 25 19 0 0 Receb Beşeoğlu 4 40 0 0 15 0 4 7 Karagedikler 2 20 0 0 12 0 0 0 Çayır 0 0 2 50 10 0 6 0 Bonlar Village 3 30 0 0 6 0 4 0 Kıran Village 8 80 1 25 16 0 0 2 Hoşafçılar Village 0 0 0 0 4 1 0 0 Emiroğlu 6 90 2 60 9 0 0 2 Pınarlı 3 45 2 60 17 0 0 1 Akmescid Village 17 268 11 330 30 3 4 2 TOTAL 50 643 19 550 166 5 22 17 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Male Buffalo Infertile Buffalo Buffalo Cattle Black Cattle Milk Buffalo Revenue Milk Buffalo (number) Milk Cow Revenue Village Milk Cow (number) Table 12: Distribution of Bovine Animals by Villages 2 1 0 5 3 5 1 0 1 1 2 1 0 3 0 0 0 4 1 2 0 8 3 18 0 0 0 0 0 2 0 0 0 0 0 2 0 0 0 0 0 0 0 0 1 0 0 1 When we look into the animal species used for ploughing and packing and those which should be regarded as capital, we see ox and water buffalo on the top of the list. Only donkey is recorded carrying and apart from donkey, there is not any other animal like horse and hinny. The total number of bovine animals in the rural area raised for various purposes and used in various areas is 370. Among these animals 369 of them are cattle and 1 on them is pack animal. Annual revenue from 50 milk cows in cattle group is 643 kurus. Average annual revenue per animal is found as 12.86 kurus. In terms of annual revenue, income from milk buffalo takes the second place. While income is 10 kurus per milk cow, the same income from each milk buffalo is two and a half times higher than it. The annual revenue from each milk buffalo is 25 kurus (Özlü, 2008, p.165). 10 The total revenue from cattle is 1193 kurus. The highest number of milk cows is in Akmescid Village. There are 17 milk cows in the village. There are two milk buffalos in each Çayır, Emiroğlu and Ponar villages, and one in both Kurtköy and Kıran Villages. There are no milk buffalos apart from the mentioned ones. The highest number of cattle used for ploughing is in Akmescid village. The total number of cattle used for ploughing in this village is 30. When the number of houses in this village is considered ( a total of 24 houses) it is obvious that there are more than one cattle for each house. 10 In a research on Plovdiv city, it was found that 60 kurus income is generated from a buffalo and 5-6 kurus income is generated from a milk cow annually. (Özlü, p.165). 81 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 3.4.Draught and Pack Animals in house scale During the times before mechanization and in fields where mechanization did not apply, cattle is the main agricultural tool and there is almost one cattle for each house in the rural area. According to our calculations, there is 1.02 cattle per house. When we accept that each house has one cattle, it means that all household heads in all villages have a cattle. The rate of cattle, used as draught animal, per house in the rural area is shown in Table 12. In the table, we see that the number of draught animal per house is 1.02. The highest number of cattle per house is in Bonlar Village and the number is 1.67 per house, which means there is more than one cattle for each house in this village. The highest number of cattle is in Mekeçler Village and the total number of cattle is 33. However, since the population of the village is high, the number of cattle per house is 1.65. The lowest number of cattle is in Emiroğlu Village and there are 5 draught animals in the village. In Hoşafçılar Village, where there are only 5 houses, there are no draught animals. Table 13: Draught Animal per House Number of Houses 20 18 12 8 22 6 13 5 6 17 26 153 Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL/AVERAGE Total cattle number 33 19 19 12 16 10 16 5 9 17 156 Cattle per House 1.65 1.06 1.58 1.50 0.73 1.67 1.23 0.00 0.83 0.53 0.65 1.02 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 3.5.Amount of land per cattle When we look into the amount of agricultural land per cattle in our sample study field, we see quite different numbers. As seen in Table 14, village averages differs. On all planted areas scale, the average land per cattle is 13.03. The highest amount of land per cattle is in Akmescid Village. Pınarlı Village follows Akmescid Village with an average land per cattle among all planted area is 22.33 decare. The village where a cattle has the lowest land is Mekeçler Village. The average land for a cattle among all planted area in this village is 8.48 decare. According to the calculations made, a couple of horses plough 6-7 decare area while a couple of cattle plough 2-3 decare area (Güran, 1998 a, p.86). Accordingly, it is found that a cattle in Bartın rural area is only used for two work days for ploughing. Table 14: Land per cattle Village 82 Number of Total cattle Planted area (Decare) Planted Land per Cattle (Decare) �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL/AVERAGE 33 19 19 12 16 10 16 0 5 9 17 156 280 206 189 117 195 122 186 21 94 201 422 2033 8,48 10,84 9,95 9,75 12,19 12,20 11,63 0 18,80 22,33 24,82 13,03 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 3.6.Beekeeping Although beekeeping is not accounted as a source of living, stil some villages are engaged in beekeeping. As it can be seen in Table 15, all villages are engaged in beekeeping except from Hoşafçılar and Emiroğlu villages. The total number of bee hives in all villages is 43 and the total annual revenue from beekeeping is 299 kurus. The annual revenue from each bee hive is 6 kurus in all villages except Pınarlı and Akmescid villages. Table 15: Villages where people are engaged in Beekeeping, number of beehives and annual revenue Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL Number of Beehives Annual Revenue (Kurus) 4 5 14 4 2 1 1 0 0 3 9 43 24 30 84 24 12 6 6 0 0 27 86 299 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 4.DISTRIBUTION OF LABOR FORCE In village settlements, there are not many occupational diversity as in urban areas. In villages, where main source of income is based on agriculture and husbandry, there is no need for occupational differentiation (Güran, 1985, p.318). However, in rural areas there are reasons to do agricultural and non-agricultural activities together. Because of the density of population in the rural area, not everyone could engage in agriculture (Güran, 1998 b, p.271). 83 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 4.1.Occupational Breakdown of Household Heads The rate of agricultural revenue in total revenue in the rural area used as the study field is 35.51%, while the same rate for lumbering is 59.69%. In other words, we see that the income rate earned from an occupation other than agriculture and husbandry and which can be regarded as occupational income has a quite high level in total revenue. This shows that Bartın, located in the West Black Sea Region, is rich in terms of forests. According to Forest Management Map Database of General Directorate of Forestry, Bartın city has 98.578 ha forest area and 13.229..029 cubic meter planted forest. Most of the existing forest areas are high forests (Sarı, 2007, p.23). It can be said that the large amount of forest areas in the region developed lumbering activities. When the occupations of the household heads were specified in the registers their being “erbâb-ı ziraat”( farmer) is indicated clearly. Since almost all of the people engaged in a business other than agriculture have agricultural lands, it is understood that these people are engaged in farming. Recent studies show that almost all of the people living in the villages of Bartın are somehow engaged in agricultural activities (Sarı, 2007, p.44). Table 16: Occupational Breakdown of Household Heads “Asâkir-i Village Nizâmiye-i Forlo Luna Şâhâne” Servant Beggar Orphan rn tic ( a military Number of Houses Erbab-ı Ziraat (farmer) 20 18 19 11 1 3 0 1 0 1 0 1 0 1 0 0 0 0 0 0 12 12 0 0 0 0 0 0 0 0 8 22 6 13 5 6 17 26 6 16 5 11 3 5 14 24 2 3 0 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 1 0 1 0 1 1 0 0 0 0 1 0 0 0 0 2 0 0 0 1 0 1 0 0 0 0 0 0 1 0 0 1 0 0 0 0 0 0 2 5 2 4 1 1 unempl Laborer oyed position) Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Kıran Hoşafçılar Emiroğlu Pınarlı Akmescid TOTAL/ 153 126 11 1 AVERAGE Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 It is indicated that 10 household heads among 153 in all villages do not have any income. These people without any income are recorded as “Sa'ile”, “unemployed”, “orphan”, “Lunatic”, “Diseased and Alone” and “Asâkir-i Nizâmiye-i Şâhâne”. Only in Çayır Village there is a record of one people as “Asâkir-i Nizâmiye-i Şâhâne”. This person had no property, land or animals and was engaged in merchandising in Adapazarı and later came to Bartın to attend Asâkir-i Nizâmiye-i Şâhâne”. There are other 9 people without any income and without any kind of property. It is stated that those people live off with the support of other people. Apart from these 10 people, all other household heads have some piece of agricultural lands that they work. 84 Most of these �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo household heads are earning their income from lumbering apart from agricultural activities. The share of income obtained from lumbering among total revenue is 59.15%.11 As is seen in Table 15, 126 houses (82.35%) among a total of 153 in all villages are engaged in agriculture. It is also recorded that there are 11 laborers, 1 unemployed, 2 forlorn, 5 servants, 2 beggars, 4 orphan and 1“Asâkir-i Nizâmiye-i Şâhâne”. 4.2.Distribution of Active Labor Force Income In this section, the breakdown of revenue from occupation by villages will be examined and moving from that overall breakdown results will be found. The number of people with an income from an occupation, total and average occupation income breakdown and the share of this income in total revenue will be assessed. Table 17: Breakdown of Labor Force Income by Villages Number Number of Houses of with Houses Occupatio n Income Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village TOTAL/ AVERAGE Total Occupa tion Income (Kurus) Average Occupa tion Income (Kurus) Number of Houses Share of with Total of occupatio Total Occupat Other nal Revenue ion Income income in (Kuruş) Income (Kurus) revenue + other (%) Income source 20 18 20 15 6,414 5,137 320.70 342.47 20 18 9,330 6,807 15,744 11,944 40.74 43.01 12 12 6,136 511.33 12 6,551 12,687 48.36 8 22 8 19 3,393 5,475 424.13 288.16 8 22 3,950 6,550 7,343 12,025 46.21 45.53 6 6 2,503 417.17 6 3,700 6,203 40.35 13 12 4,280 356.67 13 9,101 13,381 31.99 5 4 761 190.25 5 1,250 2,011 37.84 6 17 5 16 2,423 4,928 484.60 308.00 6 17 3,930 8,900 6,353 13,828 38.14 35.64 26 25 13,416 536.64 26 19,870 33,286 40.31 153 142 54,866 386.38 153 79,739 134,805 40.70 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 In all the villages examined, all household heads earn income from lumbering apart from agricultural activities. The village with the highest occupation income is Akmescid Village. Their occupation revenue has 40.70% share in total revenue (Özlü, 2008, p.180). 12 Rural area has a total 54.866 kurus occupation income. The village with the highest occupation income is Akmescid Village, which also has the highest number of household heads having an occupation income. The average revenue in all villages is 11 See Breakdown of income resources by villages, table.1. The rate of occupational income in total revenue in Akçakoca in the same period was quite higher than Bartın and it was 87%. (Özlü, p.180). 12 85 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 386.38 kurus. The highest average is again in Akmescid Village with 536.64 kurus. 25 houses out of a total of 26 have an occupation revenue in this village. The share of occupation revenue in total revenue in terms of their village breakdown is as follows: As it is stated before, the share of occupation revenue in total revenue in all rural area is 40.70% and the highest rate is in Recep Beşeoğlu village with 48.36%. All the total 12 houses in Recep Beşeoğlu village have occupation revenue. The lowest occupation revenue, according to its share in total revenue, is in Kıran Village with 31.99%. 5.DISTRIBUTION OF TAXES IN VILLAGES 5.1.General Information Tax is transfer of fund to the government from economic resources with a political decision in order to carry on public works (Milliyet Genel Ekonomi Ansiklopedisi I-II, 1988, p.920). And it was the basis of income distribution in pre-industrial economies. This financial system, which was one of the basic dynamics of the empire took its unique place in world finance history with the collapse of the empire (Genç, 1975, p.231). There had been various implementations of tax in Ottoman Empire in terms of how it is imposed, how it is collected and its diversity. In the period before Tanzimat, there were taxes with different rates and collection methods under the main headings of “Tekâlif-i Şer’iye” and “Tekâlif-i Örfiye”. 19th century had been a totally different period for Ottoman society and economy compared to the previous periods. One of the most significant improvements during the century is the reform movements that the Ottoman executives initiated (Pamuk, 2007a, p.238). With Tanzimat, as in other institutions, many reforms were made in financial structure too. Financial institutions and tax system had been the main focus of Tanzimat reforms (Ortaylı, 1974, p.2). In tax practice religious taxes were remitted and substituted by tithe at a rate of one of a tenth in agricultural products and “adet-i ağnam” (literally meaning “sheep tax”) in ovine, jizya taken from non-Muslim citizens. And civil tax was also substituted with “vergü-yi mahsusa” ( a private tax) (Güran, 1989, p.13). Jizya was a per capita tax levied on non-Muslim citizens in Ottoman Empire (Karaman and Pamuk, 2010, p.599). 5.2.Vergü-yi Mahsusa ( Private tax) This tax which was allocated somehow considering the income of the people and which was substituted for civil tax during Tanzimat period began to be applied as of 1840. The amount of this tax was determined in sanjak scale and the total amount was divided between the districts. Later the members of the town council used to determine the amount that each town or village had to pay in a meeting where, according to the ethnicity of the population, imam and priest were participating; finally the tax was allocated according to the abilities of the people to pay. 86 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo In determining the amount of the tax, the total amount of removed civil tax was based on and the ability of the taxpayers to pay which was used when allocating the tax among taxpayers was determined by a census. In this new practice, real estate, land, animal and if the person is engaged, their trade income was grounded on. In order to determine this financial strength fairly and to allocate the tax in a just manner according to people’s ability to pay, inventories were taken in 1844 in a large part of the country. And as a result of these inventories “Property, Land, Animal and Temettüat Registers” were prepared. During the inventories taxman began tax registering from the villages and registered every single person’s name and reputation, their property, land and animals, average amount of revenue of the merchants and tradesmen. And a notable person would be appointed by the city council to each town to help the taxman for registry and a secretary would be appointed to them. Registries were to be made on a properly and fairly, and those who make wrong or incomplete register would be punished. During the collection, the mukhtar of the village or neighborhood, imam or clerk registered the collection they made to the register book with a name of the household head and would bring the book and money to the district. The taxes that people paid were registered to the book at the district and the amount money and date of the payment were written and sealed by the principal and presiding officer. During the collection and the delivery of the tax to the taxman, zaptiah soldiers were also appointed for security reasons. The collection of this tax was made in two installations as “ruz-ı Hızır” and “ruz-ı kasım” until 1261/1845. And each installation was collected in three other installations. However, since these collection periods were not appropriate for collection, from this date on the tax was to be collected step by step from the farmers from harvest period till the end of the year, and from merchants and tradesmen it was to be collected in a year in installations. With this regulation in 1864, paying the tax in 10 installations was introduced. This tax which was based on identifying property, land and other income resources of the public and taxation according to their ability to pay was abolished in 1860 and instead, land and income taxes were brought (Öztürk, 1996, p.176). After all these general information about taxes, we will now put an emphasis on the shape of Vergü-yi Mahsusa in Ottoman rural area. From the Temettüat register sequence no: 02824, we know the amount of tax allocated to villages in the rural area. Here we will look into the allocation of taxes in the villages from the registers belonging to the villages. There are differences in tax allocation between villages in the rural area examined. Table 18 shows total vergü-yi mahsusa realized in all villages as well as amount of vergü-yi mahsusa per house. When we look into the average amount of tax levied per house, it is seen that the amount is 187,10 kurus in total rural scale. And when we look at village averages we see that 6 villages are above this average and 5 villages are below the averages. Highest average tax was seen in Akmescid Village as 241,73 kurus. The lowest 87 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo average tax was seen in Hoşafçılar Village as 98 kurus. Total vergü-yi mahsusa in all villages is 28.627. Table 18: Distribution of Vergü-yi Mahsusa Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village Number of Houses 20 18 12 8 22 6 13 5 6 17 26 153 Vergü-yi Mahsusa (Kuruş) 4,128 2,660 2,558 1,296 3,156 1,252 2,546 490 1,332 2,924 6,285 28,627 TOTAL/ AVERAGE Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Tax per house (Kuruş) 206.40 147.78 213.17 162.00 143.45 208.67 195.85 98.00 222.00 172.00 241.73 187.10 In village average + + + + + + 5.3.Tithe The word tithe means a one tenth part of something (Akdağ, 1999, p.408); and in Islam land law it means a land tax at a rate of 1/10 and 1/20 taken from the products raised in lands whose owners converted to Islam with their own will and from the lands which were won after a war and divided among the war veterans (Öztürk, 1996, pp. 184-185). Tithe taken directly from the producers (Keyder and Tabak, 1998, p.146) is like a religious service and regarded as the zakat of the land and was only taken from Muslims and the owned land. Tithe in the Ottoman Empire was the name of the money taken from demesne. Since the word exaction would not be approved among the public, it was called as tithe and thus, had been used for centuries. Tithe was taken from all products in agriculture. It was taken from all grains and grain types, products raised in vegetable gardens, fruits, vineyards and grape products, pastures and other agricultural products; and the collection of this tax was made in three ways: in kind, in cash and fixed. This tax was not previously transferred to the national treasury but paid to the land owner by rayah working on the land. After the corruption of manorial system the authority of demesne was given to tacksman, taxman and civil servants. During Tanzimat tithe was collected at a rate of one tenth. Tithe, the most efficient source for the finance of socio-economic development, was remitted in 17 February 1341 (1925) and was replaced by “mahsulat-ı araziye (land income)” (Öztürk, 1996, 184-185). Following these historical improvement phases of tithe, the tithe per house, its share in total tithe and the rates of tithe in Bartın rural area will be highlighted. 88 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Burden of tithe tax varies in each house according to the capacity of agricultural lands in rural area and according to the products. In all rural areas, the total tithe occurred as 5.366 kurus. The average tithe burden per house is 35.07 kurus. The highest tithe average per house was seen in Akmescid Village. Here the average tithe per house was 47.04 kurus. The highest tithe tax burden in rural area was also seen in Akmescid Village which had the highest average tax burden per house. The lowest average was found in Hoşafçılar Village as 84 kurus. Since the total number of tax payers in Hoşafçılar Village was only 5, the total tax amount was low. Table 19: Total Tithe and its Break Down per house Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village Number of Houses 20 18 12 8 22 6 13 5 6 17 26 153 Total Tithe (Kurus) 665 485 525 302 594 277 434 84 254 523 1,223 5,366 TOTAL/AVERAGE Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 Tithe per house (Kurus) 33.25 26.94 43.75 37.75 27.00 46.17 33.38 16.80 42.33 30.76 47.04 35.07 5.4.The Share of Taxes in Total Revenue The share of Vergü-yi Mahsusa in total revenue in rural area was 20.09, and the share of tithe was 3.77. Among villages, the village with the highest Vergü-yi Mahsusa was Çayır Village. The share of Vergü-yi Mahsusa in total revenue in Çayır Village was found as 26.25%. And the lowest rate was found in Mekeçler Village. The highest rate of tithe among the total revenue was again found in Çayır Village with 4.94% and the lowest rate was found in Mekeçler Village with 2.84%. When we look into rural areas in terms of net revenue, it is found that Mekeçler village has the highest net revenue with 79.54% excluding tithe and tax and Hoşafçılar Village has the lowest revenue with 71.46%. The average of all rural area is 76.14%. The share of Vergü-yi Mahsusa and tithe in total revenue and the rate of net revenue is given in Table 20 below on village scale. 89 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Table 20: Vergü-yi Mahsusa, Tithe and Net Revenue Rates Total Vergiyi Net Vergü-yi Product Total Net Tithe Revenue Mahsusa Revenue Mahsusa Tithe Revenue Revenue (Kuruş) (Kuruş) (Kuruş) (Kuruş) % % % % Village Mekeçler Kurtköy Receb Beşeoğlu Karagedikler Çayır Bonlar Village Kıran Village Hoşafçılar Village Emiroğlu Pınarlı Akmescid Village 23,426 11,944 12,687 7,343 12,025 6,203 13,381 2,011 6,353 13,828 33,286 TOTAL/AVERAGE 142,487 4,128 2,660 2,558 1,296 3,156 1,252 2,546 490 1,332 2,924 6,285 28,627 665 18,633 485 8,799 525 9,604 302 5,745 594 8,275 277 4,674 434 10,401 84 1,437 254 4,767 523 10,381 1,223 25,778 5,366 108,494 17.62 22.27 20.16 17.65 26.25 20.18 19.03 24.37 20.97 21.15 18.88 20.09 2.84 4.06 4.14 4.11 4.94 4.47 3.24 4.18 4.00 3.78 3.67 3.77 100 100 100 100 100 100 100 100 100 100 100 100 79.54 73.67 75.70 78.24 68.81 75.35 77.73 71.46 75.04 75.07 77.44 76.14 Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 5.5.Vergü-yi Mahsusa and Tithe in Tax Burden Vergü-yi Mahsusa and tithe burden in total revenue developed at different levels in different villages. The rate of Vergü-yi Mahsusa and tithe in all tax expenditures in all rural area was 84.21% and 15.79%, respectively. The highest Vergü-yi Mahsusa occurred in Mekeçler Village with 86.13% and the lowest occurred in Karagedikler Village with 81.10%. The situation with tithe regarding the highest and lowest levels is vice versa. It was the lowest in Mekeçler Village and highest in Karagedikler Village. The rates of Vergü-yi Mahsusa and tithe in total tax burden realized in the villages are given in Table 21 below. Table 21: The rate of Vergü-yi Mahsusa and Tithe in Total Tax Vergiyi Vergü-yi Product Total Tithe Total Village mahsusa Mahsusa Tithe Tax (Kuruş) (Kuruş) (Kuruş) % % % Mekeçler 4,128 665 4,793 86.13 13.87 100 Kurtköy 2,660 485 3,145 84.58 15.42 100 Receb Beşeoğlu 2,558 525 3,083 82.97 17.03 100 Karagedikler 1,296 302 1,598 81.10 18.90 100 Çayır 3,156 594 3,750 84.16 15.84 100 Bonlar Village 1,252 277 1,529 81.88 18.12 100 Kıran Village 2,546 434 2,980 85.44 14.56 100 Hoşafçılar Village 490 84 574 85.37 14.63 100 Emiroğlu 1,332 254 1,586 83.98 16.02 100 Pınarlı 2,924 523 3,447 84.83 15.17 100 Akmescid Village 6,285 1,223 7,508 83.71 16.29 100 TOTAL/ 33,993 28,627 5,366 AVERAGE Source: BOA, ML. VRD. TMT, 1844, 02824, pp. 4-50 90 84.21 15.79 100 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 6.RESULT In this study, which aims to examine the of the Ottoman Empire in the midst of obtained regarding the income resources, distribution and taxes in the chosen eleven existing economic structure of a rural area nineteenth century, significant findings are land distribution, husbandry, labor force villages. First of all, income resources of these chosen villages was found to be including 5 items which are agricultural, husbandry, being a laborer, lumbering and unexpected. It was observed that in a rural area chosen as the study field in Ottoman Empire, which was an agrarian state, lumbering was at the top of the list with 59.69% and on the contrary, agricultural income was in the second line of the list with 33.51% and husbandry was at the bottom of the list with 2.14%. It was found that there were differences in the distribution of income sources in different villages and that average revenue per house was 931 kurus. It was also found that 6 of those 11 villages were above the average and 5 of them were below the average and that there were no big differences in the averages of income groups. When the agricultural production is looked into, it was found that such grains as wheat, barley, oat and flax were raised as well as vineyards, fruits and vegetables; and the total land amount in village scale was 2033 decare. All those land were planted; 93.21% of the land was used as fields (1895 decare), 6.79% (138 decare) was used as vegetable gardens. The land for each tax-paying house was 13.29 decare, and the land used for grain production was 8315 bushel. Wheat is raised in large part of this grain production area. In terms of the size of agricultural enterprises, the share of small businesses was 18.15% and share of medium-sized businesses was 81.85%. In those sample eleven villages, it was found that there were mostly medium-sized businesses and that there were no large-scale businesses. It was seen that husbandry was not practiced as an occupation but as a means to meet the needs. In all villages, bovine breeding was in the forefront (88.06%). The share of ovine breeding was 11.94%. Annual income was obtained from milk cows and milk buffalos. Buffalo oxen were used as draught animals. In 153 houses in the rural area there were 156 oxen; which means there were 1.02 draught animal per house. This rate shows that each household heads had one draught animal. The average amount of land for one ox in planted areas was 13.03 and the days that each ox was used for ploughing was two working days on average. With regards to occupational income, there are 10 household heads among 153 who did not have any income source. And these people were recorded under “beggar”, “unemployed”, “orphan”, “lunatic”, “diseased and lonely” names. The total 91 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo occupational income in the rural area was 54.866 kurus and the income average was 386.38 kurus. The share of occupational income in total revenue was found as 40.70%. The total revenue of the rural area was calculated as 142.487 kurus and the Vergü-yi Mahsusa was calculated as 28.627 kurus. As a result of the calculations, tax burden imposed per house was found as 187.10 kurus. It was stated that six villages were taxed above this village average and five villages were taxed below the average. On the other hand, tithe burden in the rural area was 5.366 kurus and tithe per house was calculated as 35.07 kurus. Finally, when the total amount of wheat and the tithe paid in the villages is taken into account, it is determined that there are no surplus product in agricultural production amount. This finding showed that in the sample rural area of Ottoman Empire in this study, the villagers could not even provide themselves with the amount of wheat they need for a year let alone they merchandise it. REFERENCES Prime Ministry Ottoman Archival (BOA) BOA, ML (Maliye), VRD ( Vâridât Muhasebesi Defteri), TMT (Temettüat), Nr: 02824, Yıl: 1844 (1260). Other Resources Akdağ, Mustafa, Türkiye’nin İktisadî ve İçtimaî Tarihi (1243-1453), c.1, Barış Kitabevi, Ankara, 1999. Barkan, Ömer Lütfi, “Tarihi Demografi Araştırmaları ve Osmanlı Tarihi”, Türkiye Mec., C:X, İstanbul 1953. Barkan, Ömer Lütfi, “Osmanlı Devleti’nin Sosyal ve Ekonomik Tarihi”, Tetkikler, Makaleler, c.1, Yayına Hazırlayan Hüseyin Özdeğer, Dilek Ofset Matbaacılık, İstanbul, 2000. Bartın Rehberi, Bartın Ticaret ve Sanayi Odası Yayınları (Osmanlıca Basım), Şirket-i Mürettebiye Matbaası, 1927. Bartın Valiliği, 2011 URL: http://www.bartin.gov.tr, (Link date: 07.07.2011). Başbakanlık Osmanlı Arşivi Rehberi, T.C. Başbakanlık Devlet Arşivleri Müdürlüğü, Osmanlı Arşivi Daire Başkanlığı Yayın No: 42, İstanbul 2000. Genel Bay, Güler Erdem, 19. Yüzyılda Banaz Kazası’nın Sosyo-Ekonomik Yapısı, İstanbul Üniversitesi Sosyal Bilimler Enstitüsü Yayınlanmamış Yüksek Lisans Tezi, İstanbul 2010. Çadırcı, Musa, Tanzimat Döneminde Anadolu Kentlerinin Sosyal ve Ekonomik Yapısı, Ankara, 1987. Devellioğlu, Ferit, Osmanlıca-Türkçe Ansiklopedik Lûgat . Ankara: Aydın Kitabevi, 2005. Genç, Mehmet, “Osmanlı Maliyesinde Malikane Sistemi”, Türkiye İktisat Tarihi Semineri, Ankara 1975. 92 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Genç, Mehmet, Osmanlı İmparatorluğu’nda Devlet ve Ekonomi, Ötüken Yayınları, İstanbul, 2000. Güran, Tevfik, “On dokuzuncu Yüzyıl Ortalarında Ödemiş Kasabası’nın SosyoEkonomik Özellikleri, İÜİF, Ord. Prof. Dr. Ömer Lütfi Barkan’a Armağan Özel Sayısı, İstanbul 1985. Güran, Tevfik, Tanzimat Döneminde Osmanlı Maliyesi: Bütçeler ve Hazine Hesapları (1841-1861), Türk Tarih Kurumu yayını, Ankara 1989. Güran, Tevfik, 19.Yüzyıl Osmanlı Tarımı, Eren Yayıncılık, İstanbul, 1998 a. Güran, Tevfik, “Osmanlı Tarım Ekonomisi 1840-1910”, 19. Yüzyıl Osmanlı Tarımı Üzerine Araştırmalar, Eren Yayıncılık, İstanbul, 1998 b. İnalcık, Halil, “Tarihi İstatistikler Dizisi Başlarken, Osmanlı İmparatorluğu’nun ve Türkiye’nin Nüfusu 1507-1927”, Tarihi İstatistikler Dizisi, c. II, Yayına Hazırlayan: Cem Behar, T.C. Başbakanlık DİE, Mayıs 1996. Karaman K.Kıvanç and Şevket Pamuk, “Ottoman State Finances in European Perspective, 1500-1914”, The Journal of Economic History, Vol.70, No.3 (September 2010). Keyder, Çağlar and Faruk Tabak (Ed), Osmanlı’da Toprak Mülkiyeti ve Ticari Tarım, Tarih Vakfı Yurt Yayınları, İstanbul, 1998. Küçükkalay, A. Mesud and Ayla Efe, Osmanlı Ziraî Sektörünün Ticarileşebilme İmkânı Üzerine Bir Deneme:1844-45 Alpu Köyü Örneği. Milliyet Genel Ekonomi Ansiklopedisi I-II, İstanbul 1988, c. 2. Ortaylı, İlber, Tanzimattan Sonra Mahalli İdareler (1840-1878), Ankara, 1974 Özlü, Zeynel, XVIII. Ve XIX. Yüzyıllarda Karadeniz’de Bir Kıyı Kenti Akçakoca, Yeditepe Yayınevi, İstanbul 2008 Öztürk, Said, Tanzimat Döneminde Bir Anadolu Şehri: Bilecik, Kitabevi Yayınları, İstanbul 1996. Öztürk, Said, “Temettüat Tahrirleri”, Akademik Araştırmalar Dergisi, Yıl:2, Sayı:4-5 (Osmanlı özel Sayısı), İstanbul 2000. Pamuk, Şevket, “ Küreselleşme Çağında Osmanlı Ekonomisi (1820-1914)”, Türkler, C.14, Ankara, 2002 Pamuk, Şevket, Osmanlı-Türkiye İktisadî Tarihi 1500-1914, İletişim Yayınları, İstanbul, 2007 a Pamuk, Şevket, Osmanlı Yayınları, İstanbul, 2007 b Ekonomisi ve Kurumları, Türkiye İş Bankası Kültür Sarı, Salih, Bartın İli Tarım Coğrafyası, Yayınlanmamış Yüksek Lisans Tezi, Sakarya Üniversitesi Sosyal Bilimler Enstitüsü, 2007. Tabakoğlu, Ahmet, Gerileme Dönemine Girerken Osmanlı Maliyesi, Dergah Yayınları, İstanbul, 1985. Tabakoğlu, Ahmet, Türk İktisat Tarihi, Dergâh Yayınları, İstanbul, Ekim 2003. 93 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1315 Title A name given to the resource Economic Structure in a Rural Area in the 19th Century: A Comparison of Eleven Villages of Bartın District of Viranşehir Sanjak Author Author Ramazan , Arslan Abstract A summary of the resource. This study aims to examine the existing economic structure of a rural area of Ottoman Empire in 19th century. The sample field of the study is eleven villages of Bartın district, a significant coastal town of Ottoman Empire. Voluntary sampling was used in choosing the villages and attention was paid on choosing villages which could reflect the overall situation of the region in terms of economic structure. By looking into the Temettüat registers of the examined district for the year 1844, these results were tried to be identified. Keywords: Bartin district, Temettüat Registers, 19th Century, Ottoman Empire, Viranşehir Sanjak, Economic Structure,. Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General),HB Economic Theory,HG Finance,HJ Public Finance https://omeka.ibu.edu.ba/files/original/879bfa77149cfa6fea8acbab8f43d063.pdf eab7b98bd292639494a42217d23f68b0 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Finance Of Global Goods In Sustainable Development: Applicability Of Global Taxation Ramazan Armağan1,Ayşe Armağan2 1 Süleyman Demirel Üniversitesi, Faculty of Economics and Administrative Sciences, Department of Finance 2Süleyman Demirel Üniversitesi, Institute of Social Sciences, Department of Public Administrationay E-mails: ramazanarmagan@sdu.edu.tr,searmagan@sdu.edu.tr Abstract Sustainable development is programming of life today and in the future, in such a way to establish a balance between human being and nature and to enable future generations in fulfilling their needs. This concept contains growth and evolution policies in socio-economic, ecologic, political, spatial, cultural dimensions. There are some important issues in agenda of countries in order to deal with problems such as development, growth, preventing unemployment and inflation. These problems have made themselves evident with the process of globalization particularly during the 1980’s. United Nations, OECD, EU and other voluntary institutions felt that they need to implement some guiding and repressive policies in order to ensure that scarce sources to be used efficient in economic development with a skeptical view on future generations’ welfare. In the post-1980 period initiated with the “globalisation phenomenon”, the development in informatics, transportation and communication technologies has caused the globe to narrow rapidly and has created an environment in which geographical frontiers among all the countries in the world are transcended and cooperation and trade in economic, social, cultural fields are developed. The process initiated with globalisation has brought some public good and service needs (environment, health, knowledge, peace, security, etc.) that concern all the societies into agenda. As individual countries fail to satisfy the supply and finance of these goods, common cooperation worldwide is needed and hence the concept of “global public good” started to take part in the public finance literature. The first study on the concept, namely “Global Public Goods; International Cooperation in the 21st Century” under the United Nations Development Programme was published in 1999 and later on quite a few studies on the aforementioned concept have been prepared within the bodies of national, international and supra-national institutions, establishments. This work provides an examination of studies on application of ‘global tax’ as a fiscal precaution taking account of national, international and supra-national effects the in relation between global public goods and sustainable growth. Keywords: Sustainable Development, Globalization, Public Good, Global Public Good, Tax. 1.INTRODUCTION As a consequence of globalization, the impact of which is observed all over the world since the last quarter of the 20th century, and today where new world order rules; the world shrank 174 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo due to easier circulation of goods, capital and people thanks to the rapid development in transportation-information-communication technologies, economical relations spread to all countries and it has become obligatory to restructure economy policies on world scale. As a natural result of these developments, a new concept called Global Public Goods has emerged recently in the literature in addition to the issue of public goods and their presentation, which is a major issue of public economy. An intensive concern was shown about the description of Global Public Goods, their characteristics, content, supply and financing as well as its limits on national, international and supranational platforms. The interest in this concept was triggered with the publication of United Nations Development Programme (UNDP) named “Global Public Goods – International Cooperation in 21st Century” in 1999. Since then, many national, international, supranational institutions and corporations have made enormous effort to illuminate and refine the concept. This issue discussed under the title of Global Public Goods has brought forward many problems and concerns. What the global public goods are, how these will be produced and financed and which institutions and structures on global scale will present them are among these problems and concerns. Global Public Goods is not restricted only with the framework of finance or public economy in terms of its description, quality and impacts, but it should also be discussed with respect to politics, social and legal aspects. Global Public Goods interests many countries or region or all people on global scale and it also surpasses a single discipline by exceeding the borders or power of nation states in terms of its effects. 