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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Legal Discussions in Data Privacy and the Environment in BosniaHerzegovina
Husic SAMĠR
PhD candidate
International University of Sarajevo
Bosnia and Herzegovina
samirhusic@gmail.com
Ozguven KUTLUK
Assoc. Prof. Dr.
International University of Sarajevo
Bosnia and Herzegovina
kutluko@yahoo.co.uk

Abstract: Dramatic increase in importance of data privacy came with advance of information
technology. Global domination of information exchange is forcing governments to establish
international standards and regulatory mechanisms in order to protect data privacy. These efforts
resulted in general principles of data privacy, which have been widely accepted, but also difficulty
for diverse legislations.
While Europe has highly developed and human rights oriented data privacy regulations, USA has
less regulated and business enhancing oriented approach. Such discrepancy resulted in continious
international discussions and agreements towards regulation‘s harmonization.
Data privacy regulations in BiH has radical boost recently. The main push was protection of data
privacy as condition for visa liberalization with EU countries, making BiH data privacy in full
compliance with EU standards. However, when it comes to practical application, there‘s
significant amount of data privacy interference and lack of awareness, while most serious breaches
are conducted by public administration.

Introduction
The main challenge in personal data privacy is to share data, particularly in respect of freedom of
information principles, while protecting personally identifiable information. Personally Identifiable Information
(„PII―) is a unique piece of data or indicator that can be used to identify, locate, or contact a specific individual
(Staples, 2007, pp.383-386). What distinguish PII from other types of personal information is permission of
identification by this information, as it may be sensitive, embarrassing or offensive in a way that individual may wish
to keep it private.
Data privacy issues can arise in response to a wide range of PII, including an individual‘s name; geographic,
physical, or postal address; phone number; electronic mail address; bank or credit account numbers; and Social
Security number. Some information can be collected anonymously, like state of residence, age, gender, race,
purchases, or salary. However, personal information from various sources can be pieced together to create PII. For
example, an Internet Protocol address does not, by itself, identify a specific person. But when combined with an
Internet service provider‘s customer records, the combined information becomes PII (Staples, 2007).
Remarkable increase in personal data privacy importance came with the advance of information technology.
The information is collected, stored, and shared by individuals, organizations, but also government institutions.
Exchange of personal data became necessary to enable or develop many activities, to communicate, obtain benefits
or transact business. With such striking increase in importance, the issue became equally complex from legal point of
view, because of different definitions of ―personal information‖ in different legal context. It is impossible today to
collaborate with stakeholders in a foreign country without appreciation of complex regulations regarding data rights.
Global technology, communications and outsourcing made it crucially needed to arrange regulatory mechanisms
internationally.

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The legal protection of the right to privacy in general, and of data privacy in particular, varies greatly
around the world. There is a significant challenge for organizations that hold sensitive data to achieve and maintain
compliance with so many regulations that have relevance to information privacy. A lot of attempts are made to
regulate privacy issues internationally that would be obligatory and acceptable for different countries. Those attempts
to create universal principles of data privacy can be traced even before contemporary global data exchange
challenges.
The root for international standards in data privacy may be found in The Universal Declaration of Human
Rights. It is adopted by the United Nations General Assembly in 1948 in Paris, and it reflects the consequences of
Second World War. It consists of 30 articles which have been foundation for further international and national
regulations. In the Article 12, Declaration define right to privacy, and unlike later privacy regulations, it prescribe no
exception: “No one shall be subjected to arbitrary interference with his privacy, family, home or correspondence,
nor to attacks upon his honor and reputation. Everyone has the right to the protection of the law against such
interference or attacks.” (General Assembly of the UN, 1948)
But only in early 1970ties, government agencies in the United States and Europe have studied the manner in
which entities collect and use personal information, their information practices and safeguards required to ensure
adequate privacy protection. The result has been series of reports and regulations, while common to all are five core
principles of privacy protection (Federal Trade Commission, 2007). These principles were first articulated in the
United States Department of Health, Education and Welfare's report entitled Records, Computers and the Rights of
Citizens (Secretary's Advisory Committee, 1973). The five principles are:
1. Notice/Awareness - persons should be given notice of an entity's information practices before any personal
information is collected from them.
2. Choice/Consent – persons should have options as to how any personal information collected from them may
be used.
3. Access/Participation – person should have ability both to access data about him or herself, and to contest
that data's accuracy and completeness.
4. Integrity/Security – data has to be accurate and secure.
5. Enforcement/Redress – there must be a mechanism in place to enforce the core principles of privacy
protection.
These principles are widely accepted at that time, and influenced data privacy legislation in following 30
years. Yet, these principles later have been criticized for being short and incomplete, allowing too many exemptions,
and not keeping pace with information technology. There are numerous comprehensive data privacy principles
developed later on, and most influential are contained in OECD Guidelines on the Protection of Privacy (OECD,
1980), and EU Directive.

Data Privacy in Europe
Data privacy regulation has relatively long tradition, and it is generally considered to be strict and highly
developed in EU. Its roots could be found in the European Convention on Human Rights from 1950. ECHR
Convention is signed by 47 member states of the Council of Europe (―CoE‖), and one of them is BiH which signed
and ratified it in 2002 (CoE, 1950). It sets forth a number of fundamental rights and freedoms, including right to
respect private life, prescribed in Article 8. Member states undertake the responsibility to ensure these rights and
freedoms to everyone within their jurisdiction, and the ECHR Convention establishes an international enforcement
mechanism.
European Court for Human Rights uses a very broad interpretation of this Article 8 in practice. It provides a
right to respect for one's "private and family life, his home and his correspondence", subject to certain restrictions
that are "in accordance with law" and "necessary in a democratic society". It may be compared to the jurisprudence
of the United States Supreme Court, which also adopted broad interpretation of the right to privacy in protecting
private and family life. For example, very appealing modern-day issue of employee‘s privacy is judged in 2007
under Article 8 in case of Copland v. The United Kingdom (ECHR, 2007). In this case, ECHR found that UK had
violated rights of privacy and correspondence of complainant, by the way of monitoring and keeping data of her
telephone calls, e-mail correspondence and internet use. Employer, a state-administered body, under deputy principal
request, monitored complainant‘s telephone, internet and e-mail use in order to discover whether she was making
excessive personal use of them.
In 1976, the Committee of Ministers recognizes the need for international binding agreement regarding data
protection (CoE, 1981). This Committee recommended preparation of a convention for the protection of privacy in
relation to data processing abroad and trans-frontier data processing, which finally resulted in CoE conclusion of

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Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data in 1981
(―Convention‖). Accordingly, this Convention is created due to need for international agreement in law application
when automatic processing of personal data involves parties in different countries, for example usage of bank
terminals in other countries. International mechanism have been necessary, having regard to rapid evolution of
personal information handling at that time, so the states can inform and consult each other on matters of data
protection.
This Convention is the first binding international instrument which protects the individual against abuses
caused by the collection and processing of personal data, and also regulates trans-frontier flow of personal data. It
prohibits the processing of sensitive data, such as person‘s race, politics, health, religion, sexual life, criminal record.
Restrictions on the rights prescribed in Convention are only possible when prevailing general interest is at stake,
such as state security (CoE, 1981). This Convention obliges the signatories to enact legislation concerning the
automatic processing of personal data, and it is signed and ratified by 41 member states of CoE.
In 1995, European Commission, being still concerned with diverging data protection legislation, decided to
harmonize it by proposing Directive 95/46/EC. To move toward harmonization, the European Parliament and CoE
issued the Directive on the Protection of Personal Data (―Directive‖) (CoE, 1995). This Directive became the
backbone of the current EU data privacy legislation. Directive is not legally binding for citizens, but rather member
states have to transpose it into domestic law. As a result, EU member states incorporated it into domestic laws by the
end of 1998, and established supervisory authorities to monitor level of privacy protection. For example, UK enacted
Data Protection Act 1998 to bring UK law into line with the Directive, and this is the main act that governs data
privacy protection in the UK (Information Commissioner‘s Office, 1998).
The Directive aims to protect the rights and freedoms of persons with respect to the processing of personal
data by prescribing guidelines for domestic legislation. These guidelines define when private data processing is
lawful (CoE, 1995). Beside guidelines, it provided important list the eight enforceable principles of good practice for
processing personal data (Information Commissioner‘s Office, 1998). Briefly, these principles, that every member
state must comply with, specify that personal data must be:
1. Processed fairly and lawfully.
2. Obtained for specified and lawful purposes.
3. Adequate, relevant and not excessive.
4. Accurate and up to date.
5. Not kept any longer than necessary.
6. Processed in accordance with the ―data subject‘s‖ (the individual‘s) rights.
7. Securely kept.
8. Not transferred to any other country without adequate protection.
Although the Directive offered most developed and world widely accepted data privacy standards today,
recent study shows that it became outdated. The UK Information Commissioner‘s Office announced report in May
2009, stating growing fear that the current Directive is outdated and too bureaucratic. It says that Directive is often
seen as burdensome and too prescriptive, and may not sufficiently address the risk to individuals‘ personal
information (Robinson et al., 2009). Similar evaluation is given on the 4th annual Data Protection day in January
2010, calling for reform of the Directive (Reding, 2010). Concerns are raised by new challenges, such as behavioral
advertising by using internet history, social networking sites, and smart chips used for tracing. It warns that data
protection rules must be updated to keep abreast of technological change to ensure the right to privacy, legal
certainty for industry, and the take-up of new technologies.

Data Privacy in USA
Data privacy regulations in United States are not highly regulated. USA use a so called ―sectoral‖ approach
that relies on a combination of legislation, regulations, and self-regulation, but there is no all-encompassing law
regulating processing and storage of personal data, comparable to EU Directive. These regulations, industry best
practices and other binding structures have been enacted at the federal, state and even local level. They pertain to a
variety of matters, like financial information, video rentals, electronic communications, or healthcare information. As
a result, it is certain that one or more privacy law or regulation, local, state, or federal, does affect and govern some
portion of many companies‘ activities (Gilbert, 2003).
US data privacy legislation tends to favor information flow efficiency, rather than individual rights to
control over their own personal data. The reasons for such approach have to do with American ―laissez-faire‖
economics, which allows industry to be free from state interventions and restrictions. Another reason is constitutional

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right of free speech guaranteed in the First Amendment, providing broad interpretation in regard of information open
flow.
Historically, the legal requirements of privacy legislation in USA had slow development. Some of the first
legal discussions started in 1890, when Louis Brandeis and Samuel Warren published the article ―The Right to
Privacy‖ in the Harvard Law Review (Staples, 2007). However, regulations started increasing in frequency only
since beginning of 1970ties. Additional impulse they got in late 1990ties, the time of EU Directive incorporation in
European countries' legislation.
There is a list of more than 40 privacy-related laws in USA, only on federal level, while each state has its
own privacy-related laws and regulations (Herold, 2002, p.529). Some of the most important are: Fair Credit
Reporting Act (1970), Privacy Act (1974), Family Educational Rights and Privacy Act (1974), Right to Financial
Privacy Act (1978), Electronic Communications Privacy Act (1986), Telecommunications Act (1996), Children‘s
Online Privacy Protection Act (1999), Health Insurance Portability and Accountability Act (1996), etc.
This complexity in US data privacy regulation, and having no comprehensive act on data privacy protection,
became a barrier to US business with EU countries upon adoption of EU directive. As mentioned above, The EU
Directive prohibits the transfer of personal data to non-EU countries if it doesn‘t meet the ―adequacy‖ standard of
privacy protection, except in the cases of the derogations listed (CoE, 1995). Accordingly, it created a legal risk to
organizations which transfer personal data from Europe to the US. Although US share the same goal of enhancing
privacy protection for its citizens, the US took different approach to privacy from that taken by EU. In order to
bridge these different approaches, and to simplify means for US organizations to comply with Directive, the US
Department of Commerce in consultation with the European Commission developed a ―Safe Harbor‖ framework
(Safe Harbor, 2000).

“Safe Harbor” Framework
EU Directive barred the transfer of personal data from EU citizens to businesses and other entities in
countries without levels of privacy protection estimated as ―adequate‖ by the EU. Thus, the Directive sets de facto
standards for data protection internationally. Accordingly, countries such as Canada, Australia, and Japan have
implemented data protection laws that provide similar levels of protection for personal data. But the United States
find it difficult, and rather have worked out special agreements with the EU so that US businesses can claim
compliance with these principles (Staples, 2007, p.209). Such principles are supposed to simplify relations between
US and EU businesses.
At the time of EU Directive adoption, the prevailing American response reflected in denial. Dominant
American belief was that European data privacy protection may disturb American interests in privacy protection
policy that is consistent with its constitutional framework, free speech philosophy and deregulated market economy.
At that time, some US critics proposed resistance to Directive, while others tried to prove that combination of
sectoral legislation amounts to ―adequate‖ level of data protection. Still, general opinion was that the implementation
of the Directive will produce confrontation over the ―adequate‖ context of data protection. While concerned with
interest of US business with EU countries, they believe that EU have to decide whether purpose of Directive is to
protect European citizens from processing their data abroad, or to promote adoption of equivalent data protection law
around the world (Bennett &amp; Raab, 1997).
Because the US has no privacy legislation of general applicability, to help US companies comply with the
EU privacy laws, the US Department of Commerce has implemented an International Safe Harbor certification
program. It is approved as adequate providing protection of personal data by the European Commission in July 2000.
The Safe Harbor addresses data privacy issue in unique way as voluntary program, rather than law imposed to all
organizations. A US company that adheres to the Safe Harbor Principles and complete certification program, receive
presumption from EU member states that it provide required level of personal data privacy protection (Gilbert,
2003). If dispute arise in relation to data transfer according to Safe Harbor program, it is ultimately resolved at
European Data Protection Authorities Panel.
Although it is reached as best possible solution, Safe Harbor program agreed between US and EU raised
numerous issues. First of all, it is failing to balance fair interest in data privacy. This program allows that US
companies abided by its provision afforded more privacy protection to Europeans than Americans under US laws. It
seems that this agreement might prompt the US to shift its privacy policy in accordance with European standards,
which views personal privacy as ―human‖ right. The US failure to enact privacy legislation of general applicability
can be considered as continuing characterization of personal data privacy as ―consumer‖ rights issue, rather than
―human‖ rights (Brown &amp; Blevins, 2002, p.565). Beside this issue of not balanced privacy rights, Safe Harbor has
other complex issues like when personal data is transferred from EU to US, and then to third countries. Also,

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participation in the Safe Harbor program has no effect on compliance with the requirements of privacy laws outside
the EU area. Consequently, being not complete solution, Safe Harbor became a model for other controversial
programs, like the ―U.S. – Swiss Safe Harbor‖ (Safe Harbor, 2000), and other bilateral agreements regarding
personal data privacy between US and European countries.

Bosnia and Herzegovina Regulations Regarding Data Privacy
Development and implementation of rules and regulations in field of data privacy is considered as a very
important step for BiH in terms of compliance with EU standards. With this orientation, the Law on Protection of
Personal Data (―Law‖) became the foundation and marked new age of data privacy legislation in BiH. It prescribes
establishment of supervisory agency and number of regulations, all in accordance to EU Directive.
The Law prescribes, first of all, that no one has the right to handle personal data of citizens without their
consent or a valid legal basis. The other principles of Directive are respected in Law, like the purpose of taking
personal data, and timely and accurate processing of personal data. Also, every citizen must be informed that his
personal data is being processed.
According to Law, BiH‘s Data Protection Agency (―Agency‖) is established as supervisory authority and
has become operational and begun its work in June 2008. Its key tasks are to supervise the implementation of the
Law on Personal Data Protection; to investigate complaints by the public about possible breaches of data protection
regulations; to order blocking, erasing or destroying of data, issue temporary or permanent bans of processing, issue
warnings or reprimands to the controllers; to organize training and raise the awareness of government institutions as
well as the wider public about data protection obligations; to provide advice and guidance on data protection matters;
carry out inspections of government institutions to check whether they comply with the rules of data protection; and
to ensure that no legislation infringes with the protection of personal data (Law on Protection of Personal Data,
2006).
Beside Law, there are four book of rules enacted in 2009 (Official Gazette, 2009) supporting this Law. They
are: Rules on the manner of keeping the records of personal data filing systems and the pertinent records form; Rules
on the manner of keeping and special measures of personal data technical protection; Regulation on supervision
inspection regarding protection of personal data; and, Regulation on procedure upon complaint by the data subject
filed to the agency for personal data protection. Director of Agency also issued the Instruction on how to verify the
processing of personal data before the establishment of collection of personal data.
Regarding international regulations, worth to mention is a short list, defined by the Agency, of five most
important international regulations applied on data privacy legislation and practice in BiH. These regulations are
explained briefly in above part regarding European data privacy legislation. The key international sources for BiH
data privacy legislation are: European Convention on Human Rights and Fundamental Freedoms, adopted by BiH in
1999; Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data, together
with additional protocols entered into force in BiH in 2006; and Directive 95/46/EC, transposed in BiH Law on
personal data protection in 2006.
Beside these, BiH adopted Directive 2002/58/EC in 2002, at the same time when new legislative framework
designed to regulate the electronic communication sector. It is known as Directive on Privacy and electronic
communications, and contains provisions on a number of sensitive topics, such as the keeping connection data for the
purposes of police surveillance, the sending of unsolicited e-mail, the use of cookies and the inclusion of personal
data in public directories (Directive on privacy, 2002). It also known as E-privacy Directive, as it mainly regulates
important privacy issues in digital age, such as confidentiality of information, treatment of traffic data, spam and
cookies (E-Privacy Directive, 2003). BiH also adopted Recommendation No. 15 and addition on Committee
recommendation regulating the use of personal data in the police sector. The CoE Committee of Ministers
recommends with it that the governments of Member States respect a series of principles concerning control and data
collection, notification of automated files, storage, use and communication of data for police purposes, and rights of
access, rectification and appeal to police files (CoE, 1987).

Data Privacy Protection as Condition for BiH Visa Liberalization
Most important factor that influenced data privacy environment in last 5 years obviously was condition to
join EU. One of publicly most talked benefits of joining EU is freedom of travel, which more specifically means visa
liberalization. Very hard and expensive ways of obtaining visa for most countries in the world have been frustration
for BiH citizens almost 20 years. Getting advantage of traveling in EU without visa would certainly mean victory
equal to becoming an actual EU member state.

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BiH signed Stabilization and Association Agreement in June 2008 with European Communities and their
member states, where Article 79 is dedicated to protection of personal data. This Article prescribe that ―Bosnia and
Herzegovina shall harmonize its legislation concerning personal data protection with Community law and other
European and international legislation on privacy upon the entry into force of this Agreement. Bosnia and
Herzegovina shall establish independent supervisory bodies with sufficient financial and human resources in order to
efficiently monitor and guarantee the enforcement of national personal data protection legislation.‖ (Stabilization and
Association Agreement, 2008).
One of the key conditions for BiH visa liberation is securing full respect for fundamental principles of data
protection. This has been emphasized since Law on Personal Data Protection has been enacted in June 2006, and it
has been driving force for drafting data privacy legislation until today. Seminars and trainings have been conducted
since then, supported by European Commission and including European trainers, as it was not be realistic to expect
visa liberalization regime without paying due attention to this issue. Project supporting Commission for BiH Data
Protection, existed at that time, prepared seminars for specific sectors, like police, bank, health and
telecommunications, but also public campaign.
Enactment of the Law by the BiH Parliamentary Assembly has provided full compliance and
implementation of European standards in the area of respect for fundamental human rights and freedoms, particularly
the right to privacy. The Law also prescribed the establishment of the Agency, which should be engaged in
supervision over the enforcement of Law and respect for privacy rights regarding breaches of personal data.
However, although planned to be established immediately, the Agency started to function only in June 2008
(Kazagic, 2009). It had only three employees, director with two associates, until beginning of 2009. By the beginning
of 2010, agency works still with insufficient capacities, and has only 16 employees, although Book of Rules on
Internal Organization prescribed 45 employees (About the Agency, 2010).
As additional indication of importance of data privacy protection for European integration process, there is a
fact that Director of Agency, Petar Kovacevic, have been appointed as member of workgroup for liberalization of
visa regime. The task of this group is working on requirements fulfillment of the recently presented the Roadmap,
which including preparation of action plans of the Roadmap sections (Sjednica VijeĤa Ministara, 2009). According
to September 2009 report of this workgroup for liberalization of visa regime, Personal Data Protection Agency is
fully functional, while regulations on personal data protection are fully implemented (Interresorna radna grupa,
2009).
The European Union show significant interest in increasing the level of data protection, especially in the
sector of the police forces in BiH. In this regard, it has provided 250,000 Euros for the project "Support to the
Personal Data Protection Agency of BiH". The project lasted from October 2009 to march 2010, and it is
implemented by Personal Data Protection Agency Saxony in cooperation with BiH Agency. The project consisted of
three activities: legislation analysis and harmonization of personal data protection legislation in accordance with
the EU Standards; strengthening of institutional and human resources capacities of the Agency in order to enable it
to fulfill its competencies; strengthening of awareness and capacities of public institutions processing personal data
(European Union, 2009). This project, implemented by experts from Germany and Slovenia, has been evaluated as
highly successful by EU Delegation in BiH. The result of the project is that legislation in the field of protection of
personal data has been brought into full compliance with relevant EU standards (EU će budno pratiti, 2010).
However, there are recently expressed diverse opinions about functionality of private data protection system
in BiH. European Commission presented BiH with an updated assessment of the Roadmap implementation for visa
liberalization in June 2009. It states, in part regarding personal data protection, that two tasks are still needed:
- Measures to make the Data Protection Agency fully operational
- Measures taken to ensure the implementation of the rules for personal data protection (European
Commission, 2009).
Even in the latest assessment (European Commission, 2010, p.35) of Bosnia and Herzegovina, Commission
concludes again that no fully operational independent Data Protection Agency has been put in place yet, even though
Director of the Agency was appointed in June 2008. Main critics have been directed to adoption of additional
required by-laws, and ensuring implementation of the Law in all relevant areas.
Having in mind these opposing views, the head of the EU Delegation in BiH, Dimitris Kurkulas, said
recently that the EU will very closely monitor compliance with data protection in BiH, especially when it comes to
liberalizing the visa regime (EU Ĥe budno pratiti, 2010). He emphasized importance of future cooperation in the
international field in the area of data protection and information sharing, which requires the need to respect the rules
and regulations concerning the protection of personal data.

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Lack of Citizen’s Awareness of Data Misuse
Misuse of personal data in BiH is notable for years. Each registration is risky, as usually there is no
guarantee of privacy, or it is written in small letters that they have claim to your information. Data can be used only
for the purpose for which they were collected, but those who collect data are not sufficiently aware of their legal
obligations and keep them longer than they should.
Every citizen in BiH has the right to submit a complaint to the Agency when one learns or suspects that
one‘s personal data is unlawfully processed. There are complaints, but unfortunately, the awareness of citizens
regarding personal data protection, and rights that derive from it, are on the same low level as before Law was
enacted. There have been only ten complaints of citizens against data privacy violation until December 2009
(Kazagic, 2009). Agency is working on a campaign to improve this situation, and most evident was their campaign in
late 2009 and beginning of 2010, when project of EU supporting development of Agency was implemented.
Citizens of BiH are very often required to provide private data, from shopping centers to public institutions,
and they get not used to resist it. Although citizens don‘t have sufficient awareness, still, those who demand their
personal data are responsible for seeking and processing such data. Data collectors may use data only for the purpose
for which it is collected, but arbitrary use of personal data exist. For example, citizens are forced to give a Unique
Identification Number (UIN) for almost every little thing, and almost every paper form require this information. UIN
is also called Unique Master Citizen Number, and it has similar purpose like Social Security Number in USA.
Law on UIN precisely prescribe who can use this number, for what purpose, and if consent of citizen is
required. It is interesting that Law on UIN listed BiH institutions of local government and entities having the right to
use a UIN, but does not mention public companies, banks or shops, who usually request this number from citizens
when payment is arranged in rates. ID card may be given for identification purpose, but prescribing or copying UIN
number from ID card is against the law. This is why Agency requested modifying Law on Identity Card, and to
prohibit from using copies.

