08/02/2019 12:33
Economy’s rapid development excluded with no element of economic revolution fixed in government’s program: economist
The government’s programs must allow measuring the expectations, economist Armen Grigoryan said speaking to Aysor.am.
- Mr Grigoryan, how will you evaluate the government’s program and the economic sector in particular?
- In general, the government’s programs must allow measuring the expectations, it should include measuring tools for short-term, mid-term and long-term actions and expected results. To be more clear, I will bring an example. For instance 4.2 point relates to the poverty reduction - equal opportunities and encouraging work being applied as a principle. While the next paragraph envisages maintaining assembling element. This divides people into two parts – those making part of the system and those who do not. The poverty reduction must be measured with the minimal living basket and budget while this tool lacks in the program.
You may write the sentence about dignified life of a citizen in each paragraph without any guidelines and mechanisms which is nice to hear but in reality it should include professional multilayer research solutions. The economic bloc is completely spiced with neoliberal approaches, where the state’s role ends with field simplification function.
- Can the program envisaged for the upcoming five years ensure the promised rapid growth and economic revolution?
- First I will say that no element of economic revolution is being clearly seen. Economic revolution would have been if the program clearly registered – dear people, this year we will radically change the transport logic and introduce this system and a grounded explanation of it. Or, in four years we will create national air carrier or apply such agricultural system where business rules will not act and the strong will not destroy the weak.
The examples are many but the seeming changes may not be called revolutionary if no exact time and expectation measurement tools are being applied.
Though the prime minister has told about its necessity but those responsible for the economic bloc were obliged to present and clarify properly whether they want to implement the logic of this thesis or not.
Rapid development is excluded. The program clearly says that direct taxes will be reduced (income tax and profit tax), instead indirect taxes will grow (excise tax and VAT), it means that the cost of some products and services will grow which will create serious social issues for some layers of the population. We will have short-term and ineffective impact, a person will get 3% more income tax sum but will buy products at higher prices. This will sharpen the social polarization and situation.
The program refers to the encouragement of export which is very good but there is nothing about export-import ratio with word ‘import’ being completely left out as an economic factor.
- Have you noticed any new priority that lacks in the programs of previous government?
- There are no priorities as such. I mean there is no preferred sector. Not heaving measuring tools, terms, the program instead has neoliberal approaches. The fifth chapter starts like in previous programs – with the necessity of formation of gross national products and equal distribution. And again only one sentence is written without fixing with what tools it will be ensured.
I think the just distribution of results must have been reflected and passed through the whole program with a red thread as those who make use of public’s goods have more responsibilities before the public.
Of course, the fight against corruption is welcomed, but it is not enough for overcoming poverty. There is a need of clear conceptions.
In general, I have no expectations from the economic bloc of the program as I associate it with a composition about good wishes.