‏إظهار الرسائل ذات التسميات World of Labour. إظهار كافة الرسائل
‏إظهار الرسائل ذات التسميات World of Labour. إظهار كافة الرسائل

2023-05-05

Political Thought, Capital And The Concept Of Sustainable Work

 


By Dr. Salam Al Rabadi

         Global political, economic and technological changes raise many question marks about the problematic relationship between the world of work, sustainable development and capital. For example, the reality of the agricultural economy is dependent on investments in vast lands and technological innovations that are controlled by transnational corporations, that is, it is the process of gradual abolition of the agricultural production system, whereby the farmer loses his social, cultural and economic identity as a producer and as a worker, to turn into a mere consumer. This fact begs the following question: 

Will the development of the economy and technology lead to the realization of the societal sustainable development?

         In principle, the broad concept of work is not limited to the job, but rather goes beyond it to deepen the connection to the concept of sustainable work based on expanding job opportunities policies and preserving workers' rights and welfare. This is in order to have the ability to face the challenges associated with the dialectic of the gap between capital and workers, as doubts are increasing regarding the possibility of achieving equality and social justice. Based on this, it is no longer acceptable to deal with the reality of the labor market crises from the standpoint of rejection based on ideological considerations only, without having a practical vision. Where, nowadays, it is clear that what most worries the market forces is their having to define their position on a socially sustainable global project.

         In this context, there are labor and social movements that have an impact and work to confront the domination of the capitalist system and create a state of relative independence from the forces of capital. For example, the ongoing negotiations within the World Trade Organization(WTO) regarding granting workers of developing countries greater freedom of movement in the markets of developed countries can be considered a positive step in terms of:

  1. Consolidate workers' rights and increase their earnings.
  2. Rebalance between capital and the world of work. 

        Although no strategic alternative has been crystallized up to this moment that can compete with the pattern political and economic capitalist style, but we can say that the margin of movement available to society is always much wider than that available to the economy. The economic influence in the formation and adaptation of society is logical and highly effective, but it certainly cannot determine it. Thus, societies can be rebuilt according to a sustainable political and economic vision that, at a minimum, is capable of answering questions revolving around the dialectic of : 

Why are there so many ideas about how to distribute income and not about how to achieve it?

         In this context, even if we decided to bypass the dialectic of how to generate income and try to adopt the thesis of income distribution, we cannot ignore the problematic of modern inequality based on: 

1-     Expanding the size of private capital and disproportionately increasing the income of the rich. The gap between them and the working class is very deep and there is difficulty in bridging it.

2-       Systemic inequality "Homoploutia". Where we are now noticing the expansion of the segment of wealthy capitalists and high-wage workers (such as CEOs, financial analysts, doctors, athletes, celebrities, people who inherited a lot of assets...etc). It is a new capitalist elite which is among the richest capitalists and the richest workers as well. 

        Logically, these gaps are not likely to be easily reduced as a result of developments in artificial intelligence that lead to a reduction in labor and an increase in the accumulated share of capital. And if the only solution to these gaps  lies in a more equitable distribution of private capital by increasing tax rates or committing to raising the rate of employment of the labor force, but practically there is no tangible movement in this direction, whether in the developed or emerging economy. This fact raises question marks about: 

How is it politically possible to make the most of economic opportunities, progress and technology in a way that draws attention to the interest of disadvantaged communities and groups?

               The basic challenges lie in how to sift the rich and confront the gaps that characterize economies, here it is necessary to recognize that poverty will not be eradicated without the presence of political thought, as the nature of the market is strongly affected by political strategies, which can radically change the structure of markets in a way that can allow filling those gaps and achieving equality, not to mention enabling all classes to benefit from sustainable economic growth.

        In the light of the foregoing, it is clear that the dealing of economists and technocrats with issues of sustainable development on the basis that they have nothing to do with political ideas and the philosophy of governance, as if these issues are nothing more than exercises in applied and econometric economics, is a very dangerous matter.

It is time to change this logic and move towards combining and linking political thought and political philosophy with economic and financial thought. It is in order for countries to become more productive in terms of the quality of human sustainable societies rather than the development of things, numbers and data.

        In sum, and based on the principle of critical interaction with economic liberalism and technological development, the basic political problematic must be raised, which is based on the following question:

How can the actual existence of poverty and inequality be combated instead of hiding behind dry financial data and statistics pointing to the alleged benefits of economic growth and technological development?