2.CONCEPT AND CHARACTERISTICS OF GLOBAL PUBLIC GOODS Globalization process has made socio-economic, financial and political phenomena such as the use and distribution of natural resources, poverty, dissemination of technology, creation of healthy living spaces, elimination of education, health and environmental problems, development, peace, security, maintenance of stability and transition to democracy etc., which are particularly the problems of underdeveloped or developing countries the common problem of all nations. Such goods and services affect the entire world with externalities in local, national, regional, international arena in public terms. Issues such as the presentation of such goods called Global Public Goods with respect to public finance in a qualified manner, who will present these, determination of their quantity, financing method constitute an important problem. Impacts emerging due to the presentation of Global Public Goods or failure in doing so can be reflected on a community or nation on micro level or on other countries, regions and the world along with the country on macro level; these impacts may also be transferred on to next generations (Binger, 2003:4). With globalization, it has become necessary to have an international stand point to the understanding of many public goods and services considered at national level and national governments were obliged to act at national, international and supranational levels in determining their policies. Global Public Goods interests not only an individual or a country, but all communities, humanity and next generations worldwide due to the consequent externalities (S. Deneulin and N. Townsend, 2006:4). Basic criteria determining the nature of publicity of goods and services according to the public finance literature are its indivisible benefits, absence of any rivals, incapability of pricing, addressing to the entire nation, being open to common use and different from individual needs, being determined by political decision making mechanism, its huge quantity, nonexclusive benefits and lack of competition in its consumption etc. For goods or services to be considered Global Public Goods, these must exceed geographical borders, their externalities (benefit/cost) must spread all over the world, their production and consumption 175 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo must be observed all over the world, these must render global cooperation obligatory with their unilateral/multi-directional structure and be a natural result of the critical links between countries and nations and be a complement of national public goods in addition to their public goods and services characteristics (Binger, 2003:6-9). Similar statements are included in the descriptions of UNDP and World Bank. As per Global Public Goods, financing resources are not collected under a general budget and then distributed just like national public goods, but they are used as resources allocated for each service on the contrary. Actors in Global Public Goods are consisted of various groups along with taxpayers and states. Externality impact is the most significant feature of Global Public Goods; basic problem in issues particularly such as peace, environment and health is the adverse occurrence of externalities spreading beyond borders (Kirmanoğlu, 2006:32). Given the foregoing characteristics, negative externalities can be mitigated and appropriate financing resources can be found for Global Public Goods through multilateral agreements. Fair agreement process is of great significance in terms of justice in the presentation of Global Public Goods (Albin, 2002:2 quoted by Kirmanoğlu vd. 2006:32). Main goods accepted as Global Public Goods in literature are as follows (te Velde vd. 2002:153-154 aktaran Kirmanoğlu vd. 2006:50): “health” (supervision of epidemic illnesses, HIV/AIDS), “peace and security” (post-war restructuring, re-integration, supervision of narcotics), “information” (free information flow, statistical capacity structuring, agricultural researches, technological R&D, culture and entertainment, institutes of research and science), “environment” (river improvement, waste management, energy training, energy resources, forestry policy, forest improvement, fishery policy, environment research, water resources policy, bio-diversity, protection of water resources, environment training, maintenance of protected areas, improvement of fishery, environment policy, protection from floods, biosphere protection). Except economical areas, open trading system, unrestricted use of seas, property rights, international money or fixed exchange rate, weight and measure of which has been standardized, monetary and financial stability, disarmament, space researches, weather forecasts, observation stations, world court, global warming, scientific researches and results, prevention of drug habits, international works in the field of human rights and freedoms etc. are related to the Global Public Goods (Kindleberger, 1986 quoted by Akyol, Ulutürk, 2006, s.262). Global Public Goods are classified according to the criteria of: a) separation of traditionalnew, b) total presentation technologies, c) being focused on country, person or generation d) purpose – tool e) being directly related to production or consumption of the goods produced f) quality of the goods g) publicity of goods and sphere of influence h) sectors i) type of the benefit derived j) type of the publicity (Başaran, http://dergi.sayistay.gov.tr). 3.RELATION BETWEEN SUSTAINABLE DEVELOPMENT AND GLOBAL PUBLIC GOODS With the sustainable development approach widely accepted since 1990s in the international arena, solutions based on the understanding of not harming the satisfaction of the needs of next generation while satisfying the needs of people today have been adopted (Dulupçu, 2000:47). Thanks to the policies aimed for sustainable development, it is planned to improve of current and future life standards by ensuring that the needs of next generations are met and countries are developed without exhausting natural resources via setting up a balance between the human and the nature. Sustainable development policies transform socio-economic, 176 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo ecological, political, spatial and cultural developments and changes into action. Among the issues required to be solved by the states in the name of sustainable development, issues such as development, growth, prevention of unemployment and fight against inflation can be enumerated. UN in the lead and WB, OECD, EU and other voluntary institutions tend to apply guiding, supporting or forcing policies on world countries in order to use scarce resources efficiently in realizing economic development on the grounds that the welfare of next generations may be harmed. Due to the mitigating effects on negative externalities in developing countries of many Global Public Goods and services utilized for purposes of development, developed countries will also derive benefits in return for their supports, which verifies the principle of win-win creating a two-way impact. In case of terrorism, legal issues, patent rights issues, epidemics, difficulties in foreign exchange transfers, infrastructure deficiencies, transportation problems, difficulties in access to technology and information and weakness of democracy culture which are deemed threats to the sustainable development, the development processes of developing countries are also adversely affected (Gardiner and Goulven, 2002, http://www.worldsummit2002.org). In this context, the developing countries must solve their basic problems so that the Global Public Goods can be useful (or global public losses can be eliminated) (Kirmanoğlu vd. 2006:34). Furthermore, efficient presentation of Global Public Goods is feasible through solid financial resources, international legal, political and economic agreements and cooperation as well as the success of the approach related to such goods and services. Another point of departure in Global Public Goods financing is the utilization of the Global Public Goods due to their significance in maintaining economic and social development and preventing poverty. Within this framework, Global Public Goods are considered within particularly the area of activity of countries and corporations providing development support to underdeveloped countries as an instrument of development and growth policies (Anand, 2002, s.1-5). It is true that even though the Global Public Goods are distributed equally to all countries, their benefits are not at the same levels in each country. This situation is directly relevant with the developmental level of that country; while the countries with high development levels derive more benefits from certain public goods, the countries with low development levels will not gain sufficient benefits from the same public goods of the same quantity (Binger, 2003:5). For this reason, development supports hold a major position in financing Global Public Goods. Particularly in the event of external costs directly expanding from underdeveloped countries to developed countries, development aids to these countries become more significant (Kirmanoğlu vd, 2007:133). One pillar of the development aids is the donor country or international corporation providing the aid while the other pillar is developing countries. Developing countries aim to compensate their market failures by increasing production and consumption of the Global Public Goods; because market failures are heavy in these countries and create deeper impacts on the economy. Furthermore, limited number and inadequacy of current political, legal, corporate and financial arrangements created Global Public Goods. Undoubtedly, Global Public Goods encourage political commitments in the improvement of development aids (such as ODA) and indicates universal benefits of Global Public Goods (Binger, 2003:7). 177 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 4.METHODS OF FINANCING IN THE PRESENTATION OF GLOBAL PUBLIC GOODS Financing is the leading problem encountered in the presentation of Global Public Goods. Economists such as Kaul and Sandler emphasized the necessity of producing Global Public Goods and searching for new resources by transferring the concept of national public goods to the global arena (Kaul, Grunberg and Stern, 1999:450). Special resources, public resources and cooperation mechanisms at various levels are constructed as financing tools of Global Public Goods; the method the most commonly discussed on international platforms is international taxation. In the determination of financing method widely used for Global Public Goods, its impacts in terms of benefit/cost or producer/consumer relation are also taken into consideration. For consumers, assembly taxes, user taxes, fees and taxation, market creation and reinforcement are at issue while for producers, the issues of production with private resources, financing through public resources (national and international) – partnership – cooperation and voluntary participations and private sector resources emerge (Binger, 2003:15). Free rider problem emerges in Global Public Goods just like national public goods. On the other hand, although the state can create resources as a compulsive power particularly with taxation to finance national public goods, there are no such state and compulsive power on global scale. This financial problem is tried to be solved with international agreements, cooperation and voluntary participation particularly in the services where it is applicable to set standards within the context of global administration without a global state. Moreover, distribution and participation of benefits and costs of Global Public Goods among the countries poses a major problem (Güler, 2011:248). Since the Global Public Goods are generally produced by global public institutions, their financing is also provided by international financial institutions. Non-Governmental Organizations play a key role in the realization of global objectives and are complementary parts of international institutions. They are a corrective and balancing actor influencing public policy processes, despite not being the main factor in eliminating market failures (Kaul, 2001:599). The resources created to finance Global Public Goods remain restricted with the organizations held by international institutions and the aids they gather to a great extent. The biggest supporters of financing Global Public Goods are IMF and WB. Particularly WB pioneers many global activities. Along with major supports of WB International Development Association in this issue, north countries also provide financial support with many global programs; they even transfer funds more than the support of the Association in figures. Furthermore, there are other financial aids given by UN and WB (World Bank, 2004 aktaran Susam, 295-296). In financing Global Public Goods, a lot of supranational and other corporations and institutions make efforts to expand financing opportunities through global taxes and similar mechanisms. For example, International Finance Facility (IFF) aims to mobilize private sector investments in order to accelerate new vaccine production and decrease vaccine costs. Voluntary aids come from individuals, civil organizations and private foundations. Rockefeller Foundation, Gates Foundation, Oxfam, CARE, Greenpeace, Shell, British Petrol can be enumerated among these foundations. Furthermore, musicians such as Elton John and Bono contribute to the financing of Global Public Goods (Arslan, 2007:137). 178 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo While World Health Organization deals with health issues which may affect the world and NATO takes care of security problems, official development assistances (ODA9) are tried to be obtained from DAC10 member countries and some international institutions together with globalization. Official development assistances to developing countries directly come from developed countries, developed countries under the scope of ODA and directly from international institutions and international institutions under the scope of ODA (a part of these funds is from DAC countries again). Furthermore, a part of ODA funds is used for purposes of borrowing (Kirmanoğlu vd, 2006:35). Contributions made are distributed according to the income groups and geographical features of the countries. Official aids which are obtained from DAC countries and international institutions and set aside for Global Public Goods have significantly increased as per years. Funds set aside from DAC countries and international institutions for Global Public Goods have been intensively aimed for peace and security, environment, health and information since 2012. The financing provided by ODA making official contributions increased to $ 133,5 in 2011 (OECD (1), http://www.oecd.org). Increase in this contribution created satisfaction in 2011 and was considered promising in the name of developing new global strategies. Main objectives are to develop dialogues among DAC member countries, to ensure participation of non-member countries and apply annual work plans (OECD (2), http://www.oecd.org). 5. GLOBAL TAX SUGGESTIONS AS FINANCING TOOLS FOR GLOBAL PUBLIC GOODS As a traditional tool, “taxation” is among the most appropriate financing tools for internalizing the externalities which is valid for Global Public Goods as well as national public goods. However, the lack of a central authority for imposing, applying, collecting and distributing global taxes is the most important problem relating to this taxation. If we look into the chronological order of global taxation suggestions which are considered as financing resources of the activities to be conducted in order to eliminate international problems such as economic stagnation, war etc.; global taxation was proposed by J.M. Keynes, A. Marshall and J. Meade before the Second World War, by the UN in 1972 in order to prevent global financial instability and environmental problems occurred at the beginning of 1970s and by J. Tobin in 1972 in order to impose taxation on the monetary transactions exceeding the limits on global scale so that global financial instability is prevented. Rome Club discussed over global taxes as a financing instrument of international organizations and Brandt Commission published a report reviewing many global tax suggestions in 1980. R. 9 ODA (Official Development Assistance) is an official development assistance category (central and local governments or their representatives). At least 25% of these aids is donation while the remaining part is in the form of low-rate interest loan. 10 DAC (Development Assistance Committee) Countries: Australia, Austria, Belgium, Denmark, Canada, Finland, France, Germany, Greece, Ireland, Italy, Japan, Luxemburg, Netherlands, New Zeland, Norway, Portugal, Spain, Sweden, Switzerland, UK, USA, International Corporations: World Bank (WB): IDA, Regional Development Banks (RDB): AfDF, AsDF, United Nations (UN): UNDP, UNICEF, UNAIDS, UNFPA EC, ECF 179 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Mendez made a set of global tax offers in his book International Public Finance in 1992 (Paul and Wahlberg, 2002:2 quoted by Tekin and Vural, 2004:327). First objective of global taxation is to create additional income source in maintaining financial developments of underdeveloped and developing countries and the second is to ensure financing of Global Public Goods. Key understanding in global tax suggestions is to create a healthier, more secure and stable world order and ensure the participation of those benefitting from this process in service costs by paying taxes in return for these benefits (Tekin and Vural, 2004:327)Similar. Global taxes stipulated for financing Global Public Goods can be classified in three groups: direct taxation of the country consisting the basis of a problem related to Global Public Goods, “polluter pays or those who let pollution pay”, therefore “internalization of externalities on nation-state level”; the second is the application of “global trading tax” which is the taxation of international trade and the third is the taxation of the use of “global common goods”. First suggestion relating to the taxation of nation-states was made in the 2nd United Nations Conference on Trade and Development (UNCTAD) held in New Delphi. Accordingly, developed countries were requested to transfer 1% of their gross national products to finance the development of developing countries, but this suggestion could not be applied since developed countries objected. The subject of the second suggestion is the taxation of trade. Considering that world trade is realized between overseas countries at a level of 95%,the suggestion of taxing global trade in return for utilizing oceans which is a type of global common goods was made by Brandt Commission in 1980 as a component of “new international economic order” concept. Global trade tax not aiming at deterring the activity taxed particularly like the taxation of electronic trade intends to provide financial resource with global institutions aspiring to prevent global peace and welfare. Tax base is foreseen to be consisted of all tangible and intangible goods and services exceeding limits. The third tax suggestion is to collect tax in return for utilizing Global Public Goods, the benefit/cost of which affects the whole world. “Park fee” to be obtained from passenger and cargo vessels navigating over the oceans, taxation of multinational company profits and taxation of international advertisements, additions to admission fees of international and national parks, international highway fees and tourism activities’ fees can be enumerated as example. Thus, the resources to be derived from tax applications preventing the wrong and excessive use and entire consumption of Global Public Goods can be used as an important financing tool in the solution of poor countries’ problems and global management system problems (Tekin and Vural, 2004:328). The purpose in global taxation is not only to derive income in order to be banning, punishing and deterrent, but also to manage corrective, regulative or incentive policies in the world economy with national and international agreements. However, it is a fact that there are important problems and doubts as to whom shall be authorized and responsible for global taxation, collection, allocation and monitoring of the tax or management of the relevant income. Who shall participate in coordination and representation among the countries at which rate or have a say constitutes a major issue. Serious problems emerge in application in this regard. The types and applicability of taxes which are/will be applied on national level and can comply with global taxation at the same time are considered below. 5.1. Environmental Taxes Cost recovery user fees in 1960s and 1970s and fees and obligations allocated for certain purposes since the second half of 1970s were introduced for environment purposes. Incentives 180 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo also began to be applied together with environmental taxes in 1980s and 1990s. Since the early 2000, the encouragement of “good” actions slipped into background with the impact of environmental problems on global level; “green tax reforms” aimed at taxing “bad” actions were brought forward instead (Özdemir, 2009:11). 5.1.1. Environment Tax Environment taxes are levied as harmful substance emission (carbon or emission) over the amount of pollution calculated directly. If it is hard to determine, it is collected at the point of use, in order words while the product is produced, consumed or if it becomes a waste, the tax is collected as product tax at the source it causes pollution taking basis the polluting substance within. Environment taxes are classified as follows: - For purposes of mitigating waste and emission; carbon and energy taxes, water pollution taxes, solid waste taxes, product taxes (fertilizer and insecticide taxes) - For purposes of recovery; waste batteries and accumulator taxes, packing taxes - For the protection of natural resources; water removal taxes, hunting and fishing taxes - Other taxes; ecological taxes on tourism, green building incentives, commotion taxes, real estate taxes (Özdemir, 2009:24). Energy taxes are the most important environment taxes and it makes up 75% of the total environment tax income and 5% of the total tax income (including social security premiums). These taxes are imposed on the consumption of energy products such as fuel, diesel oil, natural gas, coal and electricity. Transportation taxes collected due to motor vehicles in AB27 make up an average 23,2% of environment taxes and 1,5% of the total tax income. Pollution taxes are collected over water and any emissions creating pollution as well as solid wastes and commotion. Natural resource taxes are also imposed on rental fees of the lands from where precious materials and petroleum is mined. Pollution taxes and resource taxes make a marginal contribution to the income and make up only 1,5-2% of total environment taxes (Özdemir, 2009:25-26). Emphasizing the importance of real state and land taxes for protection of the environment, Hartzok drew attention to the fact that the tax arrangements should be encouraging, of low and equal levels. This necessity is obligatory for a good democratic administration in finance policy (Hartzok, http://www.earthrights.net). EU countries have considered the protection from negative effects of increases in input costs, mainly energy, as the leading motive of green taxes in the last decade and put their reformist approaches into application. Some of the tax types relating to environment in AB countries: motor vehicle taxes (from registry, circulation or sale), motor vehicles fuel taxes, waste tax, alcoholic beverages additional tax, soft drinks additional taxes, soft drinks box tax, chemical drugs tax, agricultural inputs tax, energy tax, air and water pollution tax, battery, accumulator, package materials tax, vehicle tire tax, petroleum waste tax, petroleum pollution control duty (Özdemir, 2009:14-16). On international level for purposes of protecting the environment, Kyoto Protocol made it obligatory for OECD and Transition Countries to reduce greenhouse gas emissions down to the predetermined levels since 2000. Developed countries committed to reduce their gas emission objectives they set for their own countries for 6 basic gas types11 by 5% at least during the period of 2008-2012. However, since these countries did not go for a suspension in 11 Carbon dioxite, metane and nitrogen dioxide are among the most important. 181 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo their gradually increasing consumption, the decrease which was projected as 5% in the beginning requires around 20% rate today. Although EU and member countries approved Kyoto Protocol12 in 2002, its enforcement was in February 2005 after the signature of Russia (Özdemir, 2009:5). Through these taxes, the costs caused by actions and transactions harming Global Public Goods are being internalized by being added to the prices of these goods and services. Thus, demand for these goods and services, costs of which are increasing, leads economic bodies to consume less and avoid environment polluting activities. Furthermore, income sources which can be directly used in financing Global Public Goods can be created by ensuring that the producers may resort to more environment friendly production methods by increasing the cost of environment polluting activities. Since global carbon tax may impose heavy burdens particularly on groups with low income levels in application, it is adopted by local tax authorities that its use within sales taxes such as VAT may be more appropriate. In this manner, these taxes can be transformed into broad-based and low cost resources with a small additional rate. Despite its benefits, income from environment taxes have not showed a significant increase mainly in former EU member states in recent years. For example, the income derived from this source, mainly derived from energy, in 2005 emerged as 2.6% of Gross Domestic Product and 6,6% of the total tax income as weighted average in EU-27 member countries. On the other hand, increasing popularity of non-financial instruments such as emission trade and higher price expectations as compared to 1990s in world oil prices decreased the attractiveness of imposing additional environment taxes, at least in energy sector (Özdemir, 2009:13). 5.1.2. Fuel Taxes This type of tax extensively affects household due to heating, luminance and use in kitchens as well as transportation and energy sector. Primary objective in fuel taxes is to derive income. Fuel taxes are significant income sources in both developed and developing countries to such an extent that fuel taxes for most of the European countries rank the third among the budget income (Metschles, 2001:65-66 quoted by Tekin and Vural, 2004:328). It is recommended to impose global fuel tax on exceeding transportation activities in order to mitigate adverse externalities13 created by the fuels. It is foreseen to collect aircraft fuels or gas taxes, passenger and cargo ticket taxes and utilization taxes depending on aircraft emissions under the name of Aviation Tax. Such taxes can be collected by sea - airline transportation companies over the airline tickets or freight expenses (Binger, 2003:16). Although the imposition of flight ticket and cargo has an application facility as a more 12 Out of 195, 174 countries and EU signed and/or attested Kyoto Protocol and put into force. Only USA, China and India which make the highest green gas emissions (23%) in the World did not approve the Protocol again. 13 As at 1992, flight emissions correspond to 3% of total radiation created by human activities; since aerospace sector shows a rapid development, this rate is expected to increase by 3% each year until 2015. Hydrocarbons, nitrates and similar contaminants released to the atmosphere during the flights poses a significant threat to the atmosphere (Binger, 2003:16). 182 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo favorable option in terms of international law and applicability, it is possible to tax railways, international transit highways, highways and sea transport. For example, an application similar to green tax is made in all national flights with an alternative of Norway railway and international flights from Norway (Bleijenberg vd, 1998 quoted by Tekin and Vural, 2004:328). Even though the rapid growth of sea and airline sectors and high levels of business revenue has a capacity to ensure that significant levels of income are obtained with this tax, USA in the lead, UK and Australia prevented the wide application of global fuel tax in the EU since they were rivals with each other in this issue during the world aviation fuel summit held in 1997 (Binger, 2003:16). 5.1.3. Virgin Material Taxes Virgin material tax has been proposed to eliminate market failures emerging due to excessive use of materials polluting the environment (Bruvoll, 1998:16 quoted by Tekin and Vural, 2004:328). Such taxes to be imposed on plastics and paper raw materials will affect consumption by changing the production structure and therefore will have an adverse impact on the environment. Nothing can be consumed in real terms in nature; all materials are actually transformed into others. All materials processed by being mined from the nature will more or less turn into waste in future. Even if organic materials which are less influential in polluting the environment (plastics, papers etc.) are completely consumed, wastes emerging from these materials will be conveyed to next generations. On the other hand, tax policies and regulations show tolerance to raw materials in order to maintain financial growth and competitive power. This situation prevents the development of renewable materials and environment friendly technologies and causes excessive use of these materials. Polluter both incurs a material tax designated according to the principle of “the polluter pays” and all costs of the material used and is encouraged to mitigate the pollution he causes. According to Bruvoll (1998:28), a material tax of 15% to be levied on plastics and paper raw materials will lead to a decrease of 11% in the use of these materials and force wastes-emissions down to a great extent. On the other hand, despite having a significant income potential and positive environment impacts, this tax has a limited scope of application due to its negative impacts on national product and competition power (Tekin and Vural, 2004:330-331). 5.2. Taxes Relating to Information and Information Sharing 5.2.1. E-mail- Internet and Cyber Tax With ever-growing Internet use all over the world, it is possible to derive significant levels of income, for example 1 cent tax levy for each 100 e-mails. Considering the contemporary increase in the number of internet users, it is possible to obtain a very important resource. Document sending of and above 10 Kbyte may also be an important source of income within this framework. The income to be derived in this manner can be used to combat crimes over internet or other possible negative impacts as well as to spread information (Binger, 2003:18). Cyber taxes will provide consequent cash audit opportunity with governments and mitigate work load on the tax administration (Woehlke, 2000, http://www.nysscpa.org). Since these taxes may constitute barriers before research, development and sharing information, it is necessary to encourage technology transfers. However, secure access in internet uses and prevention of having access to bad information are among the basic issues (Gardiner ve G., 2002, http://www.worldsummit2002.org). 183 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 5.2.2. Electronic Trade Tax Electronic trade covers activities of electronic transmission of data, information, products and services through communication lines such as internet. Such a tax is based on the taxation of data, information, products and services transmitted through virtual networks in the new economy where gradually increasing welfare and commercial value is created through intangible products, systems and global networks. Main purpose of these taxes is not to punish internet use, but to derive the resource required to decrease digital division present between North and South. It is also important to ensure efficient data and information flow by preventing unnecessary occupation of virtual networks except financial purposes (UNDP, 1999 quoted by Tekin and Vural, 2004:333). 5.3. Taxes Aimed to Ensure Peace and Security International arms trade is considered among the sources recommended for global tax. Particularly since the arms trade tax has been perceived as a raise in order to realize disarmament, it has been targeted to decrease this trade level. It is aimed to collect the income to be derived from this tax in a fund and use for disarmament rather than being used only to decrease arm purchase and sale or to benefit from this income as a finance resource in the development processes of developing countries. This taxation idea was mentioned firstly in Brandt Commission report in 1980 and then in the early 1990s. Non-Governmental Organizations also suggested that small arm traders should also be subjected to this tax in order to compensate the losses emerging from the use of small guns and the tax should also cover the arrangements to maintain that third persons who may be harmed are insured. Arms trade tax implies the reduction of arms trade and relevant production, less armament, less import and therefore less cost of war. Through this tax, resources may be created to compensate the losses that humans and the environment may be subject to due to wars. With respect to participation in tax levy, arm sellers and producers have also been held responsible for the losses emerging from the use of arms as much as the arm purchaser in accordance with the causality principle and they have been obliged to feed this source based on the rationale of “the polluter pays”. Preliminarily the problems in the determination of arms trade volume and price are among the factors to prevent the application of arms trade tax. These difficulties are performance of international arms trade through illegal methods, black market – stolen arms sale and the possibility of executing international secret arms sale agreements. Mostly military and civil products are stated in UN and IMF foreign trade statistics related to the arms trade (Brzoska, 2001, http://unpan1.un.org). It has been considered that since an average revenue of $25-30 billion per year was earned in the early 2000s; if this tax rate was 5%, nearly $1-1,5 billion would be earned as income (McMahon, 2001:11 Tekin and Vural, 2004:328). 5.4. Other Taxes for Financing Global Public Goods 5.4.1. Foreign Exchange Transactions Tax It is stipulated to collect a participation fee from the foreign exchange circulation in international markets and foreign exchange transactions emerging from arbitrage, trade and speculation activities realized by all world central banks. In the event that this rate is 1-2%, it is stated that an income of $300 billion would be gained assuming that the total foreign exchange transactions realized in 2000s amounted to $300 trillion. With the income to be derived from the foreign exchange circulation of those benefitting from the realization of transactions such as international trade, travel, long term investment etc., it is possible to 184 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo prevent speculative actions and to eliminate financial instabilities. However, as per the applicability of such a global tax, since foreign exchange transactions are managed by certain centers all over the world (USA, 75% of the global money in Japan and around 15% in Sweden, Hong Kong and Singapore), the issue of whether such countries would bear the burden arises. Additional costs to be levied on the persons due to the non-financial transfers, whom will be given how much of the shares relating to the collection of these taxes are also some other important problems. Global traders may seek various methods to avoid from being subject to tax. For example developments such as tax heavens, transfer of illicit money, smuggling of foreign exchange, informal FX transfer systems etc. may lead to the violation of world trade rules (Binger, 2003:17-18). 