The role of cooperatives in economic and social development in the world and Turkey

The aim of this study is to explain the types cooperatives operating in diverse areas in the world and Turkey and their impacts onto economic and social development; to demonstrate how cooperatives can survive themselves as powerful enterprise models when economic crises take place; to raise awareness amongst various segments of the society about the cooperation sector; and finally to introduce the precautions that have to be taken in this sector. In this regard, the cooperative movement in the world and Turkey has been elaborated in the context of an integrated perspective and scrutinized. Various country examples have been examined in this study which also consists of a comprehensive domestic and foreign literature review.Cooperatives, organized as business enterprises for the benefit of their members, can be considered as a model intended for particularly recovering after economic crises and overcoming the market failures. As a self-help group, a cooperative organization is widely accessible, especially for the impoverished and the marginalized. In the regions where private venture and governmental enterprise is weak, particularly in remote rural areas, cooperatives not only enable the organizing of local people and empowering their economic status but also promote and support the enterpreneurial development. In addition, cooperatives make a significant contribution to social inclusion, social protection and community-building as well as creating productive employment, raising incomes and reducing poverty.As economic and social enterprises, cooperatives help create employment in many areas worldwide. Given the increase of unemployment in the recent years that is one of the foremost problems in our country at which young population is pretty crowded, cooperatives can be considered as the crucial entities in terms of economic and social development. The number of personnel directly employed in all cooperatives of Turkey is about 99 thousand. The ones working in housing cooperatives have a great share (approximately 44 percent) of this number. This fact shows that the contribution of cooperatives to employment is significant and that they create an employment capacity equals to 57 percent of the workers employed in state-owned-enterprises.Cooperatives who have a significant share in Turkey at numerous activities such as marketing of agricultural products, providing agricultural credits, sugar production, irrigation, housing, pharmacy, etc., also contribute to the economic and social development. Nevertheless, ?cooperatives banking? that has been implemented succesfully in the world has to be established in Turkey in order to strengthen the capital structures of the cooperatives and to tackle with their financial problems.Key Words;1.decent work2.social inclusion3.worker cooperatives4.livelihood5.demutualization6.member-owned banks7.mutual and cohesive employment8.shared employment