THE EDITOR, Sir:WHEN WILL Finance Minister Dr. Omar Davis and the rest of the Cabinet realise that 95 per cent of our problems exist because we have decline instead of economic growth for the past 10 years and that's why we have to rely on reckless borrowing and stifling tax regime?
This economic deprivation adversely affects parents, teachers, children and school resources and retards the success of education and at the same time intensifies the fight for scarce benefits among the political tribes and the increase of crimes and misery for the entire population.
The primary item on the Finance Ministry's mission statement is to 'manage and grow the economy'.
In a market economy, this is a sacred thrust because with a growing population, this is the only way a country can provide enlarged economic opportunities and increase employment in order to ensure sustained growth.
For the past decade, the rest of the world has made rapid economic progress and left us far behind. It is the responsibility of the Government to give incentives to the private sector to invest in appropriate economic activities to strengthen growth and increase employment.
We don't see much of this except in the sub-sector of the money market where high inflationary interest rates have created super profits for this sector.
But this is obviously counter-productive for the entire economy because the sector contributes very little to the creation of more goods and services and employment. It, nevertheless, demonstrates the power of government incentives to motivate the private sector and the predictable response of the private sector
But why should we be explaining to Dr. Davies and the Cabinet this most fundamental concept of economic growth, when they are content to tell us the Government has no money so we cannot afford to build the proverbial fowl coop? What a way to run a country!
I am, etc.,
JANICE PATRA PRINCE
Montego Bay
St. James