5.4.2. World Trade Tax As a result of the fact that all products in the world trade are transported over the seas at the rate of 95%, “World Trade Tax” was recommended to set and protect international economic order in Brandt Commission in 1980. In the event that a 5% tax is collected over the world trade expected to occur as at 2001, nearly $58,9 billion was foreseen to be derived as income. Inıtially, it was expected to obtain a big contribution in the international trade particularly in OECD countries in order to strengthen underdeveloped and developing countries and eliminate current adversities in the world trade. According to the announcement made by WTO in 2003, total world trade as at 2002 was nearly $6,4 trillion; therefore it is possible to earn around $30 million income in financing global public goods with a small rate (0,05) under the name of “Global Trade Tax” over these trade activities. On the other hand, assuming that the shrinkage to emerge in the world trade will be 5%, it is widely thought that such a tax application will decrease the trade of the developing countries and adversely affect their growth (Tekin and Vural, 2004:327). 5.4.3. Tobin Tax Recommendations made to mitigate the problems that the globalization created in terms of states and social classes have focused on the taxation of these movements at least against the limitation of the capital movements. J. Tobin suggested levying a transaction tax at a high rate over the international capital movements in order to decrease the possibility of earning profit in short term or overnight speculations by increasing speculation costs. The suggestion required the collection of a tax with a rate varying between 0.1% - 0.5% over the Money to be converted from one foreign exchange to another foreign exchange. Tax will be collected over the rate to be applied on the transaction amount in purchase and sale. It was initially considered to apply this tax only in the current market, but then it was stated that the application should cover all other markets. The tax must be collected at the same rate in all countries over the world and over all transactions in any foreign exchange realized in different countries. The purpose of the tax is to decrease short term speculative transactions and to ensure that the efficiencies of the governments are increased in their macro-economic and monetary policies and tax burden is allocated equally. Canada has been the first country to approve Tobin Tax in 1999 by indicating that Tobin Tax should be applied as an international tax (Saraçoğlu and Şahan, 2004:74). There are two main reasons for the failure of Tobin Tax in becoming widespread as recommended. Firstly the countries abstaining from temporary adverse effects to emerge with the application of the tax avoid from taking the lead or initiatives and secondly those carrying out the transactions to be taxed may avoid the tax by creating new instruments not subject to tax or by using tax heavens (Binger, 2003:18). 185 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 6.CONCLUSION Globalization has presented worldwide opportunities to the individuals, firms and countries on the one hand while creating new threats and problems at the same time on the other hand. It has become necessary to fortify, update and change current market mechanism in order to eliminate some threats or to benefit from the opportunities emerging and having a universal value. In this process, new approaches and policies have been focused on in the public finance. Taxation is one of the most widely discussed issues among the tools foreseen to be used in financing Global Public Goods. For the execution of global taxation applications, it is necessary to benefit from supranational organization institutions to be newly set up with the attachments to be inserted in the internal legislation of nation states or new arrangements to be made. As per the success of such attempts, some questions and problems emerge such as legal, political, administrative, social and economic infrastructure inadequacies of the countries, creation of the administration relating to the levy, collection and distribution of the taxes, determination and audit of authorities and responsibilities. Whether or not nation states are willing to transfer their taxation authority based on their sovereignty to other institutions and organizations or the doubts to emerge on their independence as well as the lack of an authority such as state before the taxpayers affect the success in taxation. Furthermore, it is necessary to determine the need of the countries for Global Public Goods or the level of sincerity about the concerns for next generations, whether the countries will create (and abuse) an impact over other countries by taking advantage of their the development difference, who can be represented in what numbers in the institutions or organizations to be created; the truth of new financial incentives, the criteria taken into consideration in setting global priorities and which focal points will affect the international community. For global taxation purposes, efforts should be made to mobilize power or powers on nation state level to ensure that nation states participate in the system and the system works efficiently, then to create global power or powers to commence global tax application and to transfer the sovereignty of nation states to this organization. This approach is an important rationale for strong countries to oppose global tax applications. The solution of this problem is to ensure that some global taxes having a potential to be applied on nation state level are applied and the income derived is transferred to the production of Global Public Goods at first stage and then a part of this income is transferred to the global authority, which will cover a transition period. Technical problems to emerge during the application of the taxes may be solved in some manner; however, the elimination of political barriers which is the fundamental problem in the application of these taxes depends on the establishment of more transparent, willing to participate and democratic global management institutions on global scale and presentation of common solutions to the global problems respecting to the principle of equality, human rights and the principle of state of law. General opinion about the application of global tax until today is that the possibility of their application is very low. Global Public Goods financing is maintained in a cooperative manner by international institutions and voluntary organizations rather than the global taxes discussed in theory. Actually, if each country fulfills its obligations in due manner, it can be discussed if there is a need for these applications. 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E-mails: akinaltun@akdeniz.edu.tr, mozerdemir@akdeniz.edu.tr Abstract There is a consensus that organizational culture affects outcomes both for the organization and the individual. Researchers examined the impact of organizational culture on organizational commitment, job satisfaction, turnover and retention. Although it is generally accepted that organizational culture affects job satisfaction little empirical research has been 188 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1294 Title A name given to the resource Finance Of Global Goods In Sustainable Development: Applicability Of Global Taxation Author Author Ramazan , Armağan Abstract A summary of the resource. Sustainable development is programming of life today and in the future, in such a way to establish a balance between human being and nature and to enable future generations in fulfilling their needs. This concept contains growth and evolution policies in socio-economic, ecologic, political, spatial, cultural dimensions. There are some important issues in agenda of countries in order to deal with problems such as development, growth, preventing unemployment and inflation. These problems have made themselves evident with the process of globalization particularly during the 1980’s. United Nations, OECD, EU and other voluntary institutions felt that they need to implement some guiding and repressive policies in order to ensure that scarce sources to be used efficient in economic development with a skeptical view on future generations’ welfare. In the post-1980 period initiated with the “globalisation phenomenon”, the development in informatics, transportation and communication technologies has caused the globe to narrow rapidly and has created an environment in which geographical frontiers among all the countries in the world are transcended and cooperation and trade in economic, social, cultural fields are developed. The process initiated with globalisation has brought some public good and service needs (environment, health, knowledge, peace, security, etc.) that concern all the societies into agenda. As individual countries fail to satisfy the supply and finance of these goods, common cooperation worldwide is needed and hence the concept of “global public good” started to take part in the public finance literature. The first study on the concept, namely “Global Public Goods; International Cooperation in the 21st Century” under the United Nations Development Programme was published in 1999 and later on quite a few studies on the aforementioned concept have been prepared within the bodies of national, international and supra-national institutions, establishments. This work provides an examination of studies on application of ‘global tax’ as a fiscal precaution taking account of national, international and supra-national effects the in relation between global public goods and sustainable growth. Keywords: Sustainable Development, Globalization, Public Good, Global Public Good, Tax. Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General),HB Economic Theory,HG Finance,HJ Public Finance https://omeka.ibu.edu.ba/files/original/6e8167d43c464664560cd06325de8bdb.pdf 9fa1d1241e6dae400f3fc8b89082ab83 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The European Union Developing As A Political System And Its Budget R. Tekeli1,H. Gül2 1 Adnan Menderes University, Faculty of Economics and Administrative Sciences. 2Dokuz Eylül Üniversitesi Faculty of Economics and Administrative Sciences. E-mails: rtekeli@adu.edu.tr ,huseyingul@adu.edu.tr Abstract In this article, the political system of European Union, which holds an important position in the international system with the Lisbon Treaty in 2009, and its budget procedure, which is an important issue in the political systems, are examined and investigated. States make the budget with the aim at achieving the revenues and expenditures effectively. In 1967, with the establishment of the EC (European Communities), the European Union (EU) as well as national governments initiated to make the Budget. The dream of setting up the Union in Europe has become reality as the EU has been formed. The EU plays a role as a political actor in the international system. In this study, the political institutions of the EU reached a position of political system and the budget positions of the institutions’ views in the budgetmaking process are discussed. Also, the budget of the period 2007 – 2013 created after the Lisbon Treaty is studied. The expenditure items given the highest priority in the EU Budget such as Sustainable Growth are discussed. 1.INTRODUCTION The European Union and the system introduced by the Union are extensively studied subjects among the scholars who studied on the international discipline. After the Second World War, Europe began seeking to build a new Europe took a firm step to turn the Founding Fathers’ dream into reality. In the Treaty of Rome which is the basis of this dream, the following task areas were determined for the European Economic Community (EEC): to create a common market, gradually to bring the economic policies of member states closer to each other, and to promote closer relations among member states within the Community. This target, together with the phenomenon of globalization, differs in the areas of sovereign states at the international level and enters into a period that has closely corresponded to a relationship. As a result of this process, new institutions or structures, where the sovereignty of the state becoming a matter of debate, have emerged in the international arena. One of the most important institutions is the European Union with its unique structure. In fact, the most fundamental feature that separates the EU from other international organizations is the bodies that took place in the political system of the Union. The central building blocks in the EU political system make up the organs of the Union. The Organs of 256 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo the Union, using powers just as the authority of the national states (legislative, executive and judicial), take essentially similar binding decisions and carry out the decisions from a single center. The Organs of the Union speak on behalf of nearly 500 million citizens of the Union and 27 members of the country. "Brussels factor" attracted an increasing attention in the Union takes important decisions concerning the political life and enforces them. This situation has a legal basis in the Treaty of Lisbon. Significant changes in the EU's institutional structure and the decision-making processes have been made. A step towards the idea of "European United States" is successfully accomplished 4. In this paper, the political system of the EU will be explained and the budget process as an important issue of political systems will be discussed. The EU budget has taken the present form by the regulations as a parallel process of deepening the Union. Thus, in terms of acceptance procedures, operation principles, preparation, and the content, the EU budget substantially differs from the budget of any state or any international organization. It even exhibits characteristics which can be found quite complex. 2.The Political System of the European Union The EU defines itself a family of democratic European countries committed to working together for peace and prosperity. The decisions including specific matters of common interest to be taken democratically at the European level, Member States have formed the partner institutions handing over sovereignty partially. These institutions determine the EU policies. Just as the duties and the functioning of state organs at the national level, the EU institutions are also similar to those organs in terms of functions, duties and distribution of powers. The EU policies are determined by the political decisions taken by three major institutions. In other words, the political system of the European Union is operated by the European Council (which represents member states), the European Union Parliament (which represents the citizens) and the European Commission (which is a politically independent body established in order to consider the common European interests). This institutional triangle implements laws and policies throughout the EU. Primarily, the commission proposes laws, but the Parliament and the Council legislate them. In addition to these important political institutions, the European Court of Justice that ensures the European Law, and the European Court of Auditors that controls the activities of the Union's finances and budget, are two important "state" institutions. The functioning of the duties, powers and regulations about the Council, the Parliament and the Commission which have the most important position in the functioning of political systems of the EU will be explained below in the light of recent developments. 4 The concept of Europe united by politics was instated by Victor Hugo in the opening speech of Berlin Peace conference and European Union was set as its goal. The concept’s adoptation in politics was a big project announced by a famous English statesman W. Churchill in the opening speech of Zurich University of 19 Sep 1946. (Hocaoğlu 2007, p11 and 28) 257 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 3. The European Parliament The European Parliament (EP) is the only institution of the European Union directly to the public on the basis of legitimacy. The EP represents for people of the European Union member states. In other words, the EP is known as the voice of Community Nationals. In addition, the EP was established at Strasbourg in 1952 in order to control and provide information to the Council and the Commission5. The Parliament, currently composed of 785 members, two-thirds of which are female, exercises the legislative activity in Strasbourg. The Parliament cannot be easily characterized and structured as in conventional patterns. The jurisdiction of the parliamentary body of the EU system is often limited by the parliaments of member countries. However, a careful examination of the powers vested in the founding treaties of the Parliament shows that the parliament resembles the national parliaments. The purpose is, featuring similar powers to the legislature of the EP, to serve the goal of creating a political union of the EU. Similar with the National Parliaments, functional powers assigned to the EP can be listed under the following headings:     With the Treaty of Lisbon, the so-called participation of parliament in decisionmaking mechanisms through co-decision procedure, cooperation procedure, consultation procedure (consulting), and approval procedure (consent) gained the Parliament legitimacy by giving the authority to elect the President of the European Commission. The authority to make Budget: This authority is granted by the Treaty of Brussels which has strengthened the existing financial approval authority of the parliament by the Lisbon Treaty. Combining the expenditures which were approved separately by the Commission and the Parliament in previous periods, provided for two organizations to work together and provided a balance between the Commission and the Parliament6. Lisbon Treaty has given the EP a greater role in the commissioning of the EU Budget. Legislative Authority: "co-decision procedure" is re-named as the "natural legislative procedure", and many new fields have been included in7. Political Control Authority: The authority introduced by the Single Act includes authorities which are also used in national parliaments such as to censure, to ask questions, provide reports to the parliament, the appointment of public auditor and the right to petition. 8 5 Parliament working in three different cities formally took place in the EU Council Summit in Edinburgh in 1992 and the Amsterdam Treaty. 6 Akar Sevda, (2010), “Lizbon Antlaşmasının Avrupa Birliği Bütçe Sürecine Getirdiği Yenilikler ve 2010 Avrupa Birliği Bütçesi”, Marmara Üniversitesi İİBF Dergisi, 161. 7 Bayram Hanifi Mehmet, (2010) “Lizbon Antlaşması: Parlamentoların Avrupa Birliği Karar Alma Sürecindeki Yeni Rolü”, Uluslar arası Hukuk ve Politika, Cilt 6, s.85. 8 Topal Emre, (2008), “Lizbon Antlaşması İle Avrupa Birliği’nde Yasama Niteliğindeki İşlemler ve Yasa Yapım Süreçlerine Getirilecek Değişikliklere Genel Bir Bakış”, Yasama Dergisi, Sayı:9, 2008, s. 25 258 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo    Approval of the international treaties, the accession to the Union, and the partnership agreements: With the Treaty of Lisbon, the consent of parliament for international agreements have been put to obtain9. The authority of filing a case against the Community institutions in the Court of Justice. As mentioned above, the EP does not still have a form of legislative initiative. As an exception, however, it has the authority to prepare a proposal for a single European election. The internal functioning of the EP is similar to its structure and distinct from other parliaments with its unique position. 785 parliamentarians deal with political issues under the roof of the European Parties. The parliamentary political landscape reflects a general political landscape and the diversity of views just as national political parties in National Parliaments. Number of seats is proportional to population distribution of the member countries. (Germany have 96 parliamentarians, Luxembourg have 6 parliamentarians). These quantitative criteria are fixed by the Treaty of Lisbon. 4. The European Council (summit) The Council is the European Union's main decision-making mechanism. Where the final decisions on the EU and member states are taken, the Council consists of presidents of a State or prime ministers who meet twice a year. In a political sense, it is the EU institution that located at the highest level. 10 In accordance with Article D of the EU agreement, the European Council provides the driving force required for the development of the Union and places the general political objectives in a specific location for this development. Although the authority is specified in this way, both coverage and density of the actual events and functions are differentiated and largely spread over a wide area. The tasks of the Council of Europe can be grouped under three main headings: architects who structure, to determine the basic outlines for the EU, and being the highest decision making body of the EU. In accordance with their national constitutions members of the Council of Europe are comprised of the top-level political decision units specified in each member state. Beside the heads of government, prime ministers and the chancellors, the presidents of France and Finland in accordance with their national procedures, are also members of the Council. President of the European Commission is also among the members of the Council of Europe. The Council is also open to the participation of foreign ministers and members of the Commission. Decision-making process within the Council of Europe has very different characteristics. The main element of decision makings is the negotiation among the member countries. Regarding many political areas only the heads of state and government can balance 9 ibid, p. 33. 10 Tekinalp ( 2000:218). Council of the EU which meet since 1974 was formalized with the Single European Act (1986) and the European Council became a legal entity which has gained the official status by the Maastricht Treaty. 259 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo the decision-making process with the reciprocal demands and concessions. Development of the European Union significantly depends on the summit negotiations. In this regard, the heads of government mutually try to influence each other. 5.The European Commission The Commission is independent of national governments. Its duty is to represent and promote the interests of the EU. It makes the proposals for the EU and submits them to the European Parliament and the Council. At the same time the Commission is the EU's executive body and it is responsible for the implementation of the decisions taken by the Parliament and the Council. This means administration of daily operations such as the implementation of policies, implementation of programs, and spending of funds. Informally, the Commission members are known as the 'Commissioners'. The Commission members are committed to work for the common interests of the Union and do not take instructions from their national governments. Every five years, a new Commission is appointed within six months after the European Parliament elections. The Commission is politically responsible to the Parliament. The Commission attends to every meeting of the Parliament to explain and defend the policies. In addition, it will respond to the written and oral questions posed by the members of Parliament. The Commission's daily operations are carried out by administrative officials, experts, interpreters, translators, and the secretariat staff. The European Commission is a central entity in the preparation, the implementation and control of binding decisions of the European Union. The rights and duties of the Commission detected and stipulated by the founding treaty. In Agreement on the European Union (the first column), in addition to other duties and jurisdiction, the European Commission is equipped with three principal functions: The most important role of the Commission is being the engine of the EU's integration. The Council and the European Parliament can make legal regulations only on the suggestion of the Commission. The Commission, may take binding decisions about implementation under the jurisdiction of the executive branch, and may initiate negotiations on international agreements on behalf the Union. As the guardian of the Treaties, the Commission supervises the implementation of law arising from the Agreements. The formation of the Commission’s decision usually takes in three fields. The decisionmaking committee, which is usually composed of 27 members with the chairman of the Commission, is Kollegium. Management mechanism of the Commission, headquartered in Brussels, consists of 26 General Directorate and other services (General Secretariat, Legal Service, European Community Publications Department, Statistics Department, Translation 260 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Services, etc.). Comparable to the general directorates at the national level (Department, Resort) general directorates were created by functional and hierarchical structuring. Directorate General of Agriculture and Social Policy can be shown as an example. The basis of the decision formation within the Commission lies on the draft resolution which is prepared by the general directorate in coordination with other general directorates and Legal Services. Almost all over the world, the Commission is authorized as an effective entity because the EU representatives are administratively attached to the Commission in almost every region of the world. 5.1.Operation of the system Decision-making process at EU-level includes the institutions above and many other institutions. The European Commission, the European Parliament, the European Union Council are important decision makers. In fact, a new legislation is recommended by the European Commission, but it is the Council and the parliament that pass the laws. There are other institutions and organizations that have various roles in this process. The main characteristic of the European Union is that it has the authority in the issues which are falling entirely within the jurisdiction of a state such as to execute commercial arrangements and to determine the tax instruments. Organs of the Union provide the preparation, the execution and the control of decisions. Most notable of these processes is the decision-making mechanism that leads to the formation of a legal system which binds both the member states and the citizens of the Union. Rules and procedures of EU decision-making process are specified in the agreements. Every European law called "legal basis" based on the article of a specific agreement. There are three main procedures to implement a new EU law: Joint decision-making procedure, the consultation procedure and the procedure of finding appropriate (assent procedure). Legislative activity in the European Community is conducted within the framework of certain procedures under the above-mentioned institutions. In all of these procedures listed as Codecision, consultation and approval, legislative proposals in general are being prepared by the Commission. According to the procedures applied, Parliament's binding opinion is taken, and then the proposal is adjudicated by the Council after consulting with the other advisory bodies. 5.2.Basic Features of the EU Budget a - Basic Features of the Budget of the European Union The European Union's budget was created through the merger of the budgets of three Communities (ECSC, EEC and Euratom) which were combined with the Merger Treaty (1967). 11 11 Karluk Rıdvan, AB ve Türkiye, Altıncı Baskı, Beta Basım, İstanbul 2002, s. 415. 261 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The EU budget significantly differs from the budgets of other international organizations. Lacking defense and security spending which holds an important place in the state budget resulted in relatively small budget. 12 Nevertheless, the EU's budget is no different from any state budget in terms of income resources, revenues, expenses, content, acceptance procedure and provisions for implementation. The EU's budget, described as "a complex mechanism”, is still prepared by taking into consideration of the budgeting principles. 13 These budgeting principles are; Unity Principle: The community’s all income and expenditure laid down with a single document in accordance with the provisions stipulated by Article 268 of the Treaty which establishes the European Community. Universality Principle: This principle is based on two basic rules. Firstly, budget revenues cannot be specifically allocated to a certain items of expenditure; in accordance with the second rule, called "the gross budget rule" (gross budget principle), expenditure and revenue should take a full part in the budget without offsetting each other. Annuality Principle: In accordance with this principle, aimed at facilitating the process of operational control of Community’s expenditure and revenue, the process is considered within the framework of a budget year. Equivalency Principle: In accordance with this principle, income must be equal to the expenditure envisaged during for a fiscal year. Accordingly, additional borrowing cannot be made to close the budget deficit. If the budget is in surplus, the surplus is recorded as a revenue in the following budget. In the event of an additional expenditure, which is unforeseen during the preparation of the budget, either changes to budget (a new amended budget) is formed, or the additional resources outside of the budget is used. * Determination (Specification) Principle: this principle is brought to avoid confusion about how the budget allocations are used in areas. Accordingly, the purposes for which such expenditures are determined should be clearly identified. 12 Keskin Hakan; Doğru Sanılan Yanlışlarla Avrupa Birliği, Ankara 2010, s. 46. 13 European Commission, Fundamental Principles of the Community Budget, http://www.europa.eu.int/comm/budget/budget/index_en.htm#principles * Non budgetary sources are provided from debt financing from capital markets, sources from the European Investment Bank, or sources from European Investment Fund created by Edinburgh summit of 1992, and the European Development Fund financed directly by the member states established to provide financial assistance to African, Caribbean and Pacific (AKP) countries under the Lomé Conventions (Nugent Neill, The Government and Politics of the European Union, Macmillan Press, London, 1995, p339-340). 262 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The final principle related to underlying budget procedures, is that the Euro, the official currency of the Union from 1 January 1999, is to be used during these procedures. the Adoption and Process of the EU Budget before the Lisbon Treaty The formation process of the budget of the European Union is regulated with Article 272 of Community Founding Treaty that provisions the process of formation of the budget and time constraints of the rules that the Council and the Parliament, known as "the two wings of the budget authority", are obliged to comply with. Accordingly, the procedure of the budget covers a period between September 1 and December 31 belong to the budget prepared in the previous year. However, while keeping the validity of these principles established by the Founding Agreement, the Commission is the main organ which is responsible for preparation and implementation of the budget, in the case of the application, the budget procedure is considered a slightly longer period of time within the framework. Accordingly, as applied since 1977 the budget will be formed in the framework of the following stages: Until June 15, the first form of the draft budget (preliminary draft budget) prepared by the Commission presented to the budgetary authority (the Council and the Parliament).14 b- Adoption of the Draft Budget by the Council The Council reading the preliminary draft budget agrees upon a draft of the budget before July 31with a majority decision after consulting with a delegation from the Parliament.15 At this point, especially the distinction between mandatory and discretionary spending can lead to serious problems. One of these problems is that while on the one hand the Council saying the last word in determining the mandatory expenditure items, on the other hand Parliament has the final say on non-compulsory expenditure items. 16 Reading the Draft Budget by the Parliament During this phase that should occur in October, and also called the "first reading by the Parliament" the draft bill primarily examined by the Parliament's Budget Committee and then forwarded to the General Assembly. Two results may occur during the plenary discussions. The first of these is the draft budget may be adopted by the Parliament. This happens if the 14 European Commission, Main Stages of the Budgetary Procedure, http://www.europa.eu.int/comm/budget/budget/index_en.htm#stages 15 European Commission 16 Tekinalp, ibid p. 295. 263 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo bill is adopted by the majority of members of the Parliament within 45 days of negotiations takes place. 17 Council’s Reading Draft Budget for the Second Time After discussions with the delegates from the Parliament, this phase is expected to be completed during the 3rd week of November. At this stage, the Parliament's draft budget in relation to mandatory and non-compulsory expenditure items is re-arranged by the light of the above-mentioned changes. From the completion of these arrangements, the Council is authorized to have the final say on mandatory spending. The only exception is the entire rejection of the bill during the second reading of the Parliament after the second reading by the Council. Parliament's Second Reading and Adoption of Budget After the provisions concerning compulsory expenditure items of the budget bill by the Council, in the Parliament's second reading, mostly in December, the regulations regarding non-compulsory expenditure items are reviewed. 18 Then the Parliament, together with the small changes in the non-compulsory expenditure, accepts the budget by at least three fifths of the votes. Another case in this stage is that the Parliament rejects the entire budget by at least two-thirds of the members vote. In this case, the procedure starts again. The other case, which can be seen in the final stage of the budgetary procedure, is that the Parliament does not decide on the bill received from the Council. In this case, the budget is adopted as received from the Council. Although it is an exception, after the budget entering into force, the Commission can make changes to the budget by preparing the preliminary draft and proposing the necessary changes. In the event of the budget amendments proposed by the Commission, the abovementioned procedure in the budget preparation applies for. c -The changes to budget process introduced by the Treaty of Lisbon According to the budget process in the Treaty of Lisbon, the fiscal year from January 1 to December 31 has remained as the budget year; the budget will be made by the European Parliament and the Council. Complied with the condition on the procedure followed before the Treaty of Lisbon, duties and powers of the Parliament on the budget are expanded, and timetables are re-arranged. In addition, by removing the distinction between compulsory and non-compulsory expenditure in the budget, the budget process has become more effective 17 Tekinalp,ibid p. 296. 18 European Commission, ibid. 264 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo with the Treaty. As a consequence, the European Parliament has gained full co-decision power - together with the Council – over all expenditures including agriculture19. Based on the estimated expenditure sent to EU institutions as of July 1, the Commission initiates the budget process of preparing the draft budget. The draft budget submitted to the Council, becoming the budget bill is sent to the European Parliament for review within 42 days. The Parliament examines the bill through its sub-committees. The bill examined by the Parliamentary sub-committee is then sent to the General Assembly. As a result of subcommittee review, if the draft is accepted by the General Assembly, the budget is legalized. If an amendment is decided on the bill by a majority of members of the parliament, the amended draft budget is sent to the Council and the Commission by the parliament. The budget is finalized if the Council accepts the amendments of the budget draft within 10 days. However, if the Council does not accept the amendments made by the Parliament, the Conciliation Committee is formed. The committee members are formed by the equal number of members of the Council and the Parliament. The main task of the Committee is to establish a common bill by agreeing on a compromised budget bill. If the Conciliation Committee agrees on a common bill within 21 days, and if the Parliament and the Council review and accept this agreed common bill within 14 days, then the bill is approved by the Parliament and the Council. To approve the bill by a party shall be deemed accepted. At the end of the 21 days, if the Conciliation Committee cannot negotiate a common bill, a new draft budget is prepared by the Commission. When the budget procedure is completed, the EP President announces the acceptance of the budget. The Commission is responsible for implementing the new budget. By monitoring the financial situation of assets and liabilities of the EU, the Commission also delivers the budget evaluation reports to the Court of Auditors. 