The crisis economy

#crisis #economy

Lahore: Making money through honest work is not a crime. But when the business – whether small shopkeepers or corporate giants – exploit the weak people in the time of the crisis, such as natural disasters, commodity shortages or currency value, it enters the realm of moral and economic wrongdoing.

In Pakistan, such exploitation method has become a common thing. They are performed openly and with immunity, eliminate public confidence and deepen social inequality.

From the roadside fruit sellers to the larger supermarket chains, the non -written principle appears: Get a chance to exploit without any remorse. Consider Citizens Flood – Once in the monsoon season in cities like Karachi and Lahore. As the roads become water -filled and lack of public transport, rickshaws and taxi fares increase. An anxious passenger to work home or work, is forced to pay two or three times the routine fare. There is no regular procedure to prevent such increase prices. The irony is that the same drivers who pay more than others go to themselves to buy grocery or fuel.

Similarly, during the recent onion reduction, prices in retail markets increased from Rs 150 to Rs 400 per kilogram in just a few days. Spike was not just because of the obstacles to the supply, but also the result of the purchase of storage and panic. Wholesalers and even small shopkeepers, expecting a further increase in prices, began to stop the stock. Some people released daily limited quantities to maintain public anxiety and keep prices artificially high.

Consumers began to collect onions for long shortage of shortage – often more than needed – which just worsened the situation. Whenever there are rumors of sugar shortage, fuel price rise or rumors of wheat crisis, it repeats itself.

Contrary to the popular belief, this culture of exploitation is not limited to major corporations or unfounded traders. Even the local shopkeepers raised prices on minor excuses. The dollar rate justifies the rise in the price of imported goods, which was stocked at low exchange rates months ago.

During strikes or transport blockade, destructive foods are particularly weak. Farmers get a portion of their production costs, which rotate in trucks trapped on the highways, while urban retailers simultaneously raise prices in terms of “short supply”.

When the Pakistani rupee goes out, the prices of locally manufactured goods are often increased without justification. Sellers refer to the impact on imported raw materials – even when the current inventory was prepared at pre -expenses. From child formulas and sanitary products to cooking oil, almost everything is subject to such manipulation.

Perhaps the most disturbing aspect of the landscape is the inactive role of the state. Regulatory institutions such as Competition Commission of Pakistan (CCP), district administration, and pricing magistrates rarely work decisively. Crackdown, if started, are usually symbolic and short -lived. Although pricing rules are on paper, the implementation is weak. Storage is rarely punished, which causes little reason for traders to avoid immoral profit.

Take the Punjab government’s ‘convenience bazaar’ and fixed price stalls-which aims to manage essential food prices. These efforts have had limited success, which is due to corruption and inadequate scale. Meanwhile, consumer protection councils are less funded and less.

This unspecified exploitation is more than a regulatory failure. This is a moral. This shows how profoundly lucrative in times of difficulty in society. In many other countries, natural disasters and emergencies perform well in people. Neighbors help each other, offer free services, and governments implement to overcome strict prices. In Pakistan, a crisis is often seen as business opportunities.

Unless this mentality changes – and steps to implement the state’s fair market methods – will continue to be exploited, which will have even more burden on the struggling population.