BiH Public Administration
The recent information shows that public institutions are those who mostly undermine the right of BiH
citizens on data privacy (Agencija zatražila, 2010). BiH legislation emphasize that personal data must be private
property, and no public institution should use it without explicit permission in law. But in BiH practice it happens to
be different. There are numerous cases of using personal data without required permission of citizen. Although Law
exists for years, they behave against Law when it comes to dealing with citizens‘ UIN.
Even further, more than three years from the enactment of Law in 2006, most of public institutions still
didn‘t adopted sublegal regulations required by this Law. Public institutions are required, according to Article 11 of
the Law, to adopt Book of Rules for Processing Personal Data, and Plan for Protection of Personal Data. Although
there are penalty provisions, most public authorities failed to comply with the Law in this regard. It is assumed that
legacy of the past political system made public authorities believe that they own and control data, including personal.
Agency intends to protect citizens from these practices. They already initiated process to amend the Law on ID card,
to include prohibition from using the copy of card, where possibilities of identity theft are noticeable (Krsman,
2009a).
As further step, Agency recently announced implementation of misdemeanor warrants in order collecting
fines that may go up to 100.000 KM. Most serious violations prescribed by Law are related to the processing and
transfer of personal data into foreign countries, and such practice exist in BiH. Penalties are provided for violating
the Law, and the Agency is still working on integrating into ―Sanctions Registry‖, which is precondition for
imposing sanctions. No sanctions are imposed yet, although Law is enacted about 4 years ago, and violators are not
penalized so far.
First activities of the Agency have been focused on establishing functional inspection, and some urgent
inspection control has been conducted in June 2009 over 20 public institutions, including police agencies and
Ministry of Foreign Affairs. The condition of data privacy protection has been evaluated as ―unacceptable‖ (Kazagic,
2009) and certain public companies have been ordered to destroy databases of citizens‘ UIN‘s because they have no
right to collect and keep such data.
The next steps in 2010 in ensuring of data privacy are again focused on public administration and public
companies. Agency has planned to establish main register with information about all databases containing private
data in BiH public administration (Krsman, 2009a).

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BiH Data Privacy Cases
Agency found out that most common deficiencies in the processing of personal data are inherited practices,
a lack of knowledge about regulations, lack of rules and procedures, and lack of plans for the protection of personal
data (Institucije BiH, 2009). Following four cases reflect the data privacy protection deficiencies in BiH
environment. All cases involve public administration or public enterprises.
1. When seeking the license for possession of the weapon in Sarajevo, a citizen come to Ministry of Interior
(MoI) and apply, and then he is directed to next office where he is requested to bring Police Clearance Certificate.
He is supposed to pay for obtaining this Certificate. However, Certificate is issued by MoI, same ministry that
requested him to obtain the Certificate. Obviously, they could obtain requested data in ex-officio procedure, rather
than requesting it from a citizen. And not just that citizen is obliged to seek from MoI and provide to MoI certificate
about personal information, but also he has to pay 35KM tax for this data processing. Agency is of opinion that this
practice must discontinue, and that determination of tax is not according to law (Krsman, 2009a).
2. Agency received a number of citizens‘ complaints that their unique identification numbers (UIN) and
other confidential information are exposed to public eyes by Public Enterprise ―Elektroprivreda‖. The problem is
raised more than year after Law is enacted, when citizens recognized illegally presented private data on their
electricity bills. These bills are left in (or nearby) mailboxes in hallway of building, and they are not in envelopes, so
every neighbor can read private data contained on bill. Irregular payers of utilities are sometimes listed on special
notice in building hallway. This case ended by Decision of the Agency, dated 8th May 2009, that orders
Elektroprivreda blocking and deletion of personal data (UIN) of electricity consumers. Elektroprivreda denied
possibility of personal data abuse, even though they possess personally identifiable information (Krsman, 2009b).
Rather than use of UIN, Agency advised public enterprises to use consumer codes. Public companies meanwhile
changed the system of printing bills, and discontinued printing UIN.
3. Sarajevogas Company, main natural gas distributor, has similar disputable system of personal data
processing like Elektroprivreda. Although they deny possibility of abuse, it is easy to obtain personal data of
costumer by simply typing customer code on their website. This code is contained on customer‘s bill, often
unprotected in residents‘ building hallway mailboxes, where postman leave it. The data reachable on Sarajevogas
website with this code include UIN, name, address and monthly debts of the customer (Krsman, 2009b).
4. In April 2010, the nongovernmental organization Kroacija Libertas filed with State Investigation and
Protection Agency criminal charges against editor of the political magazine ―60 Minutes‖, Bakir Hadziomerovic, and
against other persons employed at Agency for ID documents (IDDEEA), due to violating the Law. The charges
alleged that in the past year, journalists and editors in this political magazine of Federal television continuously
published photos of people, information about time and place of birth, current residence, UIN and other information
downloaded from the software of the IDDEEA, which is under the jurisdiction of the BiH Ministry of Civil Affairs.
IDDEEA dismissed allegations that representatives of this institution provided Federal television journalists access to
protected personal data of citizens. This Agency claim that all control mechanisms of data protection have been
implemented and integrated into the system, according to European Commission‘s recommendation, so such leak of
information is impossible. (Krivična prijava, 2010). This controversial case is still pending, with very serious charges
of criminal and irresponsible behavior of journalists who provided strictly copyrighted and personal data to general
public, while some of these data should have been preserved by the state of BiH and its institutions.

Conclusion
The importance of data privacy and the worldwide efforts in regulation of this area reflected in BiH as well,
with considerable delay comparing with EU countries. Some of the factors for dramatic improvement of recent data
privacy legislation are the same in BiH like in most other countries. First of all it is rapid expansion of the
information technology and its usage in data management. Among key factors are also democratization processes
which urge respect of human rights. Another factor is more regional, and it regards EU integration processes
requiring legislation compliance. Finally, specific factor is environment based on ex political system legacy in BiH,
which made these efforts challenging.
BiH has aspiration to go towards EU integration with fast pace, and on this road it is trying to enact all
regulations with full compliance with EU standards. Thus, it completely integrated general principles of European
data privacy into the Law on Personal Data Protection of BiH, with special respect to EU Directive requirements
which became world standard on promoting data privacy protection.
Personal Data Protection Agency of BiH is working hard to implement these regulations, but the practice of
personal data misuse transferred from old system is hard to eliminate. Recent cases illustrate inability of easy

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implementation of data privacy protection, and its application is far from being satisfactory. Relevant independent
international reports prove that additional efforts are needed for data privacy regulation functioning in practice.
To make a progress in data privacy protection, BiH need to raise awareness of data subjects, first of all
citizens, who still don‘t hesitate to give in their personal data when inquiring certain benefits. Then it needs to raise
awareness of public administration and public enterprises which are still among most serious violators. Public
administration demonstrated its commitment to the unacceptable practice of being comfortable in collecting and
having control over citizen‘s personal data. And lastly, BiH needs judicial system that will ensure efficient trial of
data privacy violations, to eliminate practice of recent cases, where violators passed unpunished.

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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Legal Discussions in Data Privacy and the Environment in BosniaHerzegovina
Husic SAMĠR
PhD candidate
International University of Sarajevo
Bosnia and Herzegovina
samirhusic@gmail.com
Ozguven KUTLUK
Assoc. Prof. Dr.
International University of Sarajevo
Bosnia and Herzegovina
kutluko@yahoo.co.uk

Abstract: Dramatic increase in importance of data privacy came with advance of information
technology. Global domination of information exchange is forcing governments to establish
international standards and regulatory mechanisms in order to protect data privacy. These efforts
resulted in general principles of data privacy, which have been widely accepted, but also difficulty
for diverse legislations.
While Europe has highly developed and human rights oriented data privacy regulations, USA has
less regulated and business enhancing oriented approach. Such discrepancy resulted in continious
international discussions and agreements towards regulation‘s harmonization.
Data privacy regulations in BiH has radical boost recently. The main push was protection of data
privacy as condition for visa liberalization with EU countries, making BiH data privacy in full
compliance with EU standards. However, when it comes to practical application, there‘s
significant amount of data privacy interference and lack of awareness, while most serious breaches
are conducted by public administration.

Introduction
The main challenge in personal data privacy is to share data, particularly in respect of freedom of
information principles, while protecting personally identifiable information. Personally Identifiable Information
(„PII―) is a unique piece of data or indicator that can be used to identify, locate, or contact a specific individual
(Staples, 2007, pp.383-386). What distinguish PII from other types of personal information is permission of
identification by this information, as it may be sensitive, embarrassing or offensive in a way that individual may wish
to keep it private.
Data privacy issues can arise in response to a wide range of PII, including an individual‘s name; geographic,
physical, or postal address; phone number; electronic mail address; bank or credit account numbers; and Social
Security number. Some information can be collected anonymously, like state of residence, age, gender, race,
purchases, or salary. However, personal information from various sources can be pieced together to create PII. For
example, an Internet Protocol address does not, by itself, identify a specific person. But when combined with an
Internet service provider‘s customer records, the combined information becomes PII (Staples, 2007).
Remarkable increase in personal data privacy importance came with the advance of information technology.
The information is collected, stored, and shared by individuals, organizations, but also government institutions.
Exchange of personal data became necessary to enable or develop many activities, to communicate, obtain benefits
or transact business. With such striking increase in importance, the issue became equally complex from legal point of
view, because of different definitions of ―personal information‖ in different legal context. It is impossible today to
collaborate with stakeholders in a foreign country without appreciation of complex regulations regarding data rights.
Global technology, communications and outsourcing made it crucially needed to arrange regulatory mechanisms
internationally.

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The legal protection of the right to privacy in general, and of data privacy in particular, varies greatly
around the world. There is a significant challenge for organizations that hold sensitive data to achieve and maintain
compliance with so many regulations that have relevance to information privacy. A lot of attempts are made to
regulate privacy issues internationally that would be obligatory and acceptable for different countries. Those attempts
to create universal principles of data privacy can be traced even before contemporary global data exchange
challenges.
The root for international standards in data privacy may be found in The Universal Declaration of Human
Rights. It is adopted by the United Nations General Assembly in 1948 in Paris, and it reflects the consequences of
Second World War. It consists of 30 articles which have been foundation for further international and national
regulations. In the Article 12, Declaration define right to privacy, and unlike later privacy regulations, it prescribe no
exception: “No one shall be subjected to arbitrary interference with his privacy, family, home or correspondence,
nor to attacks upon his honor and reputation. Everyone has the right to the protection of the law against such
interference or attacks.” (General Assembly of the UN, 1948)
But only in early 1970ties, government agencies in the United States and Europe have studied the manner in
which entities collect and use personal information, their information practices and safeguards required to ensure
adequate privacy protection. The result has been series of reports and regulations, while common to all are five core
principles of privacy protection (Federal Trade Commission, 2007). These principles were first articulated in the
United States Department of Health, Education and Welfare's report entitled Records, Computers and the Rights of
Citizens (Secretary's Advisory Committee, 1973). The five principles are:
1. Notice/Awareness - persons should be given notice of an entity's information practices before any personal
information is collected from them.
2. Choice/Consent – persons should have options as to how any personal information collected from them may
be used.
3. Access/Participation – person should have ability both to access data about him or herself, and to contest
that data's accuracy and completeness.
4. Integrity/Security – data has to be accurate and secure.
5. Enforcement/Redress – there must be a mechanism in place to enforce the core principles of privacy
protection.
These principles are widely accepted at that time, and influenced data privacy legislation in following 30
years. Yet, these principles later have been criticized for being short and incomplete, allowing too many exemptions,
and not keeping pace with information technology. There are numerous comprehensive data privacy principles
developed later on, and most influential are contained in OECD Guidelines on the Protection of Privacy (OECD,
1980), and EU Directive.

Data Privacy in Europe
Data privacy regulation has relatively long tradition, and it is generally considered to be strict and highly
developed in EU. Its roots could be found in the European Convention on Human Rights from 1950. ECHR
Convention is signed by 47 member states of the Council of Europe (―CoE‖), and one of them is BiH which signed
and ratified it in 2002 (CoE, 1950). It sets forth a number of fundamental rights and freedoms, including right to
respect private life, prescribed in Article 8. Member states undertake the responsibility to ensure these rights and
freedoms to everyone within their jurisdiction, and the ECHR Convention establishes an international enforcement
mechanism.
European Court for Human Rights uses a very broad interpretation of this Article 8 in practice. It provides a
right to respect for one's "private and family life, his home and his correspondence", subject to certain restrictions
that are "in accordance with law" and "necessary in a democratic society". It may be compared to the jurisprudence
of the United States Supreme Court, which also adopted broad interpretation of the right to privacy in protecting
private and family life. For example, very appealing modern-day issue of employee‘s privacy is judged in 2007
under Article 8 in case of Copland v. The United Kingdom (ECHR, 2007). In this case, ECHR found that UK had
violated rights of privacy and correspondence of complainant, by the way of monitoring and keeping data of her
telephone calls, e-mail correspondence and internet use. Employer, a state-administered body, under deputy principal
request, monitored complainant‘s telephone, internet and e-mail use in order to discover whether she was making
excessive personal use of them.
In 1976, the Committee of Ministers recognizes the need for international binding agreement regarding data
protection (CoE, 1981). This Committee recommended preparation of a convention for the protection of privacy in
relation to data processing abroad and trans-frontier data processing, which finally resulted in CoE conclusion of

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Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data in 1981
(―Convention‖). Accordingly, this Convention is created due to need for international agreement in law application
when automatic processing of personal data involves parties in different countries, for example usage of bank
terminals in other countries. International mechanism have been necessary, having regard to rapid evolution of
personal information handling at that time, so the states can inform and consult each other on matters of data
protection.
This Convention is the first binding international instrument which protects the individual against abuses
caused by the collection and processing of personal data, and also regulates trans-frontier flow of personal data. It
prohibits the processing of sensitive data, such as person‘s race, politics, health, religion, sexual life, criminal record.
Restrictions on the rights prescribed in Convention are only possible when prevailing general interest is at stake,
such as state security (CoE, 1981). This Convention obliges the signatories to enact legislation concerning the
automatic processing of personal data, and it is signed and ratified by 41 member states of CoE.
In 1995, European Commission, being still concerned with diverging data protection legislation, decided to
harmonize it by proposing Directive 95/46/EC. To move toward harmonization, the European Parliament and CoE
issued the Directive on the Protection of Personal Data (―Directive‖) (CoE, 1995). This Directive became the
backbone of the current EU data privacy legislation. Directive is not legally binding for citizens, but rather member
states have to transpose it into domestic law. As a result, EU member states incorporated it into domestic laws by the
end of 1998, and established supervisory authorities to monitor level of privacy protection. For example, UK enacted
Data Protection Act 1998 to bring UK law into line with the Directive, and this is the main act that governs data
privacy protection in the UK (Information Commissioner‘s Office, 1998).
The Directive aims to protect the rights and freedoms of persons with respect to the processing of personal
data by prescribing guidelines for domestic legislation. These guidelines define when private data processing is
lawful (CoE, 1995). Beside guidelines, it provided important list the eight enforceable principles of good practice for
processing personal data (Information Commissioner‘s Office, 1998). Briefly, these principles, that every member
state must comply with, specify that personal data must be:
1. Processed fairly and lawfully.
2. Obtained for specified and lawful purposes.
3. Adequate, relevant and not excessive.
4. Accurate and up to date.
5. Not kept any longer than necessary.
6. Processed in accordance with the ―data subject‘s‖ (the individual‘s) rights.
7. Securely kept.
8. Not transferred to any other country without adequate protection.
Although the Directive offered most developed and world widely accepted data privacy standards today,
recent study shows that it became outdated. The UK Information Commissioner‘s Office announced report in May
2009, stating growing fear that the current Directive is outdated and too bureaucratic. It says that Directive is often
seen as burdensome and too prescriptive, and may not sufficiently address the risk to individuals‘ personal
information (Robinson et al., 2009). Similar evaluation is given on the 4th annual Data Protection day in January
2010, calling for reform of the Directive (Reding, 2010). Concerns are raised by new challenges, such as behavioral
advertising by using internet history, social networking sites, and smart chips used for tracing. It warns that data
protection rules must be updated to keep abreast of technological change to ensure the right to privacy, legal
certainty for industry, and the take-up of new technologies.

Data Privacy in USA
Data privacy regulations in United States are not highly regulated. USA use a so called ―sectoral‖ approach
that relies on a combination of legislation, regulations, and self-regulation, but there is no all-encompassing law
regulating processing and storage of personal data, comparable to EU Directive. These regulations, industry best
practices and other binding structures have been enacted at the federal, state and even local level. They pertain to a
variety of matters, like financial information, video rentals, electronic communications, or healthcare information. As
a result, it is certain that one or more privacy law or regulation, local, state, or federal, does affect and govern some
portion of many companies‘ activities (Gilbert, 2003).
US data privacy legislation tends to favor information flow efficiency, rather than individual rights to
control over their own personal data. The reasons for such approach have to do with American ―laissez-faire‖
economics, which allows industry to be free from state interventions and restrictions. Another reason is constitutional

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right of free speech guaranteed in the First Amendment, providing broad interpretation in regard of information open
flow.
Historically, the legal requirements of privacy legislation in USA had slow development. Some of the first
legal discussions started in 1890, when Louis Brandeis and Samuel Warren published the article ―The Right to
Privacy‖ in the Harvard Law Review (Staples, 2007). However, regulations started increasing in frequency only
since beginning of 1970ties. Additional impulse they got in late 1990ties, the time of EU Directive incorporation in
European countries' legislation.
There is a list of more than 40 privacy-related laws in USA, only on federal level, while each state has its
own privacy-related laws and regulations (Herold, 2002, p.529). Some of the most important are: Fair Credit
Reporting Act (1970), Privacy Act (1974), Family Educational Rights and Privacy Act (1974), Right to Financial
Privacy Act (1978), Electronic Communications Privacy Act (1986), Telecommunications Act (1996), Children‘s
Online Privacy Protection Act (1999), Health Insurance Portability and Accountability Act (1996), etc.
This complexity in US data privacy regulation, and having no comprehensive act on data privacy protection,
became a barrier to US business with EU countries upon adoption of EU directive. As mentioned above, The EU
Directive prohibits the transfer of personal data to non-EU countries if it doesn‘t meet the ―adequacy‖ standard of
privacy protection, except in the cases of the derogations listed (CoE, 1995). Accordingly, it created a legal risk to
organizations which transfer personal data from Europe to the US. Although US share the same goal of enhancing
privacy protection for its citizens, the US took different approach to privacy from that taken by EU. In order to
bridge these different approaches, and to simplify means for US organizations to comply with Directive, the US
Department of Commerce in consultation with the European Commission developed a ―Safe Harbor‖ framework
(Safe Harbor, 2000).

“Safe Harbor” Framework
EU Directive barred the transfer of personal data from EU citizens to businesses and other entities in
countries without levels of privacy protection estimated as ―adequate‖ by the EU. Thus, the Directive sets de facto
standards for data protection internationally. Accordingly, countries such as Canada, Australia, and Japan have
implemented data protection laws that provide similar levels of protection for personal data. But the United States
find it difficult, and rather have worked out special agreements with the EU so that US businesses can claim
compliance with these principles (Staples, 2007, p.209). Such principles are supposed to simplify relations between
US and EU businesses.
At the time of EU Directive adoption, the prevailing American response reflected in denial. Dominant
American belief was that European data privacy protection may disturb American interests in privacy protection
policy that is consistent with its constitutional framework, free speech philosophy and deregulated market economy.
At that time, some US critics proposed resistance to Directive, while others tried to prove that combination of
sectoral legislation amounts to ―adequate‖ level of data protection. Still, general opinion was that the implementation
of the Directive will produce confrontation over the ―adequate‖ context of data protection. While concerned with
interest of US business with EU countries, they believe that EU have to decide whether purpose of Directive is to
protect European citizens from processing their data abroad, or to promote adoption of equivalent data protection law
around the world (Bennett &amp; Raab, 1997).
Because the US has no privacy legislation of general applicability, to help US companies comply with the
EU privacy laws, the US Department of Commerce has implemented an International Safe Harbor certification
program. It is approved as adequate providing protection of personal data by the European Commission in July 2000.
The Safe Harbor addresses data privacy issue in unique way as voluntary program, rather than law imposed to all
organizations. A US company that adheres to the Safe Harbor Principles and complete certification program, receive
presumption from EU member states that it provide required level of personal data privacy protection (Gilbert,
2003). If dispute arise in relation to data transfer according to Safe Harbor program, it is ultimately resolved at
European Data Protection Authorities Panel.
Although it is reached as best possible solution, Safe Harbor program agreed between US and EU raised
numerous issues. First of all, it is failing to balance fair interest in data privacy. This program allows that US
companies abided by its provision afforded more privacy protection to Europeans than Americans under US laws. It
seems that this agreement might prompt the US to shift its privacy policy in accordance with European standards,
which views personal privacy as ―human‖ right. The US failure to enact privacy legislation of general applicability
can be considered as continuing characterization of personal data privacy as ―consumer‖ rights issue, rather than
―human‖ rights (Brown &amp; Blevins, 2002, p.565). Beside this issue of not balanced privacy rights, Safe Harbor has
other complex issues like when personal data is transferred from EU to US, and then to third countries. Also,

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participation in the Safe Harbor program has no effect on compliance with the requirements of privacy laws outside
the EU area. Consequently, being not complete solution, Safe Harbor became a model for other controversial
programs, like the ―U.S. – Swiss Safe Harbor‖ (Safe Harbor, 2000), and other bilateral agreements regarding
personal data privacy between US and European countries.

Bosnia and Herzegovina Regulations Regarding Data Privacy
Development and implementation of rules and regulations in field of data privacy is considered as a very
important step for BiH in terms of compliance with EU standards. With this orientation, the Law on Protection of
Personal Data (―Law‖) became the foundation and marked new age of data privacy legislation in BiH. It prescribes
establishment of supervisory agency and number of regulations, all in accordance to EU Directive.
The Law prescribes, first of all, that no one has the right to handle personal data of citizens without their
consent or a valid legal basis. The other principles of Directive are respected in Law, like the purpose of taking
personal data, and timely and accurate processing of personal data. Also, every citizen must be informed that his
personal data is being processed.
According to Law, BiH‘s Data Protection Agency (―Agency‖) is established as supervisory authority and
has become operational and begun its work in June 2008. Its key tasks are to supervise the implementation of the
Law on Personal Data Protection; to investigate complaints by the public about possible breaches of data protection
regulations; to order blocking, erasing or destroying of data, issue temporary or permanent bans of processing, issue
warnings or reprimands to the controllers; to organize training and raise the awareness of government institutions as
well as the wider public about data protection obligations; to provide advice and guidance on data protection matters;
carry out inspections of government institutions to check whether they comply with the rules of data protection; and
to ensure that no legislation infringes with the protection of personal data (Law on Protection of Personal Data,
2006).
Beside Law, there are four book of rules enacted in 2009 (Official Gazette, 2009) supporting this Law. They
are: Rules on the manner of keeping the records of personal data filing systems and the pertinent records form; Rules
on the manner of keeping and special measures of personal data technical protection; Regulation on supervision
inspection regarding protection of personal data; and, Regulation on procedure upon complaint by the data subject
filed to the agency for personal data protection. Director of Agency also issued the Instruction on how to verify the
processing of personal data before the establishment of collection of personal data.
Regarding international regulations, worth to mention is a short list, defined by the Agency, of five most
important international regulations applied on data privacy legislation and practice in BiH. These regulations are
explained briefly in above part regarding European data privacy legislation. The key international sources for BiH
data privacy legislation are: European Convention on Human Rights and Fundamental Freedoms, adopted by BiH in
1999; Convention for the Protection of Individuals with regard to Automatic Processing of Personal Data, together
with additional protocols entered into force in BiH in 2006; and Directive 95/46/EC, transposed in BiH Law on
personal data protection in 2006.
Beside these, BiH adopted Directive 2002/58/EC in 2002, at the same time when new legislative framework
designed to regulate the electronic communication sector. It is known as Directive on Privacy and electronic
communications, and contains provisions on a number of sensitive topics, such as the keeping connection data for the
purposes of police surveillance, the sending of unsolicited e-mail, the use of cookies and the inclusion of personal
data in public directories (Directive on privacy, 2002). It also known as E-privacy Directive, as it mainly regulates
important privacy issues in digital age, such as confidentiality of information, treatment of traffic data, spam and
cookies (E-Privacy Directive, 2003). BiH also adopted Recommendation No. 15 and addition on Committee
recommendation regulating the use of personal data in the police sector. The CoE Committee of Ministers
recommends with it that the governments of Member States respect a series of principles concerning control and data
collection, notification of automated files, storage, use and communication of data for police purposes, and rights of
access, rectification and appeal to police files (CoE, 1987).