20 19 Seifert, Jan (2011:5), Change and stability in the EU budget, EU Centre in Singapore, Working Paper, no:3, p1-16. 20 European Commission, Treaty of Lisbon, s. 183. 265 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Graph: The European Union Budgetary Procedure21 6.Structure and Content of the EU Budget With the Merger Treaty combined the executive organs of the European Communities and entering into force on July 1, 1967, the Community budget is formed gathering the separate budgets of the European Coal and Steel Community (ECSC), the European Economic Community (EEC) and European Atomic Energy Community. Accordingly, since January 1, 1968 initially two communities made a single budget and from 1971 ECSC joined them. However, ECSC’s "operating budget" is excluded from this application. 22 The Community budget attains an independent structure of the member countries with the Luxembourg Agreement signed in Luxembourg April 22 1970 and came into force on January 1 1971. Accordingly, the Community's own budget resources replaced 21 http://ec.europa.eu/budget/figures/fin_fwk0713/fwk0713_en.cfm 22 Karluk, Rıdvan, Avrupa Birliği ve Türkiye, Beta Yayınları, 5. Baskı, İzmir, Haziran 1998, s. 327. 266 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo the financial assistances received from member countries.23 After the own resources system was introduced, traditional taxes started to be collected, and as a result of the increase in the number of member states and the needs of more funding in the Community implemented programs, the size of the budget has increased over time.24. However, considering activities of the Union and the geographical area covered by the Union, the European Union's budget is found to be quite small. Table:Financial framework 2007 - 2013 Budget Terms of European Union25 Commitment appropriations Total 2007 2008 2009 2010 2011 2012 2013 2007- 2013 1. Sustainable Growth 53.979 57.653 61.696 63.555 63.974 66.964 69.957 437.778 1a. Competitiveness for 8.918 10.386 13.269 14.167 12.987 14.203 15.433 89.363 45.061 47.267 48.427 49.388 50.987 52.761 54.524 348.415 55.143 59.193 56.333 59.955 60.338 60.810 61.289 413.061 45.759 46.217 46.679 47.146 47.617 48.093 48.574 330.085 1.273 1.362 1.518 1.693 1.889 2.105 2.376 12.216 637 747 867 1.025 1.206 1.406 1.661 7.549 636 615 651 668 683 699 715 4.667 4. EU as a global player 6.578 7.002 7.440 7.893 8.430 8.997 9.595 55.935 5. Administration 7.039 7.380 7.525 7.882 8.334 8.670 9.095 55.925 6. Compensations 445 207 210 Total commitment 124.457 132.797 134.722 140.978 142.965 147.546 152.312 975.777 1,02% 1,08% 1,16% 1,18% 1,16% 1,13% 1,12% 1,12% Growth and Employment 1b. Cohesion for Growth and Employment 2. Preservation and Management of Natural Resources of which: market related expenditure and direct payments 3. Citizenship, freedom, security and justice 3a. Freedom, Security and Justice 3b. Citizenship 862 appropriations as a percentage of GNI 23 ibid,p. 329. 24 Nugent, p.340. 25 http://ec.europa.eu/budget/figures/fin_fwk0713/fwk0713_en.cfm 267 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The expenditure items included in the budgets of the EU fiscal year 2007-2013 is given in the table above. As clearly seen from the table the most important item of the EU budget is devoted to sustainable growth. In the expenditure item international competitiveness for sustainable growth, there are goals such as to do international research, to focus on new technologies, to support projects to help the EU is leading in key areas, to modernize etc. 26. Expenditure item in the second row is reserved for Natural Resources. The purpose here is to support the sustainable development of the rural population in the EU, to improve farmers' living standards by creating a healthy environment and to reduce greenhouse gas emissions by promoting organic farming. 27. The EU as a global player transferred resources to the Budget, in order to create global changes and democratic institutions of the EU. Citizenship, freedom, security and justice areas are targeted for the use of this resource. In fiscal year 2010 budget of the EU is 141.5 billion Euros. Every year there is approximately 2% gradual increase in the budget. For example, budget for fiscal year 2007 is 121.6 billion Euros; budget for fiscal year 2008 is 129 billion Euros and fiscal year 2009 budget is 133.8 billion Euros. 28 7.CONCLUSIONS Budget is an important issue in functioning the political system and administering the Union. Since the Lisbon Treaty which plays a in the EU role came into force, some important changes have been made in the Budgeting process. The most important change is the status of legislature which is an important factor in the political systems. Along with the Treaty it seems that the Parliament has an important position in the budget process as in many areas. Indeed, in order to reform a constitution of Europe, the Lisbon Treaty came into force on December 1, 2009 and introduced important regulations. Besides being an actor in the international system, the Union has laid the foundations to be the state entity symbolizing people’s unification such as flag, anthem, motto, currency, day of the establishment. One of the regulations is the budget reminiscent of the formation of a State. The budget of the European Union has gradually occurred as a part of EU integration process over time. The new budgets made, if it was necessary in the course of the changing, are quite different from the ones of any other states or institutions and have unique features and mechanism. This situation is connected to two reasons; unidentified economic and political structure in part 26 EU Commission EY Budget 2010. 27 EU Commission EY Budget 2010. 28 EU Budget Details, official web site of the EU is; //ue.europa.eu/budget/budget_detail/last year_en.htm 268 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo due to the complex characteristics of the European Union, on the other hand the integration process has not reached the final stage yet. Thus the EU budget has not finalized yet. These impressions and observations are confirmed by the changes in the preparation of the budget procedure as well as regulations depending on needs changing over the period for the income and expenditure items in terms of both content and ratio. Being significantly different from the budgets of other international organizations, the absence of defense and security spending, which hold an important portion in a state budget, resulted in relatively small EU budget. While the EU budget is prepared, the budgeting principles are in some way complied with. However, income and spending are equalized within the EU Budget. Consequently, the EU cannot borrow. When the EU budget is carefully examined, every year the budget is increased by 2%. The budget of this size is inversely proportional to the size of its own political system which appeals to a large geographic area and more than 500 million citizens. Member states are reluctant to transfer resources to the EU budget yet. This situation seems to become clearer by the EU integration process. Despite all these limitations, when we look at the expenditure items in the budget the largest share of the EU's budget sources are transferred to sustainable growth and sustainability of natural resources. The Treaty of Lisbon, bringing changes to ensure the EU's and its organs’ democratic legitimacy and representation, has created new structures for the EU to allow representation in the international arena and to eligible for the providence. The Treaty, besides being a single and under a new identity unified the Europe as "the Union", enhancing the role of the European Parliament in the legislative process and increasing the functional effect of important issues such as the budget of the Union are important steps towards becoming "United States of Europe". Adoption of the budget process being determined through the European Parliament stands out as an important regulation of the Lisbon Treaty. REFERENCES European Commission, Allocation of 2001 EU operating expenditure by Member State, Brüksel, Eylül, 2002. European Commission, Fundamental Principles of the Community Budget, http://www.europa.eu.int/comm/budget/budget/index_en.htm#principles , 06.03.2003. European Commission, Main Stages of the Budgetary Procedure, http://www.europa.eu.int/comm/budget/budget/index_en.htm#stages, 06.03.2003. Güran, Nevzat, Uluslararası Ekonomik Bütünleşme Ve Avrupa Birliği, Anadolu Matbaacılık, İzmir, 1999. Karluk Rıdvan, AB ve Türkiye, Altıncı Baskı, Beta Basım, İstanbul 2002 Nugent, Neill, The Government And Politics Of The European Union, Macmillan Press, Londra, 1995. 269 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Şahin, Ragıp, Avrupa Birliği Bütçesi - Fonları Ve Türkiye'nin Tam Üyeliği, Dpt, Ab İle İlişkiler Genel Müdürlüğü, Ankara, 1998. Seifert, Jan (2011:5), Change and stability in the EU budget, EU Centre in Singapore, Working Paper, no:3, p1-16. Tekinalp, Ünal, Tekinalp/Tekinalp, Avrupa Birliği Hukuku, Güncelleştirilmiş 2. Baskı, Beta Yayınları: İstanbul, Mayıs 2000. Hocaoğlu Durmuş, (2007), Türkiye ve Avrupa Birliği: Olmak ya da Olmamak, Türkhaber Yazılar Sıra No:08-27, İstanbul, No:08-27. Keskin Hakan; Doğru Sanılan Yanlışlarla Avrupa Birliği, AB Genel Sekreterliği Yayınları, Ankara 2010 European Commission, Fundamental Principles of the Community Budget, http://www.europa.eu.int/comm/budget/budget/index_en.htm#principles (access, 20.04.2012) http://www.europa.eu.int/comm/budget/budget/index_en.htm#stages, (access, 20.04.2012) European Commission, Treaty of Lisbon, http://europa.eu/lisbon_treaty/full_text/index_en.htm, (access, 25.04.2012) EU Commission EY Budget 2010. EU 2009 Budget in figures, AB resmi internet sitesi ue. europa.eu/budget/budget_detail/last year_en.htm EU Budget Details, AB resmi internet sitesi ue. europa.eu/budget/budget_detail/last year_en.htm Akar Sevda, “Lizbon Antlaşmasının Avrupa Birliği Bütçe Sürecine Getirdiği Yenilikler ve 2010 Avrupa Birliği Bütçesi”, Marmara Üniversitesi İİBF Dergisi, 2010. Topal Emre, “Lizbon Antlaşması İle Avrupa Birliği’nde Yasama Niteliğindeki İşlemler ve Yasa Yapım Süreçlerine Getirilecek Değişikliklere Genel Bir Bakış”, Yasama Dergisi, Sayı:9, 2008. Bayram Hanifi Mehmet (2010) “Lizbon Antlaşması: Parlamentoların Avrupa Birliği Karar Alma Sürecindeki Yeni Rolü”, Uluslar arası Hukuk ve Politika, Cilt 6. European Commission (2008), European Union Public Finance, 4th Edition, Printed in Belgium. 270 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1123 Title A name given to the resource The European Union Developing As A Political System And Its Budget Author Author R., Tekeli Abstract A summary of the resource. In this article, the political system of European Union, which holds an important position in the international system with the Lisbon Treaty in 2009, and its budget procedure, which is an important issue in the political systems, are examined and investigated. States make the budget with the aim at achieving the revenues and expenditures effectively. In 1967, with the establishment of the EC (European Communities), the European Union (EU) as well as national governments initiated to make the Budget. The dream of setting up the Union in Europe has become reality as the EU has been formed. The EU plays a role as a political actor in the international system. In this study, the political institutions of the EU reached a position of political system and the budget positions of the institutions’ views in the budgetmaking process are discussed. Also, the budget of the period 2007 – 2013 created after the Lisbon Treaty is studied. The expenditure items given the highest priority in the EU Budget such as Sustainable Growth are discussed. Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/7aa1fcb09e13c8e42538322bb0939723.pdf 7c9fd2ba6e01ca80e4e8c99cf6908a64 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 6. Internet: http://en.wikipedia.org/wiki/Sarajevo Stock Exchange, 02/03/2012 7. Internet: http://en.wikipedia.org/wiki/Zagreb Stock Exchange, 02/03/2012 8. Internet: http://en.wikipedia.org/wiki/Belgrade Stock Exchange, 02/03/2012 9. Internet: http://en.wikipedia.org/wiki/Ljubljana Stock Exchange, 02/03/2012 Analyze and evaluate the system of internal control in the process of implementing the audit of financial statements for business entities Pece Nikoloski, Goce Menkinoski, Facullty of economics in Prilep, Macedonia E-mails: nikoloski.pece@yahoo.com,gocemenkinoski@yahoo.com Abstract Accounting is the process of recording, classifying, summarizing and reporting results from financial transactions in the form of financial statements. Other than accounting, auditing the financial statements determines whether those statements are prepared in accordance with generally accepted accounting standards. You could say that this kind of audit users of financial statements provides objective and independent opinion on the truthfulness and honesty of the data presented in financial statements of business entities that are clients. The application of the system of internal control in the implementation of the audit process is very important activity in the process of making business decisions to allocate economic resources and successful management. Information obtained from the analysis answer the question as business entity in the previous period and how to function in the next period to be maintained better result. The main goal of any business entity is achieving greater profits. The profit maximization is striving to achieve the possible cost less and also the achievement of greater revenues. Profit shown in the financial statements may differ from reality depending on the way you handled the financial statements or in other words the way reports display where they can be concealed large gains and losses. From there the auditors are those who weigh the reality of participants' data in financial reports. How the financial result is a real set, so will be better and better decisions are made based on such information. The advantages of better financial reporting are significant, hence the actions needed to achieve those benefits are complex and comprehensive. As such we list the following activities: improving the framework of financial reporting; strengthening of key factors within the financial reporting; supporting the audit profession; supporting education, training and public awareness. The main and primary objective of financial reporting is to provide access balanced between financial reporting and audit requirements, which means meeting the needs of different users of financial information but also will be complex to burden the functioning of the corporate sector. In practice, here are three main reasons to perform the process of analyzing financial statements and financial indicators achieved: 1. The need for continuous monitoring of their own situation analyzes achieved financial indicators, financial instruments are planned and implemented financial control; 225 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 2. Calculation and analysis of financial indicators of business partners with whom the business entity enters into a variety of business relationships; 3. When investing in securities to thoroughly check the solvency of the issuer of the securities or of potential investors to provide all relevant information for making decisions about investing in capital to protect against possible speculative things. Keywords: Accounting, system, Analyze, process, financial statements , Information, financial reporting 1.INTRODUCTION The word "audit" etymologically derives from the Latin verb "revidere" which means "toexamine" and the word "revisio" meaning "re-examine" or "to see". In Englishspeaking audit used the term "audit", which originates from the Latin word"audite" which means "hear". Auditor (auditer) in the English language is "one wholistens" and from there comes the term audit (audit) which until today has retained its original form. In Germany, the audit used the word "wurtsch a ftspruftung", and the term "revision" as used in France "revision" and "revision compatible" and. t. slightly. The review of the literature identified a "spiritual repetition of activities" which indicates its character as a function of checking the operation. Specifically, the audit is further verification of the implemented business events, which is based on existing documents, as opposed to control mainly a corrective nature. In this regard Tom Lee, one of the most respected scholars in the field of auditing in the world in the early eighties, that in 1984 has given one of the best definitions of the term"audit" which reads: "In the broadest sense, the audit a means by which a personassures (by another person) in the quality, condition or status of a subject matter that the other person examined. The need for testing arises because the person is in doubt or questioning the quality, condition or status of the relevant subject matter and is unable to remove such opinion or dilemma. " Unlike the quoted definition of Tom Lee, which e undoubtedly concise, logical, and wide enough for clarification of different more types of revision. Committee of the American Association of Accountants, (American Accociation-AAA), defines audit as "a systematic process of objectively collect and evaluate evidence relating to reports on economic developments and results to verify the extent between existing reports operation and criteria and distributed to interested parties. " Seen from the picture we notice that the audit itself is not a simple process, is rather complicated and complex process, with clearly defined objectives, based on which defines and structures the approach to making business decisions. The audit considered as systemic process involves collecting and objectively evaluating evidence. Consequently, the evidence present information that have great influence in making business decisions by the auditors. But regardless of the form appearing on the evidence and their reliable power, the auditor is required to precisely define the objectives of the process of collecting and evaluating relevant evidence. During the process of implementation of the audit, the auditor receives as input financial statement of the business entity of the audit, which should thoroughly check and based ontests conducted formed and expressed an expert, objective and independent opinion. During the implementation of the review procedure, the primary objective of the auditor is 226 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo to determine whether the statements of the entities to audit with established criteria, usually associated with certain rules prescribed by the legislative body, plan or other measures of performance determined by management, accounting standards or other authoritative bodies. The goal will be achieved and realized if the auditor gather evidence of economic developments and results to determine whether they adequately presented in accordance with established criteria, prior to distributing the results of operations of the client to potential stakeholders. Similar views on the revision of the AAA provides renowned professional association of Great Britain, the Monitoring Committee of the audit practice gives the following definition of the audit: "An audit is an independent examination and giving-expression of opinion on the financial statements of companies, banks or other organizations by the appointed auditor, which is made in accordance with the requirements of the set task and the appropriate legal and professional obligations, or appropriate regulations. " When it comes to defining the audit by the professional associations to build a reputation in the world, special attention deserves the definition of IFAC, by which the audit is an independent examination of financial statements or financial information to those that apply to profit-oriented entity or regardless of its size or legal form, when such testing is encouraged in order to express an opinion on them. " If you try to make parallels between the cited definitions, it is safe to conclude that all of them immanent it contains mainly a few key words and phrases such as: independence, investigation, expression, opinion, person-authorized auditor and the like. . . From which each word individually in a strictly defined place and is indispensable for the precise formulation of the external audit. Thus, the term independent indicates that the auditor must be completely independent in terms of client with whom we conduct an audit, and his independent opinion to be accentuated as credible and fair for the users of audit services (shareholders, creditors, depositors, potential investors , government authorities, government agencies, etc.). independence of the auditor based on the fact that the audit must be independent and this in terms of company and in relation to the state, banks and all users of audit services, which has as a goal to protect public interests, the interests of capital owners - the shareholders, the government, investors, creditors, or any owner of a loyal citizen of a particular country. The word examination of the financial statements indicates that the audit joins generally accepted rules and techniques which determines the efficiency and integrity of the control system as well as accuracy, precision, completeness of the accounting statements in order to enable the auditor to establish its opinion. Competent opinion is that the auditor, even when a given event expresses a positive opinion about the reality and objectivity of financial reports presented to the company (client), in principle, does not guarantee the absolute accuracy of audited statements, but merely gives its opinion. Expression of opinion must be expressed in the form of a written report in accordance with Article 47 of the Fourth Directive of the European Union, is an integral, t. is. integral part of the annual calculation and with it a subject of public publishing. Under auditor means a competent and professional person who is appointed on a regular and orderly manner in accordance with criteria stipulated by laws and procedures to educate and appointment. Bearing in mind the basic objective of the audit with which increasing responsibility in the company's operations and its economic efficiency, its role can be viewed as: social, economic, psychological, public or personal interest. 227 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 2.An audit of financial statements (Finansial Staatements Audits) Audited financial statements as it aims to provide independent and objective opinion on the truthfulness and honesty of the data presented in the financial statements of companies. The focus of interest in the audit of financial statements, mostly basic financial statements: balance sheet, income statement and a statement of cash flows. Are these statements are made with generally accepted accounting standards, auditing of financial reports has the task to determine. In this direction, stressing the essential role of real and fair presentation of financial statements in all process of making business decisions makers MRS through the purpose and content of these standards are explicit in insisting that the financial statements of business entities need to be prepared in combination or in accordance with one of the following standards: - International accounting standards; - National accounting standards; - Other established and agreed framework of financial reporting 3.The review of compliance procedures The review of compliance procedures for its aims to determine the extent to which business entity in which the audit is performed following the standards or rules-established, adopted or created by the higher levels contracts, legislation or written consent. Under higher levels authoritative means top manegment that commits the standards of certain areas of its operations to incorporate the policy actions of the business entity in the preparation of specific guidelines and instructions. In practice, revision of compliance focuses only on examining the standardization of procedures on a separate set of standards and rules. In such cases, the auditor seeks to see deviations from the procedures prescribed rules and standards and in time to inform top management about perceived condition. Thus, revision of compliance has the following features: - The company engages auditors and to determine the area of auditing, along with the presentation of standards relevant to that area of operation of the business entity; - Auditor's report to top management of the business entity for its activities and information, which came during the audit. 3.1.Review of operations The audit of operations targeting has to perform a systematic examination of the activities of the business entity or part thereof, in terms of effective and efficient use of resources. Examining the performance is done in a way that is assessed as business entity achieves the objectives in terms of procurement, production, sales and the like. From the above stated may be concluded that the primary purpose of auditing is the assessment of performance in the operation of the business entity and identifying areas where it is possible to take measures to improve the operation of business entities. Unlike previous revisions, in this review there are no predetermined standards, so the dilemma is how the auditors in advance to determine the standards, rules or regulations to perform the evaluation of efficiency and effectiveness. It follows that auditors must choose measurable criteria that are always found in the area of many principles of economics and organization of the operations 228 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo of economic entities. Against this background it can be concluded that a review of the operation has the following features as: - Auditors who conduct audits are independent of the activities we reviewed (eg. Auditor may be employed in commercial service or its head, and is also audited the commercial operations of the business entity); - The auditor is employed in the business entity in which the audit; - The auditor submits the audit report and submit it to officials in the business entity. It shall mainly refer to the identification of problems related to effectiveness and efficiency in business operation entity. 3.2.Judicial review Judicial review is intended to detect or promotes activities which consequently have fraud or other illegal activities, integrated in the financial statements of the business entity of the audit client. With the growing number of business entities and their financial reports, despite legal and other measures, increasing the number of fraud and judicial review has obvious growth. Judicial review, usually are conducted in the following cases: - Business fraud made by internal and external stakeholders of the business entities; - Criminal investigations; - Confrontations and disputes between partners, shareholders and managers; - Economic losses, and - Civil disputes 3.3.External Audit One of definitions for external audit shall be defined as subject to the accumulation and evaluation of evidence about information for determining and reporting system between the data and established criteria. From this definition we can conclude that the notion of external audit is broader audit of financial statements and includes numerous services to ensure the quality of the information presented above for the owner of the business decisions. Regardless of the treatment of external audit is an undisputed fact that its implementation is conditional on the existence of the information presented in verified form and certain standard criteria based on which the auditor will evaluate. The audit should be conducted externally complete and professional person in his work will absolute independence from the management of the client. Regardless of the trends to expand the scope of audit services offered to clients, external audit is commonly equated with the audit of financial statements. External audit to provide protection to the interests of capital owners and at the same time to offer reliable information to other users of audit services, such as shareholders, creditors, potential investors, employees and the general public. If we consider the complexity and the activities to be implemented external revizizors for the successful functioning of this review is related to quality regulations, audit standards and code of professional ethics. 4.Internal Audit Unlike external, internal audit occurred as a result of the needs of modern businesses to introduce their own, internal and additional form of supervision in order to perform such control examination system of internal controls performed by all employees as part of their 229 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo duties, to evaluate its effectiveness, discover weak points in its operation and propose measures to eliminate the appearance of weakness. In other words, the internal audit activity is organized by the management of the business entity or other business entities to assist in the evaluation of the operation as a whole or to individual segments. In terms of business and management functions in enterprises, internal audit can be monitored as part of steering control, where business functions are subject to examination in order to perform more efficiently, thus ensuring the functioning of an information subsystem which however, the guide provides information for making appropriate business decisions. According to the definition of the Committee of audit practice (Auditing Practice Committee-APC) Internal audit is an element of internal control sistem set by management of the business entity, banks or other institutions for examination, evaluation and reporting function of accounting and other controls in operation. Internal audit is introduced in order to improve the decisions of managers or to satisfy statutory requirements. Institute of Internal Audit in the UK, apart from this definition, the internal template defines as an independent activity in the corporate assessment of the operation, established as a service office of the corporation. It is a control function that works by evaluating the adequacy and effectiveness of other controls and supervision. From these definitions can freely conclude that the primary task of Internal Audit, through sight and evaluation to assess the activities of the business entity, to provide adequate assistance to owners and management of the business entity in order to more effectively engage them to perform undertaken professional activities. For this goal to be achieved, the internal audit of users of this type of service offers numerous analyzes, suggestions, recommendations, advice and information directly related to activities subject to internal audit. Do Private Savings Offset Public Savings in Turkey? Muhittin Kaplan1, Hüseyin Kalyoncu, Hasan Göcen1 1Meliksah University, Faculty of Economics and Administrative Sciences, Department of Economics, Kayseri, Turkey 2Meliksah University, Faculty of Economics and Administrative Sciences, Department of International Trade and Business, Kayseri, Turkey Email: mkaplan@meliksah.edu.tr, ,hkalyoncu@meliksah.edu.tr,hgocen@meliksah.edu.tr Abstract The issue of whether public savings offset private savings, and visa vice, has important implications for the effectiveness of fiscal policy. This study examines long-run relationship between public and private savings rates using annual Turkish data for the period 1975-2005. The result of Engle-Granger cointegration test has shown that there is no long-run relationship between private and public savings ratios. However,once endogenously determined structural break is allowed, the test results confirm the existence of the cointegration relationship between private and public savings. Econometric estimation of the offset coefficients using both FMOLS and DOLS yields values of between -0.11 and -0.82. The results also indicate that the potency of fiscal policy significantly reduced with the liberalization of financial markets. 230 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1298 Title A name given to the resource Analyze and evaluate the system of internal control in the process of implementing the audit of financial statements for business entities Author Author Pece , Nikoloski Abstract A summary of the resource. Accounting is the process of recording, classifying, summarizing and reporting results from financial transactions in the form of financial statements. Other than accounting, auditing the financial statements determines whether those statements are prepared in accordance with generally accepted accounting standards. You could say that this kind of audit users of financial statements provides objective and independent opinion on the truthfulness and honesty of the data presented in financial statements of business entities that are clients. The application of the system of internal control in the implementation of the audit process is very important activity in the process of making business decisions to allocate economic resources and successful management. Information obtained from the analysis answer the question as business entity in the previous period and how to function in the next period to be maintained better result. The main goal of any business entity is achieving greater profits. The profit maximization is striving to achieve the possible cost less and also the achievement of greater revenues. Profit shown in the financial statements may differ from reality depending on the way you handled the financial statements or in other words the way reports display where they can be concealed large gains and losses. From there the auditors are those who weigh the reality of participants' data in financial reports. How the financial result is a real set, so will be better and better decisions are made based on such information. The advantages of better financial reporting are significant, hence the actions needed to achieve those benefits are complex and comprehensive. As such we list the following activities: improving the framework of financial reporting; strengthening of key factors within the financial reporting; supporting the audit profession; supporting education, training and public awareness. The main and primary objective of financial reporting is to provide access balanced between financial reporting and audit requirements, which means meeting the needs of different users of financial information but also will be complex to burden the functioning of the corporate sector. In practice, here are three main reasons to perform the process of analyzing financial statements and financial indicators achieved: 1. The need for continuous monitoring of their own situation analyzes achieved financial indicators, financial instruments are planned and implemented financial control; 2. Calculation and analysis of financial indicators of business partners with whom the business entity enters into a variety of business relationships; 3. When investing in securities to thoroughly check the solvency of the issuer of the securities or of potential investors to provide all relevant information for making decisions about investing in capital to protect against possible speculative things. Keywords: Accounting, system, Analyze, process, financial statements , Information, financial reporting Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General),HB Economic Theory,HG Finance,HJ Public Finance https://omeka.ibu.edu.ba/files/original/882b749011c8120058f952709707b3aa.pdf b6c8526790aa24f99341186fb3309a36 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Evaluation of All Inclusive System with Respect to Sustainable Tourism Principles Pasa Mustafa Ozyurt, Onur Oku, Ali Riza Aktas Akdeniz University, Alanya Faculty of Business, Tourism Administration, Antalya, Turkey E-mails: ozyurt@akdeniz.edu.tr, onuroku@akdeniz.edu.tr, alirizaaktas@akdeniz.edu.tr Abstract The aim of this study is to analyze the “all inclusive system”, an important marketing strategy of tourism enterprises, with respect to sustainable tourism principles. Following this purpose, all related academic studies and literature have been compiled and the subject was analyzed according to the collected information. Existing research suggests that the notion of sustainable tourism and the concept of all inclusive system may be far apart from each other in many ways. The quality of service and consequently guest satisfaction has been negatively affected from all inclusive system. Another negative aspect found is that the system stimulates unnecessary and excessive consumption, which is not beneficial both for the enterprise and for sustainability. Furthermore, since guests make most of their spending within the enterprise using the all inclusive system, local businesses find it harder to make profit and survive in the competition. Local community is a key factor in sustainability, so the system contradicts with sustainability in many ways. Some enterprises on the other hand defend the system since it creates economic activity somehow, yet they agree on the fact that this system should not be used in urban areas. Keywords: Tourism, Sustainable Tourism, Tourism Enterprises, Tourism Marketing, All Inclusive System. 