Tweet
Infuse socialism in the economic model
By GAUNETTE SINCLAIR-MARAGH
Tuesday, April 02, 2013
I believe that the term socialism has been misconstrued by many persons, hence the attempt to clarify its meaning and how it can be infused into Jamaica's economic model to improve our current situation.
Firstly, socialism is an economic system, not a political system or ideology. It is characterised by social ownership of a country's resources and requires cooperative management among the Government, private sector and the populace, so as to satisfy the various economic and human needs.
Secondly, socialism is often perceived synonymously with communism. Socialism is an economic system which stipulates that the people are the agents of change and should be involved in the decision-making process in terms of wealth creation and productivity that encompass the production of goods and services that are needed by the populace.
Conceptually, this is linked to the stakeholder theory which suggests that all persons who will be affected by the decisions made about any given situation, should be involved in the decision-making and planning process. On the other hand, communism is predominantly politically oriented, where the Government is the agent of change; the decisions are state-made and the wealth and resources are state-owned.
Thirdly, some persons may see this economic system as anti-capitalism. With socialism, the profit that is made by the agents of change is redistributed into production to create more wealth for the country. In terms of capitalism, profit is earned by individuals and shareholders who have the right to decide how they want to use it. However, despite being distinct economic models, socialism can be infused into a capitalist system with proper democratic planning according to the Marxist perspective.
Now that the clarifications have been made, how can socialism as an economic paradigm be used to address some of our current concerns? Well, a small island economy like Jamaica faces similar growth and development issues like any other small island state due to factors, such as size, population and productive capacity leading to limited resources, the greater need for imports and comparatively little export potential. Hence, socialism can be infused into our current economic framework to build the economy from the lower stratum of society which constitutes a large portion of the population and is also where the greatest need is, to the higher level using a 'bottom-up approach'. This democratic economic purview would encourage a system where economic sustainability would be derived from the productive capacity and earning power of the people of Jamaica. Two examples of its manifestations were recently reported in the media. The first is that the conglomerate GraceKennedy will be assisting some farmers in the production of hot peppers to produce pepper mash which will be used as raw material in their food production and the excess will be exported. The other example is where the Jamaica Agricultural Society's president, Senator Norman Grant, has pledged 10 per cent of red peas from his personal farm to further its cultivation. I must declare that these examples are my own views and have nothing to do with the company or individual mentioned.
Although these efforts can be deemed as being socially responsible and are likewise explained by the current thrust of corporate social responsibility, they represent one of the major underlying principles of socialism. Noteworthy, under the premise of socialism, these actions are beyond the thinking of just making a contribution, mere gestures or 'giving handouts'. They are the means by which "you teach me to fish and I will eat fish all the time". The socialism connotation of these two examples is to advance food production, provide employment and job creation, generate economic linkages, satisfy local demand hence limiting the need for imports, adding to the export market and improving people's standard of living. These expected outcomes can only be described as tremendous, awesome and dreams to come true for the sustainable development of Jamaica.
The spill-over effects of this are obvious and just what we need in our society; this will help to address some of our current social and cultural issues. The socialism economic model is perceived as being useful in inculcating the discipline of cooperation, good work ethics and respect for other human beings. It is able to build cultural norms and values, both of which are greatly needed especially among our younger populace. It can create a futuristic and positive path for them; giving the 'yout' hope and showing them sustainable ways of fulfilling their needs other than through criminal and violent means.
I am not suggesting that the socialism economic model in totality is the panacea for our existing economic crisis which has greatly caused severe social damage, as no single economic model can bail us out. I am only encouraging an infusion of the socialism economic system into our current economic model, by encouraging more companies and individuals with the means and expertise to generate social and economic linkages. Although this will only take one aspect of our socio-economic dilemma into consideration, I believe that it has its merit and place.
There are, however, corresponding issues and so two pertinent questions are: (1) How can individuals and companies be motivated to engage in such initiative? (2) How will the mindset of the Jamaican people be changed from one of consumption to one of productivity?
Join me in thinking about the answers to the questions posed from a practical standpoint; theory can only guide our thoughts but what we need right now are realistic solutions.