Data Privacy Protection as Condition for BiH Visa Liberalization
Most important factor that influenced data privacy environment in last 5 years obviously was condition to
join EU. One of publicly most talked benefits of joining EU is freedom of travel, which more specifically means visa
liberalization. Very hard and expensive ways of obtaining visa for most countries in the world have been frustration
for BiH citizens almost 20 years. Getting advantage of traveling in EU without visa would certainly mean victory
equal to becoming an actual EU member state.

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BiH signed Stabilization and Association Agreement in June 2008 with European Communities and their
member states, where Article 79 is dedicated to protection of personal data. This Article prescribe that ―Bosnia and
Herzegovina shall harmonize its legislation concerning personal data protection with Community law and other
European and international legislation on privacy upon the entry into force of this Agreement. Bosnia and
Herzegovina shall establish independent supervisory bodies with sufficient financial and human resources in order to
efficiently monitor and guarantee the enforcement of national personal data protection legislation.‖ (Stabilization and
Association Agreement, 2008).
One of the key conditions for BiH visa liberation is securing full respect for fundamental principles of data
protection. This has been emphasized since Law on Personal Data Protection has been enacted in June 2006, and it
has been driving force for drafting data privacy legislation until today. Seminars and trainings have been conducted
since then, supported by European Commission and including European trainers, as it was not be realistic to expect
visa liberalization regime without paying due attention to this issue. Project supporting Commission for BiH Data
Protection, existed at that time, prepared seminars for specific sectors, like police, bank, health and
telecommunications, but also public campaign.
Enactment of the Law by the BiH Parliamentary Assembly has provided full compliance and
implementation of European standards in the area of respect for fundamental human rights and freedoms, particularly
the right to privacy. The Law also prescribed the establishment of the Agency, which should be engaged in
supervision over the enforcement of Law and respect for privacy rights regarding breaches of personal data.
However, although planned to be established immediately, the Agency started to function only in June 2008
(Kazagic, 2009). It had only three employees, director with two associates, until beginning of 2009. By the beginning
of 2010, agency works still with insufficient capacities, and has only 16 employees, although Book of Rules on
Internal Organization prescribed 45 employees (About the Agency, 2010).
As additional indication of importance of data privacy protection for European integration process, there is a
fact that Director of Agency, Petar Kovacevic, have been appointed as member of workgroup for liberalization of
visa regime. The task of this group is working on requirements fulfillment of the recently presented the Roadmap,
which including preparation of action plans of the Roadmap sections (Sjednica VijeĤa Ministara, 2009). According
to September 2009 report of this workgroup for liberalization of visa regime, Personal Data Protection Agency is
fully functional, while regulations on personal data protection are fully implemented (Interresorna radna grupa,
2009).
The European Union show significant interest in increasing the level of data protection, especially in the
sector of the police forces in BiH. In this regard, it has provided 250,000 Euros for the project "Support to the
Personal Data Protection Agency of BiH". The project lasted from October 2009 to march 2010, and it is
implemented by Personal Data Protection Agency Saxony in cooperation with BiH Agency. The project consisted of
three activities: legislation analysis and harmonization of personal data protection legislation in accordance with
the EU Standards; strengthening of institutional and human resources capacities of the Agency in order to enable it
to fulfill its competencies; strengthening of awareness and capacities of public institutions processing personal data
(European Union, 2009). This project, implemented by experts from Germany and Slovenia, has been evaluated as
highly successful by EU Delegation in BiH. The result of the project is that legislation in the field of protection of
personal data has been brought into full compliance with relevant EU standards (EU će budno pratiti, 2010).
However, there are recently expressed diverse opinions about functionality of private data protection system
in BiH. European Commission presented BiH with an updated assessment of the Roadmap implementation for visa
liberalization in June 2009. It states, in part regarding personal data protection, that two tasks are still needed:
- Measures to make the Data Protection Agency fully operational
- Measures taken to ensure the implementation of the rules for personal data protection (European
Commission, 2009).
Even in the latest assessment (European Commission, 2010, p.35) of Bosnia and Herzegovina, Commission
concludes again that no fully operational independent Data Protection Agency has been put in place yet, even though
Director of the Agency was appointed in June 2008. Main critics have been directed to adoption of additional
required by-laws, and ensuring implementation of the Law in all relevant areas.
Having in mind these opposing views, the head of the EU Delegation in BiH, Dimitris Kurkulas, said
recently that the EU will very closely monitor compliance with data protection in BiH, especially when it comes to
liberalizing the visa regime (EU Ĥe budno pratiti, 2010). He emphasized importance of future cooperation in the
international field in the area of data protection and information sharing, which requires the need to respect the rules
and regulations concerning the protection of personal data.

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Lack of Citizen’s Awareness of Data Misuse
Misuse of personal data in BiH is notable for years. Each registration is risky, as usually there is no
guarantee of privacy, or it is written in small letters that they have claim to your information. Data can be used only
for the purpose for which they were collected, but those who collect data are not sufficiently aware of their legal
obligations and keep them longer than they should.
Every citizen in BiH has the right to submit a complaint to the Agency when one learns or suspects that
one‘s personal data is unlawfully processed. There are complaints, but unfortunately, the awareness of citizens
regarding personal data protection, and rights that derive from it, are on the same low level as before Law was
enacted. There have been only ten complaints of citizens against data privacy violation until December 2009
(Kazagic, 2009). Agency is working on a campaign to improve this situation, and most evident was their campaign in
late 2009 and beginning of 2010, when project of EU supporting development of Agency was implemented.
Citizens of BiH are very often required to provide private data, from shopping centers to public institutions,
and they get not used to resist it. Although citizens don‘t have sufficient awareness, still, those who demand their
personal data are responsible for seeking and processing such data. Data collectors may use data only for the purpose
for which it is collected, but arbitrary use of personal data exist. For example, citizens are forced to give a Unique
Identification Number (UIN) for almost every little thing, and almost every paper form require this information. UIN
is also called Unique Master Citizen Number, and it has similar purpose like Social Security Number in USA.
Law on UIN precisely prescribe who can use this number, for what purpose, and if consent of citizen is
required. It is interesting that Law on UIN listed BiH institutions of local government and entities having the right to
use a UIN, but does not mention public companies, banks or shops, who usually request this number from citizens
when payment is arranged in rates. ID card may be given for identification purpose, but prescribing or copying UIN
number from ID card is against the law. This is why Agency requested modifying Law on Identity Card, and to
prohibit from using copies.

BiH Public Administration
The recent information shows that public institutions are those who mostly undermine the right of BiH
citizens on data privacy (Agencija zatražila, 2010). BiH legislation emphasize that personal data must be private
property, and no public institution should use it without explicit permission in law. But in BiH practice it happens to
be different. There are numerous cases of using personal data without required permission of citizen. Although Law
exists for years, they behave against Law when it comes to dealing with citizens‘ UIN.
Even further, more than three years from the enactment of Law in 2006, most of public institutions still
didn‘t adopted sublegal regulations required by this Law. Public institutions are required, according to Article 11 of
the Law, to adopt Book of Rules for Processing Personal Data, and Plan for Protection of Personal Data. Although
there are penalty provisions, most public authorities failed to comply with the Law in this regard. It is assumed that
legacy of the past political system made public authorities believe that they own and control data, including personal.
Agency intends to protect citizens from these practices. They already initiated process to amend the Law on ID card,
to include prohibition from using the copy of card, where possibilities of identity theft are noticeable (Krsman,
2009a).
As further step, Agency recently announced implementation of misdemeanor warrants in order collecting
fines that may go up to 100.000 KM. Most serious violations prescribed by Law are related to the processing and
transfer of personal data into foreign countries, and such practice exist in BiH. Penalties are provided for violating
the Law, and the Agency is still working on integrating into ―Sanctions Registry‖, which is precondition for
imposing sanctions. No sanctions are imposed yet, although Law is enacted about 4 years ago, and violators are not
penalized so far.
First activities of the Agency have been focused on establishing functional inspection, and some urgent
inspection control has been conducted in June 2009 over 20 public institutions, including police agencies and
Ministry of Foreign Affairs. The condition of data privacy protection has been evaluated as ―unacceptable‖ (Kazagic,
2009) and certain public companies have been ordered to destroy databases of citizens‘ UIN‘s because they have no
right to collect and keep such data.
The next steps in 2010 in ensuring of data privacy are again focused on public administration and public
companies. Agency has planned to establish main register with information about all databases containing private
data in BiH public administration (Krsman, 2009a).

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BiH Data Privacy Cases
Agency found out that most common deficiencies in the processing of personal data are inherited practices,
a lack of knowledge about regulations, lack of rules and procedures, and lack of plans for the protection of personal
data (Institucije BiH, 2009). Following four cases reflect the data privacy protection deficiencies in BiH
environment. All cases involve public administration or public enterprises.
1. When seeking the license for possession of the weapon in Sarajevo, a citizen come to Ministry of Interior
(MoI) and apply, and then he is directed to next office where he is requested to bring Police Clearance Certificate.
He is supposed to pay for obtaining this Certificate. However, Certificate is issued by MoI, same ministry that
requested him to obtain the Certificate. Obviously, they could obtain requested data in ex-officio procedure, rather
than requesting it from a citizen. And not just that citizen is obliged to seek from MoI and provide to MoI certificate
about personal information, but also he has to pay 35KM tax for this data processing. Agency is of opinion that this
practice must discontinue, and that determination of tax is not according to law (Krsman, 2009a).
2. Agency received a number of citizens‘ complaints that their unique identification numbers (UIN) and
other confidential information are exposed to public eyes by Public Enterprise ―Elektroprivreda‖. The problem is
raised more than year after Law is enacted, when citizens recognized illegally presented private data on their
electricity bills. These bills are left in (or nearby) mailboxes in hallway of building, and they are not in envelopes, so
every neighbor can read private data contained on bill. Irregular payers of utilities are sometimes listed on special
notice in building hallway. This case ended by Decision of the Agency, dated 8th May 2009, that orders
Elektroprivreda blocking and deletion of personal data (UIN) of electricity consumers. Elektroprivreda denied
possibility of personal data abuse, even though they possess personally identifiable information (Krsman, 2009b).
Rather than use of UIN, Agency advised public enterprises to use consumer codes. Public companies meanwhile
changed the system of printing bills, and discontinued printing UIN.
3. Sarajevogas Company, main natural gas distributor, has similar disputable system of personal data
processing like Elektroprivreda. Although they deny possibility of abuse, it is easy to obtain personal data of
costumer by simply typing customer code on their website. This code is contained on customer‘s bill, often
unprotected in residents‘ building hallway mailboxes, where postman leave it. The data reachable on Sarajevogas
website with this code include UIN, name, address and monthly debts of the customer (Krsman, 2009b).
4. In April 2010, the nongovernmental organization Kroacija Libertas filed with State Investigation and
Protection Agency criminal charges against editor of the political magazine ―60 Minutes‖, Bakir Hadziomerovic, and
against other persons employed at Agency for ID documents (IDDEEA), due to violating the Law. The charges
alleged that in the past year, journalists and editors in this political magazine of Federal television continuously
published photos of people, information about time and place of birth, current residence, UIN and other information
downloaded from the software of the IDDEEA, which is under the jurisdiction of the BiH Ministry of Civil Affairs.
IDDEEA dismissed allegations that representatives of this institution provided Federal television journalists access to
protected personal data of citizens. This Agency claim that all control mechanisms of data protection have been
implemented and integrated into the system, according to European Commission‘s recommendation, so such leak of
information is impossible. (Krivična prijava, 2010). This controversial case is still pending, with very serious charges
of criminal and irresponsible behavior of journalists who provided strictly copyrighted and personal data to general
public, while some of these data should have been preserved by the state of BiH and its institutions.

Conclusion
The importance of data privacy and the worldwide efforts in regulation of this area reflected in BiH as well,
with considerable delay comparing with EU countries. Some of the factors for dramatic improvement of recent data
privacy legislation are the same in BiH like in most other countries. First of all it is rapid expansion of the
information technology and its usage in data management. Among key factors are also democratization processes
which urge respect of human rights. Another factor is more regional, and it regards EU integration processes
requiring legislation compliance. Finally, specific factor is environment based on ex political system legacy in BiH,
which made these efforts challenging.
BiH has aspiration to go towards EU integration with fast pace, and on this road it is trying to enact all
regulations with full compliance with EU standards. Thus, it completely integrated general principles of European
data privacy into the Law on Personal Data Protection of BiH, with special respect to EU Directive requirements
which became world standard on promoting data privacy protection.
Personal Data Protection Agency of BiH is working hard to implement these regulations, but the practice of
personal data misuse transferred from old system is hard to eliminate. Recent cases illustrate inability of easy

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implementation of data privacy protection, and its application is far from being satisfactory. Relevant independent
international reports prove that additional efforts are needed for data privacy regulation functioning in practice.
To make a progress in data privacy protection, BiH need to raise awareness of data subjects, first of all
citizens, who still don‘t hesitate to give in their personal data when inquiring certain benefits. Then it needs to raise
awareness of public administration and public enterprises which are still among most serious violators. Public
administration demonstrated its commitment to the unacceptable practice of being comfortable in collecting and
having control over citizen‘s personal data. And lastly, BiH needs judicial system that will ensure efficient trial of
data privacy violations, to eliminate practice of recent cases, where violators passed unpunished.

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Official Gazette of Bosnia and Herzegovina. (1999, 2004, 2009). No. 6/99, 7/04, 51/09, 52/09, 67/09 and 76/09.
Organization for Economic Co-operation and Development. (1980, September 23). Guidelines on the Protection of Privacy and
Transborder Flows of Personal Data. Retrieved May 8, 2010, from
http://www.oecd.org/document/18/0,3343,en_2649_34255_1815186_1_1_1_1,00.html
Reding, V. (2010, January 28). Europeans' Privacy will be big challenge in next decade. European Commission‘s press release
IP/10/63. Retrieved May 8, 2010, from http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/63
Robinson, N., Graux, H., Botterman, M., &amp; Valeri, L. (2009). Review of the European Data Protection Directive.
Information Commissioners Office (ICO), UK. Santa Monica, CA: RAND Corporation. Retrieved from
http://www.ico.gov.uk/upload/documents/library/data_protection/detailed_specialist_guides/review_of_eu_dp_directive.pdf
Safe Harbor. (2000). US-EU Safe Harbor Framework. US Department of Commerce. Retrieved from
http://www.export.gov/safeharbor/

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Secretary's Advisory Committee on Automated Personal Data Systems. (1973, July). Records, Computers and the Rights of
Citizens. Retrieved May 8, 2010, from http://aspe.hhs.gov/DATACNCL/1973privacy/tocprefacemembers.htm
Sjednica VijeĤa Ministara. (2009, July 21). Održana 10. tematska sjednica VijeĤa ministara BiH [10th thematic session of the
Council of Ministers held]. Council of Ministers press release. Retrieved May 8, 2010, from
http://www.vijeceministara.gov.ba/saopstenja/sjednice/saopstenja_sa_sjednica/?id=8782
Stabilization and Association Agreement between Bosnia and Herzegovina and the European Communities and their member
states. (2008). Retrieved May 8, 2010, from http://www.dei.gov.ba/bih_i_eu/ssp/doc/Default.aspx?id=2952&amp;pageIndex=1
Staples, W.G. (2007). Encyclopedia of privacy. Westport, CT: Greenwood Press.

684

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                <text>SAMİR, Husic
KUTLUK, Ozguven</text>
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                <text>Dramatic increase in importance of data privacy came with advance of information  technology. Global domination of information exchange is forcing governments to establish  international standards and regulatory mechanisms in order to protect data privacy. These efforts  resulted in general principles of data privacy, which have been widely accepted, but also difficulty  for diverse legislations.  While Europe has highly developed and human rights oriented data privacy regulations, USA has  less regulated and business enhancing oriented approach. Such discrepancy resulted in continious  international discussions and agreements towards regulation‘s harmonization.  Data privacy regulations in BiH has radical boost recently. The main push was protection of data  privacy as condition for visa liberalization with EU countries, making BiH data privacy in full  compliance with EU standards. However, when it comes to practical application, there‘s  significant amount of data privacy interference and lack of awareness, while most serious breaches  are conducted by public administration.</text>
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                    <text>Life Table Analysis and Sustainable Fisheries
Hülya SAYGI
Ege University, Faculty of Fisheries, Department of Aquaculture,
35100 Bornova, Izmir-TURKEY
hulya.saygi@ege.edu.tr
Bahar BAYHAN
Ege University, Faculty of Fisheries, Department of Hydrobiology,
35100 Bornova, Izmir-TURKEY
bahar.bayhan@ege.edu.tr

Abstract : In this study, the Life Table Method also known as the Cutler-Ederer life table
technique, was introduced and practicability of this technique for determining life period of
fish species of which natural mortalities were found by estimation using parameter of length
weight relationships has also been searched. The aim of this study is to show that life table
method used for human beings, can be also used to predict fish species. The data employed in
the present study is that of scaldfish Arnoglossus laterna (Walbaum, 1792) (Pisces: Bothidae)
obtained from the Aegean Sea. Life span of five years and its ages were directly taken into
account in the table prepared by the data concerned. Consequently, according to the data
estimated, the life expectancy of the species in the Aegean Sea is approximately 11 years.
Furthermore, the number of individuals estimated to live more than 5 years from the scaldfish
population including 1000 individuals was calculated to be some 970.

a.

Introduction

Preservation of the living or the non-living natural resources and transferring them to future generations
consists in sustainability. Fisheries in almost all seas have rarely been sustainable. Rather, overfishing has led to
gradual depletions, long masked by improved technology, geographic expansion and exploitation of previously
spurned species lower in the food web (Pauly et al. 2002).
Estimations should be performed on the number of the animals especially for endangered species even
for strains in the same species to determine their population in the future, according to which new programmes
should be developed and precautions taken. Methods of calculation depend on in the related techniques and
number of the equations used, and whether or not they consist of seasonal influences, are classified as quantitive
(time serious analysis, causal models and survival analysis) and qualitive (market analysis, desicion hypothesis,
growth cures, simulation) ones. According to the data and the hypothesis to be tested, survival analyses
performed by the three methods: Life Table Method (Cutler-Ederer Method), Kaplan-Meier Method, and Cox
Regression Method (Özdamar, 1999).
The life table method is one of the oldest to measure mortality and describe the survival experience of a
population. It has been used by actuaries demographers, governmental agencies and medical researchers in the
studies of survival, population growth, fertility, migration, and so on. There are two kinds of population life
tables namely: the cohort life and current life tables. The cohort life table describes the survival or mortality
experience from birth to death of a specific cohort of individuals which were born at about the same time. The
current life table is made by applying the age-specific mortality rates of a population in a given period of time to
a hypothetical cohort of 100.000 or 1000.000 individuals. One of the most often reported statistics from current
life tables is the life expectancy. The life expectancy of a population is a general indication of the capability of
prolonging life. It is used to identify trends and compare longevity. The term ‘population life table’ is often used
to refer to the current life table (Lee &amp; Wang 2003).
The aim of the study is to show that the life table technique used extensively for human beings (Lee
1992; Lee &amp; Wang 2003; Keiley &amp; Martin 2005) can also be employed in prospective estimations of the
numeral magnitude of the fish species whose natural mortality is found by the above mentioned calculations.

689

�b. Material and Methods
The data used in the present study belongs to scald fish samples obtained from the Aegean Sea coast of
Turkey from January 2002 to March 2003. The total length (TL) of each fish obtained was measured to the
nearest cm. The total body weight (W) was determined to the closest 0.01 g.
The sagittal otoliths were removed from the specimens, and cleaned with distilled water. The otoliths
were placed in a black dish with glycerin (30%) and alcohol (70%) to improve readings. The translucent bands
observed under a stereoscope with reflected light (30 magnifications) were counted. Based on the otolith
readings, the age distribution of the samples ranged from I to V years. The length-weight relationships for weight
was calculated using the equation, W=aLb (Ricker 1979) where a is a coefficient related to body form and b is an
exponent indicating isometric growth when equal to 3. It has been suggested that there is a correlation such as
M=W-1/b between spontaneous mortality and mean weight of the specimen using mean weight value in which
von Bertalanffy’s growth constants were found in rate of spontaneous mortality (M) (Sparre et al.1989; Avşar,
1998). M=W-1/b ,where W is the mean weight and value (b) is the slope of regression constants calculated by
length-weight relationships for the same material.
Current life tables usually have the following columns (Lee &amp; Wang 2003):
6. Age interval [x to x + t]. This is the time interval between two exact ages x and x + t; t is the length of
the interval.
7.

Proportion of individuals alive at beginning of age interval but dying during the interval (tqx). The
information is obtained from census data. This column is usually calculated from the data of the
decennial census of population and deaths occurring in the given time interval.

8.

Number living at beginning of age interval (lx). The initial value of lx, the size of the hypothetical
population, is usually 100,000 or 1,000,000. The successive values are computed using the Formula
lx = lx-1 (1 - tqx – t)
where 1 - tqx – t is the proportion of individuals who survived the previous age interval.

10. Number dying during the age interval (tdx)
td x

•

= lx(tqx) = lx - lx+1

Stationary population (tLx and Tx ). Here tLx is the total number of years lived in the ith age interval or
the number of individual-years that Lx individuals, aged x exactly, live through the interval. For those
who survive the interval, their contribution to tLx is the length of the interval. For those who die during
the interval, we may not know exactly the time of death and the survival time must be estimated. The
conventional assumption is that they live one-half of the interval and contribute t/2 to the calculation of
tLx. Thus,
t

L x = t (l x +1 + t / 2 d x )

The symbol Tx is the total number of individual-years lived beyond age t by individuals alive at that age,
that is,

Tx =

∑

t

Lj

j≥ x

and

Tx = t L x +Tx + t
•

Average remaining life time or average number of years of life remaining at the beginning of age
0

interval ( ei ). This is also known as the life expectancy at a given age, which is defined as the number
of years remaining to be lived by individuals at age x.

690

�0

ex =

Tx
Ix
0

0

The expected age at death of a person aged x is x+ e x . The e x at x = 0 is the life expectancy at birth.
The life expectancy of a population is a general indication of the capability of prolonging life. It is used to
identify trends and compare longevity (Lee, 1992; Lee &amp; Wang, 2003).

c.

Results and Discussion

Sample of 1081 speciemens was used to determine age. The age distribution of individuals of A. laterna
population was found to be between I and V. The natural mortality rates calculated for each age (I-V) group of A.
laterna inhabiting the Aegean Sea and the life table obtained are presented in the Tab. 1 Consequently, the data
estimated indicates that life expectancy of the species in the Aegean Sea is approximately 11 years. Furthermore,
the number of individuals likely to survive for over V years from the scald fish population of 1000 individuals
was calculated to be some 970.