1. INTRODUCTION Tourism is basically an economic activity and it has been growing rapidly especially after World War II. The extent of tourism and travel has increased tremendously in the last decades, both in terms of more travelers and of a vast choice of products on the market. From a historical perspective this can be explained by a number of factors such as the growing prosperity in society, vacations entitled by law, an increasing leisure time, new modes of communication, urbanization and a growing population (Nordin, 2005: 6). According to the World Tourism Organization (UNWTO), international arrivals worldwide have more than doubled since 1990, rising from 435 million to 675 million in 2000, and to 940 million in 2010 (WTTC, 2011: 2). International tourist arrivals grew by over 4% in 2011 to 980 million. With growth expected to continue in 2012, at a somewhat slower rate, international tourist arrivals are on track to reach the milestone one billion mark later this year, 2012 (UNWTO, 2012: 1). Tourism investments worldwide have increased correspondingly, since tourism increases foreign exchange earnings, creates employment opportunities, and provides a boom to many other sectors by its multiplier effect. However, too many tourism investments caused surplus of supply in time. Furthermore, regional or global economic crisis, natural disasters or wars decreased demand in 77 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo tourism. At this point, tourism enterprises looked for new marketing strategies in order to attract more customers. They developed further strategies and used the all inclusive system, which was initially used starting from 1930s. Having the ability for travelers to plan their expenses in advance increased the popularity of the system. Along with the all inclusive system came out hotels with low profitability ratio profiles. Although the occupancy rates were high, hotels had to settle for cheaper prices because of the competition. In order to increase their profitability, tourism enterprises using this system felt the necessity of trying to decrease their costs by compromising service quality. 2. SUSTAINABLE TOURISM By the late 1980s, the governments of most countries as well as the United Nations noted the increase in global tourism and the industry’s deleterious effects to the environment and society of those countries in which it was most rapidly expanding (Bowman, 2010: 269). As a result of the global policies set forth in the 1987 World Commission on Environment and Development to the United Nations General Assembly's report "Our Common Future" (otherwise known as the Brundtland Report), and the subsequent United Nations Conference on Environment (popularly known as "The Earth Summit") in 1992, sustainability emerged as a key issue in development (Berno & Bricker, 2001: 3). Sustainable tourism shall be organically linked to development, in general, to environmental, social, economic and ethical balances, mainly aiming to offer qualitative stays that generates in return fair income to local population (Cianga & Patrascu, 2010: 33). Sustainable tourism concept arose when sustainable development idea was applied to the tourism industry. Main principle of sustainable tourism is protecting local cultures, natural resources, and the continuation of the economy, while ensuring the growth of tourism with planning and control. The notion of the continuity of the economy is not just for tourism enterprises, but it also means that the local people who live at the tourism destination joins tourism activities and gains economic profit from tourism. Sustainable tourism should integrate the natural, cultural and human environment. As shown in Figure 1, sustainable tourism management is an approach, which (ETE, 2009: 39): Minimizes the negative environmental, social and cultural impacts of tourism, Generates economic profit from tourism for local people and improves their quality of life, their working environment and their access to technology and information, Allows local people and other stakeholders to participate in decision making processes involving tourism development which could affect them, Informs all stakeholders of tourism development which could affect them, Contributes to natural and cultural preservation and conservation and promotes the importance of and protects biodiversity, Provides tourists with more meaningful tourism experiences, e.g. meeting, cooperating, communicating and working with local inhabitants etc. bringing the tourist closer to the culture of the destination, 78 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Enables visitors to observe and understand environmental and cultural relationships and contexts, Is sensitive to local people, as well as other stakeholders, their needs, rights and aspirations, Sees policy, planning and management as extremely important to combat the problems caused by non sustainable tourism, Emphasizes that there are limits to tourism development, Can be very frustrating because there are limits to how much can be achieved in the short and medium term. It is a slow process of development, Generally involves frequent conflicts between stakeholders over resources, implementation etc. Compromises may be necessary. Figure 1: Relationship Between the 12 Aims and the Pillars of Sustainability Source: UNEP, 2006. 79 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 3. ALL INCLUSIVE CONCEPT All Inclusive System is described as the application of a marketing and pricing system in which all services such as breakfast, lunch, dinner, room services, local and import drinks, sport activities are covered under a fixed price package (Ciftci et al., 2007: 269). This system emerged as an alternative to the other hotel rate systems such as bed & breakfast, half board or full pension. All inclusive services generally includes accommodation services, food & beverage services such as breakfast, lunch, dinner, local drinks and import drinks, and many other services that the tourist might need during their stay. The prices of all these services are fixed in advance (Otar, 2008: 9). In order to understand how all inclusive system works, a brief history of the package tours need to be discussed. First package tours were organized by Thomas Cook to England in 1841. Therefore, Cook is generally accepted as the first organized package tour operator. (Icoz, 2000: 169). The first examples of all inclusive concept date back to 1930’s at some vacation camps in England. Later on, a French swimmer made a vacation camp at Mallorca in 1950. Mallorca is a Spanish island and Spanish government decided the swimmer to pay one total price for all the accommodation, food & beverage and other spending activities. This incident sparked the foundation of all inclusive system and many entrepreneurs were influenced by the idea. Their investments are the founding stepping stone of today’s all inclusive system. (Otar, 2008: 15). All inclusive system spread around the world after the increasing power of mass tourism in 1960’s. As seen on other pricing systems like half board or full pension, all inclusive system does not have globally standard applications and rules. What is included differs from country to country, region to region, even hotel to hotel, because there are not any set of rules of laws defining the parameters of the system. Different applications of the system resulted in different titles for the system such as; Ultra Inclusive, Mega Inclusive, Imperial, High Class, Maximum Mega Ultra Inclusive, etc. (Gurkan, 2002: 53). 4. FINDINGS Accommodation companies started using all inclusive system in order to increase their occupancy rates and to market their products and services more easily. All inclusive system is an accepted and sought marketing tool by people who would like to find everything ready, use technology and prefer the easier methods all the time (Yurik, 2002: 291). Main reasons of why hotels prefer all inclusive system may be listed as follows:          80 Provides easier marketing, Increases sales in order to reach maximum profitability, Yields competitive advantage against competitors in tourism market, Presents customers different holiday options, Lower running costs and better planning of the services due to knowing the number of buyers and the services that will be provided in advance, Advertisement of the facility, Controlling of personnel, product and services costs, Better occupancy rates create better image for the company, Easier to sell for travel agencies and tour operators, �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo   Bulk purchasing is cheaper, Prepayments of all inclusive packages result in better financial planning for spending and investments. (Corbaci, 2004: 52). According to Valhouli (2003), the popularity of the all inclusive system relies on two basic reasons. These are time and value. Tourists do not wish to spear time calculating the likely cost of their vacations. At the same time, tourists expect the services provided with the all inclusive system to satisfy their expectations. Hence, the most attractive aspect of the all inclusive system is that is an application where the value of the service to be taken and how much money to be spent in the end are clearly specified. According to Suklum’s (2006) study on 354 tourists (50% Turkish, 23% German) who stayed at two vacation clubs with all inclusive concept in Bodrum, 35,2% of the questionnaire respondents prefer all inclusive system because of the lower extras. 18,9% of the tourists prefer the system because they don’t have to follow their spending, 14,4% because their vacation plans are ready in hand, 9,6% because they don’t have to worry about money exchange. Only 8,2% of the tourists said they prefer all inclusive system because they believe the quality of the services is better. Another important finding of the study is that 31,9% of the tourists noted they do not participate in any economic, social or other activity outside the hotel, saying basically one third of the tourists do not even go out of the hotel. Barak (2006) made a study with 131 enterprises in Bodrum in order to understand the effects of all inclusive system to the region. 27% of these enterprises were food & beverage, 25% gift shops, 12% bars or night clubs, 10% textile apparels, and 26% were from different sectors. According to the owners or general managers of these enterprises, “all inclusive system decreased the number of tourists visiting their shops”; “the main reason for decreasing tourism receipts is all inclusive system”; “tourists spend less because lower income tourists come for the system; and “all inclusive system does not increase the number of tourists to the region”. Otar’s (2008) study on employees’ job satisfaction on accommodation units suggested that employees working in other pension types are more satisfied from their jobs than employees serving in all inclusive system. The study was made on 422 employees working under all inclusive system, and 422 employees working under other pension systems. The employees of accommodation units using the other pension systems were also more satisfied from their jobs according to “manager behavior”, “wage policies” and “promotion possibilities” than the employees of all inclusive system hotels. Yayla’s (2011) study in Antalya on finding out the reasons for tourist’s preference of all inclusive system was applied at a total of 65 four or five star hotels with the participation of 387 tourists. The findings were that they prefer the system because (a) there are not many cancellations due to the low number of participants, (b) price of the vacation packages are affordable, (c) and many services are included in the price. 5. CONCLUSION Findings of the literature survey and the study suggest that there are some positive and negative aspects of all inclusive system. Cheaper prices for the tourists and higher occupancy rates for the hotels are the main positive reasons for the preference of the system. Planning is the other 81 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo important positive both for the tourist and the hotel. Tourists may easily plan their spending in advance while the hotels may plan their purchasing, marketing, and financial strategies ahead of time. When the principles of sustainability is taken into account, it has been observed by many studies that cheaper vacations for the tourists by the means of all inclusive tourism decrease the quality of service, customer satisfaction, employee satisfaction, and tourist spending. One third of tourists who prefer these packages do not even leave the hotel for shopping or other purposes, which is a big minus for social contribution of sustainable tourism to local society. As described above, sustainable tourism has socio-cultural, economic, environmental and community participation factors. Since the main purpose of sustainable tourism is protecting local cultures, natural resources, and the continuation of the economy, all inclusive system does not directly possess any positive affects towards these three purposes at the same time. There is not any strong evidence that the hotels using all inclusive system are using local products, which is another negative aspect for sustainability. Therefore, it is evident that all inclusive system does not directly help local community, does not increase job satisfaction of the local residents, and does not help the environment any better than hotels using other pension systems. Tourists over-consume because of fixed charges, and this is a burden to economic resources of the society. Over-competition between all inclusive hotels decreases the prices of rooms and thereby the tourism earnings decrease. It may be creating new jobs for the society, but since job satisfaction is lower than the other pension systems, work overload may be the case instead of hiring new staff. REFERENCES Barak, H. (2006). Turizm Sektöründe Uygulanan Herşey Dahil Tatil Sisteminin Bölgedeki İşletmeler Üzerindeki Etkisi Ve Bodrum Örneği. Basılmamış Yüksek Lisans Tezi, Dokuz Eylül Üniversitesi, Sosyal Bilimler Enstitüsü, Turizm İşletmeciliği Anabilim Dalı, İzmir. Berno, T., & Bricker, T. (2001). Sustainable Tourism Development: The Long Road From Theory to Practice. International Journal of Economic Development, 3 (3). Bowman, K. S. (2011). Sustainable Tourism Certification and State Capacity: Keep it Local, Simple and Fuzzy. International Journal of Culture, Tourism and Hospitality Research, 5 (3), 269-281. Cianga, N., & Patrascu, C. (2010). Sustainable Development-Concept and Present Trend in The Context Of The Globalization Of Tourism And Of Romania’s Accession In The European Union. Journal of Tourism Challenges and Trends, 3 (1), 29-43. Çiftçi, H., & Düzakın, E., & Önal, Y., B. (2007). All Inclusive System and Its Effects on The Turkish Tourism Sector. Problems and Perspective in Management, 5 (3), 269-285. Çorbacı, A. K. (2004). Hersey Dahil (All Inclusive) Sisteminin Destinasyon Bölgesine Olumlu ve Olumsuz Etkileri, Ekonomik ve Teknik Dergi Standard, 43 (511), 51-52. 82 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo ETE, (2009). Sustainable Tourism, Training the Trainers Programme. Last Access: 25.04.2012 http://www.oete.de/tourism4nature/results/backdocs/ETE_2009_Sustainable_Tourism_Training.p df Gürkan, T. A. (2002). “Herşey Dahil” (All Inclusive) Sistemin Türk Turizmi Açısından İncelenmesi (Antalya-Kemer Örneği), Basılmamış Yüksek Lisans Tezi, Sakarya Üniversitesi, Sosyal Bilimler Enstitüsü, İşletme Anabilim Dalı, Turizm İşletmeciliği Anabilim Dalı, Sakarya. İçöz, O. (2000). Seyahat Acenteleri ve Tur Operatörlüğü Yönetimi. 3.Baskı, Turhan Kitapevi, Ankara. Otar, H. (2008). Konaklama İşletmelerinde Uygulanan Herşey Dahil Sisteminin İşgörenlerin İş Tatmini Üzerindeki Etkisi. Basılmamış Yüksek Lisans Tezi, Gazi Üniversitesi, Eğitim Bilimleri Enstitüsü, Turizm İşletmeciliği Eğitimi Anabilim Dalı Ankara. Nordin, S. (2005). Tourism of Tomorrow, Travel Trends and Forces of Change. European Tourism Research Institute.2005,27 Süklüm, N. (2006). Türkiye’de Hizmet Sektöründeki Turizm İşletmelerinde Uygulanan “Her şey Dahil” Sisteminin Müşteri Memnuniyeti Üzerindeki Etkisinin Ölçümlenmesi ve Bir Alan Araştırması. Basılmamış Yüksek Lisans Tezi, Adnan Menderes Üniversitesi, Sosyal Bilimler Enstitüsü, İşletme Anabilim Dalı, Aydın. UNEP, (2006). Making Tourism More Sustainable, A Guide For Policy Makers. Last Access: 18.04.2012 http://www.unep.fr/shared/publications/pdf/DTIx0592xPA-TourismPolicyEN.pdf UNWTO, (2012). World Tourism http://mkt.unwto.org/en/barometer Barometer, Last Access: 22.04.2012 Valhouli, Christina, (2003). Best All-Inclusive Resorts, Last Access: 20.04.2012 http://www.forbes.com/2003/10/16/cx_cv_1016feat.html WTTC, (2011). Travel & Tourism 2011. London. Last Acces: http://www.wttc.org/site_media/uploads/downloads/traveltourism2011.pdf 16.04.2012 Yayla, İ. (2011). Turistlerin Herşey Dahil Sistemini Tercih Etme Nedenleri Üzerine Bir Araştırma: Antalya Örneği. Basılmamış Yüksek Lisans Tezi, Gazi Üniversitesi, Eğitim Bilimleri Enstitüsü, Turizm İşletmeciliği Eğitimi Anabilim Dalı, Ankara. Yürik, E. Ö. (2002). Herşey Dahil (All Inclusive) Sistemi ve Sistemin Türk Turizm Sektörüne Etkileri. 2.Turizm Şurası Bildirileri, 1, T.C. Turizm Bakanlığı, 15-22 Nisan, Ankara. 83 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1366 Title A name given to the resource Evaluation of All Inclusive System with Respect to Sustainable Tourism Principles Author Author Pasa , Mustafa Ozyurt Abstract A summary of the resource. The aim of this study is to analyze the “all inclusive system”, an important marketing strategy of tourism enterprises, with respect to sustainable tourism principles. Following this purpose, all related academic studies and literature have been compiled and the subject was analyzed according to the collected information. Existing research suggests that the notion of sustainable tourism and the concept of all inclusive system may be far apart from each other in many ways. The quality of service and consequently guest satisfaction has been negatively affected from all inclusive system. Another negative aspect found is that the system stimulates unnecessary and excessive consumption, which is not beneficial both for the enterprise and for sustainability. Furthermore, since guests make most of their spending within the enterprise using the all inclusive system, local businesses find it harder to make profit and survive in the competition. Local community is a key factor in sustainability, so the system contradicts with sustainability in many ways. Some enterprises on the other hand defend the system since it creates economic activity somehow, yet they agree on the fact that this system should not be used in urban areas. Keywords: Tourism, Sustainable Tourism, Tourism Enterprises, Tourism Marketing, All Inclusive System. Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/c112b829da7109c671f699fe3701d15b.pdf db70607673c628b75c89c8f28e1aeff0 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo REFERENCES Aktas, A., Cevirgen, A, and Toker, B. (2009), “Assessing Holiday Satisfaction of German and Russian Tourists Visiting Alanya”, Tourism and Hospitality Management 15 (1): 1-12. Baloglu, S., McClearly K. (1999), “Model of Destination Image Formation” Annals of Tourism Research, Vol. 26, No. 4, pp. 868-897. Cakici, A. C. and Aksu, M. (2007). “Investigating Group Influence on Destination Choice: a Study on Domestic Visitors” (In Turkish), Anatolia: Journal of Tourism Research, 18(2), pp.183194. Directorate of Antalya Culture and Tourism (2009) Retrieved from http://www.kultur.gov.tr/ on March 23, 2011. Doğan, H., Barutçu, S., Üngüren, E. (2010) “Russian and German Tourist Potential and Satisfaction in Sustainable Competitive Advantage of Alanya Destination”, 6th International Strategic Management Conference, Proceeding, July 8-10, St-Petersburg, Russian Federation, 997-1006. Economics Report of Alanya Chamber of Commerce and Industry (2008) Retrieved from http://www.altso.org.tr on March 23, 2011 Guzel, F.O. (2007). “The Role Of Professional Tourist Guides On Developing The Image Of Turkey (A Study On German Tourists)”, Master Thesis, (In Turkish), Tourism Management and Hotel Hospitality Department, Balıkesir. Ilban, M.O. (2007). “Brand Image In Destination Marketing And Study On Travel Agents”, Ph.D. Thesis (In Turkish), Tourism and Hotel Management Department, Balıkesir. The Role Of Tourism In Regional Development Oğuztürk Bekir Sami1, Şeker Hilal2, Ertan Adnan1 1Suleyman Demirel University, Faculty of Economic and Administrative Sciences 2Vocational School of Amasya University. E-mails: bekiroguzturk@sdu.edu.tr ,hilalyanik05hotmail.com ,adnanertan@sdu.edu.tr Abstract Along with the acceleration of the globalization phenomenon, the level of development among the countries has been showing substantial differences. Developed countries have performed their development levels because they have a number of economic advantages and they have slightly minimized the imbalance between the regions. One of the most important problems of developing countries involves the development and underdevelopment. One of the ways to cope with this problem is to identify the priority sector for development of these countries. Performing the 119 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo development in developing countries is merely possible by evaluating the potential of their tourist supply. The tourism sector plays significant role on regional development and the efficient use of local tourism resources. In this respect, the purpose of the research is to investigate the role of tourism along with development policies to resolve interregional imbalance. Therefore, it is intended to figure out the importance of tourism in regional development and focused regional development instruments. As a result, it is aimed to examine the role of tourism in developing regions on their development processes. Keywords: Regional development, Tourism, Alternative Tourism 1.THE ROLE OF TOURISM IN REGIONAL DEVELOPMENT 1.1. The Concept of Region Content and definition of the concept of region which is a multi-dimensional, ambiguous concept, originated from the Latin word “regio” and its boundaries are very difficult to draw, vary from period to period. The concept of region which has begun to be used with the defining of areas which have similar soil properties, climatic conditions and topography with specific names by farmers, is generally used to specify the differences of a piece of land from the others. There is not a common definition of the concept of region on which there is a consensus. The properties of a region differ from others may take their source from its geographical, economic, social and physical structure. For this reasons, various criteria are used in the classification of regions. The inclusion of legal, sociological, demographic, political and environmental disciplines in the analyses enhances the confusion on the concept (Gündüz, 2006:2). The dimension of space that is defined with the word of region, may differ by the used context (for example: planning) as may differ by economic, social, cultural aspects. From the economic point of view, it’s obvious that the region as a unit of planning and analysis corresponds to neither an area wider than a country’s area nor narrower than a city’s area (Şen, 2004:4; Ildırar, 2004:9). Region is defined as a unit which is existed by the spatial integrity of sidled local units and enclosed by the lands of a state and the boundaries of which are drawn under the control of a state in the national approach. Anyhow it is defined as a unit that directly come open to international relations and a unit of which boundaries are changeable. In generally, a part of a spatial integral which is homogeneous in point of specific properties is described as a region. 2. Interregional Differences and Regional Development All regions of a country do not begin to develop simultaneously. Some regions show faster development than others for that reason, differences of development level exist. All countries have differences of development level in its regions. Differences of development among regions are more in developing countries than developed countries. 120 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Regional disparities cause notable social problems. Main causes of regional disparities are as follows (Şen, 2004:7): Geographical factors: Location, climatic properties, natural resources, arability of a region are the properties that effect regional development. These properties are not dispersed equally between regions and they are not used rational. Economic factors: Macroeconomic instabilities and inhibition of mobility of the workforce are the economic factors cause regional disparities. The dispersion of production factors influences company decisions for choosing their locations of establishment. Social and cultural differences: Production of a region takes its shape from the socio cultural structure of the region. Especially, general social capital as health care, education services and infrastructure of industrial centres are notably higher than that of underdeveloped regions. Therefore migrations become from other region to developed regions with the purpose of reaching social services in higher quality. These migrations cause social imbalances. Interregional differences cause ineffective use of resources, social problems and even interregional conflicts. Compensating interregional differences is one of the main concerns of governments. Innovational development strategy is that governments must implement to achieve a sustainable regional development. Providing sustainable regional development by innovational development strategy is related to creating regional synergy, accumulation of human capital and knowledge generation. Basically, formulation of a sustainable regional development is exactly aimed at accumulation of human capital. Human capital directly accelerates rate of development and rate of growth, contributes to knowledge generation and knowledge stock of the region. Human capital stock works as a pool for existence of entrepreneurship (Oğuztürk, 2003: 74). 3. Importance of Tourism Sector in Regional Development Tourism sector has a great importance in regional development and efficient use of resources. Especially tourism sector may provide a development for regions that do not have agricultural and industrial development potential. The following factors must be considered for regional development by the improving tourism sector:       Cultural values and infrastructural condition of the region, Present touristic facilities and feasibility of new touristic facilities, Foundations that product services or goods directly or indirectly related to tourism in the region, Public investments in the region, International tourism demand for the region, Perception level of tourism of the locals, The efficiency of the tourism in the regional development could be substantially increased after analysing above mentioned factors realistically (Çeken, 2008: 299). Tourism has a positive influence on regional employment and income, but the magnitude of regional multiplier will vary according to the characteristics of each individual region. As tourism and regional development are closely linked, regions and local authorities play a key role in the formulation of policy and the organization and development of tourism and thus coordination 121 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo between local authorities increases the benefits of policies such as large scale infrastructure projects (Constantin, 2000). 4. Tourism Focused Regional Development Instruments 4.1. Centres of Conference/Exposition/Exhibition These centres provide an economic recovery and a dynamic image to regions. Their importance is increasing every each year and cities tend towards convention tourism to disperse the tourism activities interrupted in a year, through the year. Istanbul is making progress in convention tourism during the recent years. The area between Maçka and Harbiye is called Valley of Congresses in Istanbul that hosted important events such as Habitat, World Architecture Congress, and NATO congress. 4.2. Recreation (Entertainment) Parks Recreation and tourism are many times synonymous. Both bring enormous economic value to region throughout the country. In order to maximize the impact of recreation and tourism politically, specific goals and objectives should be included in the comprehensive plan for each region. In addition, strategic plans and budgets that facilitate the incorporation of parks, recreation and open space in tourism efforts need to be made at the regional level. Recreation (entertainment) parks may be run by private or public sector; they may be entertainment intensive as Euro-Disney or educational and scientific as future scope. Recreation (entertainment) parks are not only good instruments of tourism focused regional development, but also are essential to human well-being and liveability of a city. A city’s quality of life is greatly enhanced by extensive parks and open space areas. Parks and natural areas directly mitigate climate change by moderating temperatures from the urban heat island effect (Combs and Tindell, 2008). 4.3. Alternative Tourism Alternative tourism can be defined as ‘forms of tourism that set out to be consistent with natural, social and community values and which allow both hosts and guests to enjoy positive and worthwhile interaction and shared experiences’ (Wearing and Neil, 1999). Alternative tourism is used to describe the opposite of mass tourism, characterized by having a minimal impact of the environment, by being small in scale and by being locally based, ideally stimulating the local economy while preserving cultural identity. It is often referred to as rural tourism. Activities included under this definition include white-water rafting, scuba-diving, mountaineering and horseback riding (Cooper, 2004). Alternative tourism provides positive effects on employment, prolongation of tourism season, attraction and image of a region. 4.4. Regional Natural Parks A regional natural park is a territory of high natural, cultural and landscape value, whose culture, nature, social structure and local economy are part of a sustainable development project, in harmony with the aspirations of the population (Clivaz, Hauser & Michelet, 2004). They are suitable areas for many kinds of nature sports and attracting tourists who want to do nature sports 122 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo or have trips in nature. Aosta in Italy, Camargue in France are among the regions that use regional natural park instrument successfully. Regional parks may get support from structural funds. European Union provides meaningful supports to efforts for protection of regional natural areas. Odra Delta Natural Park Project in Poland is being realized from October 2002 by EUCCPoland in cooperation with EUCC-The Coastal Union International. 4.5. Cultural Centres Cultural centres are buildings in which cultural assets are reserved, evaluated and exhibited. They are generally designed for multi-purpose usage, to serve as cinema, theatre and exhibit space. Cultural centres host various cultural organisations as exhibitions, plays, concerts and attract tourists, thus they help regional economy and development. 4.6. Farms for Agricultural Tourism Due to gaining importance and a raising trend of agricultural tourism in recent decades, agricultural tourism could be used in cities and regions which are absent of historical, touristic values. Agricultural tourism is related with farms and agricultural activities. So tourists have different leisure experiences like picking fruits, attending rural festivals, participating rural daily life, milking animals, pruning trees and, they have authentic holidays thoroughly involved with rural life far from the stress and busyness of city life (Ertan and Güzel : 2009). 5.CONCLUSION Compensating of regional development disparities which cause several problems as ineffective use of resources, unbalanced distribution of population and migrations is an essential concern for providing sustainable development. For that reason, policies for development of undeveloped and less developed regions must be implemented to provide a sustainable development. One of the most effectives of those policies is enhancing tourism activities in undeveloped and less developed regions. Tourism investments in order to compensating regional disparities have advantages such as their lower requirement of founding capital by comparison with industry investments and their contributions to social and cultural infrastructures of the regions. Globalisation and improvements in information and transportation enable diversification of tourism activities and so tourism investments that compatible with region’s cultural, social and natural assets may be found for each region. For this purpose, tourism focused regional development instruments such as centres of conference/exhibition/exposition, recreation/entertainment parks, alternative tourism, regional natural parks, cultural centres; farms for agricultural tourism may be utilized. Types of tourism activities suitable, feasible and applicable for each region must be determined and these tourism activities must be promoted and supported in order to provide a sustainable regional development. 123 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo REFERENCES Ertan A. and Güzel Ö. (2009) “Tarım Turizmi Kavramı ve Isparta’nın Tarım Turizmi Açısından Değerlendirilmesi (The Concept of Agricultural Tourism and the Evaluation of Isparta in terms of Agricultural Tourism)” Süleyman Demirel University Journal of the Institute of Social Sciences, Year 4, No 2008/1, Volume 7. Christophe C., Yves H. and Jacques M. (2004) “Tourism monitoring system based on the concept of carrying capacity – The case of the regional natural park Pfyn-Finges (Switzerland)” Working Papers of the Finnish Forest Research Institute Combs, J. L. and Tindell J. P., “City of Sacramento, CA Department of Parks & Recreation Sustainability Plan 2008-2015” Constantin, D., (2000) “Tourism and Environmentally Sustainable Regional Development: The Case of Romania” 40thCongress of the European Regional Science Association, 29 August-1 September 2000. Cooper, C. (2004) “Alternative Tourism as a Strategy for Sustainable Livelihood Diversification: The Case of Jalcomulco, Veracruz” Çeken, H. (2008) “Turizmin Bölgesel Kalkınmaya Etkisi Üzerine Teorik Bir İnceleme (A Theoretical Research on the Effects of Tourism on Regional Development)”, Afyon Kocatepe University Journal of FEAS, Volume 10. Gündüz, A. Y. (2006) “Bölgesel Kalkınma Politikası (Regional Development Policy)”, Ekin Bookstore, Ankara. Ildırar, M. (2004) Bölgesel Kalkınma ve Gelişme Stratejileri (Regional Development and Advancement Strategies), Nobel Publications, Ankara. Oğuztürk, B. S. (2003) Yenilikçilik ve Göller Bölgesi Üzerine Bir Araştırma (A Study on Innovativeness and Lakes Regions), İstanbul University Institute of Social Sciences, Unpublished Ph.D. Dissertation. Şen, Z. (2004) Türkiye’nin Avrupa Birliği Adaylığı ve Katılma Öncesi Stratejisi Çerçevesinde Bölgesel Politika Alanında Uyum Durumunun Değerlendirilmesi (The Evaluation of the state of Harmonisation in the field of Regional Policy in the context of the Candidacy of Turkey to the European Union and Pre-Accession Strategy), Secretariat General for European Union Affairs, Dissertation Ankara. Wearing, S. and Neil, J. (1999) Ecotourism: Impacts, Potential and Possibilities. Butterworth Heinemann, Oxford and Melbourne. 