Why did the income inequality increase with the AKP government?

[Prof. Dr. Mukerrem Hic]

In 2008, private consumption in Turkey began to slow down, even tough
Turkey had high GDP growth from 2002 until 2007. This is caused by
inequalities in income distribution that increased over time. The
income of farmers, lower-level government employees and retirees all
began to decrease in real terms as unemployment rose, which was mainly
caused by decreased employment in the agricultural sector..

The agricultural sector suffered a serious setback due to low prices
on imported agricultural products, which was a result of the over-
valued currency policy of the AKP government. The costs, on the other
hand, increased as petroleum prices climbed coupled with unduly high
indirect taxes imposed on basic agricultural inputs. The abstention of
the AKP government from undertaking any major productive or social
infrastructure also played an important role. As a result, employment
in agriculture sector decreased by nearly 1.5 million people during
2002-2006. Please refer to my book on Turkish economy for other
economic indicators during the years 2002-2006.

Obviously, the richness that is reflected in the growing GDP had gone
mostly to big business. Of that, a considerable portion went to
businesses of AKP ministers, mayors, their sons, sons-in-law and
wives, as well as partisan businessmen who were mostly constructors.
It is noteworthy that the AKP government and AKP mayors spent most of
their budget in public construction projects. The constructors offered
bribes and helped AKP during the elections, and in turn received
preferential treatment in government construction contracts and
auctions.