Age
(x)

Nx

I

43

II

337 0.737 0.002 0.004 0.995

981.042

4.282 1957.802

9618.547

9.804

III

321 0.701 0.002 0.007 0.993

976.760

6.378 2920.713

7660.745

7.843

IV

312 0.658 0.002 0.008 0.992

976.760

8.205 3890.631

3890.631

3.983

V

68

970.382

44.751 4740.031

4740.031

4.885

Dx

mx

qx

px

Ix

dx

0.823 0.019 0.019 0.981 1000.000

0.642 0.009 0.046 0.954

18.958

Lx

Tx

ex

990.521 10609.070 10.609

Table 1: The life table for calculated natural mortalities of scaldfish.
Reliability of the estimations obtained by life table analysis requires validity of the assumptions
admitted by it. The number of the individuals in the last age group considered in the table in particular of whose
future we are not convinced tends to effect estimations of the other age groups. Morever, rates of mortality by
ages considered regarded in structuring the table is another factor to affect accuracy of the estimations concerned.
Both factors above can be said to be drawbacks of the analysis itself.
Meanwhile number of many species decreases with their genetic diversity gradually becoming extinct.
Estimations of howlong the species could further survive in the studies related to biologies of the species of
economic value and to their protection of fauna to be likely to extinction and in those involving aquaculture and
fisheries have been of great importance.

References
Avsar, D. (1998). Fisheries Biology and Population Dynamics. Baki Book Press, Adana.
Keiley, M..K. &amp; Martin, N.C. (2005). Survival Analysis in Family Research. Journal of Family Psychology 19 (1), 142-156.
Lee, E.T. (1992). Statistical Methods for Survival Data Analysis. Second Edition, New York: John Wiley&amp;Sons.
Lee E.T. &amp; Wang J.W. (2003). Statistical Methods for Survival Data Analysis. Third Edition, New Jersey, John Wiley&amp;Sons.
Özdamar, K. (1999). Bioistatistik with SPSS. Kaan Press, Eskisehir.

691

�Pauly, D. Christensen, V. Guénette, S. Pitcher, T.J. Sumaila, U.R. Walters, C.J. Watson, R. &amp; Zeller, D. (2002). Towards
sustainability in world fisheries. Nature 418, 689-695.
Ricker, W.E. (1979). Growth rates and Models, in Fish Physiology (Hoar, W.S., Randall, D.J. &amp; Brett, J.R. (eds.). Vol. VIII,
Bioenergetics and Growth, Academic Press, 677-743.
Sparre, P. Ursin, E. Venema, S.C. (1989). Introduction to tropical fish stock Assessment—Part 1: Manual, FAO-Food and
Agriculture Organization of the United Nations, Rome.

692

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                <text>In this study, the Life Table Method also known as the Cutler-Ederer life table  technique, was introduced and practicability of this technique for determining life period of  fish species of which natural mortalities were found by estimation using parameter of length  weight relationships has also been searched. The aim of this study is to show that life table  method used for human beings, can be also used to predict fish species. The data employed in  the present study is that of scaldfish Arnoglossus laterna (Walbaum, 1792) (Pisces: Bothidae)  obtained from the Aegean Sea. Life span of five years and its ages were directly taken into  account in the table prepared by the data concerned. Consequently, according to the data  estimated, the life expectancy of the species in the Aegean Sea is approximately 11 years.  Furthermore, the number of individuals estimated to live more than 5 years from the scaldfish  population including 1000 individuals was calculated to be some 970.</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

The Effects of Employees' Demographic Characteristics on the Perception
of Organizational Culture: A Study in Service Enterprise
Halil SAYLI
Afyon Kocatepe University
Faculty of Economics and Administrative Sciences
Afyonkarahisar, Turkey
sayli@aku.edu.tr
Ahmet BAYTOK
Afyon Kocatepe University
School of Tourism and Hotel Management
Afyonkarahisar, Turkey
ahmetbaytok@aku.edu.tr
Hasan Hüseyin SOYBALI
Afyon Kocatepe University
School of Tourism and Hotel Management
Afyonkarahisar, Turkey
hsoybali@aku.edu.tr
Abstract: This study aims to evaluate the service sector employees‘ perception of
organizational culture from the demographic characteristics perspective. The research was
conducted in a Ministry of Culture and Tourism Licensed five-star thermal hotel in
Afyonkarahisar, Turkey. In scope of this study, a questionnaire was developed and applied to
thermal hotel employees. The data collected through the questionnaire survey was analysed
by using SPSS 18.0 statistics package software and the relationship between factors which
creates the organizational culture and demographic characteristics of employees such as age,
gender, education level and duration of experience both in the sector and in the hotel was
examined. From the hypothesis developed it was observed that while differences exist
between organizational culture perception and gender, age and education level, there are no
differences between organizational culture perception and duration of experience both in the
sector and in the hotel.

Introduction
Culture, as a fact related to human societies gathered according to certain principles, is used to express
the interaction between human beings and it‘s consequences (Hodgetts &amp; Luthans, 2000: 108). Being an
important concept related to human and human beings makes the culture important for enterprises whose one of
the most important competitive tools is human. The power, which forms common language, expressions and
concepts to create an internal commitment between the members of an organization, arranges the power of
members, their status, promotions and relationships between each other and makes them to be able to give
meanings to all organizational events is culture (Özkara, 1999: 84). One of the factors that play a key role in
creation of a strong culture which will contribute to achieve the objectives of a business is its employees.
Because employees are the people who keep the culture alive in organizations. Therefore, it is essential to know
how employees perceive organizational culture in an organization. Demographic characteristics of employees
are one of the factors which play an important role in employees‘ organizational culture perception (Hofstede et
al.1990; Helms &amp; Stern, 2001). Being aware of the effects of demographic characteristics on the perception of
organizational culture will guide primarily management in areas of policy formation, determination of
competencies, manpower planning, socialization process planning, keeping the culture alive and changing the
culture.

198

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Organizational Culture
Over the last 30 years, organizational culture has been a topic of significant interest in the
organizational studies literature. In short, the culture expressed with a ― the way things are done around here‖
phrase, can be defined as ―shared and the agreed set of values and beliefs by the members of organization‖
(Recardo &amp; Jolly, 1997: 5), ―the shared philosophies, ideologies, values, assumptions, beliefs, expectations,
attitudes, and norms that knit a community together (Kilmann et al. 1986: 89), ―collective thinking program
which makes different the members of an organizations from others‖ (Hofstede 1991: 182–183), ― a pattern of
shared basic assumptions that the group learned as it solves its problems of external adaptation and internal
integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as
the correct way to perceive, think, and feel in relation to those problems‖ (Schein, 1992:12). When the above
organizational culture definitions are examined, a group of people, behavioural characteristics which distinguish
this group from others and the resources of these are indicated as determinant factors.
The culture of organizations bears the characteristics of the community culture. However, each
organization brings about its own culture to ensure organizational cohesion among its members. As each
organization is formed by people with different characteristics, as fingerprints organizational culture is also
different from others and unique. Different behavioral norms, expectations, practices and organizational values
are the main reason for formation of differences (Vanderberghe, 1999: 175).
Everybody who works in an organization accepts the culture which symbolizes unwritten behavioural
aspects of the organization. But, the culture controls the organizational life without getting noticed Daft, 2000:
314). In the world of modern management, the culture which has become a main area of interest at the same
level with strategy, structure and control is the characteristics of organizations, not individuals‘. But, it is
measured by individuals‘ actual and intellectual behaviour (Hofstede, 1998: 479).
Understanding the organizational culture and its dynamics, it makes meaningless and unusual human
behaviour faced in the organization meaningful (Schein, 1992: 4) and allow us to understand how the
organization works in reality (Wilkins, 1983: 25).

Demographics Characteristics, Organization Culture And Their Relationship
Culture of an organization is formed by artifacts, espoused values and basic assumptions and is unique
(Schein, 1992). This is because each organization is formed by different people. In addition, in an organization,
perceptions of the enacted organizational culture are not uniform among employees, as every individual has a
unique understanding and explanation of his/her working conditions, based on his/her own characteristics,
preferences and personality‖ (Bellou,2010: 5).
Demographic characteristics of employees are one of the factors which play an important role in
employees‘ organizational culture perception. In the literature, there has been studies indicating that employees‘
perception of organizational culture differs according to their demographic characteristics such as gender, age,
education level, work experience (Hofstede et al.1990; Helms ve Stern, 2001; Bellou, 2010). For example,
Hofstede et.al. (1990), who claim that the shared perceptions of daily practices are the core of organizational
culture, declare that the values of employees change depending on the nationality, age and education level.
Helms ve Stern (2001), on the other hand, state in a study conducted in different branches of a hospital group as
a service enterprise that the background of employees and sectoral work experience affect the organizational
culture more than the experience acquired in work place. The same study also indicates that there are significant
differences between the cultural perception and age groups in particular, gender and ethnic background, there is
not much difference between the duration of work experience in the organization and organizational culture
perception and there is no relationship between the department of employees and organizational culture
perception. Bellou (2010) who conducted a research on organizational culture as a determinant of job
satisfaction emphasizes that age and gender are determining factor in perception of organizational culture values.
In this context, the study tries to find an answer to the following question; ―does the perception of
organizational culture differ according to employees‘ demographic characteristics in service enterprises?
Hypotheses were developed to answer the basic research question and in development of these research
hypotheses, Helms &amp; Stern‘s (2001) study was taken as a reference study.
The ways male and female employees fulfill their work and communicate are different in an organzation.
Similarly, decision making and leadership styles indicate differences between male an female employees and
managers. Therefore, organizational culture perception difference is expected depending on employees‘ gender.
H1. Employees' perceptions of organizational culture may vary according to gender.

199

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
Age is a determinant in formation of employees‘ experience. In addition, hayat görüĢleri (life views) ans
communication and consequently values of employees at the same age group are similar. For this reason, it is
expected that employees‘ perception of organizational culture at different age groups will indicate differences.
H2. Employees' perceptions of organizational culture may vary according to age groups
Organizational culture is a subject which contains different elements and related to values. Therefore, it
requires cumulative knowledge and conceptual perspective. Level of education is a important determinant in
development of conceptual perspective. Therefore, it is expected that employees‘ perception of organizational
culture will indicate differences according to their education level.
H3. Employees' perceptions of organizational culture may vary according to level of education
The experience acquired in the sector provides information to managers and employees about how the
processes of their work and style of conducting the work should be. Consequently, they understand which values
should form the values, aware of and understand their importance. From this perspective, it is expected that
employees‘ perception of organizational culture will indicate differences according to their sectoral work
experience.
H4. Employees' perceptions of organizational culture may vary according to their duration sectoral
work experience.
Learning and adaptation process to the culture requires a certain time. Therefore, existence of
organizational culture perception difference between employees who have worked longer in an organization and
who have worked shorter is an expected result.
H5. Employees' perceptions of organizational culture may vary according to their duration of work
experience in the organization.

The Study
Research was carried out in an accommodation enterprise as part of tourism industry and consequently
service sector. The thermal hotel is located in Afyonkarahisar Omer-Gecek Thermal Tourism Region. It is one of
the largest hotel in the region and in Turkey and in operation since 2006. The hotel provides services to its
customers on half board service base and operates all year round. While the hotel provides services with 250
employees during the high season, only 120 employees are employed in spring season which is accepted as the
off-season.
Observation and interviews as qualitative methods (Smircich, 1983) are widely accepted and preferred
research tools by researchers in measuring the organizational culture and understanding the artifacts of culture.
Nevertheless, it may be possible that employees may behave differently and reply the questions used in these
methods in the way that the observer expects or the observer may exhibit biased behaviour in his/her
observations. On the other hand, quantitative methods provide instantaneous (cross-sectional), explanatory and
descriptive benefits for organizational research and large scale studies. Quantitative methods allow culture
researchers to examine culture in different departments and conduct comparative studies (Tepeci, 2001).
In this context, a questionnaire was used as a data collection tool to find out employees organization
culture perceptions. In the study, ―Organizational Culture Questonnaire‖ which was developed and its validity
and reliability was tested by Hee-Jae Cho‘s (2010) was used. Questionnaire consists of 60 judgements.
Organizational culture in the questionnaire consist of four main factors; involvement, consistency, adaptability,
and mission. Each main factor that makes up the questionnaire includes three sub-factors which each contain five
questions describing themselves. Five-scale Likert type scale was used in the study. Questions include ―1
strongly disagree‖, ―2 disagree‖, ―3 Neutral‖, ―4 agree‖, ―5 strongly agree‖ options. Employees‘ demographic
characteristics consist of gender, age, education level, duration of sectoral experience and duration work
experince at the hotel.
Questionnaire was administered at the beginning of May 2010. Because spring season is the off-season fort he
hotel, 120 questionnaires were distributed to the employees and 99 questionnaires were returned. The data
obtained through the questionnaire was analysed by using SPSS 18.0 statitics package software. In the statistical
analysis, T-test and Anova variance analysis were used.

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Findings
The demographic data obtained indicate that the hotel has a very young workforce regarding their age
groups. 91.8% of the employees who participated in the survey are under the age of 40. It is observed that 56.1%
of respondents are male and the remaining 43.9% are female. Almost half of the employees employed by the
hotel have high school level of education (46.9). The percentage of employees who received elementary level
education is 30.2%. While 60.6% of the employees have more than two years of sectoral experience, 35.5% of
whom have worked at this thermal hotel for at least three years. When this data is assessed, it can be said that the
hotel has employed young but experienced employees. Besides, because most of the employees are permanent
employees and have worked for the organization for at least three years, this contributes to this rearch to obtain
reliable data related to the organizational culture values and hypothesis. The research method should comprise
the reliability and validity features so that it can produce meaningful and reliable results. The consistency
between independent measurements of the same thing, shows the reliability of the research method. Reliability
analysis results: The full scale reliabilty coefficient was determined as  = 0,980 which is quite high. Sub-factor
groups‘ reliabilty coefficient was found as; Involvement  = 0,942, Consistency;  = 0,929, Adaptability;  =
0,920, Mission;  = 0,953 which are also at quite high level. Demogrphic variables subject to analysis are
ranked a gender, age, duration of work in the sector, and duration of work at the hotel.
Gender
As shown in Table 1, employees' perceptions of organizational culture indicate significant differences
within the confidence intervals (p&lt;0.05) depending on their gender. It is observed that the differences in
perceptions of organizational culture stems from the male employees. According to this result, the hypothesis of
―employees' perceptions of organizational culture may vary according to gender‖ is confirmed H1.

Gender
Female

Male

122

280

VARIABLES

X
Involvement
Consistency
Adabtability
Mission
Culture

3,7767
3,7442
3,6729
3,7178
3,7279

SS
,75717
,71948
,65527
,74831
,67402

_
X
4,0933
3,9869
3,9714
4,0488
4,0136

t-TEST RESULTS

SS
,60771
,64025
,65405
,71515
,62581

t value
-2,297
-1,772
-2,249
-2,237
-2,168

p value
,024
0,080
0,027
0,028
0,033

Table 1: t-Test findings related to employees' perceptions of organizational culture by gender
Age
When the organizational perceptions of employees are evaluated according to age groups within the
confidence interval (p&lt;0.05), significant differences between consistency, adaptability and mission as
organizational culture and sub-factors are observed (Table 2). But, as a sub-factor, no significant difference is
seen in involvement. Differences in perceptions of organizational culture become prominent in older ages.
Although no significant differences are observed in 15-20 age group, 30 and over age groups indicated
significant differences. According to this result, the hypothesis of ―employees' perceptions of organizational
culture may vary according to age groups‖ is also confirmed H2.

Education
As shown in Table 1, employees' perceptions of organizational culture indicate significant differences
within the confidence intervals (p&lt;0.05) depending on their level of education. Differences in perceptions of
organizational culture become more evident in upper education levels. According to this result, the hypothesis of
―employees' perceptions of organizational culture may vary according to level of education‖ is confirmed H3.

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
VARIABLES

Involvement

Consistency

F Value

Significance Level

2,147

2,726

0,099

Source of Difference
15-20
21-29
30-39

Significance Level
0,098
0,051
0,014

0,048

40-49
15-20
21-29
30-39

0,014
0,147
0,014
0,006

40-49
0,006
15-20
0,202
21-29
0,009
Adabtability
3,046
0,032
30-39
0,005
40-49
0,005
15-20
0,189
21-29
0,016
Mission
2,698
0,050
30-39
0,007
40-49
0,007
15-20
0,080
21-29
0,013
Culture
2,865
0,041
30-39
0,005
40-49
0,005
Table 2: One-Way ANOVA analysis findings related to employees' perceptions of organizational
culture by age groups
VARIABLES
Involvement

F Value
5,768

Significance Level

Source of Difference

Significance Level

,004

Primary
High School

,842
,003

University
Primary
High School
University
Primary
High School
University
Primary
High School

,003
,245
,010
,001
,659
,006
,006
,976
,003

University
Primary

,003
,567

High School
University

,004
,004

Consistency

6,173

,003

Adaptability

5,188

,007

5,277

,007

Mission

Culture

6,021

,003

Table 3: One-Way ANOVA analysis findings related to employees' perceptions of
organizational culture by level of education
Tenure
According to One-Way ANOVA analysis results, which aims to measure the differentiation in
organizational culture perceptions depending on the duration of sectoral work experience, no significant
difference is found within the confidence interval (p&lt;0.05). Therefore, the hypothesis of ―Employees'
perceptions of organizational culture may vary according to their duration sectoral work experience‖ is rejected
H4.
Tenure in the organization
One-Way ANOVA analysis results based on the duration of work experience in the organization do not indicate
significant differences within the confidence interval (p&lt;0.05). Thus, the hypothesis of ―Employees' perceptions

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo
of organizational culture may vary according to their duration of work experience in the organization‖ is rejected
H5.

Conclusions
The results of the study reveal that demographic characteristis are determinant factors in organizational
culture perceptions. Significant differences are observed in particular between the perception of organizational
culture and gender, age (except for involvement) and education level. However, no significant differences appear
between the perception of organizational culture and the duration of work experience in the secto and in the
organization. When the findings of the study are compared to other studies conducted before, despite the
existence of some differences, the study reveals similar results with others (Hofstede et al.1990; Helms ve Stern,
2001; Bellou, 2010). For instance, Hofstede et.al. (1990) state that the values of employees indicate differences
according to their age and level of education. Helms &amp; Stern (2001) and Bellou (2010), on the other hand,
emphasise the existence of significant differences between the organizational culture perception and age and
gender. Although Helms and Stern determined meaningful differences, even they are small, between duration of
work experience in the sector and in the organisation and organizational culture perceptions, no significant
differences are observed in this study.
This study has some limitations. The most important of which the research is conducted in only one hotel. This
does not allow reserachers to generalize the findings to all thermal hotels. When the overall number of
employees is taken into consideration, the inadequate number of respondents is another limitation. Repeating the
study in similar thermal hotels working in similar environment and other kind of hotels working in different
locations and environments (seaside, mountain resort, city hotels) will make the effects of demographic
characteristics on organizational culture perception more prominent.

References
Bellou, V., (2010). Organizational culture as a predictor of job satisfaction: the role of gender and age, Career Development
Journal, 15 (1), 4-19.
Cho, H.J., (2010). The validity and reliability of the organizational culture questionnaire
http://www.denisonculture.com/articles/validity.pdf- (25.04.2010)
Daft, R.L. (2000). Organization theory and design. 7.Ed., South-Western Publishing, Ohio-USA.
Helms, M.M. &amp; Stern, R., (2001). Exploring the factors that influence employees‘ perceptions of their organization‘s culture.
Journal of Management in Medicine, 15 (6), 415-429.
Hodgetts, R.M. &amp; Luthans, F. (2000). International management, culture, strategy and behavior, 4.Ed., McGraw-Hill, USA.
Hofstede, G., Neuijen, B., Ohayv, D.D., &amp; Sanders, G., (1990). Measuring organizational cultures: a qualitative and
quantitative study across twenty cases, Administrative Science Quarterly, 35 (2), 286-316.
Hofstede, G. (1991). Culture and organizations: The Software of The Mind, McGraw-Hill, NY.
Hofstede, G., (1998). Attitudes, values and organizational culture: Disentangling the concepts, Organization Studies, 19 (3),
477-492.
Kotter, J. P. &amp; Heskett, J. L. (1992). Corporate culture and performance, The Free Press, NY.
Kilmann, R.H., Saxton, M.J., &amp; Serpa, R., (1986). Issues in understanding and changing culture, California Management
Review, 28 (2), 87-94.
Özkara, B. (1999). Evrimci ve devrimci örgütsel değiĢim, Afyon Kocatepe Üniversitesi, Afyon.
Pool, S. W., (2000). Organizational culture and its relationship between job tension in measuring outcomes among business
executives, Journal of Management Development, 19 (1), 32-49.
Recardo, R., &amp; Jolly, J., (1997). Organizational culture and teams, SAM Advanced Management Journal, Spring, 4-7.
Riegle, R.F., (2001). Measuring organic and mechanistic cultures, Engineering Management Journal, 13 (4), 3-8.
Sadri, G., &amp; Lees, B., (2001). Developing corporate culture as a competitive advantage, Journal of Management Development,
20 (10), 853-859.

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Schein, E.H. (1992). Organizational culture and leadership. 2. Ed., Jossey Bass Publishers. San Fransisco.
Simpson, S., &amp; Cacioppe, R., (2001). Unwritten ground rules: transforming organizations culture to achieve key business
objectives and outstanding customer service, Leadership &amp; Organization Development Journal, 22 (8), 394-401.
Smircich, L., (1983). Concepts of culture and organizational analysis, Administrative Science Quarterly, 28,

339-358.

Tepeci, M., (2001). The effect of personal values, organizational culture, and person-organization fit on individual outcomes
in the restaurant ındustry, Thesis for The Degree of Doctor of Philosopy, Penn State University.
Vanderberghe, C., (1999), Organizational culture, person-culture fit, and turnover: A replication in the health care ındustry,
Journal of Organizational Behavior, 20, 175-184.
Weick, K.E., (1987) Organizational culture as a source of high reliability, California Management Review, 29 (2), 112-127.
Wilkins, A.L., (1983). The culture audit: A tool for understanding organizations, Organizational Dynamics, Autumn, 24-38.

204

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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Sharing and Managing Risks in Islamic Finance
Ahmet SEKRETER
Bosnian Turkish College
ahmetsekreter@hotmail.com
Mehmet CAN
Prof. Dr., International University of Sarajevo
mcan@ius.edu.ba

Abstract: For most of the people the prohibition on interest is the well known part of Islamic
finance however the rest is considered as an unknown finance system that is based on the rules
which are written thousands years ago. Indeed, the concept of Islamic finance is not be discussed
enough till financial crisis, after crisis it started to be seen as an alternative financial system.
However some new approaches are needed to demonstrate Islamic finance as an alternative of
conventional finance. Sharing the risks is main concept in investments but question is what the
investments are. In the new approach of risk management the idea is consumers can follow their
money and investments and banks have to inform the consumers.

Introduction
Islamic finance is any finance that is compliant with the principles of Islamic law (Shari‘ah). In terms of
finance, Shari‗ah explains in details the ethical concepts of money and capital, the relationship between risk and
profit and the social responsibilities of financial institutions. [1]
This definition may tell us that Islamic finance gives us limited opportunities to make profit and people can
think there are many strict rules which are written thousands years ago. So because of this Islamic finance is not
applicable in today‘s modern world. However the last crisis shows that conventional finance is not perfect. So
Islamic finance is started to be searched and seen that Islamic finance can be an alternative for conventional finance
and there are financial instruments in Islamic finance like in conventional finance. These instruments can easily
adopt to our modern world.