124 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1371 Title A name given to the resource The Role Of Tourism In Regional Development Author Author Oğuztürk , Bekir Sami Abstract A summary of the resource. Along with the acceleration of the globalization phenomenon, the level of development among the countries has been showing substantial differences. Developed countries have performed their development levels because they have a number of economic advantages and they have slightly minimized the imbalance between the regions. One of the most important problems of developing countries involves the development and underdevelopment. One of the ways to cope with this problem is to identify the priority sector for development of these countries. Performing the development in developing countries is merely possible by evaluating the potential of their tourist supply. The tourism sector plays significant role on regional development and the efficient use of local tourism resources. In this respect, the purpose of the research is to investigate the role of tourism along with development policies to resolve interregional imbalance. Therefore, it is intended to figure out the importance of tourism in regional development and focused regional development instruments. As a result, it is aimed to examine the role of tourism in developing regions on their development processes. Keywords: Regional development, Tourism, Alternative Tourism Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/47d08e6714c538308cacae64aaf957b0.pdf 0dd6ae3c093b2931d56af2cd215fa509 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Lea, S., Webley, P. (2005). Money as tool, money as drug: The biological psychology of a strong incentive. The Journal of Behavioral and Brain Science, University of Cambridge, pp. 5-7. Marx, K. (1890). Das Kapital: Kritik der Politichen Oekonomie, Verlag von Otto Meissner, Hamburg, p. 645 Mises, L. (2006). The Causes of Economic Crises: And Other Essays Before and After the Great Depression. Ludwig von Misses Institute, pp. 39-41 Mishkin, F. (2010). The Economics of Money, Banking and Financial Markets (9th Edition). Pearson Education Inc., Boston, p. 56, 433, 434, 437 Rothbard, M. (2008). The Mystery of Banking (2nd Edition). Ludwig von Misses Alabama, p. 4 Institute., Shah, A. (2007).Third World Debt Undermines Development: Causes of the Debt Crisis. Retrieved December 20 2007. http://www.globalissues.org/ TradeRelated /Debt/ causes.asp Soto, J. (2009). Money, Bank Credit and Economic Cycles (2nd Edition). Ludwig von Misses Institute., Alabama, pp. 115-119 Taylor, A., Taylor, M. (2004). The Purchasing Power Parity Debate. Journal of Economic Perspectives, Volume18, no. 4, pp. 135-158 Taylor, J., (2001). The Role of the Exchange Rate in Monetary-Policy Rules." American Economic Review, Vol. 2: p. 67 IT role on proper Financial Statement Analysis Ozlen Serife, Duric Adnan, Ergun Ugur, Kevro International Burch University, Sarajevo, Bosnia and Herzegovina E-mails: serifeozlen@hotmail.com,duric_adnan@hotmail.com, uergun@ibu.edu.ba Abstract Financial statements are prepared reports to quantitatively describe the current financial situation of a company. Therefore, proper financial statement analysis is important for the managers to be able to observe the organization and make financial decisions as a result of achieving the right information about the company on time. Hence the company can obtain some benefits. The tools used in the analysis and the staff motivation who performs the analysis are assumed in this research as the key variables to develop proper financial statements and therefore the analysis. 109 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The paper’s objective is to describe the current situation about the issue. Therefore, a developed survey was conducted on accounting department staff within several BiH companies. The data obtained were analyzed descriptively and the results were discussed accordingly. The limitations and implications of the research are described and some further research points were identified. Keywords: Financial Reporting, Survey, Information Systems 1.INTRODUCTION A financial statement is a written report in order to quantitatively describe the financial health of a company including an income statement and a balance sheet, and also a cash flow statement. They are usually prepared on a quarterly and annually. According to the Financial Accounting Standards Board’s Statement of Financial Accounting Concepts No. 1 issued in 1978, the purpose of financial reporting is providing information that is useful in making business and economic decisions. Most financial reports were before insufficient, unreliable and confusing because of lack of rules having no precise terminology and not providing comparison of years and enterprises (Sinnett and Laing, 2009). Information systems (IS) productivity has always been considered in academia and industry. There have been observed productivity of capital studies; however there is little research on the communication of the productivity of corporate information-creation and - consumption that is helpful to business executives in assessing, planning and budgeting (Shu and Strassman, 2003). According to Thottan’s (2004) definition, "Knowledge workers" produce, analyze, manipulate, and distribute information about business activities. Therefore, Bagranoff et al. (2005) considered accountants as knowledge workers and accounting information as important. The users can perform financial statement analyses by using developed software programs to produce interactive statements in order to be used in mining the data. The statements which are included in the general ledger model are used to allow the user create the desired analyses independently. These applications help the users to identify and correct the possible problems and errors. The paper has been organized into five sections. In the second part, the literature was reviewed. In the third part, the research methodology was presented. In the fourth part, the results were discussed. And finally, the paper was concluded in the last section. 2.Literature Review A financial statement (or financial report) is prepared as a standardised record of the financial activities of a business, person, or other entity. For a business enterprise financial statements is used to refer all the relevant financial information which is presented in a structured and easy to understand form. Financial statements include four fundamental financial statements with a management discussion and analysis. Investors and company analysts use financial statements in order to obtain information about a business' financial situation. Financial statements may not provide them enough information to make reliable decisions because of 110 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo inconsistency in format, lack of continuous information from one statement to another, and grouping dissimilar items. For large companies, financial statements are generally complex and may include some extensive notes about the financial statements and explanation of financial policies and management discussions and analyses describing each item on the balance sheet, income statement and cash flow statement in detail. Notes to financial statements are considered an integral part of the financial statements. Financial statements should be prepared as understandable, relevant, reliable and comparable. Reported information is directly associated with the organizational financial position. Financial statements may be evaluated from different perspectives and for different objectives. Stakeholders need financial statements to make important business decisions about its operations. The next step is performed through financial analyses on them to understand deeply. Financial statements can also be considered as a management annual report to the stockholders. For also employees these reports are necessary to make agreements with the management while discussing the compensation, promotion and rankings. Financial analyses are often preferred by investors and prepared by financial analysts in order to provide them reliable information for investment decisions. Financial institutions use financial statements to evaluate for financing the company. Government needs financial statements to make determination about the propriety and accuracy of taxes and other announced and paid responsibilities. Vendors use financial statements to evaluate the creditworthiness of the business. 3.Proper Financial Statements Accountants are responsible from the measurement on financial reporting to incorporate fair values into proper financial statements by recognizing an increased obligation to help investors in predicting future firm performance. Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB) have found together certain weaknesses of the previous guidelines and the boards are striving to improve the usefulness of financial information through the financial statement presentation project by considering many user concerns from different perspectives and aiming to establish a common standard to address and improve how information is organized and presented in the financial statements. ICT aims to enable accountants to perform effectively in their positions by (1) making accountants happy in preparing financial statements, (2) training them by necessary basic information and communication technology tools, (3) providing them with the required accounting and technical skills, (4) training the participants with presentation skills. Bawaneh (2011) suggested that IS and accounting studies should be integrated in order to increase the students’ accounting information evaluation capability accurately and timely. Alsos et al. (2006) suggested financial resources as key resources for gaining and configuring other resources. The literature highlighted the importance financial resources acquisition from investors. However, remaining financial management activities have received little consideration. Entrepreneurial financial management reduced the acquisition of external financing, while other important areas of financial management are ignored. According to Brinckmann et al. (2008), Delmar and Shane (2003) and Gruber (2007), planning-related competencies such as strategic financial competence and financial controlling are important in a broader sense. 111 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Financial resources are accepted as the fundamental resources in order to obtain and configure other resources. Brinckmann et al. (2011) wanted to show the resources used to analyze the role of related financial management for firm growth. According to them, it is hard to get resources due to information asymmetry between entrepreneurs and external stakeholders. Gilbert et al. (1999) and Glynn (1997) suggested IT in today’s competitive constantly increasing marketplace as a distribution channel and interaction medium. Howcroft and Durkin (2000) questioned if IT can fully replace interpersonal relationships in financial services. Larpsiri and Speece (2004) aimed to examine perceptions of SFA in the context of life assurance in Thailand by conducting a qualitative exploratory research. They concluded that understanding customer response to SFA is the challenge in order to effectively integrate technology-based sales applications into the selling process. Xiao and Sangster (1996) examined the role of IT in supporting relationship among customers and suppliers in the industry of financial service, interrelationship among sectors in the industry such as: Brokerage houses, retail banks, institutional banks, mutual funds and others. Furthermore, the role of IT and electronic service in creating and supporting interorganizational integration across sector boundaries is important. The researchers aimed to help in the financial services to analyze opportunities and assets risks of building relationship between their customers and through electronic commerce. They preferred wide range interviews as the research methodology to identify the role of IT in supporting relationship among customers and suppliers in the financial services. Each questionnaire presented on their own prospective from supplier and customers for expanding this relationship with electronic commerce. Their results showed that the participants have some processes such as process of thought, planning process and implementation process. Therefore, they have grouped the results into five categories: (1) How IT supports currently existing relationships among customers and suppliers, (2) The opportunities to expand these relationships, (3) The threat to expand these relationships, (4) Drivers of change, and (5) Managers' envision. Xiao and Sangster (1996) stated that the literature reported a large number of investigations about the impact of IT on accounting. Accordingly, it has impact on the accountants. They suggested that the studies focused too much on accountants, but users of accounting information and corporate financial reporting are not considered. Information asymmetry between corporate managers and external stakeholders has been accepted as a fundamental issue in economics and accounting resulting problems such as moral hazard and adverse selection. Therefore, they suggested the use of IT in order to complicate these issues. They concluded that IT use is necessary for accounting in order to identify asymmetry. Mulligan and Gordon (2002) studied the role of IT in the customer and suppliers relationship in the financial service industry. According to Laitinen (2005), analyzing financial assets, interest expenses and revenues, taxation and dividends presents the financial behavior of the company. EVA is considered as the best method for evaluating the performance of the firm. Adjustments of accounting items are commonly used in order to manage earnings (Lee et al., 2008). Lee et al. (2008) suggested that firms were inconsistent when applying traditional accounting measures and therefore there is a relationship between IT investment and increased wealth creation. They reported after analyses that not all financial firm performance measures correlate positively with IT spending. Furthermore, their results show that all financial performance is significantly correlated to IT spending except ROI and ROA. Finally, the relationship with the ROS is found to be negative. 112 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Senik and Broad (2011) examined the results of factors which are perceived to mitigate educators from integrated IT skills on three main categories of barriers: academic staff, environmental, and student. Sohn et al. (2007) in their study proposed a structural equation model and commented that technology evaluation is worthy when the result can be related to financial performances of the recipient of credit funds. They developed a FPI (financial performance index) and analyzed relationship between technology evaluation factors and financial performances. They proposed enterprise FPI and suggested some strategies to improve financial performance. 4.Research Methodology The prepared survey with a 7-point Likert scale was distributed and the data was collected from accounting firms and accounting offices in schools in one month period. The respondents are all from accounting departments. The data then was analysed by the help of SPSS program. The following section consists of the demographic information of the respondents including the position, education, gender and city and the descriptive examination of the survey questions. The male and female responses are almost equal (Table 1). Table 1 Respondents’ Gender The respondents are mainly accounting managers and the others were accountants (Table 2). Table 2 Positions of the Respondents There is a well educated sample space that the study achieved (Table 3). Table 3 Education Level of the Respondents 113 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The respondents are mainly from Sarajevo (Table 4) and the companies are located at four different regions of Bosnia and Herzegovina. Table 4 Company Locations 5.Findings The respondents believe that the used accounting software program was satisfactory and helpful in improving their accounting work. Furthermore, they believe that the expensive programs will help more (Table 5). Table 5 IT Support for Accounting Work Financial statements analysis is necessary in order to see the financial health of the organisation. Small firms do not usually prepare financial statements regularly and therefore employ analyses on them. Accordingly they may lose the control of the financial activities. The respondents are quite agreeing with this statement. On the other hand, they believe that the preparation of financial statements for small firms is easy. Moreover, the task for bigger organisations is believed to be more complex (Table 6). 114 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Table 6 Beliefs about the Size of the Organization and Financial Statements The companies seem to have software programs in order to prepare financial statements and it is helpful and satisfactory in doing their work. They agree the importance of dates for financial statements. They agree on the statement that financial statement information is both important in order to see and compare the performance of the company with and among the others. However, they also think that the accountants make mistakes on purpose. Finally, they agree that proper financial statements and their analyses are obtained as a result of teamwork (Table 7). Table 7 Proper Financial Statement Analysis 6.Discussion The research achieved a considerable number of respondents in BiH firms. It can be accepted as a representative picture of BiH scenario since the respondents are from five different regions of BiH and more than half were managers. They observed to be extremely agreed on the survey questions which were developed to measure whether the companies in BiH have software programs to prepare financial statements, believe the necessity of preparing financial 115 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo statements for small and big enterprises and the role of IT on this issue. As reported in earlier section, the study firstly identified that the companies have and use the program for the preparation of financial statements. Additionally, they are satisfied with the installed system. 7.Conclusion First of all, it should be stated that the research on the identification of IT role on financial statement analysis are observed to be quite weak in the literature. The developed survey questions for further studies can be evaluated again by considering the current results. The results may be analysed through different statistical techniques and the strength of the statements should be increased. For practice, the importance of information systems in every aspect of the life is increasing more and more. Therefore, the companies should leave the old and slow financial statement analysis and prefer some quicker and more accurate ways in order to be aware of the most current situation within and outside the company and therefore stay competitive in today’s fast changing business environment. REFERENCES Alsos, G.A., Isaksen, E.J., & Ljunggren, E. (2006). New venture financing and subsequent business growth in men- and women-led businesses. Entrepreneurship Theory and Practice, 30(5), 667–686. Bagranoff, N.A., Simkin, M.G. and Norman, C.S. (2005). Core Concepts of Accounting Information Systems, John Wiley & Sons, Hoboken, NJ. Bawaneh, S. (2011). Information Technology, Accounting Information System and their effects on the Quality of Accounting University Education: an empirical research applied on Jordanian Financial Institutions. Interdisciplinary Journal of Contemporary Research in Business, 3(2), pp. 1815-1840 Brinckman, J., Salomo, S., and Gemunden, H. (2011). Financial Management Competence of Founding Teams and Growth of New Technology-Based Firms. Enterpreneurship Theory and Practice, pp. 217-243 Brinckmann, J., Grichnik, D., & Kapsa, D. (2008). Should entrepreneurs plan or just storm the castle? A meta-analysis on contextual factors impacting the business planning– performance relationship in small firms. Journal of Business Venturing, doi:10.1016/j.jbusvent.2008.10.007. Delmar, F. & Shane, S. (2003). Does business planning facilitate the development of new ventures? Strategic Management Journal, 24(12), 1165–1185. Gilbert, C.D., Powell-Perry, J. and Widijoso, S. (1999). Approach by hotels to the use of the Internet as a relationship marketing tool. Journal of Marketing Practice: Applied Marketing Science, Vol. 5 No. 1, pp. 21-38. Glynn, J. (1997). Building future relationships: compatible interactive service systems will combat digital distancing. Marketing Management, Vol. 6 No. 3, pp. 34-7. Gruber, M. (2007). Uncovering the value of planning in new venture creation: A process and contingency perspective. Journal of Business Venturing, 22(6), 782–807. 116 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Howcroft, B. and Durkin, M. (2000). Reflections on bank-customer interactions in the new millennium. Journal of Financial Services Marketing, Vol. 5 No. 1, pp. 9-20. Laitinen, E. (2005). Financial statement data in assessing the future potential of a technology firm: The case of Nokia. International review of Financial Analysis, 15, pp. 256-286 Larpsiri, R. and Speece, M. (2004). Technology integration Perceptions of sales force automation in Thailand’s life assurance industry. Marketing inteligence and planning, Emeralg group limited publishing. 22(4). Pp. 392-406. Lee, Y., Sutton, S., and Chan, S., (2008). Wealth creation from information technology investments using EVA. Journal of Computer Information Systems, pp. 42-48 Mulligan, P. and Gordon, S. (2002). Impact of IT on customer and supplier relationship in the financial services. International Journal Service Industry Management, 13(1), pp. 29-46 Senik, R. and Broad, M. (2011). Information Technology Skills Development for Accounting. Canadian Center of Science and Education, 4.(2) pp. 105-110. Shu, W. and Strassman, P. (2003). Does information technology provide banks with profit? Journal of Information & management, Elsevier (42) pp. 781-787 Sinnett, W. M. and Laing, R. L. (2009). Financial Reporting's Eternal Questô What Do Users Want/Need? Financial Executive research foundations, pp. 38-42 Sohn, Y., Kim, H., and Moon, T. (2007). Predicting the financial performance index of technology fund for SME using structural equation model. Expert System with Applications, 32, pp. 890-898. Thottan, J. (2004). Inside Business: What can America make. Time Magazine, (January 12), p. 77 ff. Xiao, Z. and Sangster, A. (1996). The relationship between information technology and corporate financial reporting. Information technology & people, Vol.10, pp. 11-30 Financial Statements Survey Instructions for completing the questionnaire   Please answer all questions For the questions with a numeric scale 1: Strongly disagree, 2: Moderately disagree, 3: Slightly disagree, 4: Neutral, 5: Slightly agree, 6: Moderately agree, 7: Strongly agree, circle the number that best describes the factor being judged.    Circle only one number for each scale Read the specific instructions under each section where applicable This survey is expected to be completed in 10 minutes. I. Demographics a. Name of your department/unit: b. Your position/role: c. Your education level: e. 117 Gender: f. Age: �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo d. ID number: g. City/Canto n IT Support a. Information technologies (IT) helps my accountant do his work more effectively and efficiently. It helps him find major mistakes and helps correct them. b. I have an accounting program at my work, I am very satisfied with it. c. The more expensive the program is, the more effective it will be. Disagree Agree 1 2 3 4 5 6 7 Size of the Organization a. Many small businesses fail because the owner loses a grip on the firm's financial position. b. It is easier for a smaller company to prepare financial statements. c. Big organizations have extremely large beliefs, traditions, rules and regulations Disagree Agree 1 2 3 4 5 6 7 Staff Motivation a. When the staff is satisfied with their work and very excited about coming to work, the properness of the work increases. b. The more support and space managers give you, the better motivation you will have in order to do your work more properly. c. When the employees work together as a team, it increases revenues and it decreases mistakes in financial statements. Disagree Agree 1 2 3 4 5 6 7 Organizational Culture a. Organizational culture consists of shared beliefs and values established by the organization’s leaders and then communicated and reinforced through various methods, ultimately shaping employee perceptions, behaviors and understanding. b. The efficiency and effectiveness of the employees depends on the way the organization is set up. The stronger the culture of the organization is the more motivation the employees will have. c. The bigger the company is, the more organizational culture there is, When there is more organizational culture, employees are more likely to do their job with more motivation. Disagree Agree 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 1 2 3 4 5 6 7 Proper Financial Statement Analysis Disagree Agree a. I have a specific program I use to do Financial statements. It 1 2 3 4 5 6 7 helps my accountant do work more properly. b. Dates are very important on Financial Statements. 1 2 3 4 5 6 7 118 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo c. Managers analyze Financial Statements to capture a 1 2 3 4 5 6 7 company's financial position for a given period. This allows users of financial information to analyze and compare the health of one company to another. d. I am satisfied at how my system is set up at this time. 1 2 3 4 5 6 7 e. Sometimes it happens that accountants make mistakes 1 2 3 4 5 6 7 purposely, the only solution for this is termination. Thank you for your participation. The link between deposit insurance And banks’ risk taking Göçmen Yağcilar Gamze, Demir Yusuf, Kalkan Gürkan Suleyman Demirel University, Isparta, Turkey E-mails: gamzeyagcilar@sdu.edu.tr, yusufdemir@sdu.edu.tr Abstract Deposit insurance is an insurance system that guarantees bank deposits of people in case of bank failure or a run on the bank. The system is first introduced in 1933 for Turkey and taken its final form with regulations in 2004. Deposit insurance in Turkey is handled by Savings Deposit Fund Insurance and according to the latest regulations compensation limit covers a maximum of 50,000 TL per depositor per member institution. Deposit insurance system which is adopted in most countries has various advantages for both individuals and banks. However academic debates commonly focus on whether this system encourages banks to take excessive risk. In this context the purpose of this study is to analyze the link between deposit insurance and bank risk taking. For this purpose, a panel regression analysis is applied to the ratio of deposits under insurance to total deposits and basic risk measures of banks operating in Turkey during 2004-2010. Keywords: Deposit insurance, bank risk taking, panel data regression. 1. INTRODUCTION Banking sector is special with its nature of financing long term investments with relatively short term deposits. This feature makes banks vulnerable to various types of risks both from market and from themselves. One of the threats towards banking system is the sudden withdrawals of large amount of deposits which is known as bank runs. This brings the need of applying some regulatory techniques to maintain “safety and soundness” of banks. Deposit insurance system is used as a regulatory tool in most countries for many years. The aim of such a system is to provide banking sector’s stability preventing banks from being subject to runs. Carapella and DiGiorgio (2004:77) define this system as: 119 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1285 Title A name given to the resource IT role on proper Financial Statement Analysis Author Author Ozlen Serife, Serife Abstract A summary of the resource. Financial statements are prepared reports to quantitatively describe the current financial situation of a company. Therefore, proper financial statement analysis is important for the managers to be able to observe the organization and make financial decisions as a result of achieving the right information about the company on time. Hence the company can obtain some benefits. The tools used in the analysis and the staff motivation who performs the analysis are assumed in this research as the key variables to develop proper financial statements and therefore the analysis.The paper’s objective is to describe the current situation about the issue. Therefore, a developed survey was conducted on accounting department staff within several BiH companies. The data obtained were analyzed descriptively and the results were discussed accordingly. The limitations and implications of the research are described and some further research points were identified. Keywords: Financial Reporting, Survey, Information Systems Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General),HB Economic Theory,HG Finance,HJ Public Finance https://omeka.ibu.edu.ba/files/original/883750f4e4b647804d311cb55027e7f1.pdf 7df23f18ad838fc4a35d038dffde8d5b PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Gasson, S. and Shelfer, K. M. (2007). IT-based knowledge management to support organizational learning: Visa application screening at the INS. Information Technology & People, 20(4), pp.376 - 399 Handzic, M., & Zhou, A. Z. (2005). Knowledge Management: An Integrative Approach, Chandos Publishing, Oxford, UK. Meso, P., Troutt, M. D. and Rudnicka, J. (2002). A review of naturalistic decision making research with some implications for knowledge management. Journal of Knowledge Management, 6(1), pp.63 – 73 Mills, A.M. and Smith, T.A. (2011). Knowledge management and organizational performance: a decomposed view. Journal of Knowledge Management, 15(1), pp. 156-171. Rizzi, C., Ponte, D. and Bonifacio, M. (2009). A new institutional reading of knowledge management technology adoption. Journal of Knowledge Management, 13(4), pp.75 – 85 E-commerce in Bosnia &Herzegovina Ozlen Serife, Obralic Merdzana, Cickusic Emir, Ejupi Dzenis, Dzaferovic Emir International Burch University, Sarajevo, Bosnia and Herzegovina E –mails: serifeozlen@hotmail.com, mobralic@ibu.edu.ba Abstract With the rising of e-commerce in the past few years, distinct buying patterns and preferences have emerged for specific groups and other demographics. Since e-commerce is still a relatively new phenomenon in B&H, our goal was to collect enough information and measure those patterns in order to understand how consumers connect with the new technology. This paper lays the foundation with brief introduction to definition of e-commerce, followed by history timeline of e-commerce evolution and some important trends and factors which are generally known to have influence on people’s attitude toward online shopping. This is then followed by their general perceptions and preferences of online shopping including product and payment option selection. Each of these e-commerce “generalities” is compared to the information achieved as a result of collected surveys whose respondents are from different regions of Bosnia & Herzegovina. Furthermore, it will also investigate the favorable as well as negative website characteristics 259 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo and sum up the positive elements into a description of an e-commerce website that would be suitable to the group being most present as an online buyer. Keywords: E-commerce, online shopping, E-business 1.INTRODUCTION A single physical marketplace used to be positioned in a geographical region has transformed into a borderless marketplace including national and international markets. Through empowering e-commerce, businesses can now reach people all around the world. Consequentially, all e-commerce businesses have become virtual multinational corporations. Electronic commerce or e-commerce can be defined as an extensive range of online business activities in order to provide products and services. E-commerce is usually associated with buying and selling over the Internet, or conducting any transaction involving the transfer of ownership or rights to use goods or services through a computer-mediated network instead of physical exchanges or direct physical contact (Thomas, 1999). Though popular, this definition is not inclusive enough to describe contemporary developments in this new and radical business phenomenon. A more complete definition can be given as: “E-commerce is the use of electronic communications and digital information processing technology in business transactions to create, transform, and redefine relationships for value creation between or among organizations, and between organizations and individuals” (Andam, 2003). 1.1.Literature review Bosnia and Herzegovina Bosnia and Herzegovina may be a synonymous with the Yugoslav wars that was destroyed in the Balkan region in the 1990s. The country is still struggling with the legacy of this, having a fractured infrastructure and a countryside that remains littered with mines in some regions. Bosnia and Herzegovina was before one of the six federal units of the Socialist Federal Republic of Yugoslavia, gained its independence during the Yugoslav wars of the 1990s. Bosnia and Herzegovina can be described as a federal democratic republic that is transforming its economy into a market-oriented system, and it is a potential candidate for the European Union and NATO membership. Additionally, Bosnia and Herzegovina has been a member of the Council of Europe since April 24, 2002 and a founding member of the Mediterranean Union despite its establishment on July 13, 2008 (Imamović, 2008) . 260 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 1.2.History of E-commerce The predecessor of Electronic Commerce (e-Commerce) was Electronic Data Interchange (EDI). EDI was first introduced in the 1960's and consisted of a set of rules enhancing large businesses to conduct a method of electronic transaction and to exchange useful information. In 1990, Tim Berners-Lee developed the first web browser, Worldwide Web, using a NeXT computer. The next fundamental step was the introduction of Mosaic web-browser was further named as Netscape in 1992. This was a huge step in the evolution of e-Commerce (Kaushik, 2010). In 1992, J.H. Snider and Terra Ziporyn published the book “Future Shop: How New Technologies Will Change the Way We Shop and What We Buy” which discuss the reasons of spending huge amount of money on consumer information. The book also identified why people believe this situation can and will change if they can only continue to build an information infrastructure which revolutionizes the economics of providing consumer information (Snider & Ziporyn, 1992). When Future Shop was written, online sales were represented less than .01% of retail sales and the World Wide Web hadn’t even been invented. A significant number of businesses all over the world have developed their web sites. In the dot com period, electronic commerce has included activities which are called "Web commerce" or the purchase of goods and services over the World Wide Web through secure connections with e-shopping carts and with electronic payment services such as credit card payment authorizations (Dunhill, 2008). Finally, Solorzano (2011) reported that US ecommerce and Online Retail sales projected to reach $197 billion, an increase of 12 percent over 2010. 1.3.Weaknesses of online shopping Waiting for the pages to load is one may be sometimes slower than standing in line on the phone or driving to the store. This happens due to poor web design of the page, bad hosting providers and other technical difficulties. It’s not often, but it’s something that prevents a lot of people from buying online. Another reason is insufficient, incomprehensible, or just plain wrong information for making a buying decision. And one of the main reasons is that people feel insecure and are not confident typing in their credit card number on a website, in fear somebody might steal it and commit some kind of forgery (Tognazzini, 2004). 1.4.E-commerce is taking off Despite the mentioned weaknesses, consumers through the world are increasingly changing crowded stores for one-click convenience, as online shopping becomes increasingly safe and popular alternative. According to a global survey by The Nielsen Company More than 85 percent of online population in the world has used the Internet to make a purchase and more 261 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo than a half of Internet users are regular online buyers, making online purchases at least once a month (Niesel, 2007). 