There Won't Be any Liberalization of Economy, but its Imitation, Balykin

22.04.2010 13:04
Архив Редакция

Economist Sergei Balykin does not rule out that Alexander Lukashenko's adoption of directive number 4 on further liberalization of the economy, aimed at liberation of entrepreneurial initiative, may cause indirect harm to this process. "The officials can imitate it instead of applying real efforts to liberalize the economy in the country", the expert believes.

«Now, we have plans of liberalization measures, and all the officials have something to do», Sergey Balykin said. «They are carefully examining proposals of business alliances, talk, hold a lot of meetings, where they approve of plans to liberalize the economy».

Meanwhile, as the expert notes, liberalization is giving greater economic freedom. «In this case, for the business entities, that is reduction of government regulation, restrictions, reduction or non-use of unnecessary bureaucratic procedures. They should abrogate standard acts controlling the pricing, setting wages in private enterprises, and so on. But this is not being done», Tomorrow of your country quotes the words of economist.

According to Sergei Balykin, to carry out liberalization does not require any material expenditures. «Liberalization costs nothing, there are only sheer savings from the liberalization. How much does the adoption of good standard acts cost? Exactly as much as adoption of the bad: costs of paper, premises and experts, who will prepare these standard acts and then introduce to the authorities. And, of course, the costs of authorities institutions’ functioning», the economist said.

According to the expert, if the country refuses to regulate prices, there will no need in a committee on prices, many employees in government institutions who work with these prices, and the staff at the business entities, who substantiate these prices.

«Plus savings on paper, where all these substantiations are written, and on transport and postage costs caused by the shipment of documents from business entities to state institutions, Sergey Balykin said.

«However, they can reproach that as a result an unemployment begins to increase», the expert said. But, according to the economist, there are two options. «Either send those involved in the regulation of prices to anti-trust regulation, or leave them at home, let vacant spaces on lease, and pay them unemployment benefits from received leasing funds», Sergey Balykin said, adding that in this case, rental rates may also decrease.

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