Major instruments of Islamic finance
Murabahah
This concept refers to the sale of goods at a price, which includes a profit margin agreed to by both parties.
The purchase and selling price, other costs, and the profit margin must be clearly stated at the time of the sale
agreement. The bank is compensated for the time value of its money in the form of the profit margin. This is a fixedincome loan for the purchase of a real asset (such as real estate or a vehicle), with a fixed rate of profit determined by
the profit margin. The bank is not compensated for the time value of money outside of the contracted term (i.e., the
bank cannot charge additional profit on late payments); however, the asset remains as a mortgage with the bank until
the default is settled.[2]
Istisna
Istisna is the second kind of sale where a commodity is transacted before it comes into existence. It means
to order a manufacturer to manufacture a specific commodity for the purchaser. If the manufacturer undertakes to
manufacture the goods for him, the transaction of Istisna comes into existence. But it is necessary for the validity of
Istisna that the price is fixed with the consent of the parties and that necessary specification of the commodity
(intended to be manufactured) is fully settled between them.
[1] Islamic Finance: An Ethical Alternative to Conventional Finance,(2008), Aziz Tayyebi
Wikipedia.org

55

[2]

�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

The contract of Istisna creates a moral obligation on the manufacturer to manufacture the goods, but before
he starts the work, any one of the parties may cancel the contract after giving notice to the other. But after the
manufacturer has started the work, the contract cannot be cancelled unilaterally.
However, the party placing the order has the right to retract if the commodity does not conform to the
specifications demanded.[3]
Ijara
Ijarah means lease, rent or wage. Generally, Ijarah concept means selling the benefit of use or service for a
fixed price or wage. Under this concept, the Bank makes available to the customer the use of service of assets /
equipments such as plant, office automation, motor vehicle for a fixed period and price. [4]
Musharakah
Musharakah is a relationship between two parties or more, of whom contribute capital to a business, and
divide the net profit and loss pro rata. This is often used in investment projects, letters of credit, and the purchase or
real estate or property. In the case of real estate or property, the bank assess an imputed rent and will share it as
agreed in advance. All providers of capital are entitled to participate in management, but not necessarily required to
do so. The profit is distributed among the partners in pre-agreed ratios, while the loss is borne by each partner strictly
in proportion to respective capital contributions. This concept is distinct from fixed-income investing (i.e. issuance of
loans).
Sukuk
Sukuk is the Arabic name for a financial certificate but can be seen as an Islamic equivalent of bond.
However, fixed-income, interest-bearing bonds are not permissible in Islam. Hence, Sukuk are securities that comply
with the Islamic law and its investment principles, which prohibit the charging or paying of interest. Financial assets
that comply with the Islamic law can be classified in accordance with their tradability and non-tradability in the
secondary markets.[5]
Takaful
Takaful is an alternative form of cover that a Muslim can avail himself against the risk of loss due to
misfortunes. Takaful is based on the idea that what is uncertain with respect to an individual may cease to be
uncertain with respect to a very large number of similar individuals. [6]
Muqarada
This technique allows a bank to float what are effectively Islamic bonds to finance a specific project.
Investors who buy muqarada bonds take a share of the profits of the project being financed, but also share the risk of
unexpectedly low profits, or even losses. They have no say in the management of the project, but act as non-voting
shareholders.[3]
Salam
Salam literally means ‗futures‘. A buyer pays in advance for a designated quantity and quality of a certain
commodity to be delivered at a certain agreed date and price. It is limited to fungible commodities and is mostly used
for the purpose of agricultural products by providing needed capital prior to delivery. Generally, Islamic banks use a
salam contract to buy a commodity and pay the supplier in advance for it, specifying the chosen date for delivery.
The bank then sells this commodity to a third party on a salam or instalment basis.With two salam contracts, the
second should entail delivery of the same quantity and description as the first contract and is concluded after the first
contract (El-Gamal, 2000).[7]
Total assets of Islamic banking worldwide estimated at about $250 billion, and are expected to grow by
about per a year.[8]
In these days customers are going to an Islamic bank and putting their money and sharing profit or loss.
However customers are all the time getting some money from profit by a percent that is pre-agreed before. This
percentage is all the time very close to the interest rate of conventional banks. How it can be possible that an Islamic
bank invests money to many different areas but makes a profit at a level of interest rate. If Islamic finance wants to
be seen as an alternative of conventional finance it should be characteristic and different from conventional banks.
So there must be some new approaches in Islamic finance and especially in Islamic banking systems. These new
approaches can be established in two main topics, transparency and asymmetric information.
Transparency
There must be some standards for transparency which should be agreed, widespread and easy to establish.
Of course these standards must provide ―Shariah‖. This would be in the interests of consumers. Some services can be
established to protect consumers in Islamic finance. So these services can check the implementation of standards.
The implementation of Islamic finance products should be supported by documentation and consumers should be
aware of that greater transparency will be in the interests of them.
[3],[5] Instrument of Islamic Finance and Banking Mohammed Ali Elgari, Mufti Taqi Usmani, Yusuf Talal Delorenzo, M. Umar Chapra.
[4],[6] Wikipedia.org

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

The main issue is who will standardize the standards. Indeed standards are already exist in Shariah, so the
process will be standardized. After deciding who will standardize then it must be known that only the process will be
standardized.
These standards will bring extra responsibilities Islamic finance services. Islamic finance services should
comply with these standards. There should be some partners who work with these services and consumers. So
partners can feedback on the decided standards.
These partners can help Islamic financial institutions explaining the support for the standards and its
requirements. These partners can evaluate whether an Islamic financial institution seeking to comply with the
standards actually met the standards‘ requirements. If partners have reasonable opinions, determines that the
institution complies the standards.
A number of service providers will already comply with the suggested standard. Preliminary research has
suggested that some service providers will not – which indicates that they are acting contrary to market practice.
However, if such a standard is agreed by the main industry players, market forces may force the other product
providers to comply with the standard. This would be in the interests of consumers. [9]
The success of the implementation of decided standards depends on financial institutions. These institutions have to
be fair, clear and not misleading. The wide-spread adoption of decided standards will be a very important support for
establishing these standards.
Islamic financial institutions, consumers and their partners should prepare some consultation papers so that
the implementation of standards will be easier.If there is a sufficient support then these standards can be settled by
institutions and partners. The success is based on the responses to the consultation papers.
To promote the acceptance of the standards, it can be entered into informal associations with public
organizations. A logo can be used so that Islamic financial institutions can assert compliance with the standards.
Press conferences, media briefings can be organized. A website which is a bespoke can be created for the standards
and in this website Islamic financial institutions that comply with the standards can be mentioned with
Asymmetric Information
Asymmetric information is an information that differs between parties to transaction situation in which
consumers, suppliers, and producers do not all have the same information on which to base their decisions. [10]
Since in Islamic finance profit and loss are shared it motivates to assess risks more carefully and monitor the use of
the funds by borrowers. Because of this reason, Islamic financial institutions, consumers and partners should be
interested in the outcome of the underlying transaction. Norashikin Mohd Kassim says ―One of the most important
lessons to be learnt from the present crisis is that the financial sector became too removed from the real world
economy.
Asymmetric information should be provided by only Islamic institutions and partners to consumers.
Consumers should act according to supplied information when doing the business. Consumers should decide the
investments. Partners will give help consumers to decide the investments. Islamic financial institutions have to
inform consumers about the investments and supply documents and give opportunity consumers to see profit or loss.
Consumers should decide several type of different investments with different percentage. According to Mohsin
a brief profile and a link to their website.
Islamic financial institutions, consumers and partners have to answer some questions.
(a) Would there be support for the creation of an independent institution which can decide the standards, follow the
process of the implementation of the standards, check Islamic financial institutions that comply with the standards,
and feedback both partners and consumers?
(b) Who will be included in that independent institution?
(c) Should there be disclosures for the institutions that do not comply with the standards?
(d) Would product providers be amenable to the partners taking steps to verify compliance with the
standards?Khan(2000), the Islamic banks have to develop a contract to keep the monitoring costs for projects at a
reasonable level and eliminate the moral hazards, a concept that originated in the insurance industry, issues arising
when the lender and the investors have asymmetric information on the profits from the investment. In Islamic
finance the major funds are obtained from the short-term mark-up deals. The limitation of financial instruments is the
main problem of Islamic finance. Mark-up deals are low risk investments instruments so since there is no real profit
or loss sharing system in Islamic finance nowadays mark-up deals are used very commonly.
[7] Hand of Islamic Banking,(2007), M. Kabir Hassan and Mervyn K. Lewis
[8] Choong and Liu, 2006; Ainley and others, 2007
[9] Business &amp; Economics Committee, The Muslim Council of Britain,(6 October 2008)

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Conclusion
Islamic finance has actually many financial instruments but because of imitation of conventional finance
causes to be seen Islamic finance a system that has only with limited instruments. Establishing real profit or loss
sharing system will bring many different alternatives for investors and lenders. In the new approach transparency and
asymmetric information are very important issues. For the real profit-loss sharing system documentation must be
supplied by institutions, there must be partners work with lenders and investors, for transparency standards must be
decided, and institutions that comply with these standards must be certificated by independent institutions including
public institutions. By using media and organizing conferences, symposiums, settling independent websites these
standards can be wide-spread.

[10] www.qfinance.com/dictionary/asymmetric-information

Aziz Tayyebi. (2008). Islamic Finance: An ethical alternative to conventional finance.
Humayon A.Dar and John R.Presley. (2009). Islamic Finance: A Western Perspective.
Kabir Hassan and Mervyn K. Lewis. (2007). Hand of Islamic Banking.
Norashikin Mohd Kassim. (24 may 2009). Sunday‘s Zaman.

References
The Muslim Council of Britain. (6 October 2008). Business &amp; Economics Committee.
Zahida Aslam . (13 July 2006). Key Center for Islamic Finance.

58

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                <text>For most of the people the prohibition on interest is the well known part of Islamic  finance however the rest is considered as an unknown finance system that is based on the rules  which are written thousands years ago. Indeed, the concept of Islamic finance is not be discussed  enough till financial crisis, after crisis it started to be seen as an alternative financial system.  However some new approaches are needed to demonstrate Islamic finance as an alternative of  conventional finance. Sharing the risks is main concept in investments but question is what the  investments are. In the new approach of risk management the idea is consumers can follow their  money and investments and banks have to inform the consumers.</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

Seasonality of Turkish Arrivals to Municipality Licensed Thermal Hotels:
A Case of Afyonkarahisar, Turkey
Hasan Hüseyin SOYBALI
Afyon Kocatepe University
School of Tourism and Hotel Management, Afyonkarahisar, Turkey
hsoybali@aku.edu.tr
Ahmet BAYTOK
Afyon Kocatepe University
School of Tourism and Hotel Management, Afyonkarahisar, Turkey
ahmetbaytok@aku.edu.tr
Veysel AĞCA
Afyon Kocatepe University
Faculty of Economics and Administrative Sciences, Afyonkarahisar, Turkey
agca@aku.edu.tr

Abstract: Seasonality is a common problem and affects all stakeholders of in tourism industry. As
a promising tourism type with its great potential, despite common beliefs, thermal tourism demand
also indicates seasonal trend with peaks in high seasons and troughs in low seasons. This study
identifies seasonal patterns of domestic guest arrivals to and nights spent in Municipality
registered thermal hotels in Afyonkarahisar, Turkey between 2000 and 2008 by using ARIMA
method. Findings indicate that there is a strong seasonality in Turkish guest arrivals to
Municipality licensed thermal hotels which is closely related with official holiday calendar and
school holidays in Turkey. These thermal hotels should realise the effects seasonality and take
immediate action to improve seasonal patterns for more evenly distributed seasonal domestic
tourism demand and better future for all.

Keywords: Seasonality, Thermal Tourism, Afyonkarahisar, Turkey

Introduction
Many industries have faced seasonality problem throughout the world. Tourism industry, in particular, is
badly affected by seasonal tourism supply and demand and as Butler, 2001, states it is one of the main defining
characteristics of global tourism. As Baum and Lundtorp, 2001, emphasize seasonality impacts on all aspects of
supply-side behaviour in tourism, including marketing, the labour market, business finance, stakeholder management
and all aspects of operations. While seasonality leaves many resources unutilized and employees unemployed during
the low season, heavy demand during the peak season, on the other hand, also cause some serious problems such as
crowdedness, congestion, poor air quality, lower service quality. Therefore, it is a serious problem to tackle and a
well documented subject in tourism literature. BarOn, 1975, Sutcliffe and Sinclair, 1980, Yacoumis, 1980, Wanhill,
1980, ETAG, 1984, O‘Driscoll, 1985, Hartmann, 1986, Soesilo &amp; Mings, 1987, Allcock, 1989, Ball, 1988,
Snepenger &amp; Houser, 1990, Furr et. al., 1992, Butler, 1994, Baum &amp; Hagen, 1999, Baum &amp; Lundtorp, 2001, Koc &amp;
Altinay, 2007, Palang et. al., 2007 and many other authors evaluated the seasonality and related issues from different
perspectives through the years. BarOn (1975) whose study has been a starting point for many other studies on
seasonality stated that there are two types of seasonality; ―natural seasonality‖ and ―institutionalised seasonality‖.
While he accepted climate and weather conditions as primary causes of natural seasonality, he stressed that, holidays
and other events at specific times of each year like religious vacations, school vacations and festivals are also to be
blamed for institutionalised seasonal fluctuations in supply and demand levels.
One of the oldest ways to benefit from geothermal resources is using them in spas (jeotermaldernegi.org.tr,
2010) for bathing and treatment purposes. The use of geothermal waters for tourism purposes is expressed as thermal
tourism in today‘s world. Thermal tourism can be defined as using mineralized thermal waters for health, recreation
and relaxation aims and it displays different characteristics from other types of tourism. Thermal tourism provides an

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

opportunity to serve continuously 12-month a year. Occupancy rates are generally high in thermal enterprises. It can
easily be integrated with other types of tourism such as cultural and convention tourism. Health is the main purpose
of existence of Thermal tourism. Thermal tourism is thought to be less seasonal than other types of tourism because
it usually does not depend on weather conditions and climate. However, the demand for thermal tourism is affected
by the same factors which affect the demand for other tourism types and this causes fluctuations and creates high and
low seasons.
Turkish tourism has developed greatly since early 1980s. 27.3 million foreign visitors and 4.6 million
Turkish expatriates visited Turkey in 2009 and spent around 21.2 billion US Dollar (Republic of Turkey Ministry of
Culture and Tourism, 2010a). As a strategy, Turkey is trying to diversify its product range, attract more visitors to all
regions of Turkey and earn more foreign currency. In this respect, thermal tourism is one of the encouraged tourism
types in Turkey as it has great thermal water potential and there is an increasing demand potential from aging
European countries. However, thermal facilities in Turkey have still been utilized largely by Turkish citizens and
thermal tourism plays an important role in Turkish domestic tourism. This is supported by Ministry of Culture and
Tourism‘s statistics. While only 5% of the number of nights spent by foreign visitors in municipality licensed
thermal hotels in 2008, Turkish citizens overwhelmingly spent 95% of 703486 nights in these facilities (Republic of
Turkey Ministry of Culture and Tourism, 2009).
Afyonkarahisar is a province of Turkey located in the West part of Anatolia on the conjunction of IstanbulAntalya, Ankara-Izmir Highways and connects Eastern and Northern provinces to Western and Southern provinces.
Afyonkarahisar is one of the richest provinces of Turkey in terms of natural hot springs and quality thermal
accommodation facilities. It is in one the thermal tourism regions, declared by the Ministry of Culture and Tourism,
―Phrygian Culture and Thermal Tourism Development Region‖ (Republic of Turkey Ministry of Culture and
Tourism, 2006). There are four distinct thermal tourism centres within Afyonkarahisar; Omer-Gecek in the city
centre, Ihsaniye Gazligol, Sandikli Hudai and Bolvadin Heybeli (Republic of Turkey Ministry of Culture and
Tourism, 2006). While Ministry of Culture and Tourism licensed thermal hotels prefer Omer-Gecek mainly because
of its closeness to the city centre and Sandikli Hudai partly, many municipality licensed thermal hotels and thermal
timeshare facilities are located in Ihsaniye Gazligol and Bolvadin Heybeli thermal regions.
Afyonkarahisar currently has four Ministry of Tourism registered 5-Star thermal hotels in city centre and 8
Municipality Licensed thermal hotels scattered throughout the province. In 2008, all hotels in Afyonkarahisar
entertained around 303,000 guests who spent 778,000 nights of which nearly 99% belong to Turkish Citizens. From
this point of view, it should be stressed that 96.5% of nights spent in Afyonkarahisar realized in Ministry and
Municipality registered thermal hotels. While 53% of the nights spent in thermal hotels was recorded in Municipality
licensed thermal hotels (397731), the remaining 47% was recorded in Ministry registered thermal hotels (353598). In
other words, the main market for the Afyonkarahisar hotels is domestic market and despite rapidly increasing
number of Ministry of Culture and Tourism registered thermal hotels and bed capacity, Municipality registered
hotels still play an important role in accommodating thermal tourism guests.

The Study
Hotels and similar accommodation facilities are licensed either by Ministry of Culture and Tourism or local
Municipalities according to their conformity to set standards. This study investigates the seasonal patterns of
domestic guest arrivals to Municipality registered thermal hotels in Afyonkarahisar, Turkey between 2000 and 2008
to help these hotels to see the overall seasonality of guest arrivals and take action to improve seasonality in guest
arrivals. In this respect, it focuses on the monthly Turkish guest arrivals and time-series analysis by employing
ARIMA (Autoregressive integrated Moving Average) method. This method defines a univariate time series as a
function of its past values and other significant independent variables and has been used in many analogous studies
to test for seasonality and environmental effects (Lin &amp; Xiraxagar, 2006:797). Through the study, seasonal indices
for monthly guest arrivals are computed by using SPSS statistics package software.

Findings
Although guest arrivals to Municipality licensed Thermal hotels in Afyonkarahisar Omer-Gecek thermal
tourism region between 2000 and 2008 indicate an increasing trend through the years (88677 and 122747
respectively), number of nights spent showed a dramatic decrease between 2000 and 2002 from 470257 to 269796
because of the financial crises in Turkey. Despite the increase in number of nights spent since then, it still well
behind the 2000 figures. The reason for this decrease may be the opening of new qualified 4 and five star hotels in
this period of time.

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

The computed monthly indices indicate the degree of seasonal fluctuations and 100 represents the point
where there is no seasonal fluctuation. If the indices exceed 100, it represents the existence of concentration. In this
respect, seasonal indices of arrival statistics to Municipality licensed thermal hotels indicate that the high season is
between May and September and between September and April is the low season for these hotels (Table 1, Figure 1).

Turkish Arrivals
Turkish Nights Spent

Jan Feb Mar Apr May Jun
Jul
Aug Sep
Oct Nov Dec
61,1 52,2 59,2 79,8 114,0 140,3 168,9 170,1 134,7 89,6 64,9 65,3
67,6 64,5 55,9 78,2 99,7 142,1 165,1 172,2 131,8 94,4 65,0 63,9

2009 Arrivals Forecast
2009 Nights Forecast

63,2 53,3 65,2 87,9 114,4 133,9 174,4 176,2 117,4 74,8 68,4 70,0
67,9 70,2 58,4 81,5 105,0 129,7 161,6 175,9 120,7 84,2 74,5 69,9

Table 1: Seasonal Indices for Turkish Arrivals to and Nights Spent in Municipality Licensed Thermal Hotels

Figure 1: Seasonal Indices for Turkish Arrivals to and Nights Spent
in Municipality Licensed Thermal Hotels

Figure 2. Forecasted Seasonal Indices for Turkish Arrivals to and Nights Spent
in Municipality Licensed Thermal Hotels
While arrivals reach its peak point in August, it bottoms out in February. Although the peak month is also
August for the number of nights spent by Turkish guests, March has the lowest season indices for it. In other words,
although arrivals reach its lowest level in March, because of the mid-term school holidays, which usually take place
at the beginning of February, people stay longer in these thermal hotels and after schools open again the number of
nights spent falls dramatically to its lowest level, more guests arrive but stay shorter. This means that thermal hotels

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�2nd International Symposium on Sustainable Development, June 8-9 2010, Sarajevo

in Afyonkarahisar are highly vulnerable as to a large extent it is dependent on largely institutionalised seasonality
factors mentioned by BarOn (1975). In addition fasting month of Ramadan has a decreasing effect in demand for
thermal hotels. For example, although the August is the peak month for these hotels, because Ramadan of which its
timing changes every year coincides with the peak month, August, it is expected that thermal hotels will experience
decreases in their demand. However, thermal hotels usually experience greater demand in feasts after Ramadan and
during the feast of sacrifice and reach 100% occupancy rates. All these institutionalised and partly natural factors
shape the seasonal trends of these thermal hotels.

Conclusions
This study has analysed seasonal fluctuations in monthly Turkish arrivals to and nights spent in
Municipality licensed thermal hotels in Afyonkarahisar, Turkey by employing ARIMA (Autoregressive integrated
Moving Average) method. The study indicates that unlike the common beliefs and despite it is not climate and
weather dependent, thermal tourism has also a strong seasonal pattern as other types of tourism. According the
results of the study, the demand for thermal hotels concentrates between May and September which is defined as
high season and the period between October and April when there is less demand, except for religious feasts and
school holidays, represents the low season. When BarOn‘s classification is taken into account, institutional factors
cause this seasonality.
However, strong seasonal patterns of guest arrivals affect thermal hotels in a negative way and push some of
them to close down in low season months which cause several chain problems such as unutilized capacity and
resources and unemployment. Therefore, as well as checking the overall provincial seasonality patterns closely, they
should also know their own seasonal patterns so that they can take effective actions to improve seasonal patterns. In
contrast to seaside resort hotels, thermal hotels and thermal resources can be utilized twelve-month whatever the
weather conditions and this requires serious marketing and management strategies and plans. To overcome this
problem, Municipality licensed thermal hotels should integrate their products with other types of tourism such as
cultural, convention and third-age tourism to be able increase demand in low season months.
This study has some limitations. It comprises only Afyonkarahisar, Omer-Gecek thermal tourism region.
The other limitation is that the study was conducted only in Municipality licensed thermal hotels. The seasonality of
thermal hotels in different regions and countries can be computed and compared with each other. Seasonality in
Ministry of Culture and Tourism licensed thermal hotels should also be computed. After all, generalization can be
made that thermal hotels have seasonal characteristics.

References
Allcock, J. B. (1989) Seasonality, In: Witt, S. F. and Mountinho, L. (eds) Tourism Management Handbook, UK., Prentice Hall
International (UK) Ltd., pp 387-392.
Ball, R. M. (1988) Seasonality: A problem for workers in the labour market?, The Service Industries Journal, 8(4), pp 501-513.
BarOn R. R. V. (1975) Seasonality in tourism; a guide to the analysis of seasonality and trends for policy making, London, UK.,
Economic Intelligence Unit Ltd.
Baum, T. &amp; Lundtorp, S. (2001), Introduction, In: Baum T. and Lundtorp, S. (eds), Seasonality in Tourism, Pergamon, Oxford,
pp. 1-4.
Butler, R. W. (2001.) Seasonality in Tourism: Issues and Implications, In: Baum T. and Lundtorp, S. (eds), Seasonality in
Tourism, Pergamon, Oxford, pp. 5-20.
ETAG (1984), Action to combat the effects of seasonality in Europe, Appendix 5, In: Changing face of European Tourism, the
proceedings of the third European Tourism Conference, 28 February, Zurich, pp 23-24.
Hartmann, R. (1986). Tourism, seasonality and social change, Leisure Studies, 5 (1), 25-33.
http://www.jeotermaldernegi.org.tr/ (01.04.2010)
Koc, E. and Altinay, G. (2007) An analysis of seasonality in monthly per person tourist spending in Turkish inbound tourism from
a market segmentation perspective, Tourism Management, 28, 227–237

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Lin, H.C. &amp; Xiraxagar, S. (2006). Seasonality of hip fractures and estimates of season-attributable effects: a multivariate ARIMA
analysis of population-based data, Osteoporos Int. 17 (6), 795-806.
O'Driscoll, T. J. (1984). Seasonality: The case for co-operation, In: the Changing face of European Tourism, the proceedings of
the third European Tourism Conference, 28 February, Zurich, pp. 13
Palang, H., Printsmann, A. Soovali H. (2007). Seasonality and Landscapes, In Palang, H., Soovali H. Printsmann, A. (eds),
Seasonal Landscapes, Springer Netherlands, 1-16
Republic of Turkey Ministry of Culture and Tourism, (2010a). GiriĢ - ÇıkıĢ Yapan Yabancı ve VatandaĢlar Mart 2010, Sayı:03,
26.04.2010, Yatırım ve ĠĢletmeler Genel Müdürlüğü AraĢtırma ve Değerlendirme Daire BaĢkanlığı, Ankara, Turkey
Republic of Turkey Ministry of Culture and Tourism , (2009). Accommodation Statistics (Municipality Licensed, November,
Yatırım ve ĠĢletmeler Genel Müdürlüğü AraĢtırma ve Değerlendirme Daire BaĢkanlığı, Ankara, Turkey
Republic of Turkey Ministry of Culture and Tourism , (2006). Turizm GeliĢimi Eylem Planı, Turkiye Turizm Stratejisi, 8. Bölüm,
pp. 180-262.
Republic of Turkey Ministry of Culture and Tourism, (2009). Accommodation Statistics (Licensed by the Ministry of Culture and
Tourism) 2008, November, General Directorate of Investment and Enterprises Department of Research and Evaluation, Ankara,
Turkey.
Soesilo, J., and Mings, R.C. (1987) Assessing the seasonality of tourism, Visions
in Leisure and Business, 6 (2), 25-38.
Snepenger, D., Houser,B. (1990) Seasonality of demand, Annals of Tourism Research, 17, 628-630
Sutcliffe, C.M.S., Sinclair, M.T. (1978). Seasonality in Spanish tourism, Studies in economics, No: 29, University of Kent at
Canterbury.
Wanhill, S. R. C. (1980). Tackling seasonality: a technical note, International Journal of Tourism Management, 1 (4). 243-245.
Yacoumis, J. (1980) Tackling seasonality; The case of Sri Lanka, International Journal of Tourism Management, June, 84-98.