1.5.Main reasons for utilizing online shopping According to Nielsen Online survey, being able to shop 24 hours a day was identified to be one of the main factors. The next factor is saving time. Also 65% said that they shop online in order to avoid the crowds and waiting in offline local stores. According to 59%, it saves gas for not having to use car to drive to local stores. 55% buy online because they are regularly searching for bargains and discounts which are often offered by online stores. 53% buy online because of lower prices for products. And 37% do so because ordered items are always in stock (Nielsen, 2008). 1.6.What do people buy online? Many internet users (65%) have paid to download or access some kind of online content from the internet including music, software, and apps as the most popular contents. For the methods of online content access, the majority of the internet users pay for subscription services (23%), versus downloading an individual file (16%), or accessing streaming content (8%) (Jansen, 2010). 1.7.The impact of E-commerce The marketplace has been transformed by Electronic commerce by changing the way of business such as developing new products and markets, replacing traditional in-between functions, creating new and much closer relationships between businesses and consumers, and transforming the organization of work. The consequences may be the requirement for more flexibility and adaptability, new channels of knowledge circulation and human interactivity in the workplace, and redefinition of worker functions and skills (Wyckoff & Colecchia, 1999). 1.8.Mobile trend involved in E-commerce (m-commerce) There are over 3 billion mobile phones worldwide meaning that over 40% of the world’s population, far more than those who use a computer or have access to the internet. In many developed countries, mobile phone penetration is above 90% and developing countries are catching up fast. Closer and more personalized relationships between businesses and consumers are possible via mobile phones. Existing business issues (such as inefficient couponing) can be resolved by effectively using mobile technology. These improvements that could be implemented using mobile devices for e-commerce show how much potential there 262 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo is, and that’s why m-commerce is one of the biggest rising trends in recent years, and it will continue to be so in years to come (GS1 Mobile, 2008). 2.Research Methodology Due to timeliness, low cost and convenience factors, survey-based research method was preferred in this study in order to collect enough information and measure the patterns in order to understand how consumers connect with the new technology. The survey questions were set to find out general information about participants; on the net, how important are the factors such as the photo or graphic of the item that was presented, the price, the explanation of the item and its features, which influence their decision to purchase items and etc. All questionnaire items used to measure these constructs were adapted from prior studies and had proven validity and reliability. The questionnaire consisted of a mixture of closed and open-ended questions. Seven open-ended questions were used to acquire basic demographic information (age, sex, position, education level) and additional textual comments on any aspects of interest. The survey was designed to allow anonymity so that the subjects could freely express their thoughts and feelings. Subjects for this study were people from different parts of Bosnia and Herzegovina. A total of 350 people participated in the current study. Surveys were reserved for 300 Bosnian people, done in Bosnian language, and 50 for other nationalities, done in English. It took between 10 and 15 minutes to answer all survey questions. Then, the participants’ responses were collected, encoded, entered into the computer file and analyzed using Microsoft Excel spreadsheet program. The results of the analyses performed are presented in the following section. 3. Results and findings Out of all people (350) who participated in this survey, 110 said they have bought online at least once. As opposed to the other 240 people who said they have never used websites to order products, or to sell them. Therefore 31% of people surveyed have bought online at least once (Figure 1). Figure 1 263 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Out of total 350 survey respondents, 195 were male. Out of those 195 male, there were 75 of them who said they bought online at least once. As opposed to 120 who said they have never used online sites in such manner. 38% of surveyed males bought online at least once (Figure 2). Figure 2 Out of all 350 respondents, 155 were females. Out of those 155 females, 34 of them said they have bought online at least once. Whereas the other 121 said they have never utilized online shopping (Figure 3). Figure 3 We also found what the items that are most often bought are. And we saw that they differ when it comes to males (Figure 4 and 5). Figure 4 and 5 264 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo As it can be seen above, the items that males usually tend to buy, in order of the biggest to the smallest quantity are books, software, clothing, travel (airline tickets, hotel reservations), computer hardware and then others were approximately evenly distributed. Whereas females tend to buy mainly clothing items online, with some responses of books and magazines, as well as travel (airline tickets and hotel reservations). Correlation between age and percent of people who buy online As we observed from the sample of respondents, there was really strong correlation between age of a person, and whether that person is likely to buy online or not (Figure 6). Figure 6 People in earlier years (19 – 23), were the biggest portion of those who said they bought online at least once. Correlation of this group age related to their likeliness to buy online is very strongly positive (0.937). Those who had 24 years or more are less likely to be online customers as shown by the survey. The negative correlation is as strong as -0.99253 (Figure 7). Figure 7 265 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Do people search for a specific item online, or they buy what they come across? We asked the respondents who bought online at least once, whether they were specifically searching for an item they intended to buy, or they came across it on some of the online stores or through other website ads. Out of total 110 people who said they bought online at least once, 34 of them said they have specifically searched for an item (31%), as opposed to the other 76 who have said they came across it and liked it, so they bought it (69%) (Figure 8). Figure 8 How important is the look of photo or graphic of the item that is being sold? We asked respondents to rate with 1 to 5 on how they feel about given factors that influence their decision to buy. Their ratings were then summed up and we’ve got the following results, from highest to lowest.Price, the photo or graphic of the item that was presented, the “ease” of finding the specific item, the explanation of the item and its features, the convenience of shopping online, and the lowest of these was the general quality of website (Figure 9). Figure 9 266 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo What do users like the most when it comes to online buying? It happens often that people can’t make their mind about whether they should buy a specific product or not. The following factors help people prevail into making the decision to buy. By summing up the 1-5 ratings of each option, we found that discounts were the highest on the list of the things that people like when it comes to online buying. Discounts were then followed by Money-Back Guarantee option; free delivery, customer reviews of the product offered, and the lowest one were different options of payment (Figure 10). Figure 10 People, who buy online often, usually use PayPal. Out of those who said they buy online, 75% of those who bought four times or more said they use PayPal as a service for paying the products they buy online, as opposed to users who bought less than 4 times online, out of which 21% uses PayPal as a payment service (Figure 11). Figure 11 267 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo What are the reasons for people who don’t buy online? Among the main reasons, as stated by respondents, were those of fear that someone might steal their credit card number? Followed by prices, complexity of returning items bought online, wanting to see things in person, and the lowest was finding the whole buying process complicated and hard to understand. Figure 12 Social networks do not affect customers purchasing decision. Even though social networks are widely used in Bosnia and Herzegovina, they do not affect customers purchasing decision. Those who have bought online at least once, 92% of those people said that social networks like Facebook never affect their purchasing decision, as opposed to 8% who said social networks influence their decision sometimes or always (Figure 13). Figure 13 268 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo When we talk about mobile e-commerce in Bosina and Herzegovina we got that 77% of all respondents said that they would never use mobile devices for shopping online. Main reasons, as stated by them, are expensive mobile internet service cost followed by security, small screen size and unavailability of products (Figure 14). Figure 14 4.CONCLUSION Aim of our research was to find out what people in Bosnia & Herzegovina are thinking about the e-commerce and what should be done in B&H to bring more customers to online shops. Needed technologies for online shops are available in Bosnia and such shops do exist, but customers are not used to shopping online. Our research helped us to find out what are the reasons that are keeping customers away from shopping online and what are some of the most important features that every online store should have in order to get as many online customers as possible. Mobile devices are the newest tools for doing business online but are not yet used as much in Bosnia and Herzegovina as in other, more developed countries, mainly because of high mobile internet service price. E-commerce is new way of doing business in B&H, but will soon become the standard as new generations, that are using internet more and are keen to shop online, are coming. Shops that offer different discounts, product images and descriptions, simpler but safer paying mechanism and variety of guarantees will get more customers, as they are requesting such features. Younger population is more likely to shop online as they can easily buy things with their favorite toy, computer, without the need for moving from “the warmth of home”, therefore the products that are sold online should be the ones that are demanded by younger customers, mainly students and younger workers. We were able to gather necessary information, which could be useful to local companies who plan to implement E-commerce as a part of their business in Bosnia & Herzegovina. 269 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo REFERENCES Allemann, A. (2007). R.H. Donnelley acquires business.com for $345m. Retrieved from http://domainnamewire.com/2007/07/26/rh-donnelley-acquires-businesscom-for-345m/ Andam, Z. (2003). An introduction to ecommerce. E Primer. Bausch, S. (2007). Convenience, not price, drives online holiday shopping. Retrieved from http://www.nielsen-online.com/pr/pr_071120.pdf Buscher, V. (2009). Urban information architecture from digital to smart cities. Proceedings of the Cud conference May 2009 (pp. 5-6). Colecchia, A., & Wyckoff, A. (1999). The economic and social impact of electronic commerce. Paris: OECD. Dunhill, A. (2008). Electronic commerce aka e-commerce history. Retrieved from http://ecommerce-journal.com/articles/electronic_commerce_aka_e_commerce_history Greenwood, T. (2010). Amazon.com to acquire Diapers.com and Soap.com. Retrieved from http://www.businesswire.com/news/home/20101108005786/en/Amazon.com-AcquireDiapers.com-Soap.com GS1 Mobile Com. (2008). Mobile commerce: opportunities and challenges. Retrieved from http://www.gs1.org/docs/mobile/GS1_Mobile_Com_Whitepaper.pdf Imamović, M., (2008). Historija Bosnjaka. Bošnjačka zajednica kulture Preporod, Matični odbor, Sarajevo. Jansen, J. (2010). 65% of internet users have paid for online content. Washington, D.C: Pew Research Center’s Internet & American Life Project. Kaushik, P. (2010). History of e-commerce. Retrieved from http://www.suite101.com/conte nt/history -of-e-commerce-a259972 Lacy, S. (2009). Amazon buys Zappos; the price is $928m., not $847m. Retrieved from http://techcrunch.com/2009/07/22/amazon-buys-zappos/ MSNBC, (2010). Groupon rejects $6 billion offer from Google. Retrieved from http://www.msnbc.msn.com/id/40499923/ns/business-us_business/t/groupon-rejects-billionoffer-google/ Snider , J.H., &Ziporyn, T. (2003). Future shop: how new technologies will change the way we shop and what we buy. St Martins Pr. Solorzano, R. (2011). Forecast of ecommerce sales in 2011 and beyond. Retrieved from http://www.fortune3.com/blog/2011/01/ecommerce-sales-2011/ 270 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The Nielsen Global, (2007). Trends in online shopping: a global Nielsen consumer report. Retrieved from http://de.nielsen.com/pubs/documents/GlobalOnlineShoppingReportFeb08.pdf Thomas, L. (1999). Measuring electronic business: definitions, underlying concepts, and measurement plans. Tognazzini, B. (2004). Top 10 reasons to not shop on line. Retrieved from http://www.asktog.com/columns/062top10ReasonsToNotShop.html [Press Release] eBay to acquire paypal. (2002). Retrieved from http://investor.ebay.com/relea sedetail.cfm?releaseid=84142 Appendix E-Commerce in BiH Survey Instructions for completing the questionnaire     Please answer all questions For the questions with a numeric scale circle only one number for each scale Read the specific instructions under each section where applicable This survey is expected to be completed in 10 minutes. E-Commerce: Buying and selling of products and services via internet. It reduces cost and time and has potential to expand business into wider geographical locations. I. Demographics a. Name of your department/unit: b. Your position/role: c. Your education level: e. Gender: d. Time in Position: g. City/Canton f. Age: II. General Background of a Client. 1. a) b) 2. Have you ever purchased a product from a company via the Internet? Yes No If yes, was your purchase(s) for an item that you specifically were searching for, or was it an item that you came across while Internet shopping and decided to buy? a) N/A - Never purchased anything online 271 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo b) c) 3. d) e) f) g) h) i) 4. 5. 6. a) b) 7. a) b) c) d) 8. a) b) c) I was specifically looking for the item. I came across it and liked it, so I bought it. How many times have you made online purchases? Never Once 2-3 times 4-6 times 7-15 times More than 15 How do you pay for online purchases? a) Via credit card b) PayPal c) Mailed a check or money order via postal service d) Other (please state the method): ____________ What type of products have you purchased online? (Circle all that apply)  Software  Books or magazines  Computer hardware  Music, CDs, recordings  Videos, DVDs  Home Electronics  Travel (airlines, car rentals, hotels)  Clothing  Tickets (concert, movies, etc.)  Services (insurance, legal)  Other items In general, do you like the idea of online, computerized shopping? Yes No If available in BiH would you prefer using mobile phones for shopping online? Never Sometimes Often Almost always Do social networks affect your purchasing decision? Never Sometimes Always III. On the net, how important are the following factors which influence your 272 Unimportan Very �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo decision to purchase items (not relating to the product, but to its presentation)? t Important a. The photo or graphic of the item that was presented. 1 2 3 4 5 b. The price. 1 2 3 4 5 c. The explanation of the item and its features. 1 2 3 4 5 d. The general quality of the website. 1 2 3 4 5 e. The convenience of shopping online. 1 2 3 4 5 f. The ‘ease’ of finding the specific item. 1 2 3 4 5 IV. Related to online and local shopping, how these statements best describe you? Not at all like me Just like me a. I like the help & friendliness I can get at local stores. 1 2 3 4 5 b. I think Internet shopping would avoid the hassle of local shopping. 1 2 3 4 5 c. I find the Internet ordering process is hard to understand & use. 1 2 3 4 5 d. I like it that no car is necessary when shopping on the Internet. 1 2 3 4 5 e. I think Internet shopping offers better selection than local stores. 1 2 3 4 5 f. I want to see things in person before I buy. 1 2 3 4 5 g. It would be a real hassle to return merchandise bought on-line. 1 2 3 4 5 h. I worry about my credit card number being stolen on the Internet. 1 2 3 4 5 Not at all V. Related to prices, how these statements best describe you? Just like me like me a. I would shop on the Internet (more) if the prices were lower. 1 2 3 4 5 b. I think the Internet offers lower prices than local stores. 1 2 3 4 5 c. Internet stores have more discounts than local stores. 1 2 3 4 5 d. I dislike the idea of shipping charges when buying on the Internet. 1 2 3 4 5 273 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Not at all VI. Related to shipping service, how these statements best describe you? Just like me like me a. I dislike the delivery problems & backorder of Internet buying. 1 2 3 4 5 b. I like having products delivered to me at home. 1 2 3 4 5 c. I don’t like having to wait for products to arrive in the mail. 1 2 3 4 5 VII. Do you agree that following statements are the problems when It comes to shopping online with mobile devices? Disagree Agree a. Small screen size. 1 2 3 4 5 b. Security of mobile websites. 1 2 3 4 5 c. Unavailability of products. 1 2 3 4 5 d. Expensive mobile internet service cost. 1 2 3 4 5 VIII. How important are the following features on the online stores? Unimportant Very Important a. Free shipping offers. 1 2 3 4 5 b. Discount coupons. 1 2 3 4 5 c. Money back guarantee. 1 2 3 4 5 d. Different payment options. 1 2 3 4 5 e. Customer reviews of products. 1 2 3 4 5 Part IX: Please add here any positive /negative comments regarding E-commerce implementation in BiH Thank you for participating in this study. 274 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1175 Title A name given to the resource E-commerce in Bosnia &Herzegovina Author Author Ozlen, Serife CICKUSIC, Emir Abstract A summary of the resource. With the rising of e-commerce in the past few years, distinct buying patterns and preferences have emerged for specific groups and other demographics. Since e-commerce is still a relatively new phenomenon in B&H, our goal was to collect enough information and measure those patterns in order to understand how consumers connect with the new technology. This paper lays the foundation with brief introduction to definition of e-commerce, followed by history timeline of e-commerce evolution and some important trends and factors which are generally known to have influence on people’s attitude toward online shopping. This is then followed by their general perceptions and preferences of online shopping including product and payment option selection. Each of these e-commerce “generalities” is compared to the information achieved as a result of collected surveys whose respondents are from different regions of Bosnia & Herzegovina. Furthermore, it will also investigate the favorable as well as negative website characteristics and sum up the positive elements into a description of an e-commerce website that would be suitable to the group being most present as an online buyer. Keywords: E-commerce, online shopping, E-business Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/cd18470d18746ace799f76f8ac019758.pdf ed9bda21b877f39320a75dea3eafe3d3 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo TANIŞ, Veyis Naci (1999), Faaliyete Dayalı Maliyet Yönteminin Anlamı, Önemi ve Faydaları, Hacettepe Üniv. İ.İ.B.F Dergisi Sayı:2 YUAN, Fong Ching (2007), The Use of a Fuzzy Logic Based System in Cost-Volume-Profit Analysis Under Uncertainty, www.sciencedirect.com Leadership Traits Of Managers In Health Sector: Sample Of Isparta Orhan Adigüzel, Nurittin Arikan2, Seher Derya2, Belma Keklik1 1Süleyman Demirel University, Department of Health Administration, Turkey 2Süleyman Demirel University, Department of Business Administration, Turkey E-mails: orhanadiguzel@gmail.com,nurittin_arikan@hotmail.com, seherderya@gmail.com, belmakeklik@sdu.edu.tr Abstract Leadership is a process that affect the activities of people who gathered around the goals and objectives. Leader is a person who directing the behavior of group members in the group’s purposes. In this sense, the business leaders exhibit different behaviors when they leading others to perform the jobs and activities. These different behaviors which are exhibited by the leader is his/her management style. Management style is depend on manager’s personality, company’s sector, organizational structure and members of organization can changeable. The health sector is a developing with techonological innovations and scientific researches day by day. Behaviors of managers and leaders in this sector also attracted the attention of social scientists and executives. In this project, behaviors of managers in health sector will be examined and which leadership styles trend is maximum and this trend how change related to the sex, age, the year of work in the company will be analyzed. Thus, the output of our project will help managers to know their behaviors and academicians for new studies. Keywords: Manegers, Leadership, Leadership styles, Health sector 1.INTRODUCTION Management concept started very long time ago. Human being beginning from their existence was always the part of this management concept. Even in a small and primitive community management could be said to exist. This concept always affected the life of the people, communities and socities deeply and this concept was always current for the socities 166 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo and individuals. People make organizations in order to make their life easier and more stable,they want to reach to their goals and aims with the help of these organizations, and they want to make use of this organizations to succeed the things they could not as individuals.Organizations life, persistance, activity and efficiency are all going to be possible with rational,current, and such a management concept that would satisfy the desires of the organization members and its applications. At that point, it could be claimed that management concept had been one of the most important activity for human being and it would continue being like that in the future. 2.LEADER AND VE LEADERSHIP CONCEPTIONS Leaders are the people whom the followers follow by their desires. Leaders are the people who have confidence and trust on the followers. Dictionary meaning of leader requires the power, authority, giving order, awarding, and having followers. (Doğan, 2007: 32-33) Researhers make the definitions of the leadership using their own personal perspective and the conceptions that they value. Together with the leadership research which was common in 1950s, many definitions started to take place. (Zel, 2001: 90-91). Leadership is the action of affecting the people`s and the organized group`s behaviours within the reason of realizing their aim.(Haas ve Tamarkin, 2000: 6). Leadership is the art of affecting the people`s actions and behaviors. Leadership is the ability to make the other people to accept the leader`s desires and and will by gaining the other people`s respect trust and loyalty. (Garih, 2004: 249). In 20 th century, leadership has been one of the dominant topics which was having deep scientific work included. In this century, in different fields, not only theoretician but also implementers worked hard to analyse the leadership. (Erçetin, 1998: 5). 2.1. LEADERSHIP FORMS If leaders are to be classified according to their understanding and behaviour, there are dictator, authoritarian, exact freedom provider, and democratic leaders, in addition to these according to their behaviours, there are charismatic, humanist, autocratic, natural, and transactional, transformational and promotional leaders, and more variety of leaders could be classified. It would be convenient to clearify having the different types of leaders in both sense of behaviours and understanding, the positive and negative effects of these variety of leader types with their general properties. 3. RESEARCH 3.1. Objective and Content of the Research Objective of this research; to determine the leader properties of the managers in available health associations in Isparta It is stated that what properties, the people such as city health adminitrator in manager position, his assistants, govenrmental and private hospital administrators and their assistants, head doctors, and assistants in health sector in example city Isparta, show when they lead 167 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo their teams. There are 133 manager as being administrator, assistant to administrators, department administrators, hospital managers , assistants, head doctors and their assistants, head nurse and head nurse assistants, in 12 associations such as City Health Directorship, Isparta Governmental Hospital, Gulkent Governmental Hospital, Gynecology and Pediatry Hospital, Dr. Sadik Yagci Mouth and Teeth Health Center, S.D.U Medicine Faculty Hospital, Private şifa Hospital, Private Davraz Yasam Hospital, Private Isparta Hospital, Private Kariyer Eye Hospital, Private Atanur Eye Hospital, Private Incident Dental Hospital.In this research, questionnaires were done with 108 managers and 25 managers could not be included in these questionnaires. 81% of the managers of the management position were reached and 19 % of them could not be reached. 3.2. Research Findings 108 managers joined in this work to evaluate the leadership properties of managers in the health sector in Isparta. 65 % of the 108 people who had this sample generated, is male. Almost all of them ( 92%) is married. %58 of them between 25 and 40 years old. Among these 108 people who had this sample formed, there had not been any people who claimed that being highschool graduate or being less then 25 years old. It is observed that half ( 53 %) of the participants are bachelor degree and half (%54) of them is working in the available position for a period of 1- 4 years. 32% of 108 people who has formed this sample have the working period of 16-20 years in management position. 3.2.1. Confindence Analyze Confidence of this questionnaire form which was done about the leadership properties of managers in health sector was tested. According to this test, 34 questions scale, confidence coefficient comes out to be as alfa=0,915. That confidence is high enough level confident scale. In the scale, the average of the questions is 4.281. The average variation range is found as 1.213 (3,546 – 4,759). The difference between the question averages, Hoteling Test and in order to measure the difference that destroy the integrity, the Between Items value in variance analyze werechecked out. According to Hotelling test (P=0,000), averages variances are different and it was observed that there are some differences destroying the integrity of questions. (P=0.000). At that point, in order to determine the position of every single question in general scale Item- Total correlation should be checked. These correlations are observed to have the range between -0,239 and 0,679 Item –Total correlation constants should not be negative, in fact they should be greater than 0,30. This could destroy the scale addition property. Likewise, in the questions, additive property is mostly destroyed. (Nonadditivity P=0,000). In this case, the questions which do not obey the rule are advised to taken out of the scale. But that is not definite rule. With deleting the questions, change in alpha and averave should be checked out. 168 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo With taking the questions that have negative correlation coefficients out, (i provide the regulation on my business, i have a consistent form, i have a clear and honest management, i am reassuring, i always know who is responsible with what, i give orders clearly, i respect juniors, i examine the events and i decide with thinking, i am fair to juniors, i am very keen on inspection of business, i give importance to rules and principals, i do plans carefully, my aims are clearified, i defend juniors, i insist on the plans which are being applied) alpha value has become 0,922. This value shows that scale is highly confident. After this point, if we were to repeat the values which we checked in the beginning; average of the questions in the scale is 4,099. The range of the change in the averages is found as 0,833(3,546 – 4,759). In this case, it is seen that there are differences between question averages but there are not big differences that destroy the integrity of the questions. In this case, when we checked out the Item-Total correlation, it is seen that correlations are changing in between 0,104 and 0,679. When we took the questions that have negative correlation value out, new additive value is determined as (Nonadditivity P=0,998). This value shows that in this work questions having the additive property is provided. According to this, ,analyze was conducted with remained 19 definitions from stated 34 definitions . 3.2.2. Factor Analyze While factor analyze was being used in this work, it was available that the easy evaluation of the meaningfull common structures related to original datas by using varimax rotation Before starting the factor analyze, KMO (Kaiser-Meyer-Olkin Measure) test was done to understand if this sample convenient and with Bartlett test, factors were tested whether they are dependant to others or not. According to this, KMO= 0,895 was found. This shows us that it has a good sample magnitude to use the factor analyze. Bartlett Test of Sphericity was found as 0,000(Bartlett Test of Sphericity=0,000) . This shows that there is meaningfull difference between factors in factor analyze which was done. That means factors are independant. That also confirms the varimax rotation that was used in factor analyze. According to this, result of the factor analyze was shown as below(to see total results, please look at appendix 9 table) Table 1:Rotational Scores 169 Eigenvalue Variance Cumulative Variance 1 3,701 19,480 19,480 2 3,688 19,408 38,888 3 3,135 16,497 55,386 4 1,685 8,871 64,257 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo According to this, definitions are gathered in 4 groups (factors). Total variance which these 4 factors clearifies is found as %64,257. The variance which Factor 1 explains is %19,480, the variance which Factor 2 explains is %19,408, the variance which Factor3 explains is %16,497, the variance which Factor 4 explains is %8,871, and these were found. 3.2.3. Regression Analyze To determine the variables that affect the each factor, regression analyze was done. For Factor 1; The regression analyze of the model that is created by the variables that affect Factor 1 was done and it is determined as relevant as being complete considering ANOVA test. (F=50,413, p=0,000). In addition it is seen that these variables explain the factor 1 with a ratio of 75 %.(R Square= 0,750). The results of the regression analyze of the dependant and independant variables in the model are shown in the table below. Table 2: Results of Regression B St Hata Fixed -5.786 .359 I promote new ideas .042 .085 I am open to critics .392 I like to discuss new ideas I am open to change I promote development improvement I am open to innovation and β t p -16.138 .000 .035 .494 .622 .074 .334 5.277 .000 .285 .084 .239 3.371 .001 .428 .115 .289 3.730 .000 .041 .100 .029 .406 .686 .200 .104 .141 1.923 .057 In the table, parameters which are obtained and related t values are shown. From the t values of parameters and the variables which was included in the model such as ``I am open to critics, I like to discuss new ideas, I am open to change`` are shown as meaningfull ( %5 significance level). The variable `` I am open to critics `` has the effect of 0,392 to factor 1. The variable `` I like to discuss new ideas `` has the effect of 0,285. The variable `` I am open to change`` has the effect of 0,428. According to this, mostly the variable `` I am open to change`` with highest, 0,428 effect, describes factor 1. For Factor 2; The regression analyze of the model that is created by the variables that affect Factor 2 was done and it is determined as relevant as being complete considering ANOVA test. (F=62,021, p=0,000) (BKZ. Ek.13). In addition it is seen that these variables explain the factor 2 with a ratio of 79 %.(R Square= 0,787). 170 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo The results of the regression analyze of the dependant and independant variables in the model are shown in the table below. Table 3: Results of Regression B St Hata Fixed -6.562 .345 I give juniors the right to speak when i decide. .210 .077 I appreciate the good works .166 I care about the others thoughts β t p -19.027 .000 .164 2.721 .008 .088 .120 1.871 .064 .712 .109 .459 6.517 .000 I trust to juniors .034 .068 .029 .495 .622 I provide a friendly and unargued environment .162 .072 .130 2.249 .027 I listen to others` ideas and advices .267 .097 .188 2.756 .007 In the table, parameters which are obtained and related t values are shown. From the t values of parameters and the variables which was included in the model such as `` I give juniors the right to speak when i decide, I care about the others thoughts, I provide a friendly and unargued environment , I listen to others` ideas and advices `` are shown as meaningfull ( %5 significance level). The variable `` I give juniors the right to speak when i decide `` has the effect of 0,210 to factor 2. The variable `` I care about the others thoughts `` has the effect of 0,712. The variable `` I provide a friendly and unargued environment `` has the effect of 0,162. The variable `` , I listen to others` ideas and advices `` has the effect of 0,267 .According to this, mostly the variable `` I care about the others thoughts `` with highest, 0,712 effect, describes factor 2. For Factor 3; The regression analyze of the model that is created by the variables that affect Factor 3 was done and it is determined as relevant as being complete considering ANOVA test. (F=117,247, p=0,000) (BKZ. Ek.15). In addition it is seen that these variables explain the factor 3 with a ratio of 85 %.(R Square= 0,852). The results of the regression analyze of the dependant and independant variables in the model are shown in the table below. Table 4: Results of Regression 171 B St Hata Fixed -5.860 .248 I dont avoid taking risk while making a desicion .174 .042 I make plans about future .237 I produce new and different ideas about the application of works When needed i take quick desicions β t p -23.650 .000 .182 4.144 .000 .056 .197 4.212 .000 .435 .084 .312 5.176 .000 .366 .060 .287 6.153 .000 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo I produce new projects .283 .068 .228 4.156 .000 In the table, parameters which are obtained and related t values are shown. From the t values of parameters and the variables which was included in the model, each of variables seperately are shown as meaningfull ( %5 significance level). The variable `` I dont avoid taking risk while making a desicion `` has the effect of 0,174 to factor 3. The variable `` I make plans about future `` has the effect of 0,237. The variable `` I produce new and different ideas about the application of works `` has the effect of 0,435. The variable `` When needed i take quick desicions `` has the effect of 0,366 .The variable `` I produce new projects `` has the effect of 0,283 .According to this, mostly the variable `` I produce new and different ideas about the application of works `` with highest, 0,435 effect, describes factor 3. For Factor 4; The regression analyze of the model that is created by the variables that affect Factor 4 was done and it is determined as relevant as being complete considering ANOVA test. (F=130,743, p=0,000). In addition it is seen that these variables explain the factor 4 with a ratio of 71 %.