 

 

 

 

 


2021-12-29

Role of Individuals And Sustainable Governance


           

  
           By Salam Al Rabadi

                  3- 12- 2021 \ the CeSPI: Centro Studi di Politica Internazionale, Italy

http://www.mondopoli.it/wp-content/uploads/2021/12/ORIGINALE-EDITORIALE.pdf

 

It is clear that many of the developments related to the “Covid_19” pandemic have led to a change in the economic and political facts and data related to the debates on the status of the state, sustainable governance and the role of individuals..etc. Those discussions that revolve in their entirety around the dialectic of the fundamental contradiction between the globalization of the economy on the one hand and the nationalism of politics on the other. It is the dialectic that can be expressed by the following problematic question:

 To what extent can the state maintain its position and functions? What is the possibility of achieving sustainable governance?

 In principle, it can be said that one of the most complex dilemmas that prevents access to sustainable governance, is still closely related to the problematic of contradiction in the development of both economics and politics. Logically, the economy is moving somewhat towards globalization, as economics has historically always been based on market principles (except the Soviet era). Those principles that were soon transformed under globalization from nationalism to global, while the principles of the state as political sovereignty remained oriented towards nationalism to a large extent. On the basis of these changes the logic of global markets has been breached to the logic of the sovereignty of nation-states, where politics is still mainly practiced locally or nationally, unlike the economy that has become global oriented.

 Here, the division or contradiction appears in the relationship between authority, responsibility and accountability to some extent, so that we find that there is a global economic authority versus a national or local political responsibility in which the use of authority is concentrated. This contradiction hinders the possibility and effectiveness of achieving and consolidating the principles of sustainable governance at all levels.  Therefore, in order to reconcile between domestic politics and the global economy, the point of balance between them must be based on sustainable governance, which is based on the principle of interdependence between political and economic concepts on the one hand, and the principles of transparency, accountability and participation on the other, here the individual (the political individual as a citizen or the economic individual as a consumer, a saver, an investor) can be The judgment or equilibrium by which that lost balance can be achieved. Which we need at the level of the possibility of achieving sustainable governance.

 Where logically, both political and economic forces try to win over individuals to their side, whether on the economic or political level. The individual is, on the one hand, a voter, and on the other, a consumer, a saver, an investor. At the level of the economic field, despite all the problems of inequality and distributive justice, the individual still holds the initiative, based on his being the basis, goal and reference of commercial forces in all their forms. Also on the political level, the individual citizen is the basis of political authority according to the democratic process and the electoral vote, as it still has a significant impact on the level of determining political orientations.

Based on this, the individuals on whom the political and economic systems are based must assume responsibility, engage and participate in the process of creating that influence and pressure to confront the monopolies and control of capitalist, security, political, media and even academic elites, in order to be the mainstay in achieving accountability, participation and transparency policies on which governance is based. Where governance policies should not be limited to structural reforms or protest in the streets and at the ballot box. Rather, the sustainability and process of governance must be supported by directly holding monopoly forces accountable through a culture of consumption.

 That culture that emphasizes the importance of moving from the concept of the political individual (as a citizen) only to the concept of the economic individual (investor, consumer, saver) as well,  which is based on an approach that prioritizes the social, ethical, humanitarian and environmental dimensions, when economically shopping.

 For example, according to the logic of the producer-consumer-investor relationship, pressure and influence exerted by an individual through a culture of consumption (on the basis of boycotting companies, products or investments) can play a major role in countering the influence of TNCs that support political corruption. Or face their policies based on trying to evade their social responsibilities, not to mention their direct investments and activities that violate human rights, or that increase climate change and prevent environmental protection.

 It is also realistically, much of what is required of national governments or international institutions, its implementation and commitment depends on the degree of awareness and pressure on the part of public opinion(ie individuals). Thus, it can be said that spending or saving money, or directing it to one party, or withholding it from another, may lead to the achievement of the desired goals. Because spending or saving may lead to the desired ends. This logic or direction of direct action may be better and more effective than traditional forms of political and economic expression.