552

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                <text>Seasonality is a common problem and affects all stakeholders of in tourism industry. As  a promising tourism type with its great potential, despite common beliefs, thermal tourism demand  also indicates seasonal trend with peaks in high seasons and troughs in low seasons. This study  identifies seasonal patterns of domestic guest arrivals to and nights spent in Municipality  registered thermal hotels in Afyonkarahisar, Turkey between 2000 and 2008 by using ARIMA  method. Findings indicate that there is a strong seasonality in Turkish guest arrivals to  Municipality licensed thermal hotels which is closely related with official holiday calendar and  school holidays in Turkey. These thermal hotels should realise the effects seasonality and take  immediate action to improve seasonal patterns for more evenly distributed seasonal domestic  tourism demand and better future for all.</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo

Examining Peer Bullying on the Basis of Different Variables Through the
Perceptions of the Sports and Physical Education Teachers
Mustafa Şahin
Department of Educational Sciences
Karadeniz Technical University, Turkey
mustafa61@ktu.edu.tr
Abstract: The aim of this study was to investigate the Sports and Physical Education
teachers’ perceptions of student bullying in the city of Trabzon, Turkey. The study
also attempted to investigate the role of “school atmosphere”, “gender” and “role
model” factors on student bullying in school environments. The study was carried out
in the first semester of the 2007-2008 academic year with the participation of ten
Sports and PE teachers working in various high schools in Trabzon. The study
employed a qualitative approach and case study method. A semi-structured interview
was administered as the data collection instrument. In data analysis, “constant
comparison method” was used. The study found that there was no agreement among
teachers on the role of school atmosphere and on their role models in bullying, and
that their perceptions of bullying were problematic. Another finding was that the
teachers believed male students were more involved in peer bullying.
Key Words: Peer bullying, perceptions of PE teachers

Introduction
It is claimed that peer bullying forms the most common type of aggressive behaviors in class and school
atmosphere. Bullying affects not only emotional, social, and psychological development of students’ school and
class environment but also their learning activities (Ayas, 2008; Bauman and Del Rio, 2005; Kartal and Bilgin,
2008; Woods et al., 2007). Bullying includes physical, verbal, and psychological attacks, exercising unbalanced
power over other students, especially weak ones, which cause victims to fear (Nansel et al., 2001). Bullying is
not limited to the use of physical power. Getting others’ feelings hurt, verbal or physical humiliation, and
destroying their self-esteem by getting them exposed to social discrimination can also be included in bullying
behaviors (Hazler, 1996).
Research shows that bully students have lower academic achievement, have difficulty in establishing
social relationships and are not easily accepted by other members of the society (Hazler, Hoover and Oliver,
1992). It has also been observed that bully students carry their inability to develop empathy, social interactions to
their adult age and they still get difficulty in develop and sustain positive relationships even when they are grown
up people. Research also reveals that bully students, continuing their negative behaviors, may have some legal
problems in their adulthood (Bridge, 2003; Farrington, 1993; Huesman and Malamuyh, 1986).
According to a research, 60 percent of the 6th and 9th grader bully students commit at least one
crime and the rest 35-40 percent of the rest are taken to the court three times as suspects of illegal crimes
until the age of 24 (Pişkin, 2002). In secondary schools, 60 percent of bully students are involved in at least a
crime until they are at the age of 23. 35-40 percent of these students are sentenced because of three or four
crimes. An eight-year-old bully person is more likely to be punished at the age of thirty because of bullying
(Bridge, 2003). Huesman and Malamuyh (1986) have concluded that students performing bullying behaviours at
the age of 8 are more likely commit crimes, disobey traffic rules, drive when drunken and exercise verbal and
physical attacks over their wives when they are at their thirties than other normal people.
Research on victims of bullying behaviors have shown that they suffer from such problems as being
upset, sorrowful, restless, coward, unsuccessful, lack of confidence, unable to establish social relationships.
These students may develop depressive and psychological symptoms (Fekkes, Pijpers and Verlove-Vonherick,
2005), they tend to have psychological disorders (Kumpulainen, Rasanen and Puura, 2001), they may suffer
from post-traumatic disorders (Mynard, Josepf and Alexandera, 2000). Moreover, it is revealed that they may
suffer from such physical problems as getting dizzy, heart disorders, vomiting, stomachache, sight problems,
discriminations by their peers and inability to develop social interactions (Rigby, 2003).
In a research conducted in Australia on 353 secondary school students at the average age of 10, it is
found that students subjected to peer bullying are more likely to have clinic depression when compared to others
(Dake, 2003). It is also shown in a research conducted in Finland and Australia that students subjected to
bullying have suicidal attitudes more than normal students (Rigby, 2003). Just as bully students behave problems

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in their adulthood, their victims may have problems in their adult caused by the bullying behaviors they are
subjected at earlier ages. That is to say, victims of bullying cannot get on well with other people and they do not
have self-confidence when they reach adulthood (Olweus, 2003).
According to studies conducted on the effects of bully behaviors, all parties including the bully and the
victims show psychological, physical, social and academic failures. These negative effects of bullying can be
observed both in short period and in the long one (Ayas, 2008; Şahin, 2007). These negative effects can cause
many problems in social and individual life.
When dealing with bullying in school environments, we cannot leave teachers out. Attitudes of teachers,
their interactions with students, their model behaviors, being aware of bully behaviors and their reaction towards
their behaviors are crucial in terms of decreasing the number of bullying. Especially, the position of Sports and PE
teachers, due to their positions in school environments, may play a significant role in decreasing and preventing
bullying since they have the opportunity to deal with students in groups or individually. Furthermore, physical
education courses and sports activities are important in developing students self-esteem and self-confidence (Gün
and Koç, 2006).
The aim of this study is to analyze Sports and PE teachers’ perceptions of bullying in school environments
and to make them aware of the fact that they can play a crucial role in decreasing preventing and bullying due to
their positions.
Method of the Study
This study is designed in qualitative research approach in which case study method has been chosen.
The main reason why this method has been chosen is that the views and perceptions of the participants have been
tried to be explored in detail. In other ways, research questions of the study attempt to reveal teachers’ views and
perceptions and investigate the research topic in-depth. When in-depth investigations of inner views of people
are needed, it is recommended that qualitative approaches are most suitable to employ (Bogdan and Biklen,
1992; Cohen and Manion, 1994). As Maykut and Morehouse (1994) argue, qualitative researchers are interested
in investigating and responding to exploratory and descriptive questions and such is the case in this study.
Moreover, this study does not attempt to generalize the results but aims to obtain deeper understanding of
experience from the perspectives of the teachers.
Sampling
10 Sports and PE teachers working at ten different high schools in the city of Trabzon were selected as the
participants of the study with a random selection. The teaching experiences of teachers differed from 5 to 20
years. Five of the participant teachers were female and the others were male, but their genders were not
considered as a variable in this study.
Data Analysis Processes
The data have been gathered through a “semi- structured interview form”. Teacher interviews were
recorded into a tape recorder then recorded conversations were transcribed on to papers. “Constant comparative
method” (Glaser and Strauss, 1967) has been used in the process of data analysis. For this, instead of analyzing
the data according to previously organized categories, the data have been divided into categories after the data
have been collected. In this process, similar data have been classified and categories have been formed by
making continuous comparisons in the context of grounded theory approach. These categories have been
presented in tables so that the findings could be understood more easily and the data in the tables have been
supported with the direct quotations from the teacher conversations.

Findings and Discussion
School as Encouraging Environment for Bullying
In this part of the study, questions concerning whether psycho-social conditions of schools stimulate
students to get involved in bullying have been asked to participants. Findings illustrate that teachers have two
different views: Half of the teachers think that school stimulates bullying of students whereas, the other half
claims that it does not.
Some of the views of teachers who think that the psycho-social environment of school is connected to bullying
are as follows:

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“Such things are not permitted but wrong attitudes of teachers or managers can set an example for them” (T2)
T3 has indicated the connection between school management and bullying as follows:
“I think that the problem gets more serious especially when such behaviors are tolerated and the management
and teachers do not act consciously enough about this issue. But the main responsibility lies with the
management of school. This is all about the students’ ambitions of applying pressure on each other and their
opinions of being privileged in the eyes of the management. Everything stems from it, otherwise I can say that:
When the management of school acts reasonably, the problems that I have been talking about do not exist.
Students cannot do it.”(T3)
T10 indicated that the negative attitudes of teachers at school can cause bullying:
“The conditions that support bullying at school do not exist at our school but sometimes they may. What
supports bullying? For example, teachers’ use of physical violence is a cause of bullying, I think.” (T7)
Some views of teachers that think that conditions do not support bullying are as follows:
“No. I do not believe it. I have never witnessed such a thing. There are often necessary controls and checks at
our school. I think the main causes of bullying are the visual media and the internet.”(T8)
“I have not witnessed it at our school. I believe that conditions are fine at most schools. However, I think that
socio-economic factors have greater impact on students’ bullying.” (T6)
Teachers who claim that the environment of school stimulates bullying and those who do not have
focused on the attitudes and behaviors of managers and their colleagues concerning this issue. It has been seen
that participant teachers do not mention whether general purposes, physical and social conditions, cultural
activities of the school, and students’ expectations, needs and values could be connected to bullying or not. This
may stem from the fact that the insufficiency of economic conditions, indifference and pressures of central and
local administrators could make them feel apathetic towards psycho-social issues. The fact that teachers’ salaries
are not high enough to meet their basic needs negatively motivate them to make researches and develop
themselves personally and professionally. Besides, the pressures of both central and local administrators on
teachers to gain cognitive success are one of the most important elements that make teachers apathetic towards
psycho-social environments and problems. Hence, the teachers’ views regarding this issue have provided limited
amount of data. The reason for this might be that they may get scared of telling the truth or being responsible for
bullying. It is always easy to ignore the problem and put the blame on other things.
Being a Role Model
In this part of the research, teachers have been asked whether they could be role models that are good
enough for their students. According to the data obtained, teachers have similar views with regard to being a
model for students. Out of the group that comprises 10 people, half of them has indicated that “they try to be
good role models” whereas the other half has said that “they could be both good and bad models”.
For example, T1: When students see that bullying is not allowed and when they understand that
intolerance to bullying is for humanity, they can take us as idols. Students can take their teachers as models.
People do not have to like each other. But they need to show respect.”
Participant T5 has mentioned that teachers are generally good models as in the following: “ 80 percent of the
teachers are good. Yet, we have two teachers who are about to retire and we also have problems with a new
teacher. The others are very good.”
Similarly, T7 has mentioned they try to be good models as “We try to be good models. We make the
students get along with each other. We make them think.”
On the other hand, T9 has made a different but detailed explanation as to the fact that teachers could be
both good and bad models: “Now, to be honest, I need to take all teachers into consideration to answer your
question. There are teachers who can be taken as models and those who cannot. Not all people are the same. I
can give a certain answer on my behalf but when I take other teachers into account, I guess that the amount is 40
percent. The child can copy negative qualities as well. If you shout and beat the child, s/he will take it as an
model. The teacher is a more important model than the parent when it comes to copying negative behaviors.
They could not take their parents seriously as they are always near them but they imitate the teachers that they
regard as ideal. When teachers are dominant in anything, the students imitate them right away. Students
consider them important”

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It is seen that both the teachers that say they try to be good models and those who say they can be good
and bad models refer to the attitudes and behaviors of other teachers instead of their own attitudes. That is, they
do not evaluate their own behaviors with regard to being good and bad models and they emphasize and comment
on teachers who have just started the profession, those who have worked as a teacher for long years and who
apply physical violence. Instead of mentioning their own behaviors to be good models, they talk about ideal
behaviors that have to be conducted. Thus, there can be difference between the teachers’ views concerning being
good models and their behaviors and attitudes at school.

Gender issue in bullying
Most of the teachers in the group (7 teachers) have indicated that boys bully others more than girls do. Only
three teachers in the group have said that the gender of the students is not a factor of bullying.
About this issue T2 has said: “In past years, it was seen that boys were involved in bullying more than
girls were. But recently girls bully others, too. We are not used to girls bullying. Boys are involved in fights but
girls have almost the same problems as well.”
T3: Girls did not use to bully other students before but now it is very common. A few weeks ago, a girl
broke the finger of another student. They fight so harshly. The environment is a very bad example especially for
girls. The press and media also have an impact. They teach what you can do if you are exposed to violence and
students learn it. “
T7: Boys are the leading actors in every kind of event at school. They are always involved in brawls in
the school garden, corridors, classrooms. They are very irresponsible and inattentive. They harm each other
very much. Sometimes even the parents are involved in violence and terrible events happen.”
T9: Boys try to imitate mafia members so much. They act in groups and gangs. The most influential
model they have is the actor “Memati” in the TV series “The Valley of Wolves”. Actually, this is very serious.
Boys at our school play a game of mafia.”
When we look at the teachers’ perceptions of the relation between bullying and gender of the students,
we see that they mention physical attacks since they view bullying mostly as physical bullying or they do not
distinguish between bullying and violence. Hence, they notice physical fights and brawls in the behaviors of both
girls and boys. From this aspect, it is seen that boys bully others more than girls do. The reason is that teachers
do not take verbal, sexual, indirect bullying and harming the possessions of others into account when they
evaluate the case of bullying.
There is a similarity between the teachers’ perceptions of sexuality and bullying and their perceptions of
bullying which is the first finding of the research. Nine teachers out of the group have defined bullying as “brute
force and demanding one’s rights through violence”. Therefore, it is a natural outcome that teachers think boys
bully others more than girls do.

Conclusions and Recommendations
In this study, a clear result is not reached on whether there is a link between school settings and
bullying. While half of teachers participated in the study think that school setting is a factor that causes bullying,
the other half expressed that there is no such kind of relation. When looking at the literature about the relation
between school settings and bullying, it is seen that some features of schools physical settings causes bullying at
different levels. Stephenson and Smith found in their studies in English schools in 1987 and 1989 that bullying
actions took place more in some schools than others. Roland and Munthe (1989) found in their study that there
are differences in between private schools and public schools in terms of bullying. Pişkin and Ayas (2006)
concluded in their study that bullying actions take more place in male-only vocational schools than female-only
vocational schools. In another study carried out by Pişkin and Ayas (2008), it was found that rate of bullying in
Anatolian high schools are lower than other high schools in Turkey. Therefore, on the basis of these studies we
can say that there is a link between school settings and bullying.
While five of the ten teachers studied think that the behaviors and attitudes of teachers in class and school
environment do not make models and may cause bullying, the others argue that teachers’ attitudes and behaviors
have no relations with bullying. Research studying the relationship between the attitudes and behaviors of teachers
and bullying has revealed that teachers’ interactions with students in school environment, their authoritative
attitudes, their indifference towards courses and students’ problems, their narcissism personalities contribute to
bullying either directly or indirectly. Olweus (1993; 1995) asserts that the attitudes and behaviors of teachers in
school environments play a significant role in dealing with bullying behaviors and their victims. He also puts it

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that teachers’ negative attitudes and behaviors can, in some cases, make a role model for bullying. Sullivan et al.
(2004) claim that teachers may contribute to bullying in school environment. He especially places rude and
authoritative teachers into this category. In Cullingford’ study (2002) a female subject student said one of her
teachers behaved her badly and insulted her in front of the class. It can clearly be concluded that that teachers
cannot be left out of the bullying problem and even that some of the responsibility for the emergence of this
problem can be put on teachers.
In this study it was found that according to teachers’ views male students perform bullying much more
than the female students. Due to teachers’ comprehension of bullying as physical attack and violence, they may
also perceive that male students have more tendencies towards violence than female students. When literature on
bullying is investigated in terms of gender variable, in most of the studies it is concluded that male students
perform physical bullying actions more than female students and female students perform bullying indirectly in
most cases. (Delfabro, et al, 2006; Pateraki and Houndoumadi, 2001; Espelage, Bosworth and Simon, 2000;
Olweus, 1994a; Olweus,1995; Eslea and Smith, 1994; Roland and Munthe,1989; Archer, Pearson and
Westeman,1988; Elliot,1992). From this perspective, it can be said that teachers’ views in this study about
gender and bullying support previous study findings reviewed above. It is seen that the teachers are not very
aware of indirect bullying so therefore they might not focus on girly bullying which can be equally disturbing
even more. Besides, TV series you have been talking about are generally about men. Gender roles in the society
can also be influential here.
It seems to be impossible to consider teachers out of the bullying problem when school bullying is in
question. Hence, teachers and prospective teachers should be informed of peer-bullying. This study suggests that
especially Sports and PE teachers, who are in a position to develop one to one interactions with their students both
in natural and non-natural settings and to contribute a lot their students’ social, personal and psychological
developments, should be informed of and trained on their roles in decreasing and preventing bullying among
students. These teachers should be encouraged to take part in projects that aim to decrease and prevent bullying.
Researchers should share their findings with Sports and PE teachers and other related parties (school headmasters
and other teachers).

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                <text>The aim of this study was to investigate the Sports and Physical Education  teachers’ perceptions of student bullying in the city of Trabzon, Turkey. The study  also attempted to investigate the role of “school atmosphere”, “gender” and “role  model” factors on student bullying in school environments. The study was carried out  in the first semester of the 2007-2008 academic year with the participation of ten  Sports and PE teachers working in various high schools in Trabzon. The study  employed a qualitative approach and case study method. A semi-structured interview  was administered as the data collection instrument. In data analysis, “constant  comparison method” was used. The study found that there was no agreement among  teachers on the role of school atmosphere and on their role models in bullying, and  that their perceptions of bullying were problematic. Another finding was that the  teachers believed male students were more involved in peer bullying.</text>
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                    <text>A Content Based Scheduling Approach for Wireless Sensor Network MACs
Nukhet Sazak
Faculty Of Engineering
Sakarya University, Sakarya, Turkey
nazak@sakarya.edu.tr
Ismail Erturk
Faculty Of Technical Education
Kocaeli University, Kocaeli, Turkey
erturk@socaeli.edu.tr
Murat Çakiroglu
Faculty Of Technical Education
Sakarya University, Sakarya, Turkey
muratc@sakarya.edu.tr
Etem Köklükaya
Faculty Of Engineering
Sakarya University, Sakarya, Turkey
ekaya@sakarya.edu.tr

Abstract: MAC protocols have direct control over radio which is the most energy
consuming part of a wireless sensor node. TDMA based WSN MAC protocols are more
energy-efficient than contention based counterparts. However, classical TDMA based
protocols are not appropriate for event driven WSN applications. There are some MAC
protocols assigning time slots to only source nodes. Our proposed protocol assigns a time slot
to one of the source nodes with same data. As a result it reduces data redundancy achieving
energy savings. The analytical expressions are given for the proposed MAC and its
performance is compared to the conventional E-TDMA protocol.

Keywords: Wireless Sensor Network, MAC, energy efficiency, event driven applications

1. Introduction
A WSN consists of many low-power, low-cost and multi-functional sensor nodes which can be densely
deployed either inside the phenomenon or very close to it (Akyildiz, 2002). The applications of WSNs are so
diverse such that the application range is only limited by the imagination (Sohraby, 2007). In these applications,
a number of sensor nodes are deployed in harsh networking environments. It is not easy and even impossible to
recharge or replace the batteries of the nodes (Kredo, 2007). Thus energy efficiency becomes one of the most
important design criteria for WSNs. There are many medium access control (MAC) protocols considering energy
efficiency as the primary goal in the literature since MAC has direct control over the radio that is the most
energy consuming part of a sensor node (Kredo, 2007).
A WSN MAC protocol manages how and when its nodes access the wireless channel to be able to use
the shared medium effectively and fairly. The sources of energy waste are idle listening, collision, overhearing
and control packet overhead (Ye, 2003). A collision occurs if two or more nodes attempt to transmit data at the
same time. Idle listening is another serious kind of energy waste, occurring when a sensor node listens the
channel to check whether there is data related to it. Overhearing takes place when a node receives messages that
are transmitted to other nodes. Transmitting control packets also causes energy waste since these packets do not
carry useful data. In designing an energy-efficient MAC protocol, these subjects should be carefully taken into
consideration.
In event driven WSN applications, nodes are prompted to transmit the related measurement values when
the specific conditions occur according to the application requirements (e.g. temperature threshold exceeds). The
neighbor nodes close to the phenomenon may sense and also might have to transmit the same data. This data
redundancy consequently results in energy waste. Then the slot assignment to only source nodes is not the
desired solution. A more energy efficient protocol is achieved by allocating slots to the only one of the nodes

413

�with same data. The aim of this presented study is to propose a new idea for energy efficient TDMA-based MAC
protocols by assigning slots to only the nodes that have different data in event driven WSN applications.

2.

Related Work

In energy-efficient TDMA (E-TDMA) protocol, the energy consumption in idle mode is reduced by
letting the non-source nodes turn off their transceivers in their own slots (Li and Lazarou, 2004).
Bit-map assisted (BMA) MAC (Li, 2004) (Li and Lazarou, 2004) is also schedule-based. BMA is
designed for event driven WSN applications in which sensor nodes transmit data only when they sense
significant/predefined events. The operation of BMA is also divided into rounds including a set-up and a steadystate phase. The steady-state phase is partitioned into sub sessions consisting of contention period, data
transmission period and idle period (Figure 1). The size of the data transmission period is variable because every
node does not always data to send. On the other hand, the sum of the data transmission and idle periods is equal
to a constant value. All of the nodes turns their radios on during every contention period. The contention period
follows a TDMA-like schedule. Each node is assigned a time slot and it transmits 1-bit control message if it has
data. Otherwise, it leaves that slot empty. After contention period completed, the CH knows the source nodes,
prepares a transmission schedule and broadcasts it. The system followed enters the data transmission period. If
none of the member nodes has data to transmit, the system enters the idle period until the next session.
Throughout data transmission period, source nodes turn on their radios in their allocated slots and transmit the
data to the CH. The other member nodes keep their radios off during the data transmission. In idle period, the
radios of all the member nodes are off. BMA is an appropriate protocol for low traffic conditions since it easily
outperforms TDMA and E-TDMA in low and medium traffic loads.

3.

