Thursday, May 24, 2012

Free the markets, free the poor

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Royston_2010_optOne of the quirks of capitalism, in all its forms, is that it works. It stumbles and falls, but picks itself up and groups into new directions of competitiveness. It beckons with the prospect of wealth beyond the present position of the people who gamble their money, intellect and energy on the vicissitudes of the market.

It bodes well if politicians understand what drives the profit motive. And it bodes well to understand that a weak and inefficient person cannot deliver that which can be delivered by a more robust competitor.

Those who are elected officials, elevated to position by the promise of benefits to their constituent, are not necessarily the same people who can efficiently drive projects to their deliverable conclusions and projects.

Therefore, private-public co-operation is one of the efficiency tools that should be at the heart of most government enterprises.

To this end, it is imperative that collective business drives the need for the government to be more interactive, particularly now that labour movements have made it clear – from their own understanding of the South African economy – that for them, the best business is no business.

But to rally collective business to be a coherent force that musters the lobbying drive to have the government make it a cornerstone of policies is not a realistic vision. Business simply does not work that way in South Africa. It is the government that should be taking the initiative to embrace business.

To achieve higher grown projectories for South Africa, Finance Minister Pravin Gordhan has stated that such partnerships must be forged and encouraged to proliferate.

So, assuming the government does want a prosperous nation, one that can drive up the wealth of all of its citizens – and particularly the poorest – business needs to lead and become an integral embedded partner in government policies.
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