 Where in light of global markets trying to evade the rules and restrictions of accounting, the role of the individual appears as a force to be reckoned with. It can no longer be ignored that individuals all over the world are now turning to political shopping more than towards electoral voting. Thus, participation in the economic boycott process and the trend towards political shopping (so to speak) is a positive indicator that indicates that the political activity of the individual (consumer, saver and investor) has begun to move in the right direction. It where the increasing activity and influence of economic forces, and the corresponding unclear political will, results in a growing realization that political shopping is a more effective form of sustainable governance.

 Therefore, it seems that political shopping has begun to replace traditional citizenship, as it is the tool that enables the individual (as a citizen, investor, consumer or saver) to impose accountability and correct public policies in a more serious and practical manner. Accordingly, in light of financial greed, political indifference and the absence of responsibility among many technocratic elites and market forces, individuals can assume responsibility and participation in achieving sustainable governance by adopting political shopping policies (whether at the level of consumption, saving or investment) as a strategy or a new form of effective accountability.

 To sum up, in practice we must admit that while the social contract that binds peoples and governments is becoming increasingly fragile, , it seems that the pressure and influence of individuals is making a real impact in the face of monopolistic forces and corruption

That effect, which governments or even some international institutions cannot bring, and which may be fundamentally unwilling to do so. For example, as a result of the revolution in the world of communications, governments, transnational corporations and giant media are no longer the only ones in control of the knowledge and events industry. Indeed, it is possible for any individual (with minimal technical knowledge) to be the source of the news as well as the maker of the event that has a local and global impact at a very rapid pace that exceeds the speed and pace of time taken by governments to effect a change in their policy. Not to mention also the inability of TNCs to cope with this impact on the economic level, which has increased the possibility of subjecting its political, commercial, social and environmental accounts to scrutiny and accountability.

 It has become clear that one of the most prominent features of this current political age is that the making of global and local events today is no longer confined to governments as it was in the past, and transnational corporations are no longer free in their influence on societies, but rather,  the list of political and economic decision-makers includes individuals as well.

Accordingly, it can be said that the increasing influence of monopolistic powers reflects (to some extent) the imbalance in the global economic system, the increase in political corruption, or the failure of the policies of technocratic elites. But on the other hand, increasing the influence of individuals through NGOs expresses that markets can influence society, but cannot inevitably determine it. In this context, the least that can be said is that many TNCs and even governments are now operating more transparently than before as a result of this pattern of pressure and influence from individuals, regardless of how problematic it is to measure the extent of this influence.

 For example, a pattern based on focusing on world-famous brands or important political figures by individuals (through boycotts of consumption and investment or through smear campaigns and protests) may have negative consequences on their activities. Most importantly, trying to rebuild their reputations or restore trust (whether companies, governments or personalities) can be very difficult, even very costly. Thus, based on this pattern, it is possible to establish political, economic and environmental alternatives, the source and center of which is the influence of the individual who is trying to uncover the facts and find appropriate solutions.

 This influence, which has the potential to add a new voice to the global and local decision-making process (at all economic, political, social and environmental levels), ensuring the trend towards a more inclusive sustainable governance that stimulates change, according to the equation based on the principle of power and counterpower. Here, we have many examples and evidence that confirm the efficacy of this style in the face of the influence of economic and political forces in line with the path of sustainable governance, including, but not limited to:

 

1-       Influencing political and economic decision-makers and international financial institutions with regard to the indebtedness of extremely poor countries. Where a global public opinion was created that resulted in concessions to reduce these debts.

 

2-       Lobbying the World Trade Organization(WTO) on the issue of intellectual property rights (related to trade, drug prices and accessibility). Where the Agreement on Intellectual Property Rights on Trade and Global Health has been adopted in a manner that protects public health and promotes access to affordable medicines for all classes of society. As a result, countries such as Thailand, Brazil, India, South Africa and others have been able to give local pharmaceutical companies licenses to produce medicines at discount prices, which are equivalent to those drugs that enjoy proprietary rights, defying the TRIPS agreement concluded at the WTO that entered into force in 1995.

  

3-       To highlight the negative impact of excessive economic activity on the environment. Various types of pressures and influence are exercised in order to confront climate change. Here, we may not need to cite examples of the success that has been achieved in this regard, because of its clarity and effectiveness on the ground.

 

4-       Confronting the genetically modified food industry and trade. Whereas, genetically modified food companies were prevented from entering many markets (including European and Japanese). In fact, this effect of confronting the genetically modified food trade has reached some cities in the United States, despite the direct and significant support provided by the US administration to that trade.