The Basics of the Proposed Method

The proposed idea for the MAC protocols consists of rounds including set-up and steady-state phases as
in the other scheduled protocols. In set-up phase, cluster head is chosen and the cluster is formed according to a
specific mechanism. There is a contention period as in BMA in steady state phase (Figure 2). However, source
nodes transmit the difference data between the threshold and measurement values instead of declaring whether
they have data or not by sending 1-bit in BMA. Therefore 4-bits slot is allocated to each node. When the nodes
sense the values equal or bigger than the predefined threshold value, called as source nodes, they transmit the
difference data between the threshold and measurement values in those 4-bits slots. Thanks to this, the CH not
only knows the source nodes but also the nodes having same data and assigns data slots according to this
knowledge.
A large number of nodes with predetermined temperature threshold in an example application are
deployed randomly and densely by plane over the forest. The nodes which measure at least the threshold value
are called source nodes. The source nodes transmit the difference data during contention period. The non-source
nodes are in idle mode in their own 4-bits slots. The CH compares the difference data from source nodes and
assigns data slot to the only one of the nodes having same data. In this way, different measurements are
transmitted in data transmission period after the contention period.

Figure 2. Illustration of single round for BMA protocol (Li, 2004).

414

�Figure 2. Illustration of single round for our proposed protocol.
P t:
T d:
Ein:
P i:
P r:
T c:
Tch:
l:
N:
p:
n:

transmit mode power consumption
time required to transmit/receive a data packet
energy consumption of an idle node
power consumption of an idle node
receive mode power consumption
time required to transmit/receive a control packet
time required for the CH to transmit a control packet
number of frames
number of nodes
probability
number of source nodes n=Np

3.1. Our Proposed Method Used in a Simple MAC
p' : probability
m: number of source nodes which are assigned data slots (number of source nodes having different data)
m= np'
(1)
Energy consumed by a source node in a frame
Edn = Pt(Tc+(3N/ data rate))+ (N-1) Pi Tc+(3N/ data rate)) + PtTd + PrTch

(2)

Energy consumed by a non-source node in a frame
Ein= NPi(Tc+(3N/ data rate)) + PrTch

(3)

The CH consumes nPr (Tc+(3N/ data rate)) + (N-n) Pi (Tc+(3N/ data rate)) + PtTch and mPrTd in the data
transmission period
(4)
Ech = nPr (Tc+(3N/data rate))+ mPrTd + (N-n) Pi (Tc+(3N/data rate)) + PtTch
Total energy consumed during a round in the proposed protocol
EPROPOSED = l[n(Pt(Tc+(3N/ data rate))+ (N-1) Pi (Tc+(3N/ data rate)) + PrTch)+ mPtTd +
(N-n)( NPi(Tc+(3N/ data rate))+ PrTch)+ nPr(Tc+(3N/ data rate))+ mPrTd +
(N-n) Pi (Tc+(3N/ data rate)) + PtTch]

(5)

3.2. E-TDMA Protocol
Energy consumed by a source node in a frame
Edn= Pt Td

(6)

Energy consumed by the cluster head
Ech= nPrTd + (N-n) PiTd

(7)

Energy consumed by the cluster head to transmit a control packet
Ech= PtTc

(8)

Energy consumed by each node to receive a control packet
En= PrTc
In set-up phase, total energy consumption

415

(9)

�EC= PtTc + NPrTc

(10)

Total energy consumed during a round in E-TDMA protocol
EE-TDMA = PtTc + NPrTc + l [nPt Td + (N-n) Pi Td + nPrTd]

(11)

4. Performance Analysis
Rockwell’s WINS model (Raghunathan, 2002) is used for numerical analysis. Transmitting power is
462 mW, receiving power is 346 mW, idle listening power is 330 mW and data rate is 24 kbps for transceiver.
Assume a data packet size of 250 bytes, a control packet size of 18 bytes and Pi=Pe, Tch=Tc. The graph of energy
consumption versus p and p' probabilities are shown in Figure 3 for number of frames (l) 2 and number of nodes
(N) 10.
2
energy consumption (Joule)

E(E-TDMA)
E(PROPOSED)

p'=0.25

1,8
1,6
1,4
1,2
1
0,8
0,6
0,4
0,2
0
0,1

0,2

0,3

0,4

0,5

0,6

0,7

0,8

0,9

1

p

Figure 3. Energy consumption versus probability.
The energy consumed by the CH for comparing difference data from source nodes is ignored in energy
computations. Transmitting 1 kb data over 100 meters is approximately the same as executing 3 million
instructions (Pottie, 2000). Considering the energy consumption in communication is higher than the one in
computation, it is clear that the proposed protocol will provide energy-efficient results even the energy
consumption of computation is included.
Although the source-to-cluster-head control message is only 1-bit long in BMA protocol, control packet
includes other MAC level overhead information plus 1-bit control message (Lazarou, 2007). In computations,
three times the number of nodes (3N) bits are added to the control packet length to allocate 4-bit slot for each
node since the contents of the control packet is unknown and it has already N bits.
The p' denotes the probability what fraction of the source nodes have the same data and hence the
percentage of the source nodes assigned data slots. Since slot assignment is realized without considering the
contents of the data in E-TDMA protocol, energy consumption values of E-TDMA does not vary with p'. The
effect of the p' on our proposed protocol is seen in the graph. The more p', the more source nodes assigned data
slots and the more source nodes having different data. The 25% of the source nodes transmits data, this protocol
is more energy efficient than E-TDMA.

5. Final Remarks
We present an idea for TDMA-based MAC protocols which offer data slot assignment by considering
source nodes transmitting same data in event driven WSN applications in this paper. In this approach, contention
period is increased because of transmitting difference data in 4-bits slots instead of 1-bit slot. On the other hand,
number of assigned data slots is decreased, which results in energy saving. The energy efficiency of the proposed
method is shown by comparing to the E-TDMA.

References
Akyildiz, I.F., Su, W., Sankarasubramaniam, Y., &amp; Cayirci, E. (2002). A Survey on Sensor Networks, IEEE Communications
Magazine.

416

�Kredo II, K., &amp; Mohapatra, P. (2007). Medium Access Control in Wireless Sensor Networks, Comput. Networks, Vol. 51,
No. 4, pp. 961–994.
Lazarou, G.Y., Li, J., &amp; Picone, J., (2007). A Cluster-based Power-efficient MAC Scheme for Event-driven Sensing
Applications, Ad Hoc Networks, Elsevier, Vol.5, Issue 7, pp. 1017-1030.
Li, J., Lazarou, &amp; G. Y. (2004). Modeling the Energy Consumption of MAC Schemes in Wireless Cluster-Based Sensor
Networks, Proceedings of the 15th IASTED International Conference on Modeling and Simulation (MSO), pp. 313-318,
Marina del Rey, California, USA.
Li, J., &amp; Lazarou, G.Y. (2004). A Bit-map Assisted Energy-efficient MAC Scheme for Wireless Sensor Networks, in
Proceedings of 3rd International Symposium on Information Processing in Sensor Networks (IPSN’04), pp. 55-60,
Berkeley, California, USA.
Li, J., (2004). A Bit-map Assisted Energy-efficient MAC Scheme for Wireless Sensor Networks, M.Sc. Thesis, Electrical
Engineering, Missippi State University.
Pottie, G.J., &amp; Kaiser, W.J. (2000). Wireless Integrated Network Sensors, Commun., ACM, 43(5), 51-58.
Raghunathan, V., Schurgers, C., Park, S., &amp; Srivastava, M.B. (2002). Energy-aware Wireless Microsensor Networks, IEEE
Signal Processing Magazine, pp. 40-50.
Sohraby, K., Minoli, D., &amp; Znati, T. (2007). Wireless Sensor Networks: Technology, Protocols, and Applications, John
Wiley &amp; Sons, pp. 75-229.
Ye, W., &amp; Heidemann, J. (2003). Medium Access Control in Wireless Sensor Networks, USC/ISI Technical Report ISI-TR580, http://www.isi.edu/~johnh/PAPERS/Ye03c.html.

417

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                <text>MAC protocols have direct control over radio which is the most energy  consuming part of a wireless sensor node. TDMA based WSN MAC protocols are more  energy-efficient than contention based counterparts. However, classical TDMA based  protocols are not appropriate for event driven WSN applications. There are some MAC  protocols assigning time slots to only source nodes. Our proposed protocol assigns a time slot  to one of the source nodes with same data. As a result it reduces data redundancy achieving  energy savings. The analytical expressions are given for the proposed MAC and its  performance is compared to the conventional E-TDMA protocol.</text>
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                    <text>2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo

Music and Language

Emine Buket Sağlam
School of Foreign Languages
Karadeniz Technical University
Turkey
saglambuket@hotmail.com
Asst. Prof. Mustafa Naci KAYAOĞLU
Faculty of Letters
Karadeniz Technical University
Turkey
naci@ktu.edu.tr

Abstract: The argument for using music in educational context has been debated for years.
The literature in this field is mostly based on anecdotal stories and the researchers mostly base
their studies using the other disciplines such as psychology and philosophy. Under the
umbrella term “Music and Language”, this paper discusses the relationship between music and
language in a broader context even including its use in curing speech deficits in braindamaged people. More specifically, it addresses how both affect each other, the significance of
music in teaching and learning languages as well. The paper is likely to suggest certain
pedagogic implications to be utilized not only in language teaching but also in education in
general.

Introduction
Although verbal language appeals to a restricted community of speakers, the language of music
addresses to a diversity of speakers, either in the same language or in the other languages. This could be
illustrated with an anecdote. When Franz Joseph Hydn, a famous composer, decided to visit some European
countries at the age of fifty-eight, his friend Mozart reminded him that he might have difficulties due to the lack
of a common language. Hydn appropriately responded: “My language is understood all over the world”. This
anecdote might lead us to think that music is an international language, in other words the true lingua franca
(Kivy, 2007).
So far, some common characteristics of music and language have been noted by researchers. To begin
with, Mithen (2006) describes both language and music as “combinatorial systems” which contain acoustic
elements such as words and tunes. Words and tunes constitute utterances or melodies. Although there are
obviously differences between music and language, the two domains share some commonalities such as
symbols, grammar, and information transmission (Mithen, 2006). Although music and grammar are thought to
be divergent in nature, there are times when music facilitates learning grammar. Chomsky finds it unbelievable
that children can acquire a language in the same way they learn to draw, play a musical instrument or ride a
bicycle. As the language they hear from their environment is not sufficient for comprehending the grammatical
rules, they develop their own utterances. Among the researchers, this was named as “the poverty of the stimuli”.
As a result, the idea of “Universal Grammar” emerged. Universal Grammar is described as an innate state of
mind which provides a readiness for language acquisition, and it is universal for all Homo sapiens (cited in
Mithen, 2006). Many language researchers who support the idea of Universal Grammar suppose that adult
language learners have the same access to Universal Grammar (McLaughlin, 1991). As a result it might be
possible to say that both children and adults might ease the way they acquire a language more quickly when they
are exposed to it together with music since music has the same pattern in itself. Mithen (2006) proposes that
“Universal Grammar” can be the musical equivalent of the musical competence. Although musical grammar
does not provide the meaning in a similar way, many musicologists agree that the musical competence is
equivalent to a grammar like that of language (p.20). Therefore, it can be assumed that music and language share
similar structures which might ease learning one with the help of other.

208

�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
Secondly, Fitch (2005) proposes that music and language share another similarity in cognition. Music
and language contain listening and production stages. The two domains share certain phonological (rhythm) and
hierarchical phrase structures, and also both can be written and notated. These similarities are considered to help
students develop their cognitive abilities in an easier way. Mott (2004) clarifies that music can enhance
children’s self-expression, creativity, and cognitive development. His study revealed that implementing music
into the school program besides traditional methods can aid the improvement of language skills in children. As
music and language are naturally interrelated, it has been suggested that language teachers encourage their
students to involve in language through music, because communicating through a musical medium is
advantageous for language learners (Stansell, 2005). Arguably, the use of music might lead language learners to
absorb the knowledge in an indirect way. According to the cognitive psychologists, music listening allows
listeners to absorb and abstract the structural information unconsciously (Raffman, 1993). In a research study, it
has been revealed that implementation of music into school curriculum had beneficial effects in terms of
language learning. Results of the pre and post test scores indicated that 93% of the participants in the treatment
group improved one or more language levels when compared to 23% in the control group. Moreover, the
teachers who participated in the study were happy with using music in their classes (Ray, 1997). A similar
longitudinal study was conducted to search for the effects of music experience on the vocabulary and verbal
sequencing skills of primary grade students. Experimental group had piano lessons in their schedule for three
years, and control group was not exposed to music either formally or as a private study. The results revealed that
there was a significant difference between the scores of experimental and control group’s vocabulary and verbal
sequencing scores in favor of the experimental group. It was observed that using music had a positive effect on
cognitive skills of the students enhancing their knowledge in language and literacy (Piro &amp; Ortiz, 2009). A
further similarity between music and language is the comprehensible nature of the both. Due to the similarities
between the properties of music and language combined with the universal nature in which music can be
understood by people, Krashen helps us to understand that music is the essential comprehensible input.
According to Krashen (1987), an effective language teacher is someone who teaches students first providing the
input, second making the input comprehensible, and third doing the first and the second in a low anxiety context.
When these three are provided, the Language Acquisition Device (LAD) is stimulated. LAD is a mental device
in which a newly learned language is processed.
There are various parts of Krashen’s theoretical framework of L2 acquisition that have been argued to
provide support for why music is a useful tool in language teaching. To illustrate, while learning a language,
comprehensible input plays a crucial role to maximize learning. For beginner learners, simplification of the input
is necessary. In order to promote comprehension, high frequency words, simple structures, and short sentences
are needed (Krashen, 1987). Songs are very advantageous in that they contain most commonly used vocabulary,
and shorter sentences. Krashen, however, notes that the song must be at appropriate level to serve as an effective
comprehensible input. There should not be difficult structures or vocabulary items for students and lyrics should
be clear (Abbott, 2002). Krashen’s comprehensible input theory including i+1 (the level which is a bit beyond
the learner’s current level) can be the starting point where songs can provide comprehensible input for language
learners, primarily in promoting speaking. Krashen postulates that in order to start to speak in a language, one
should obtain sufficient amount of comprehensible input. Speech occurs after building a language competence
through comprehensible input (Krashen, 1987). Nussel and Cicogna (1991) agree that within Krashen’s
theoretical framework of second-language acquisition, songs provide myriad examples of auditory and written
sources as stimuli. In addition to promoting speaking abilities, music can be a facilitator to teach vocabulary.
Songs have a repetitive nature which helps students learn vocabulary items more easily (Brown, 2006). Exposure
to songs may enhance the knowledge of new vocabulary in context. While teaching the lyrics of the songs,
finding the familiar words and playing vocabulary games might be some of the activities which help acquirers
memorize words better (Abrate, 1983). In addition, songs might be a good regulator to keep not only children’s
attention on the track but also adults’ when telling stories. Everybody can benefit from songs as they are both
educatory and entertaining (Brown, 2006).
In ELT context, music might be a potential device in order to promote language abilities. Music videos
particularly might provide authentic teaching materials to increase students’ comprehension since they contain
lexical, grammatical, and functional material. Also, they help learners use their imagination more effectively in
order to put the target language in use (Garza, 1994). Moreover, it might be beneficial to mention about some
qualities of music when teaching a foreign language. Maley (1987) describes these qualities in order by their
usefulness in teaching a language. The qualities are memorability, performance/reciteabality, ambiguity, nontriavality, universality, playfulness, reactional language, and motivation/interaction. These qualities particularly
help learners to improve their language skills when used in an authentic context. Songs authentically meet the
need even providing a better retention (cited in Garza, 1994).
Using songs in ELT context might ease teaching the language since processing of music and language
both find a place to correlate in an area of the brain. This idea is also supported by Lake (2002-03) confirming

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�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
that both hemispheres of the brain digest music with words more effectively. In this sense, using music might
ease learning more words in a language, stimulating the both hemispheric parts of the brain. The overlapping of
the speech and singing is also mentioned in other studies by some researchers (Patel, 1998; Maess, Koelsch,
Gunter, &amp; Friederici, 2001).
Another contribution of music to the activation of the hemispheric parts of the brain might be via
auditory input. Auditory input is a considerable outcome of music while learning a language. In an article
discussing musical and linguistic processing in song perception, Schön et al (2005) mention that songs posses
two dimensional processing in the brain: linguistic and musical. Although previous studies reveal that music
processing occurs in the right hemisphere and linguistic processing occurs in the left hemisphere, Schön et al
confirm that because of its two dimensions, song perception occurs in both hemispheres. Further, they state that
singing or auditory stimuli builds a bridge between language and music via the neural system in the brain. Thus,
it can be useful to use songs in the learning process as listening to music might facilitate the functioning the both
hemispheres of the brain.
The interrelatedness between music and language in both hemispheric parts of the brain led scientists to
search for the effect of music as a tool to repair speech deficits. From the earlier times, music is known to be a
vehicle for curing some speech deficits. Thaut (2005) presents a few musical techniques for the improvement of
speech impairments. These include Melodic Intonation Therapy, Musical Speech Stimulation, Rhythmic Speech
Cuing, Vocal Intonation Therapy, Oral Motor and Respiratory Exercises, Developmental Speech and Language
Training through Music, Symbolic Communication Training through Music, and many others. All these
techniques use music as a medium to cure language impairments. Sessions range from using songs, rhymes,
chants, musical phrases, and auditory rhythm to cue speech, singing, breathing exercises, and oral motor and
respiratory exercises. All of these activities are used to develop speech and language through music in braindamaged people.
In 1973, Albert and his colleagues used a music therapy called ‘melodic intonation therapy’ to cure
aphasic patients. The patients got the music therapy for three months. In two weeks, a sixty-seven-year-old man
developed a good amount of vocabulary, and at the end of the six weeks he was able to produce short,
meaningful sentences. At the end of the melodic intonation therapy, the patient started to utter quite a lot amount
of words again (cited in Sacks, 2007).
Jourdain (2002) confirms that music has a great power to cure brain-related diseases. As an example he
gives the case of a patient who had Parkinson’s disease, a malady in which the patient cannot move because of
the failure of the neurons in the brain’s core. Unbelievably, the patient’s doctor found an effective cure for her,
music. The patient responded to music and her brain waves turned to be normal. The doctor later discovered that
Parkinson’s patients responded to music in a similar way. Jourdain (2002) concludes that music might serve as a
regulator of the brain activities putting the anticipations into action.
Another study showing the merits of using music examined the music and language abilities of a group
of children with Williams syndromes (WS) in comparison to the normal children. The children with WS scored
better on verbal tasks (receptive vocabulary and comprehension) and compared to normal children they enjoyed
music more and had stronger feelings and liking towards music (Don et al, 1999). Since children with WS are
known to be skilled at verbal expressions (Don et al, 1999), it can be inferred from the study that people with
verbal skills might have a tendency towards music which may lead them to ease their learning on verbal tasks.
Conclusion
These theoretical and experimental findings might suggest that music and language are correlated and
language can improve higher with the help of other resulting in the activation of the brain. Music might contain
ample materials for improving speech and language in a holistic manner. From the very early age, people learn
how to speak and sing at the same time. It is a well-known fact that communication is derived from speech and
songs. Speaking and singing are embedded in music, and it might very facilitate verbal expression (Thaut, 2005).

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�2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo
References
Abrate, J. H. (1983). Pedagogical Applications of the French Popular Song in the Foreign Language Classroom The Modern
Language Journal, 67(1), 8-12.
Brown, J. L. M. (2006). Rhymes, Stories and Songs in the ESL Classroom. The Internet TESL Journal, XII(4).
Don, A. J., Schellenberg, E.G., &amp; Pourke, B. P. (1999). Music and Language Skills of Children with Williams Syndrome.
Children Neuropsychology, 5(3), 154-170.
Fitch, T. W. (2005). The Evolution of Music in Comparative Perspective. New York Academy of Sciences, 1060(1), 1-21.
Garza, J. T. (1994). Beyond MTV: Music Video as Foreign Language Test The Journal of the Imagination in Language
Learning and Teaching, 12(2), 106- 110.
Jourdain, R. (2002). Music, the Brain, and Ecstasy. New York: Quill.
Kivy, P. (2007). Music Language, and Cognition. Oxford: Clarendon Press.
Krashen, S. D. (1987). Principles and Practice in Second Language Acquisition. London: Prentice-Hall International.
Lake, R. (2002-2003 ). Enhancing Acquisition through Music. The journal of the Imagination in Language Learning and
Teaching, 7.
Maess, B., Koelsch, S., Gunter, T. C.,&amp; Friederici, A. D. (2001). Musical Syntax is Processed in Broca's Area: an MEG
Study. Nature Neuroscience, 4(5), 540-545.
McLaughlin, B. (1991). Theories of Second-Language Lerning. London: Edward Arnold.
Mithen, S. (2006). The Singing Neanderthals the origins of Music, language, Mind, and Body. Cambridge: Harward
University P ress.
Mott, A. R. (2004). Teaching Language with the Enhancing Power of Music for the Young Moderate / Severe Population.
California State University, Fullerton.
Nuessel, F., &amp; Cicogna C. (1991). The Integration of Song and Music into the Italian Curriculum Italica, 68(4), 473-486.
Patel, A. D. (1998). Syntactic Processing in Language and Music: Different Cognitive Operations, Similar Neural Resources?
Music Perception, 16(1), 27-42.
Piro, J. M., &amp; Ortiz, C. (2009). The Effect of Piano Lessons on the Vocabulary and Verbal Sequencing Skills of Primary
Grade Students. Psychology of Music, 37(3), 325-347.
Raffman, D. (1993). Language, Music, and Mind. London: The MIT press.
Ray, J. J. (1997). For the love of Children: Using the Power of Music in 'English as a Second Language'' University
California, Los Angeles.
Sacks, O. (2007). Musicophilia Tales of Music and the Brain. New York: Alfred A. Knopf.
Schön, D., Gordon, R. L., &amp; Besson, M. (2005). Musical and Linguistic Processing in Song Perception. New York Academy
of Sciences, 1060 (1), 71-81.
Stansell, J. W. (2005). The use of
Music for Learning Languages: A Review
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Thaut, M. H. (2005). Rhythm, Music and the Brain. New York: Rotledge.

211

of

the

Literature.

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                    <text>2nd International Symposium on Sustainable Development, June 8-9, 2010 Sarajevo

The Industrial Developments in Turkey during the Transition Period from
Ottoman State to Republic
Kadir Şeker
Mehmet Akif Ersoy University
Burdur/Turkey
kseker@mehmetakif.edu.tr
Abstract: The guild system in Ottoman State maintain its vitality as an economic and social
system until nineteenth century. The masters and apprentices who construct guild system
lost their chances of economic entegration to the new system brought by Industrial
Revolution which first started in England and then spread all over Europe.
Although the Ottoman State had taken some actions to keep up with the industrial
revolution in Europe, it couldn’t have industrialized in all fields. Ottoman State was
eliminated by First World War and Independence War and then Turkish Republic took
Ottoman State’s place. But the industry taken over from Ottoman State was almost next to
nothing. In this respect, founder of new goverment Mustafa Kemal, gathered economic
congress in Đzmir with the purpose with arranging industrial investments and economic
developments just after Independence War. Because according to him, military victories
which are unsupported by economical developments is not possible to be permanent. For
this purpose, some radical precautions had been taken to develop the industrial just after the
foundation of Republic.
In this study, it is emphasized on the applications for developing the industry in the late
period of Ottoman State and the industrial developments in the new state from the end of
Indepence War to 1940s.
Key Word: Ottoman State, Guild System, Economical Developments in Turkey

Introduction
Until the beginning of 19th Century, there was a developed industry which was made in small
workshops and organized as guiltd to its time in Ottoman State. Industrial branches, such as cotton thread, cloth
thread. Both met country’s needs and was exported. But starting of the Industrial Revolution in England and
spreading to other European countries in a fast way caused the emerging of capitalism in Europea with the
expression of economist J schumpeter while developing industry was bringing forth new goods with services,
new prodiction and new life styles, also demolished the old ones( Kazgan, 2009). But this life style did not occur
only special to Europe. It showed its effect nearly all around the world and as using its political interactions
Europe started to exploit weak countries by taking them under their power.
While the progress was going on like that at the ends of 18th Century and beginnings of 19th Century,
Ottoman State which had large lands spreading to three continents and innersides of Europe didn’t keep in step
with these developments for some reasons. Ottoman State didn’t get the technology which was bought by
Industrial Revolution according to Europe and also Ottoman State had political agitation caused by Ayanlar and
had to struggle with nationalist movements beceuse of French Revolution. Although movements about acquiring
a newness had started inner Ottoman since at the beginning of 18th Century, these movements did not come to an
end beceuse of reactions caused by either lawer or upper parts of society. As the most important examples to
these, Nevşehirli Damat Đbrahim Pasa and III. Selim attempts trying to do in every fields can be given as
examples. But these attempts did not work beceuse of Patrona and Kabakçı Mustafa rebellions.
One of the most important causes of the Ottoman industry’s unrealization is Capitulations.In the period
of Kanuni Sultan Süleyman for breaking the crusader unit, and between two sovereigns, by the condition of valid
as long as they live, the capitulations being given to French were started to be given to other European countries
in the following centuries of development, these attemps did not cause so many matters but these attemps started
to be a pressure component for the Ottoman State in the term of both political trade and also economic in the
period of unproductivity. Finally the conditions were followed to Industry Revolation, England, opening to
world markets and exploiting these markets step by step, sign the Trade Agreements, 1838, with the Ottoman
State (Cem, 1970). Trade agreements were signed with other European countries following this Trade
Agreement. All agreements included both the continuation of former privilepe’s components and also new
components with these agreements, for exporting and importing being limited to foreigns, and for zeroing the

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advantages of indigenous merchants in domestic trade and at the same convenience foreign investors and
merchants. But at the same time, against of England and French’s exploitation. while USA absorbed all the
safeguard principles in foreign trade, Germany Principalities set up duty unity by demoslishing duty unity
between them, and thus, supporting domestic production against England’s and France’s exploitation, they set
the foundation of German Empire in the future. Industry Revoluation, starting in England, Pelmestor, Minister of
foreign Affairs, started the process with the principle “any undeveloped country does not have right to obstruct
the effect of Europe”.
Thus, USA, Germany, Russia took against this progress by bringing function defending economic
politicians. But 1838 English Trade Agreement did not give any economic development opportunity to the
Ottoman State. In this way, while some countries were trying to keep their industries, The Ottoman State by
signing trade agreement, opened up markets to European’s Industry goods.