(R Square= 0,713). The results of the regression analyze of the dependant and independant variables in the model are shown in the table below. Table 5: Results of Regression Fixed I produce possibilities eliminate conflictions I have a friendly character that they B St Hata -6.513 .406 1.231 .100 .329 .072 β t p -16.033 .000 .703 12.290 .000 .262 4.581 .000 In the table, parameters which are obtained and related t values are shown. From the t values of parameters and the variables which was included in the model, each of variables seperately are shown as meaningfull ( %5 significance level). The variable `` I have a friendly character `` has the effect of 0,329 to factor 4. The variable `` I produce possibilities that they eliminate conflictions `` has the effect of 1,231...According to this, mostly the variable `` I produce possibilities that they eliminate conflictions `` with highest, 1,231 effect, describes factor 4. The questionnaire which has 34 questions was completed with 19 questions at the end of confidence analyze. According to this, when factor analyze was done, remaining 19 questions are classified in 4 groups (factors). Each of the factor variables effect was determined with regression analyze. Before factor analyze, according to literature variables are collected in 4 groups. These are promoter, redirector leader, success focused leader, contributor leader. On the other hand, at the end of factor analyze,when the variables which forms the groups are examined, it is seen 172 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo that different leader properties are collected in each factor. According to this, considering the regression result, it is named as the variables having the highest effect on factors. In this case factor names; Factor 1: promoter and redirector leader, Factor 2: Success Focused and promoter leader, Factor 3: redirector and success focused leader Factor 4: redirector leader were determined. 3.2.4. One Sided Variance Analyze In order to determine the differences between group averages according to each demographic questions, One Sided Variance Analayze (ANOVA) was done to each demographic question. Before carrying out the One Sided Variance Analyze, homogenity test was done to see whether variances of the variables are equal or not. According to this,p value of the variable of the promoter and redirector leader is 0.722. P value of the variable of the Success Focused and promoter leader is 0.230. P value of the variable of the redirector and success focused leader is 0.148. P value of the variable of the redirector leader is 0.935. Since all these values are greater than 0,05 ,it is concluded that these all variables are homogen. Table 6: ANOVA Sum Squares df Mean Square F Sig. (p) ,037 1 ,037 ,037 ,848 106,963 106 1,009 107,000 107 Between Groups Success Focused and Within Groups Promoter Leader Total ,131 1 ,131 ,130 ,719 106,869 106 1,008 107,000 107 Between Groups and Focused Within Groups ,002 1 ,002 ,002 ,968 106,998 106 1,009 Total 107,000 107 Between Groups ,539 1 ,539 ,536 ,466 Within Groups 106,461 106 1,004 Total 107,000 107 Between Groups Promoter and Within Groups Redirector Leader Total Redirector Success Leader Redirector Leader of Regarding to the analyze, in 95% confidence level, when we consider according to any of the leaders` property, every p values comes out to be greater than 0,05. In this case,it is concluded that leadership properties which determined according to gender does not change. . 173 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Table 7: ANOVA Sum Squares of df Mean Square F Sig. 3,506 ,064 ,779 ,379 2,312 ,131 ,014 ,907 Between Groups Promoter and Within Groups Redirector Leader Total 3,426 1 3,426 103,574 106 ,977 107,000 107 Between Groups Success Focused and Within Groups Promoter Leader Total ,781 1 ,781 106,219 106 1,002 107,000 107 2,284 1 2,284 104,716 106 ,988 Total 107,000 107 Between Groups ,014 1 ,014 Within Groups 106,986 106 1,009 Total 107,000 107 Redirector Success Leader Between Groups and Focused Within Groups Redirector Leader Regarding to the analyze, in 95% confidence level, when we consider according to any of the leaders` property, every p values comes out to be greater than 0,05. In this case, it is concluded that leadership properties which determined according to marital status does not change. Table 8: ANOVA Sum Squares df Mean Square F Sig. 1,262 1 1,262 1,265 ,263 105,738 106 ,998 107,000 107 Between Groups Success Focused and Within Groups Promoter Leader Total 2,946 1 2,946 3,001 ,086 104,054 106 ,982 107,000 107 Between Groups Redirector and Success Within Groups Focused Leader Total ,196 1 ,196 ,195 ,660 106,804 106 1,008 107,000 107 Between Groups 8,055 1 8,055 8,629 ,004 Within Groups 98,945 106 ,933 Total 107,000 107 Between Groups Promoter and Within Groups Redirector Leader Total Redirector Leader 174 of �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Regarding to the analyze, in 95% confidence level, when we look at the each leadership properties, only the p value of Redirector Leader is less than 0,05. (p=0,004). In this case only Redirector Leader properties shows a change with respect to age groups. Table 9: ANOVA Sum of Squares df Mean Square F Sig. 10,650 3 3,550 3,832 ,012 96,350 104 ,926 107,000 107 Between Groups Success Focused and Within Groups Promoter Leader Total 1,965 3 ,655 ,648 ,586 105,035 104 1,010 107,000 107 Between Groups and Focused Within Groups 1,308 3 ,436 ,429 ,733 105,692 104 1,016 Total 107,000 107 Between Groups ,229 3 ,076 ,074 ,974 Within Groups 106,771 104 1,027 Total 107,000 107 Between Groups Promoter and Within Groups Redirector Leader Total Redirector Success Leader Redirector Leader Regarding to the anaylze, in 95 % confidence level, when we consider each leader properties, p value of the Promoter and Redirector Leader is less than 0,05 (p=0,012) only. In this case, only Promoter and Redirector Leaders properties change with respect to eduation groups. It was claimed that Promoter and Redirector Leader property changes with respect education groups. It can be seen from the below table that what age group is the origin to this. According to this table, highschool graduates are more likely to be Promoter and Redirector Leader. (p=0,28) Table 10: Multiple Comparisons and Promoter Redirector Leader Dependent Variable 175 Tukey HSD (I) Education Level (J) Education Level Mean Difference (IJ) Std. Error 95% Confidence Interval Lower Bound Upper Bound ,46077023 ,319 -,4107547 1,9954419 Undergradu 1,16880080* ate ,41311019 ,028 ,0901457 2,2474559 Postgraduat ,67185064 e ,43168612 ,408 -,4553073 1,7990086 High School Associate degree ,79234362 Sig. �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Associate degree High School -,79234362 ,46077023 ,319 -1,9954419 ,4107547 Undergradu ,37645718 ate ,27231571 ,513 -,3345752 1,0874896 Postgraduat -,12049298 e ,29974776 ,978 -,9031521 ,6621662 Undergradu High School -1,16880080* ,41311019 ,028 ate Associate -,37645718 ,27231571 ,513 degree -2,2474559 -,0901457 -1,0874896 ,3345752 Postgraduat -,49695016 e ,21954396 ,113 -1,0701924 ,0762921 Postgraduat High School -,67185064 e Associate ,12049298 degree ,43168612 ,408 -1,7990086 ,4553073 ,29974776 ,978 -,6621662 ,9031521 ,21954396 ,113 -,0762921 1,0701924 Undergradu ,49695016 ate Table 11: ANOVA Sum Squares of df Mean Square F Sig. 1,216 ,308 2,823 ,045 ,546 ,652 4,592 ,005 Between Groups Promoter and Within Groups Redirector Leader Total 3,626 3 1,209 103,374 104 ,994 107,000 107 Between Groups 8,057 3 2,686 Within Groups 98,943 104 ,951 Total 107,000 107 1,660 3 ,553 105,340 104 1,013 107,000 107 Between Groups 12,516 3 4,172 Within Groups 94,484 104 ,908 Total 107,000 107 Success Focused Promoter Leader and Between Groups Redirector and Within Groups Success Focused Leader Total Redirector Leader According to analyze, in 95 % confidence level, when we consider all leadership properties, only p value of the redirector leader is less than 0,05.(p=0,005). In this case only redirector leader properties changes with respect to working years groups. 176 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo It was claimed that redirector leader property changes with respect to working years. It can be seen in the below table from which part of the study group this was originated. According to this people who work 21 years and more are having more redirector properties with respect to 11- 15 years working period. (p=0,04) Tablo 12: Multiple Comparisons Redirector Leader Redirector Leader (I) For how long have you been working? Tukey HSD 6-10 11-15 16-20 (J) For how long have you Mean Difference been working (I-J) Std. Error Sig. Lower Bound Upper Bound 11-15 ,71930425 ,28132426 ,057 -,0152500 1,4538585 16-20 ,12141650 ,27161167 ,970 -,5877776 ,8306106 21 ve -,18634199 üzeri ,29009611 ,918 -,9438001 ,5711161 6-10 -,71930425 ,28132426 ,057 -1,4538585 ,0152500 16-20 -,59788775 ,23934223 ,066 -1,2228245 ,0270490 21 ve -,90564624* üzeri ,26012988 ,004 -1,5848607 -,2264317 6-10 -,12141650 ,27161167 ,970 -,8306106 ,5877776 11-15 ,59788775 ,23934223 ,066 -,0270490 1,2228245 ,24959390 ,607 -,9594629 ,3439459 21 and -,30775849 more 95% Confidence Interval 21 and 6-10 more 11-15 ,18634199 ,29009611 ,918 -,5711161 ,9438001 ,90564624* ,26012988 ,004 ,2264317 1,5848607 16-20 ,30775849 ,24959390 ,607 -,3439459 ,9594629 Tablo 13: ANOVA Sum Squares of df Mean Square F Sig. ,717 ,544 ,389 ,761 Between Groups Promoter and Within Groups Redirector Leader Total 2,168 3 ,723 104,832 104 1,008 107,000 107 Between Groups 1,189 3 ,396 105,811 104 1,017 107,000 107 Success Focused and Within Groups Promoter Leader Total 177 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Redirector Success Leader Between Groups and Focused Within Groups Redirector Leader ,798 3 ,266 106,202 104 1,021 Total 107,000 107 Between Groups 3,447 3 1,149 Within Groups 103,553 104 ,996 Total 107,000 107 ,260 ,854 1,154 ,331 With respect to analyze, considering 95% confidence level, when we look at the all leadership properties, all of the p values are greater than 0,05. In conlusion in available position leadership properties doesnt change with respect to working hours. 4.CONCLUSION Results of this work which was meant to research the leadership properties of managers in health sector, are given below. Sample was totally 108 people and 65% of this sample group were males. Almost all of them (92%) is marrried. 58 % of these 108 people is between 25 to 40 years old. . Among these 108 people who had this sample formed, there had not been any people who claimed that being highschool graduate or being less then 25 years old.It is observed that half ( 53 %) of the participants are bachelor degree and half (%54) of them is working in the available position for a period of 1- 4 years. 32% of 108 people who has formed this sample have the working period of 16-20 years in management position.. According to this, remaining questions are collected under groups by making factor analyze. At the end of regression analyze,these groups are named with respect to the highest factor affecting. These names are `` Promoter and Redirector Leader``, ``Success Focused and Promoter Leader``, ``Redirector and Success Focused Leader``, ``Redirector Leader``. The variables that they collect under in the these leadership groups are shown below. With respect to demographic properties, the leaderships that take over are determined. According to this, there is not any leaders property that take over in gender, in marital status and in working years in available position However , people who have 41 years and more and 21 years and more working years are having redirector leadership properties taking over the other leadership properties , among high school graduates, Promoter and Redirector Leaders` property are making more difference with respect to other groups. REFERENCES Akat, İ., Gönül Budak ve Gülay Budak (1999), İşletme Yönetimi, Barış Yayınları, İzmir, 178 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Akdemir, A. (2004), İşletmeciliğin Temel Bilgileri, İstanbul Alpugan, O., Oktav, Mete, Demir, Hulusi ve Üner, Nurel (1993), İşletme Ekonomisi ve Yönetimi, Beta Yayın No:393, 3. Basım, İstanbul Barner, J. B. ve Grıffın, R. W. (1992), Organization, Stragecy, Structure, Behavior, Hougton Mıfflin Company, Boston, Toronto Doğan, S. (2007), Vizyona Dayalı Liderlik, Kare Yayınları, İstanbul Dougherty, R. M. and F. J. Heinritz. (1985). “Scientific management of library operations”, Management strategies for libraries in (17-23). Ed. Beverly P. Lynch. Newyork: NealSchuman Publishers Inc. Drucker, P. F. (1985), “Management”, Harper&Row, Canada, USA Drucker, P. F. (2000), 21. Yüzyıl. İçin Yönetim Tartışmaları, Çev: Bahçıvangil, İrfan ve Gorbon, Gülenay, Epilson, 2. Baskı, İstanbul Erçetin, Şule (1998), Lider Sarmalında Vizyon, Kasım Eren, E. (1990), İşletmelerde Stratejik Planlama ve Yönetim, 3. Baskı, İşletme Fakültesi Yayın No:234, İstanbul Garih, Ü. (2004), Yönetim İlkeleri, Hayat Yayıncılık, İstanbul Gordon,T. (1999), Etkili Liderlik Eğitimi, Sistem Yayıncılık Maxwell, J. C.( 1998), Türkçesi: Liderlik Nitelikleri, İbrahim Şener, Reddedilemez 21 Liderlik Niteliği, Beyaz Yayınları, İstanbul Tekin, M. (2004), Girişimcilik ve Küçük İşletme Yöneticiliği, 4. Baskı, Ankara Zel, U. (2001), Kişilik ve Liderlik, Seçkin Yayıncılık San. ve Tic. A.Ş, Ankara Democratic Party Period In Local And Central Administration Relations For A Sustainable Development – The Sample Of Burdur City- Kadir Şeker Mehmet Akif Ersoy University,Education Faculty Burdur/Turkey kseker @mehmetakif.edu.tr Abstract An understanding of central administration had been adopted by Republican People’s Party (CHP) which governed from the found of the republic to the 1946’s accepted as the 179 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1111 Title A name given to the resource Leadership Traits Of Managers In Health Sector: Sample Of Isparta Author Author Orhan, Adigüzel Abstract A summary of the resource. Leadership is a process that affect the activities of people who gathered around the goals and objectives. Leader is a person who directing the behavior of group members in the group’s purposes. In this sense, the business leaders exhibit different behaviors when they leading others to perform the jobs and activities. These different behaviors which are exhibited by the leader is his/her management style. Management style is depend on manager’s personality, company’s sector, organizational structure and members of organization can changeable. The health sector is a developing with techonological innovations and scientific researches day by day. Behaviors of managers and leaders in this sector also attracted the attention of social scientists and executives. In this project, behaviors of managers in health sector will be examined and which leadership styles trend is maximum and this trend how change related to the sex, age, the year of work in the company will be analyzed. Thus, the output of our project will help managers to know their behaviors and academicians for new studies. Keywords: Manegers, Leadership, Leadership styles, Health sector Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General) https://omeka.ibu.edu.ba/files/original/024934274e36bf7ce1ccc0f8dc327daa.pdf 51fcea96ba8d8d07370a621073fdf2e9 PDF Text Text 3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Universities Branding Process about Creating Value through Integrated Marketing Communications Omer Kursad Tufekci1, Nezihe Tufekci2 1Suleyman Demirel University Egirdir Vocational School, Isparta, Turkey, 2Mehmet AkifErsoy University Aglasun Vocational School, Burdur, Turkey, E-mails: omertufekci@sdu.edu.tr, nezihetufekci@mehmetakif.edu.tr Abstract Integrated marketing communication has been widely accepted by businesses around the world. This is a marketing communications system that allows organizations to beter manage their brand images. Integrated marketing communication strategies are aimed at combining or integrating the elements of the communication mix, such as advertising and public relations in order to create a balanced and consistent marketing communications massage thet strengthens the brand. Integrated marketing communication, if managed correctly gives an organization a competitive advantage because of its cost effectiveness and its ability to maximize the impact of its product and services development and the communication of the organization’s massages within the marketplace. The market environment in higher education is extremely competitive. Universities need to become beter with the coordination of their marketing communication programs. So universities create a strong emotional bond with their markets in order to be perceived as a relevant choice in their target markets’ minds. Many universities experience difficulties coordinating their marketing communications programs and could benefit by integrating their marketing communication efforts to realize greater productivity within their recruitment, retention and development efforts. Keywords:Universities, Integrated Marketing Sustainability Competitive Advantage Communication, Branding, Marketing, 1. INTRODUCTION The emergence of integrated marketing communications (IMC) has become one of the most significant example of development in the marketing discipline (Kitchen and Schultz, 1999). Nowadays the market environment in universities are very extremely competitive (Daves and Brown, 2002; Mount and Belanger, 2004). Universities need to become better with the coordination of their marketing communication programs and create a strong emotional bond with their markets in order to be perceived as a relevant choice in their target markets’ mind (Rosen, Curran and Greenlee, 1998; Armstrong and Lumsden, 1999; Mount and Belanger, 2004). Many universities experience difficulties coordinating their marketing communication efforts to 56 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo realize greater productivity within their recruitment, retention and development efforts (Sands and Smith, 1999). The problem addressed in this study is the challenge that universities face in coordinating all their marketing communication efforts to better achieve their institutional marketing goals and therefore they need a management system to integrate all of their marketing communication efforts. 2. INTEGRATED MARKETING COMMUNICATION (IMC) Integrated marketing communications has been widely accepted by business around the world as a marketing communications system that allows organizations to better manage their brand images (Kitchen etall., 2004; Sheehan and Doherty, 2001). IMC, if managed correctly gives an organization a competitive advantage because of its cost effectiveness and its ability to maximize the impact of its product and services development and the communication of the organization’s messages within the marketplace (Belch and Belch, 2001; Ireland, 2002; Low, 2000; Varey and White, 2000). IMC was related to the different definitions in the literature. American Association of Advertising Agencies (1989) stated that “a concept of marketing communications planning that recognizes the added value in a program that integrates a variety of strategic disciplines, e.g. general advertising, direct response, sales promotion and public relations – and combines these disciplines to provide clarity, consistency and maximum communication impact”. Schultz (1991) said that “the process of managing all sources of information about a product/service to which a customer or prospect is exposed, which behaviorally moves the customer toward a sale and maintains customer loyalty. Keegan, Moriarty and Duncan (1992) explained that “the strategic coordination of all messages and media used by an organization to collectively influence its perceived brand value”. Kotler et al. (1999) suggested that “IMC is the concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent and compelling message about the organization and its products”. Gould (2000: 22) suggested that “IMC as a major strategic concept is not much different from other marketing or management concepts, methodologies or strategies that have arisen (e.g. the marketing concept, the product lifecycle, brand equity, or total quality management). All have an evolutionary, discursive and behavioral history in which the particular concept is defined and redefined, often many times. Never is there complete agreement on the meaning or value of any single concept.” Duncan (2002) noted that “a cross-functional process for creating and nourishing profitable relationships with customers and other stakeholders by strategically controlling or influencing all messages sent to these groups and encouraging data-driven purposeful dialogue with them”. Schultz and Schultz (2004) reported that “IMC is a strategic business process used to plan, develop, execute and evaluate coordinated, measurable, persuasive brand communication programs over time with consumers, customers, prospects, and other targeted, relevant external and internal audiences”. Kliatcho (2005) announced that “IMC is the concept and process of strategically managing audience-focused, channel-centered, and results-driven brand communication programs over time”. 57 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo If we use a more limited definition we could say that marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others (Kotler, 2003: 9). Smith et al. (1999) have defined IMC. They distinguish three definitions: (1) Management and control of all market communications. (2) Ensuring that the brand positioning, personality and messages are delivered synergistically across every element of communication and are delivered from a single consistent strategy. (3) The strategic analysis, choice, implementation and control of all elements of marketing communications which efficiently (best use of resources), economically (minimum costs) and effectively (maximum results) influence transactions between an organization and its existing and potential customers, consumers and clients. Thus IMC has become a strategic issue and should, therefore, be treated in accordance with the nature of strategy and strategic decisions. The characteristics commonly associated with the concept of strategy and strategic decisions are, first, that strategy is concerned with the long-term direction of an organization or a company. Second, strategic decisions are likely about to gain some competitive advantage. Third, strategic decisions are concerned with the scope of the organization’s activities. It is to do with what owners and managements want the organization to be like and to be about. This could and should include important decisions about visions, product range, withdrawal from or entering markets (Holm, 2006: 26). For purposes of this research, the assumed definition of IMC will be “a strategic business process used to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time with consumers, prospects, and other targeted, relevant external and internal audiences” (Schultz and Schultz, 2004: 20). 3. IMC AND BRANDING Severalauthorshaveoutlined how integrated marketing communicationsplays an important role in buildingandmaintainingbothcustomerrelationshipsandbrandequity (Ambler et al., 2002; DuncanandMoriarty, 1998; JonesandBlair, 1996; Keller, 2003; Madhavaram et al., 2005; Naikand Raman, 2003; Rust et al., 2004a; Schultz et al., 1994). Low’s (2000)andReid et al.’s (2001)studiesoutlinethepositiveaffectgreaterintegration of marketingcommunications can have on brandperformance.Insubsequentresearch, Reid (2003: 245) highlighted “a positiverelationshipbetweenbrand-related (sales, brandstrength, customerloyalty) performanceand IMC”. Thispoint is supportedbylaterresearch (Reid, 2005: 47) whichillustrated how “therewas a strong main effectindicating a positiverelationshipbetweenthe IMC processandbrandoutcomes” withbrandoutcomesbeingdefined as (relative) salesperformance, customersatisfactionandbrandadvantage (awareness, premiumpriceandchannelsupportoffered).Todatetherehavebeen a limitednumber of empiricalstudieswhichsupporttheviewthat a greaterlevel of integrationwithrespecttomarketingcommunicationspositivelyeffectsorganisational/brandperforma nce (Cornelissen, 2000; Low, 2000). 58 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo 4. IMC AND UNIVERSITIES Nowadaysthe market environment in universitiesarehighlycompetitive (Dawesand Brown, 2002; MountandBelanger, 2004; Selingo, 2005). Technology is narrowingthevisibilitygap, rankinguniversitiesaregrowing in numbers, publicfunding is contracting, potantialstudentsaremoresophisticatedandinternationalstudentsareincreasinglylooking at othercountries as an alternative (Klassen, 2000; McCormack, 2005). Universitiesneedtobecomebetter at tellingtheirstoryandcreating an emotionalbondwiththeirmarkets (Armstrong andLumsden, 1999; MountandBelanger, 2004). Studiesindicatesthat IMC is a potentialandimportant model foruniversities but has yet to be widelyimplemented in theuniversitiesfieldoradequatelyresearched in theacademicliterature. Universitiesfield has been in thecommercialmarketplacelongerthanmostacademicsliketoacknowledge. As privateandpublicfundingsourcesfluctuate in theirgenerosity, universitiesareincreasinglycompetitive in attractingnewstudentsandfacultywho in theirverynatureareconstantlythinkingaboutnewideasandprograms (Bok, 2003; Horrigan, 2007). Inthisstudyweproposethe model shownbelowwithuniversitiesbrandingprocessaboutcreatingvaluethroughintegratedmarketingcom munications (seeFigure 1). Organizational Resistance Brand Development Message Consistency Strategic Planning Integrated Marketing Communicatio ns Brand Performan ce Universitie s Branding Staff Development (IMC) Figure 1: UniversitiesBrandingProcess Wesuggestedthatuniversitiesbrandingwith an integratedmarketingcommunicationsaredepend on fivevariables as shown in Figure 1. Thesevariablesweredetermined as organizationalresistance, branddevelopment, messageconsistency, strategicplanningandstaffdevelopment. 4.1. Organizational Resistance In recent years, universities slowly adopt the concepts of branding and integrated marketing communications, and in turn, reconsider skill sets needed to manage these new strategies (Mount and Belanger, 2004). Brand development and IMC programs are difficult and sometimes painful discussion to have within the walls of universities (Jugenheimer, 1995; Ruch, 2001). It is easier fort he academy to speak in terms of reputation and prestige that are built through investment over time (Brewer et al., 2006). 59 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo Maringe (2006: 469) desribes that positioning thus involves three elements of devolopingan corporate brand or image, deciding on the market segments to serve and developing a communication strategy that accentuates the corporate capability to deliver to this market. Understanding choice and decision making of applicants feeds into this corporate positioning strategy through a clear identification of both the reasons for purchase behaviour of applicants. The ultimate image measurement for Brewer et al. (2006) regarding how effective an corporate has been with the development and communication of their service offerings is how prestigious the corporate is in the consumers mind. In fact, Temple (2006) suggests that what is referred to as university branding is actually corporate reputation and image (Horrigan, 2007). 4.2. Brand Development Marketing research to universities are very important. Especially marketing research to inform their marketing communications strategies are important (Hemsley-Brown and Oplatka, 2006). Gatfield (2000)’s study on student’s perception of quality showed a cultural difference between university market segments and recommended that corporates consider these differences when developing their communications strategy. The need to design messages differently to different market segments while communicating a consistent and relevant meaning fort he brand is important for an corporate’s brand development (Farr, 2003; Moore, 2004). Gutman and Miaoulis (2003: 105) explain that “an effective theme, consistent with the image the corporate is trying to project, ultimately allows fort he creation and management of ‘brand image’. A positive brand image can be a powerful influence in the decision to attend a university”. They suggests that the brand represents all the cognitive and emotional factors that help define the corporate and that these associations need to be managed to develop a strategic marketing comminications program. Hemsley-Brown and Oplatka (2006: 333) state that although there have been a number of studies that examined image and reputation, the notion of branding has barely made its mark in university marketing. There are a number of concepts associated with branding that have still to be explored (Horrigan, 2007). 4.3. Message Consistency Universities must develop consistent messages and images (Sevier, 2001). Consistency is a complex process. The parts are equal to the sum of the whole and indicators are needed to measure this complexity to inform strategic planning (Morrill, 2000). A marketing communications program should consider how to implement corporate standarts while allowing for individual areas to create their own identity under a corporate umbrella (Sevier and Johnson, 1999; Kotler and Fox, 1985). Marketing communication efforts that create consistency and eventually strength in the brands over time (Mount and Belanger, 2004). Karrh (2000) suggests that the difference in beliefs held between market segments makes it more difficult to create synergy in an corporate image. The nature of the relationship between a university and its many and diverse constituencies and the care a corporate must take to manage a meaningful and consistent brand (McAlexander and Koenig, 2001). A consistent and meaningful brand image is critical in the current competitive university market continuously flooded with images and messages. To achieve consistency through an integrated corporate effort, university must have a 60 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo strong management team to coordinate the marketing and communications effort (Ramsden, 1998; Horrigan, 2007). 4.4. Strategic Planning Strategic planning is vital for organizations. Because strategic planning eliminates the uncertainty of the future.Therefore, the strategic importance of internal audit. An internal audit will also allow the corporate to identify common marketing communications efforts as well as needed specialized activities (Liu, 1998). The audit should be used to inform the internal audience of the corporate’s goals and receive feedback on its ideas. It takes an inclusive and persistent corporate effort to convince internal constituents that investment in universities and departments other than their own will also benefit them. The initial information gathered through the audit should be used to consider how groups can work together for individual and organizational goals (Liu, 1998; Sands and Smith, 1999; Horrigan, 2007). 4.5. Staff Development Much of the strategic planning is directly by people elevated into positions of responsibility that typically have had little to no formal training in marketing or communications (Kittle, 2000). Many administrators climbed the academic ladder over time and their knowledge base is rooted in their academic discipline rather than a marketing communications background (Jugenheimer, 1995). Professional expertise in integrated marketing communications is needed in order for organizations to harness the strength of their organizations and effectively communicate with their markets (Maddox, 2005; Meister-Scheytt and Scheytt, 2005). Therefore, a cultural change is needed at universities before a strategic marketing communications program can be developed (Budros, 2002; Kempner, 2003). Today’s current shrinking and competitive market has made ir easier fort he academy to accept the need for more aggresive marketing, but the debate continues to what type of marketing and communications is appropriate for an universities (Horrigan, 2007). 5. RECOMMENDATIONS FOR FURTHER STUDY In this study, the framework areas are organizational resistance, brand development, message consistency, strategic planning and staff development. These areas of study can be approached independently or combined in ways left to the researcher’s conceptual design. A larger research scope may be applied for studying the sophistication level of the field’s integrated marketing communications efforts. A quantitative analysis via surveying the universities landscape may offer insight into how the size of an corporate affects the policy decisions discussed. Recommendations for further research would contribute significant findings to applied studies.. 61 �3rd International Symposium on Sustainable Development, May 31 - June 01 2012, Sarajevo REFERENCES Ambler, T.,Bhattacharya, J. E., Keller, K. L., Lemon, K. N. andMittal, V. (2002). RelatingBrandandCustomerPerspectives on Marketing Management. Journal of Service Research, 5, 13-25. Armstrong, J. andLumsden, D. (1999), Impact of Universities’ PromotionalMaterials on CollegeChoice, Journal of Marketing forHigherEducation, 9 (2), 83-91. Belch, G. andBelch, M. (2001), AdvertisingandPromotion: An Integrated Marketing Communications Perspective, McGraw-HillIrwin, NY. Bok, D. 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Residents’ Perceptions towards Sustainable Tourism Development: The Case of Alanya Aydin Cevirgen, Furkan Baltaci, Onur Oku Akdeniz University, Alanya Faculty of Business, Tourism Administration, Antalya, Turkey E-mails: acevirgen@akdeniz.edu.tr, fbaltaci@akdeniz.edu.tr, onuroku@akdeniz.edu.tr Abstract Sustainable development approach is of utmost importance for the future existence of tourism destinations. Therefore, enabling tourism development based on sustainability principles economically, socially and environmentally is considered to be a necessity. All stakeholders of the tourism sector have important roles in this development process. Especially, the inclusion of residents to this process and their involvement in decision-making mechanisms represent a focal point in sustainable tourism development. Any tourism development that does not take into consideration the needs and expectations of residents does not have much chance for success. There have been many studies made about residents’ perceptions and attitudes towards tourism and tourism development in tourism literature. However, only a few studies use sustainable development perspective in order to determine residents’ perceptions towards tourism development. Therefore, this study was conducted to determine the residents’ perceptions towards sustainable tourism development in Alanya, an important tourism destination of Turkey and Mediterranean region. Data gathered from 134 residents in Alanya were analyzed using factor and correlation analysis, t-tests and ANOVA. Results presented a four-factor perceived sustainable tourism development measurement scale: environmental sustainability; perceived social costs; maximizing community participation; and perceived economic benefits. Findings have shown that there is a significant correlation between perceived economic benefits and two of the other three factors, which are environmental sustainability and maximizing community participation. Another main finding of the study is that residents are not fully aware of nor have 65 � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Extent The size or duration of the resource. 1364 Title A name given to the resource Universities Branding Process about Creating Value through Integrated Marketing Communications Author Author Omer , Kursad Tufekci Abstract A summary of the resource. Integrated marketing communication has been widely accepted by businesses around the world. This is a marketing communications system that allows organizations to beter manage their brand images. Integrated marketing communication strategies are aimed at combining or integrating the elements of the communication mix, such as advertising and public relations in order to create a balanced and consistent marketing communications massage thet strengthens the brand. Integrated marketing communication, if managed correctly gives an organization a competitive advantage because of its cost effectiveness and its ability to maximize the impact of its product and services development and the communication of the organization’s massages within the marketplace. The market environment in higher education is extremely competitive. Universities need to become beter with the coordination of their marketing communication programs. So universities create a strong emotional bond with their markets in order to be perceived as a relevant choice in their target markets’ minds. Many universities experience difficulties coordinating their marketing communications programs and could benefit by integrating their marketing communication efforts to realize greater productivity within their recruitment, retention and development efforts. Keywords:Universities, Integrated Marketing Communication, Branding, Marketing, Sustainability Competitive Advantage Date A point or period of time associated with an event in the lifecycle of the resource 2012-05-31 Keywords Keywords. Conference or Workshop Item PeerReviewed H Social Sciences (General)