 

It is clear that the outcome of these successes was not due to the influence of political and economic authorities, but rather the will of the individual (consumer, investor and saver). This is done through coordinated campaigns based on boycotting or encouraging consumption and investment (in line with protecting the environment and human rights and limiting corruption). Logically, this is a matter of great concern to the corrupt political and economic forces, as the current political and economic pattern often deviates from moral principles. While on the other hand, shopping (in all its forms) among individuals has become more and more imbued with a moral sense.

 Also, which should also draw attention, is that this type of shopping is not just a tool of pressure, but rather a tool for stimulating many economic and political forces to reconsider defining their roles and responsibilities. Thus, in light of a global governance characterized by complexities and unclear definitions, the role of the individual as an effective force appears, which proves the belief that traditional politics alone cannot achieve many of the desired goals.

 For example, while the US administration is still not doing much on environmental issues, a number of US cities (such as Florida and California) and US oil and chemical companies have already put environmental goals into practice. This shift in the behavior of some political and economic officials resulted from realizing the importance of linking their activities to social, ethical and environmental responsibility as an urgent necessity to preserve their economic and political interests. Certainly, this realization would not have occurred without the influence and pressure of individuals.


2021-05-04

Covid-19" and Problematic Relationship Between Economy and Labor Market

 


Dr. Salam Al Rabadi.

 

According to International Labour Organization (ILO) reports, the Covid-19 pandemic has caused severe damage to the work sector, with more than 250 million jobs lost, not to mention the negative impact of the pandemic in terms of slowing or reversing the trend of rising wages around the world, which affected low-wage earners[1]. In addition to the increasing inequality between the rich and the poor and the increase in the poverty rate.Thus, it must be recognized that the current economic developments and the free trade growth process are still growing far away from the labor market, and have a negative impact on the level of equality and social justice.

 

In this context, it must be noted the basic problematic in the modern world on a level relationship between sustainable development and economic growth are the problematic of the gap between the rich and the poor. So, we must ask:

 

Do we in the era of the economy for the economy and not for the community?

 

Facts based on public interest remain the primary criterion for evaluating successful economic policy. Therefore, far from theorizing and according to the statistics and data on the economic gap, and if we take into account that the largest proportion of citizens are workers or employees working for wages, we can say that the economy no longer works for the benefit of societies. As it has become clear, the gap between entrepreneurs and wealthy individuals on the one hand and workers' salaries on the other hand, will increase doubts about the safety of society. Accordingly, if freedom of trade and the movement of capital are what secures growth and prosperity, and if the goals of the World Trade Organization (based on competition, abolishing quantitative restrictions, unifying all fees and making the world a free trade zone), here it is necessary to ask:

 

Are these policies and objectives will lead to a deepening of the labor market crisis? Or is it will serve as a point of change and positive transformation?

 

It has become logical to say that these goals in the first place increased the intensity of competition between countries (whether industrial or developing), which inevitably led to disastrous results in terms of high rates of wage and salary cuts and the erosion of their purchasing value. As all the efforts made by politicians and economists to find alternatives to lost job opportunities in all sectors did not achieve the desired results. The more free the pace of commercial growth (in goods and services), the greater the difficulties at the level of the labor market, where there is a reduction and rationalization that leads to the loss of value of human labor. In this context, it must be noted that there was no real globalization with regard to the labor market.

 

Consequently, many of the policies pursued did not lead to an increase in the well-being of societies, but rather worsened the stagnation of the social situation and the gap between the rich and the poor. For example, a decrease in wages in commodity prices is reflected positively in the first place( and directly) on the rich or high-income consumer, who has not lost anything of his income as a result of reducing the cost of production. In contrast, it is the middle and lower classes that lose a large part of their income and are therefore negatively affected the most.

 

Accordingly, and according to the economic repercussions of the "Covid-19" pandemic, it is currently impossible to avoid and ignore research into a dilemma:

 

Who bears the economic burden more: capital or workers?

 

Based on the axioms of current economic policies, it is logical to say that governments increase the tax burden on the labor sector. Also, tax exemptions and facilities provided by governments to transnational corporations lead to a decrease in the state's financial revenues, which they will compensate by increasing taxes on other social classes, or by reducing social services and health care.

