1873-1896 depression and its effect over Ottoman Empire economy

According to economic historians, the economic crises, started with Tulipmania in 1637 which is also the first speculative baloon, emerge in different shape at the present time. 1873-1896 depression is named as the 19th century?s greatest depression and it is seen as the first international crise of capitalist system in the history. 1873-1896 depression arose in Avustralia and Germany on May, and spread to Italy, Belgium and Holland. The crise appeared in USA on September by passing atlantic ocean, then turns back to England, France and Russia. The Vienna Stock Market collapsed in 1873 as the indicater of ceaseless of panic. Even though the general trend of this crise is stability and slow growth, its effect was shocked over neighbouring countries. 1873-1896 crise evoke its effect more deep at industrialized countries. The effects of crise was more on europe continent. However, the pressure of international competition, and becoming of Germany and USA more dominative industrial power over England cause capital accumulation and accelaration of their growth process after depression period. So, they used advantage of being delayed well. 1873 crise pushed already weak Ottoman?s financial system into a bottleneck. Ottoman Empire who seperated its half of resources into debth and interest payment wanted postpone of its debth interest payment in 1875. In 1881 with Muharrem enactment, Ottoman determined its debth to be paid, and determined how to make those payment in this contract. With this enactment, the more wide shape of Rüsum-ı Sitte Adminstration which is Administration of Düyun-ı Umumiye was established. Consequently, administration of Duyun-ı Umumiye had become a warrant against foreign debth and bond owners. Also it led Ottoman?s finance with its published economic reports and appealed foreign capital into Ottoman Empire, and caused regulation of lots of resources as well.Ottoman Empire increased its attention against small producer with 1873-1896 crise. And it was also the result of Ottoman Empire stable policies and aids of Duyun-ı Umumiye administration. 1873-1896 crise provide development of banking, insurance, and transportation network ( railroad and port ) sectors. In addition, they didn?t put any restriction to foreign investments inflowing country. Especially, foreign investments seen to concentrating on railroad investments, and seen Europe and USA?s railroad investments taking place in Ottoman Empire. After 1850 a cash flow from central countries to neighboured countries was seen until 1873 crise. On the other hand, this cash flow didn?t reflect to neighbour countries? foreign trade rates. The best example to this, Ottoman Empire was the most effected neighbour country from that crise in the last quarter of 19th century Key Words: Financial Crises, Business Cycles, Public Debth Administration, 1873-1896 Depression