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The purpose of this paper is to narrate the aid bargaining process between the United States and Turkey during the 1946-1958 period. In this period Turkey received a substantial economic assistance from the United States. Hovvever, the U.S. aid did not come without strings. The U.S. as a donor country played a signifıcant role in the shaping of Turkish economic strategy and policies. During the second half of 1940s and the early 1950s, development strategy and policy issues had stood in the centre of the aid bargaining between the United States and Turkey and the Turkish government had no trouble accepting the conditions of the aid program. During the second half of the 1950s, discussions between the U.S. and Turkey moved essentially to macroeconomic policy issues. American authorities refused the program loan requests of the Menderes government and requested a reform in Turkish macroeconomic policies. This caused friction and tension in the diplomacy of aid process.

U.S. AID AND TURKISH MACROECONOMIC POLICY: A NARRATION OF THE AID BARGAIN PROCESS IN THE 1946 -1958 PERIOD