 

Thus, it becomes clear that if in the past the economic and financial equation reflects more and more the widening gap between the rich and the poor, which focuses on the principle: the rich get richer and the poor get poorer. But now, in light of new facts and developments, this equation is no longer sufficient to explain the changes, there is a new equation (or formula) based on the principle: the rich get richer and the poor get poorer at a faster rate?

 

As it is not entirely surprising that we know that there is a high speed in the provision of funds in order to find a solution to any global financial and economic crisis compared to the fact that there is extreme caution and stinginess when it comes to financing humanitarian programs that related to lifting the less fortunate (deprived and marginalized) communities from poverty and destitution.  For example, only we need to tens of billions annually to eradicate hunger and malnutrition in the whole world. And the United Nations has endorsed several different programs to achieve this goal. But this programs still on paper only due to lack of availability of the necessary funds.

 

Therefore, all economic and political solutions related to the challenges of the "Covid 19" pandemic must be based, to the utmost degree, on the ability to support all policies related to safeguarding the interests of the working class and the poor. Where the central issue must be based on the logical criticism of the actual existence of poverty and inequality, whether at the global or local level.

 

These tragic facts (away from the ideological dimensions in study and evaluation of the global economy) put us in front of the dialectical next logical question: Is the problem lies in the strategic priorities and options to states? Or Is it, in fact, the problem of the actual possibilities available to States?

 

To sum up, the possibility of achieving an actual renaissance that relieves the peoples of poverty and material impotence depends on the type of economic thought that should be pursued, as we need new visions that respond to the needs and capabilities of societies. Consequently, this requires directing an intellectual criticism of how to interact and deal with neo-economic liberalism, because it is no longer logical and acceptable to deal with this reality on ideological grounds only (whether for or against) without the existence of practical economic programs, where here it is necessary to confront a dialectical or problematic:

 

Why are there so many ideas about how to distribute income, but there are not  many ideas about how to generate income?



[1]     See,"Covid-19" and the world of work:Updated estimates and analysis",Seventh edition, International Labour Organization Monitor(ILO), Geneva, January 2021. Look: https://www.ilo.org/ wcmsp5/groups/public/@dgreports/@dcomm/documents/briefingnote/wcms_767028.pdf  Accessed on 04-27-2021.


2020-10-10

GOBERNANZA GLOBAL Y COVID-19: DIALÉCTICA DE PRIORIDADES Y CAPACIDADES

 


Dr. Salam Al Rabadi*

 

 
Artículo traducido al español por el Equipo de la SAEEG. 2020 \ Argentina.
 
Sobre la base de una evaluación de las políticas y estrategias que se han adoptado para hacer frente a las repercusiones económicas y financieras de la pandemia mundial de Covid 19, además de aumentar la presión como resultado de los difíciles desafíos para todos los países sobre el déficit a nivel de los presupuestos públicos, podemos decir que todos los esfuerzos de los políticos y economistas para encontrar nuevas oportunidades y alternativas en todos los sectores no han logrado los resultados deseados. Hay que señalar que el problema básico en el mundo moderno en una relación nivelada entre el desarrollo sostenible y el crecimiento económico es el de la brecha entre ricos y pobres. Por lo tanto, podemos hacer la siguiente pregunta:
 
¿Estamos en la era de la economía para la economía y no para la sociedad?
 
Lejos de teorizar y de acuerdo con las estadísticas y datos sobre la brecha económica (si tenemos en cuenta que el mayor porcentaje de los ciudadanos son trabajadores o están empleados o con ganas de emplearse), se debe reconocer que la economía está creciendo lejos del mercado laboral y tiene un impacto negativo en este sector más que en otros sectores. Además, si los hechos basados en el interés público siguen siendo el criterio principal para evaluar una política económica exitosa, podemos decir que la economía ya no funciona en beneficio de los pueblos. En consecuencia, es evidente que la brecha entre los principales empresarios y los dueños de la riqueza, por un lado, y los salarios de los trabajadores, por otro, hará crecer las dudas sobre la seguridad de la comunidad.
 
Por lo tanto, si el libre comercio y la circulación de capitales están iniciando el crecimiento y el bienestar, y si los objetivos de la Organización Mundial del Comercio (OMC) alcanzarán en el futuro a eliminar las restricciones cuantitativas, unificar todos los derechos de aduana y hacer del mundo una zona de libre comercio, aquí se deben plantear interrogantes sobre si:
 
¿Conducirán estas políticas y objetivos a exacerbar las crisis económicas y sociales? ¿O será un punto positivo de cambio y transformación?
 