Economy Policies and Industrialization of 1838–1923
Administrative Reforms Period
The announcement which was published in November 3, 1839 in front of people who are muslim and
not Muslim just five months after the death of II. Mahmut and nearly one year after the commerce agreement
signed with English with the enterprise of ministry of foreign affairs was called “Administrative Reforms
Firman”. The word “Tanzimat” is the plural of “Tanzim” which means “putting into order”. Mustafa Reşit Paşa
who was sent as an ambasador to London in II. Mahmut period gave a note to Ministry of Foreign Affairs of
England in August 12, 1839. He explained the reform which he thought with three words in that note which was
written out in French. Those three words are “a system which was settled in the form of not being able to be
changed”.
In fact Firman which was announced in 1839 had the feature of a human right’ report. Equality of
Christian people who lived in Ottoman land, everbody paying tax according to their financial power, centralizing
disorganized goverment structure, conducting military expenditure with laws were main foresight of Firman.
Firman was announced by goverment administrator of Ottoman to decrease Europe’s intervention into
our internal affairs. But that Firman made it ease for European goverments to interfere Ottoman’s internal affairs
and in progressive term the process proceeded to work in non –muslem people’s favour. (yerasimov, 1976).
Europe which quaranteed to enter Ottoman’s bazaars with 1838 trade agreement aimed with Firman that their
own Merchant and minorty had a say in above their legal status. Briefly, while Ottoman Goverment was
included in international markets by bringing to an open bazaar state with 1838–39 trade agreements, it was also
introduced to Europe public law by 1839 Adminisrative Reform Firman (Kazgan, 2009). After those processes,
Ottoman lands were brought to an important bazaar of global economy whose leaders were England and France.
On the other hand, administrative Reforms Firman contributed to England Ambassador and also other
Europen goverment’s represenatives to be the inspecter of Administrative applications. Ambassadors who
complained that law and regulations wich would perform the reforms wich Firman promised weren’tmade and
those which were made were not applied. They started to put pressure on Ottoman State about new regulations
with the end of Crimea War in peace conference which woud be carried out in Paris. At the end of these attempts
Ottoman State had to declare Improvement Firman in 1856. Two-third of Firman were parted to minorities
privileges and the other parts were parted to foreigners privileges under Ottoman State. In fact, it started to be
seen how Europe would treat in Ottoman region. By taking minority rights under guarantee, making
cooperations with foreigners would be helped and thanks to minorities, commercial, economical and industrial
privileges woud be obtained. On the other side, these treaties economical effects shoued themselves in a short
time. In the period from 1838–1841 to 1852–1854 the growth in foreign trade rised as annually from 1–5 % to 5
% in Ottoman State. Although that was such a crucial figure, the main growth reached its peak with joining
Ottoman State to Crimea War and right after with declaration of Improvement Firman (Kazgan, 2009).
At the same time, Crimea War brought the firsts inside Ottoman State. Ottoman State went into dept to
foreigner investors for the first time in its history. This debt was in fact based on very high interest. While some
of European were going into debt only with 3 %, Ottoman State went into dept with high interest like 8 % in
those years. While that situation was leading to conclusion of not being paid of Ottoman State’s depts in
progress, it caused the foundation of Duyunu Umumiye characterized as depts law. Ottoman State went into dept
sixteen times between 1854–1876. Borrowed Money started to be spent to cover new depts and their interest
more than countrie’s development and being turned into investments. At that point, Ottoman State couldn’t pay
its dept and declared moratorium. In the end, firstly Rüsum-i Sitte Đdaresi (A Traditional Board) was founded in
order to make debts paid in Berlin Congress gathered in 1878. As a result, some incomings were left to Ottoman

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Bank with creditor local banket. As that system worked well, that time, Duyunu Umumiye which was fathered
by European creditor was turned into “General Debts Management” (Kazgan, 2009).
The Term of Constitutional Monarchy
In 1876, 1st Constitutional Monarchy was announced with Abdulhamit’s ascending the throne and the
suggestions of some intellectual people and statesmen of that time. The term from that year to 1908 is called 1st.
Constitutional Monarchy. The time from 1908 to the demolition of the Ottoman State is called Era of 2nd
Constitutional Monarchy.
In the term, passing from the beginning of going in to debt to the announcement of moratorium, that is
within twenty years, the debts were used in a great proportion for consumer items, buying weapons, construction
of barracks and palaces. The interests’ being already high and the exportations’ being insufficient brought the
investments to the last point. When the increase of income couldn’t be obtained in the Ottoman State, the credits
taken from outside were transformed into paying for the debts of outside again. Especially in 1894, that the short
time debt’s reaching to 16 million sterlin while export income was 19 million sterlin was the most important
factor sabotaging the investments. In the same term, total state income remained at only 22,5 million sterlin
(Pamuk, 1984). Maybe among the increase of income was that foreign merchants weren’t paying tax to the
Ottoman State due to the advantages the capitulation guaranteed. Native minorities also began to try ways of
avoiding from capitulations. Naturally, these two groups whose income increased couldn’t be taxed in the some
proportion. Therefore, the state tried to increase the Asar tax applied on Muslim population in order to assure the
increase of income. However; since the agriculture was done with traditional ways, any increase of production
couldn’t be ensured. Consequently; increase of tax couldn’t be realized in this area, either. But especially
increase of the military expenses was observed in the same term (Kazgan, 2009).
General Debt Management ensures Ottoman’s debts’ being organized in response to take 20-32 % part
of Ottoman’s income in hand. On the other hand, operations which decreased tax evasion were put into force.
Thanks to administration holding tightly the work, nearly until the end of 1880, deficit in budget was ceased.
Moreover excess budget came about and that action continued until I. World War. After that time, in different
regions of Ottoman territories, some rail ways, shipyards and hardbours were started to be built.
Especially, accelaration of building of railways both aimed at strengthening of central admiration and
providing of collection, control and transportation of taxes collected. In fact, when 1908 was reached Tithe tax
that was collected in country increased nearly the foundation of General Debt Manegement, Ottoman state
directly went towards invesment and started to grow in agriculture and in industry. In spite of low proportion,
devolopments started in proportions of natural income. Findings related to the development are given in the chart
below.
Annual Avarage increase Speed (%)
With the Price of 1948 and1968

Portion in GNP (%)

WPI Annual Average
Exportation/Inportation Development
Period

Population GNP IGNP

Agriculture Industry

Exportation Investment

Inportation Speed (%)

1889-1914

1.0

2.0

1.0

1.6

3.0

55

7–8

15.5

-

1923-1929

-

10.4

9.2

15.0

8.5

62.6

9.1

14.5

3.1

(%)

Chart 1: Turkey’s main Development indicators: 1889–1929
Resource: Taken from Kazgan, G. 2009, p.75).
On the other hand, investment activity based on national capital was tried to be carried out with the
help of II. Constituonal Monarchy and the power of Ittihat Terakki Party. Nevertheless, in this term, the portion
which could be seperated from state’s budget to investment below shows regional distribution of business
enterprises called as factory and ethnic structures of workers together with capital structures, since the year of
1915.

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Recional Distribution (Numbers)
Cities

Factory

Đstanbul
Đzmir
Other Cities

149
61
73

Total

283

Ethnic Distribution of Capital and Work Power (%)
Worker

Ethnic Origin

Capital

Worker

Muslim-Turk
Greek-Roum
Armenian
Jewish
Foreigner

15
50
20
5
10

15
60
15
10
-

100

100

15.000

Chart 2: The Distribution of Big Manufacture Industry in the Otoman State in 1915, as percentage (%)
Resource: Taken from Kazgan, G.(2009, p.52).
As it can be inferred from the table, the shares at non-Muslims are %75 in 283 factories. The Muslim
have only % 15 capital and also %15 at the working class. If it is thought that, although the owners and the
ruling class at the state are Muslim- Turks, it is understood that how low the rates are. In Ottoman, that change
which occurred with the foreign capital continued to increase the injustice of the incomes. Because while on the
one side the European merchants, living in the big cities, and the non-Muslim minorities that are cooperating and
having commercial privileges with the agreements made with. European Merchants, on the other side, were
continuing to increase their incomes, the Muslims that had to manage with the difficulties at the state, started to
be poor with the same rate. Futhermore, foreign and non-Muslim investors were not solely doing investments in
the Ottoman lands but increasing their income via exporting goods and on the other hand, they were not doing
anything that would be beneficial to the employment.
So, as a result of the changes above the objections to ‘’the Constitutional Monarchy’’ started. Now the
changes that we could say as ‘’improvements in every aspects’’ started to occur. While the intellectuals were
interpreting books of economy, they started to argue whether liberal trade or conservative policies should be
followed. As a result at these arguments the increasing responses against foreign investors started to emerge. The
tram workers in Istanbul and Izmir, the railway workers in Aydın and the workers at Şirket-i Hayriye went on
strikes. And also in 1908, the boycott was carried out against the exported Austrian goods. These boycotts did
not only stand as strikes but also meant to be the starting of the Nationalist movements which emerged and
spread a many Turks after The Constituonal Monarchy II. Actually, these changes and movements were
inevitable in the flow of history. Because all of the ethnic groups living in the borders at the Empire were in a
search for independence and started to collaborate with variuos European Countries.
As a conclusion, for the period of Ottoman we can say that; during the period between Tanzimat
Reforms and The Constituonal Monarchy I, the goverment did not make a considerable investment. The most
important one, was maybe, in 1870s ‘’Menafi’’ caissons –later in 1878 they turned out to be Agriculture Bank.
This meant that the first ‘’Public Financial Association’’ was founded. (Yasa, 1966). But it was difficult to say
that these improvements could be accepted as industrialization. However, it can be observed that some
investments started to be done; especially the railway construction was hastened after The Constutional
Monarchy I. Also, as a paralel with the investments, ‘’GNP’’ started to increase which can be understood from
the tables. Besides, the starting of railway construction, some industrial associations were founded with the aim
of compensating the military needs. (Anonim, 1980) However, in the Ottoman State, the large number of foreign
priviledged companies, the practice of Capitulation, the non-extistence at customs policies and the poor economy
of the state prevented public investments.

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The Period of 1923–1933 the Practice of Financial Policies and Insdustrialization
The Period 1923–1933
From year 1923 to 1929, in which the Great Depression occured, corresponding with the foundation
years at the Republic. During this period, our country where social, political and legal improvoments and
reforms were done, faced with financial problems and sought for the solutions. Soon after the Indepence War,
Atatürk stated that Military Victories that we did not support with economical success can not be permanent. So,
with this aim to define financial policies and to practise them immediately, he arranged Izmir Congress of
Economy in 1923 with the participation of every group. That Congress was held between 17 February- 4 March
1923 in Izmir with the participation of some public associations, trade, industry, farmer, worker and other groups
members.
‘’We must give much importance to our economy to be able to carry Turkey to the highest level it
deserves. It is completely time of economy, nothing else. In fact, if Turkish history is analysed, it will be seen
clearly that the reasons for rise and collapse are economical reasons.’’ Atatürk emphazised the importance of
economy and the reason why this congress was held.
The decisions made in meeting were gathered in two parts as ‘’Economical Decisions and the problems
belonging to farmer, merchant, industrialists and worker groups. Some of the decisions made in the meeting
were studied because of its connection to our topic. At the first session of the meeting, such decisions as
developing the sectors of forest and mine, letting foreigns capital in condition of contribution to developing
economy, not letting to monopoly, were made. And at the second session of the meeting, such decisions as
cancelling the Tithe (Aşar) tax, refoundation of Agriculture Bank, the developing in gunpowder and other war
industry branches, processing productivity in coke antracite and emery branches, training some coal area, were
taken. The most important decision made in the second session was maybe the protection of native industry
against to foreign industry products with putting customs tax. When the decisions were investigated as a whole,
it may be said ‘’a protective and nationalist economical policy that would get the success in developing with
special enterpise.’’ (Akbank Culture Prints, 1980)
Though most of the decisions taken in this congress were reflected in the economic policies after the
declartation of Republic, the adhibition of some items took some time. For example monopoly of baccy could
not be taken away and the import of sugar was kept on. Above all, Treaty of Lausanne congealled the customs
fax for five years, thereby domestic manufacture could not be espoused. Even though command economy was
stood by some enouraging cautions with Insentive Industry Law, both the opportunities of goverment and private
sector were limited, the desired industry investment were not elicited.
As the government’s installation term between the years 1923-1932, exaggerated loan contracted could
not be done and the investments could be done on the condition of taxes. For instance, though the ancestral
railroad net which was 4138 kms inherited from Ottoman State reached 6040 km in 1932 it could not be
supported with motorways which could maintain these railroads. Nationalizing the industry facilities in foreign
goverments were limited with a few adhibitions because of limited financial impossibilities (Avcıoglu, 1968) . In
the same way, though the decisions of Izmir Economics Congress foresaw mixed economy structure, liberal
policies were tried to be applied in general term. In other words, 1930’s Goverments saw the private sector as
dominant factor in Economic policies and tried to help private sector and adopted the principle that cluster the
areas private sector made investments.
Goverment founded World Bank of Turkey which was characterized as a trade bank in order to give
credits to private sector and develop it in 1924 while it was carrying at this foresight. Right after this it also
constituted Industry and Mine Bank of Turkey in order to bring functionality to private industrial organizations.
Meanwhile, Ottoman Bank’s privilege period also was prolonged for ten years and Real Estate Bank of Turkey
was established in order to deal with legal residence credit (Anonymous, 1980). But in spite of these
organizations, improvement in economy couldn’t be carried on beceuse of the World Economic Crisis in 1929
and developing private sector was not at the demanded level.

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Annual Average Increase Level (%)
With 1948 and 1968 Charges

GNP Portion (%)


Turkey Consumer Price
Index

Export/Import
Period

1929–1935
1935–1939
1939–1948

Population GNP

2.1
1.7
1.06

IGNP

3.2
0.7
11.6 8.8
0.5 -0.07

Agriculture Industry

-1.3
15.6
1.0

17.1
11.0
-0.9

Import (%)

105.2
113.1
137.2

Invest

10.1
10.1
8.6

Export

8.0
7.0
5.6

Speed (%)

-12.0
5.1
19.0

Chart 3: Turkey’s Main Development Indicators: 1929–1948
Resource: Taken from Kazgan, G.(2009, p.75).

1929 World Economic Crisis
As in many cases affecting the World, lots of studies have been carried out and different comments
have been made on the reasons of this case, as well. However, some common reasons taking part in most of
these can be ordered in this way; the first one is the economic power of the companies in USA. While in the
1870’s there were so many companies both large and small in USA, the small companies had to unite and after
war monopolies emerged against the difficulties caused during World War I. In 1929, the number of holding
companies having autharity on the 50 percent of the USA economy was about 200. This meant that even a single
holding company’s bankruptcy is enough to weaken economy.
The second reason is the banks’ having been badly constructed. The laws determining the banks’ capital
essentials and the proportions of reserve and credit had not been made yet. For instance, there were no laws
providing the reliability of financial tables of companies. For this reason, the investor was unable to have enough
information about the company from which he took the written certification. Again, there were no laws that
distinguish the commercial banks from investment banks, either.
As for the third reason, it is the inexperience of the goverment of President Hoover approved not to
interfere in economy according to the liberal economy understanding that prevailed in the 1920s. However, not
interfering in the 1929 crisis costed society so much. Later on, when the President decided to interfere, it was too
late and the interference could not succeed. The other sign of the inexperience of the goverment is its having
insisted on depending on the gold standard. The goverment pursued a strict money policy by refusing to print
money independent from gold. So, the markets began to experience the liquidity problem, the economical
activities halted and the real sector had to become small. And, this meant more unemployment, less income.
Fourth reason, America was almost the only country which giving debt in the world. During first World
War, USA had given debt about 10,3 billion Dollars to its the Allied Powers. After first World War, USA was
demanding to pay as gold its compensation from Germany and England. But, the gold stock was insufficient on
Earth and the amount of stock in hand was under control of America. For this reason, Mentraned compensation
and credit was tried to pay as property and service but this affected badly American own property and service
sector. As a result, America couldn’t get credits which giving without financial record. (Armaoğlu, 1987)
USA gave debt about to twenty goverments during war. England with 4.2 Dollars, France with 3.4
billion Dollars, Italy with 1.6 billion Dollars were in debt. The total debt lended by America was almost 10.3
billion Dollars. After war, these goverments didn’t want to pay their debts. Because they depended on the repair
debt which would be gotten from Germany. America struggled to collect debts exactly. The other goverments
didn’t pay on They paid as sembolic. (Armaoğlu, 1987)
With the begining of crisis, USA exchange collapsed. These improvements in America affected Turkey
which was founded justly and the term of new industry. In the same years, personal enterprise failed in progress
and redounding capital done under difficult conditions. A lot of people lost their jobs with the company which
went bankrupt. At last, in 1930s, Defending etetism politics were applied in all world countries.
The Economic Politics of 1933–1950 and KIT’s Emergence in The Name of Industrialization
In 1930s, the economic crisis which wrapped up the world also had influence on our
country.(Hiç,1998). Consequently, in the same years a new approach named as ‘Statism’ was adopted. While

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this approach was being adopted, it was declared that there would be a support for Private Enterprises but for the
vulnerable condition that was in, the priority would be given to the Public Economical Organization about
conducting improvements. Likewise, this understading entered into the People of Republic Party (CHP)
programme. In this programme, Statism was defined in such words : “on condition that keeping the individual
work and activity, as quickly as possible, making the community reach prosperity and improvement… making
the community concerned with law in act…’’ As far as we understand from the developments, Statism appeared
not because of a doctrine but the requirements in that period which had to have realistic approaches. During the
years 1930–38 when the etatism principles was in use compulsorily, Atatürk was not in favor of strict etatism
and was suspicious of the success of etatistic economic politics. Even the period’s Prime Minister Đsmet Đnönü
declared that Atatürk was in favor of private enterprises and liberal economy. The failure of providing a
successful improvement in the field of economy from the time of founding Republic made Atatürk think over the
issue. Because the country had to develop fast and was aware of the fact that with slow down bureaucracy,
unstable government mechanism, industrialization could not be fast and enterprising. In 1932, with the demand
of Atatürk, the appointment of Celal Bayar who was the manager of Is Bank in place of Mustafa Seref, the
Economics Deputy, was important from the perspective of Atatürk’s preferences in politics. Likewise in 1937,
the seperation of Atatürk and Đsmet Đnönü might have been the leading result of this difference in opinions. But
in the same period, the lack of investors entailed the government to be active in economics and the statistic
economic model was to be adopted inevitably. (Koçak, 2007). Between 1933 and 1938, with the Statism
practises, Five Years Development Plans were put into use. ( Boratav, 2007 ).
Again, as a continution of applying of this program, between 1938–43 Second Development Plan For
Five Years was applied. The basic feature of these plans is having proposed to carry the investments in such
sectors as industry, banking and transportation by goverment. In this period, business enterprises which would be
called as Public Economic Formations and as an abbreviation KIT (Public Economic Enterprise) started to
increase rapidly. Government increased its investments such industrial branches as weaving, mine, celluase,
ceramic and chemistry. From these branches, weaving industry in the construction of Sumerbank and mine
enterprises in the construction of Etibank were collected.

Conclusion
The civil financial institutions started to be established in 1934 carried out the duty of being locomotive
of economy until 1950s. With the death of Atatürk and Ismet Inonu’s being President, statism in economy was
applied strictly until 1946. Even, some private enterprise attempts had to be closed at this period. (Primiership
Republich Archive. 030.10-59.399.25). Transition into multi-partied era in 1946 and change of government with
1950 election caused return to liberal policies again.Parallel to these developments, KITs (Public Economic
Enterprise), founded under the name of industrialization lost its importance. (BCA, 030. 10-174.202.6) There
are so many reasons for KITs (Public Economic Enterprise) to lose their importance in industry. Some of them
are like those: administration, production, investment and financial issues. In time, these institutions were closed
as they could not renovate themselves or were left out of state’s industry production by privatizing.

Reference
Anonim, (2005). Atatürk’ün Bütün Eserleri, Đstanbul: Kaynak Yayınları, XV, 141.
Anonim, (1980). Cumhuriyet Dönemi Türkiye Ekonomisi 1923–1978, Đstanbul: Akbank Kültür Yayınları.
Armaoğlu, F. (1987). 20. Yüzyıl Siyasi Tarihi 1914–1980, Ankara: Türkiye Đş Bankası Kültür Yayınları.
Avcıoğlu, D. (1968). Türkiye’nin Düzeni: Dün-Bugün-Yarın, Ankara: Bilgi Yayınevi.
Başbakanlık Cumhuriyet Arşivi. (Primiership Republich Archive) .Fon Kodu, 030. 10–174.202.6
Başbakanlık Cumhuriyet Arşivi. (Primiership Republich Archive) . Fon Kodu, 030. 10–59.399.25
Boratav, K. “Đktisat Tarihi 1908–1980”, Sina Akşin (edt), Çağdaş Türkiye 1908–1980, IV, 326.
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                <text>The guild system in Ottoman State maintain its vitality as an economic and social  system until nineteenth century. The masters and apprentices who construct guild system  lost their chances of economic entegration to the new system brought by Industrial  Revolution which first started in England and then spread all over Europe.  Although the Ottoman State had taken some actions to keep up with the industrial  revolution in Europe, it couldn’t have industrialized in all fields. Ottoman State was  eliminated by First World War and Independence War and then Turkish Republic took  Ottoman State’s place. But the industry taken over from Ottoman State was almost next to  nothing. In this respect, founder of new goverment Mustafa Kemal, gathered economic  congress in Đzmir with the purpose with arranging industrial investments and economic  developments just after Independence War. Because according to him, military victories  which are unsupported by economical developments is not possible to be permanent. For  this purpose, some radical precautions had been taken to develop the industrial just after the  foundation of Republic.  In this study, it is emphasized on the applications for developing the industry in the late  period of Ottoman State and the industrial developments in the new state from the end of  Indepence War to 1940s.</text>
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