Read more: http://www.jamaicaobserver.com/colum...#ixzz2PKm2YaBw
By GAUNETTE SINCLAIR-MARAGH
Tuesday, April 02, 2013
I believe that the term socialism has been misconstrued by many persons, hence the attempt to clarify its meaning and how it can be infused into Jamaica's economic model to improve our current situation.
Firstly, socialism is an economic system, not a political system or ideology. It is characterised by social ownership of a country's resources and requires cooperative management among the Government, private sector and the populace, so as to satisfy the various economic and human needs.
  1/1  |
Conceptually, this is linked to the stakeholder theory which suggests that all persons who will be affected by the decisions made about any given situation, should be involved in the decision-making and planning process. On the other hand, communism is predominantly politically oriented, where the Government is the agent of change; the decisions are state-made and the wealth and resources are state-owned.
Thirdly, some persons may see this economic system as anti-capitalism. With socialism, the profit that is made by the agents of change is redistributed into production to create more wealth for the country. In terms of capitalism, profit is earned by individuals and shareholders who have the right to decide how they want to use it. However, despite being distinct economic models, socialism can be infused into a capitalist system with proper democratic planning according to the Marxist perspective.
Now that the clarifications have been made, how can socialism as an economic paradigm be used to address some of our current concerns? Well, a small island economy like Jamaica faces similar growth and development issues like any other small island state due to factors, such as size, population and productive capacity leading to limited resources, the greater need for imports and comparatively little export potential. Hence, socialism can be infused into our current economic framework to build the economy from the lower stratum of society which constitutes a large portion of the population and is also where the greatest need is, to the higher level using a 'bottom-up approach'. This democratic economic purview would encourage a system where economic sustainability would be derived from the productive capacity and earning power of the people of Jamaica. Two examples of its manifestations were recently reported in the media. The first is that the conglomerate GraceKennedy will be assisting some farmers in the production of hot peppers to produce pepper mash which will be used as raw material in their food production and the excess will be exported. The other example is where the Jamaica Agricultural Society's president, Senator Norman Grant, has pledged 10 per cent of red peas from his personal farm to further its cultivation. I must declare that these examples are my own views and have nothing to do with the company or individual mentioned.
Although these efforts can be deemed as being socially responsible and are likewise explained by the current thrust of corporate social responsibility, they represent one of the major underlying principles of socialism. Noteworthy, under the premise of socialism, these actions are beyond the thinking of just making a contribution, mere gestures or 'giving handouts'. They are the means by which "you teach me to fish and I will eat fish all the time". The socialism connotation of these two examples is to advance food production, provide employment and job creation, generate economic linkages, satisfy local demand hence limiting the need for imports, adding to the export market and improving people's standard of living. These expected outcomes can only be described as tremendous, awesome and dreams to come true for the sustainable development of Jamaica.
The spill-over effects of this are obvious and just what we need in our society; this will help to address some of our current social and cultural issues. The socialism economic model is perceived as being useful in inculcating the discipline of cooperation, good work ethics and respect for other human beings. It is able to build cultural norms and values, both of which are greatly needed especially among our younger populace. It can create a futuristic and positive path for them; giving the 'yout' hope and showing them sustainable ways of fulfilling their needs other than through criminal and violent means.
I am not suggesting that the socialism economic model in totality is the panacea for our existing economic crisis which has greatly caused severe social damage, as no single economic model can bail us out. I am only encouraging an infusion of the socialism economic system into our current economic model, by encouraging more companies and individuals with the means and expertise to generate social and economic linkages. Although this will only take one aspect of our socio-economic dilemma into consideration, I believe that it has its merit and place.
There are, however, corresponding issues and so two pertinent questions are: (1) How can individuals and companies be motivated to engage in such initiative? (2) How will the mindset of the Jamaican people be changed from one of consumption to one of productivity?
Join me in thinking about the answers to the questions posed from a practical standpoint; theory can only guide our thoughts but what we need right now are realistic solutions.
Read more: http://www.jamaicaobserver.com/colum...#ixzz2PKm2YaBw