Se ha hecho evidente que la competencia entre países (ya sean industriales o en desarrollo) para reducir los salarios o el salario dará lugar a resultados desastrosos. Esto no aumentará el bienestar de las comunidades, sino que aumentará la rigidez del doloroso estatus social. Cabe señalar en este contexto que los salarios más bajos se reflejan en los precios de las materias primas y que se benefician de ellos directamente los consumidores de altos ingresos (que no han perdido nada de sus ingresos como resultado de la reducción del costo de producción). Por otro lado, son las clases medias y bajas las que pierden parte de sus ingresos y se ven más afectadas que otras (están más afectadas). Partiendo de esta realidad, no podemos ignorar la siguiente dialéctica:
 
¿Quién soportará las mayores cargas económicas como resultado de las crisis asociadas a la pandemia Covid-19? ¿el capital o los trabajadores?
 
En el pasado, la ecuación económica reflejaba más de cerca la creciente brecha entre los ricos y los pobres: los ricos se enriquecen y los pobres se vuelven más pobres. Pero ahora, a la luz de los hechos existentes actuales, esta ecuación ya no es suficiente para aclarar el panorama, ya que ha quedado claro que una nueva fórmula ha surgido sobre la base del siguiente principio:
 
¿Los ricos se hacen más ricos y los pobres son cada vez más pobres?
 
Del mismo modo, en caso de una lectura cuidadosa de la realidad económica actual y basada en el patrón económico que siguen los gobiernos, donde se está trabajando para aumentar la carga fiscal sobre el sector laboral y los trabajadores, sin mencionar que el aumento de las exenciones fiscales y las facilidades proporcionadas por los gobiernos a las empresas transnacionales, estos patrones económicos y financieros conducirán inevitablemente a un deterioro, y la reducción de los ingresos financieros en los presupuestos públicos de los países, que estos gobiernos tratan de compensar esta disminución de los ingresos es mediante el aumento de los impuestos a otras clases (pobres) o mediante la reducción de los servicios sociales (especialmente la atención sanitaria y educativa).
 
En este contexto, al hacer un seguimiento de las repercusiones económicas y sociales de la pandemia de Covid 19, se puede decir que hay un defecto moral y económico a nivel de gobernanza mundial cuando sabemos que hay una alta velocidad en la provisión de dinero para encontrar soluciones a las crisis financieras y económicas mundiales. En comparación con eso hay prudencia y miseria extrema cuando se trata de financiar programas humanitarios con relativamente poco costo.
 
Por ejemplo, sólo necesitamos decenas de miles de millones al año para eliminar el hambre y la desnutrición en todo el mundo (y las Naciones Unidas han aprobado varios programas diferentes para lograr este objetivo), pero estos programas siguen en papel, sólo debido a la falta de disponibilidad de los fondos necesarios. Esto es también lo que se puede concluir previamente a nivel de apoyo a proyectos y programas mundiales relacionados con la lucha contra epidemias y enfermedades infecciosas, así como esta realidad se aplica actualmente al nivel de dificultades a las que se enfrentan las Naciones Unidas (ONU) y la Organización Mundial de la Salud (OMS), con el fin de obtener los fondos necesarios para apoyar la investigación científica relacionada con la pandemia de Covid 19, lejos de las estrategias políticas, los intereses de los estados, o las políticas de explotación económica. 
 
En conclusión y a la luz de cómo los países y las instituciones mundiales abordan los dilemas de la pandemia Covid-19, estos hechos trágicos (lejos de las dimensiones ideológicas en el estudio y la evaluación de la economía mundial) nos plantean esta pregunta dialéctica lógica que suscita mucha controversia:
 
¿El problema reside en las prioridades y opciones estratégicas de los países? ¿O es de hecho un problema de las capacidades reales disponibles para los estados?
 
* Doctor en Filosofía en Ciencia Política y en Relaciones Internacionales. Actualmente preparando una segunda tesis doctoral: The Future of Europe and the Challenges of Demography and Migration, Universidad de Santiago de Compostela, España. 

