...Ndio maana masoko ya mitaji yanafungwa? Commodity markets are been vacated? Makampuni yana delist, na hamna new IPOs? Investment banking inakufa? Kina nani wanaona nguvu ya soko inaua himaya yao, hawa wanao negotiate TPP?
...Kila kitu utakachoongea kuhusu uchumi, kitahusika au ni subset ya economic development. Amartya Sen would agree with this. Do you know, the New Deal projects were pro poor?
...Unataka kusema, Mobutu alionekana anafaa?
Pole, nimekuwa nikichanganya economic development na development economic.....
Kuhusu Mobutu, yes alikuwa mzuri na anafaa kwa watu kama atakavyokuwa Moise Katumbi. Hahahahaha! Kufungwa kwa makampuni hapana ila kutakuwa na ongezeko la corporate social responsiblity na hata watu wengine kufanyiwa mpango wa kuweza kununua tu hisa katika makampuni kuondoa yale makali ya ubepari moja kwa moja. Ubepari hautakuwa tena unyama, utakuwa rafiki, njia kuu za uchumi zitamilikiwa na wengi kupitia masoko ya hisa
Actually nazungumzia development economic kama inavyo tetewa na akina Amrtya Sen. Development economic kwa sasa katika dunia ya kwanza ndio mfumo unaotangazwa kuwa bora kuliko centralized kind of economy na neoclassical economy. Ukiutazama kwa makini ni kama vile unachanganya elements kutoka mifumo miwili ya uchumi kama anavyotushawishi Tadaro
Development economics, to a greater extent than traditional neoclassical economics or even political economy, must be concerned with the economic, cultural, and political requirements for effecting rapid structural and institutional transformations of entire societies in a manner that will most efficiently bring the fruits of economic progress to the broadest segments of their populations. It must focus on the mechanisms that keep families, regions, and even entire nations in poverty traps, in which past poverty causes future poverty, and on the most effective strategies for breaking out of these traps. Consequently, a larger government role and some degree of coordinated economic decision making directed toward transforming the economy are usually viewed as essential components of development economics. Yet this must somehow be achieved despite the fact that both governments and markets typically function less well in the developing world.
Umezungumzia New Deal, mimi mawazo yangu New Deal ilionekana kwa nje kama pro poor, yes, labda ulikuwa pro poor lakini kwa misingi ya kuwaimarisha wawe wazalishaji wazuri na soko zuri la bidhaa.Kwa maana nyingine iliwaandaa watu wawe na afya nzuri ya kukamuliwa.
Amartya Sen na wenzake katika development economic na katika "capability approach" hawaulaani ubepari moja kwa moja,wao wanaona hajaya kuwa uchumi unaowahudumia watu hasa katika huduma za jamii na kuwafanya watu wawe na furaha. Ukuaji wa uchumi na utajiri unaowaacha hoi watu kwao hauna maana.
Washington consensus and other consensus that followed ziliona kuna umuhimu wa kuwahudumia watu masikini lakini pia ziliona ugumu wa uchumi wa soko kuendelea kuwepo kama ukifuata taratibu za kihalali na za kisheria.Nilikuwa nasoma hapa uzuri wa uchumi wa soko kama una taasisi za checks and balances nzuri. Uchumi wa soko unahitaji checks and balance pia?
Markets accomplish many positive things, not least of which is delivering goods that consumers want, where and when they want them, and providing incentives for innovation. Amartya Sen has pointed out that to be generically against markets is almost as strange as to be generically against conversations. As he says, some conversations do harm, even to those doing the conversing, but this is not a reason to be against conversations in general.
To underpin a well-functioning market system requires special social, institutional, legal, and cultural conditions often very limited if not absent in developing nations. Fraud, corruption, monopoly, and other market failures do not disappear with the wave of a magic neoclassical wand. Nathan Keyfitz and Robert Dorfman have identified 14 institutional and cultural requirements for the operation of effective private markets:
1. Trust (in banks, insurance companies, suppliers, etc.)
2. Law and order (enforcement of contracts)
3. Security of persons and of property
4. Balancing competition with cooperation (for a safe workplace and a cleaner environment)
5. Division of responsibility and diffusion of power (an independent judiciary)
6. Community altruism (a social “safety net” for the impaired, chronically unemployed, elderly, etc.)
7. Social mobility, legitimation of ambition, and toleration of competitiveness
8. Materialistic values as a stimulus to greater production
9. Deferring gratification to generate private savings
10. Rationality unconstrained by tradition
11. Honesty in government
12. Efficient forms of competition, as opposed to monopolistic control
13. Freedom of information (along with protection of privacy)
14. Flows of information without restrictions or favoritism
Given the existence of these institutional and cultural preconditions, a well functioning market system requires at least the following 11 market-facilitating legal and economic practices:
1. Property rights clearly established and demarcated; procedures for establishing property rights and transferring them
2. Commercial laws and courts to enforce them, especially contract and bankruptcy laws
3. Freedom to establish businesses in all sectors except those with significant externalities, without excessive licensing requirements; analogous freedom to enter trades and professions and to attain government offices (equal economic opportunity)
4. A stable currency and a reliable and efficient system for making transfers (a banking system)
5. Public supervision or operation of natural monopolies (industries with increasing returns to scale) as occurs in industries where technological efficiency requires that a firm be large enough to supply 10% to 15% of the national market 6. Provision of adequate information in every market about the characteristics of the products offered and the state of supply and demand, to both buyers and sellers
7. Autonomous tastes—protection of consumers’ preferences from influence by producers and purveyors
8. Public management of externalities (both harmful and beneficial) and provision of public goods
9. Instruments for executing stabilizing monetary and fiscal policies
10. Safety nets—provisions for maintaining adequate consumption for individuals affected by certain economic misfortunes, especially involuntary unemployment, industrial injuries, and work disabilities
11. Encouragement of innovation, in particular, issuance and enforcement of patents and copyrights
It is clear that market reforms involve much more than merely eliminating price distortions, privatizing public enterprises, and declaring markets free. The setbacks to market reforms in many transition economies is in no small
measure attributable to the absence of some (or many) of the institutional preconditions and market practices. Thus governments have important limits, and so do markets, as the earlier review of market failures makes clear. Again, the question is one of balance. This is reflected in the move away from the once-dominant “Washington Consensus.”