 


https://saeeg.org/index.php/2020/10/09/gobernanza-global-y-covid-19-dialectica-de-prioridades-y-capacidades/

2020-10-05

Global Governance & Covid- 19: Dialectic of Priorities and Capabilities

 



By: Dr. Salam AL Rabadi

 

Based on an evaluation of the policies and strategies, that have been adopted to face the economic and financial repercussions of the global Covid 19 pandemic, addition to increasing pressure as a result of the difficult challenges for all countries on the deficit in the government budgets level, we can say that all the efforts of politicians and economists to find new opportunities and alternatives in all sectors have not achieved the desired results. It must be noted the basic problem in the modern world on a level relationship between sustainable development and economic growth are: The problematic of the gap between the rich and the poor. Therefore, we can put the following question:


Do we in the era of the economy for the economy and not for the society?

 

Far from theorizing and according to the statistics and data on the economic gap (if we take into account that the largest percentage of citizens are workers or employees are gainfully employed), it must be recognized by the fact that the economy is growing far from the labor market and has a negative impact on this sector more than other sectors. Also, if the facts based on the public interest will remain the primary criterion to evaluate the successful economic policy, we can say that the economy is no longer working for the benefit of the peoples. Accordingly, it is obvious that the gap between the leading entrepreneurs and the owners of wealth on the one hand and the salaries of the workers on the other hand, it will growing doubts about the safety of the community.


Hence, if the Free trade and movement of capital are initiating the growth and wellbeing,  and if the goals of the World Trade Organization (WTO) will be achieved in the future at the level of removing quantitative restrictions, unifying all customs duties and making the world a free trade zone, here question marks must be raised about whether:


Will these policies and goals lead to exacerbate economic and social crises? Or will it be a point of positive change and transformation?


It has become evident that the competition between countries (whether industrial or developing) to cut wages or salary will lead to disastrous results, this will not increase the well-being of communities but will increase the rigidity of the painful social status. It should be noted in this context that lower wages are reflected in commodity prices and benefit from them will be directly in favor of the high-income consumer (who has lost nothing of his income as a result of reducing the cost of production). On the other hand, it is the middle and lower classes that lose part of their income and are affected  more than others( they are more affected). Proceeding from this reality, we cannot ignore the following dialectic:


Who will bear the most economic burdens as a result of the crises associated with the Covid-19 pandemic: capital or workers? 


In the past, the economic equation more closely reflected the widening gap between the rich and the poor, as follows: the rich get richer and the poor get poorer. But now, in light of the current existing facts, this equation is no longer sufficient to clarify the picture, as it has become clear that a new formula has emerged based on the following principle:


The rich become richer and the poor are getting poorer at a faster rate?


Likewise, in the event of a careful reading of the current economic reality and based on economic pattern that governments follow, where work is underway to increase the tax burden on the labor sector and workers, not to mention that increasing tax exemptions and facilities provided by governments to transnational companies, this economic and financial patterns will inevitably lead to a deterioration, and reduction in financial revenues in the public budgets of countries, which these governments try to compensate this decrease in revenue is through increasing taxes on other classes (the poor), or by reducing social services (especially health and educational care).


In this context, by tracking the economic and social repercussions of the Covid 19 pandemic, it can be said that there is a moral and economic defect at the level of global governance when we know that there is a high speed in providing money in order to find solutions to the global financial and economic crises,. Compared to that there is caution and extreme miserliness when it comes to financing Humanitarian programs with relatively little cost.


For example, we only need tens of billions annually to eliminate hunger and malnutrition in the entire world (and the United Nations has approved several different programs to achieve this goal), but these programs are still on paper, only due to lack of availability the necessary funds. This is also what can be concluded previously at the level of support for global projects and programs related to combating epidemics and infectious diseases, as well as this reality currently applies to the level of difficulties facing the United Nations (UN) and the World Health Organization (WHO), in order to secure the necessary funds to support scientific research related to confronting the Covid 19 pandemic, away from political strategies, states' interests, or policies of economic exploitation.


In conclusion and in light of how countries and global institutions deal with the dilemmas of the Covid-19 pandemic, these tragic facts (far from the ideological dimensions in the study and evaluation of the global economy) put us with this logical dialectical question which raises a lot of controversy:


Does the problem lie in the priorities and strategic options of countries? Or is it in fact a problem of the actual capabilities available to states?







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