As the famous economist Adam Smith put it the invisible hand controls business in the free market economy. This saying hammers home the invisible hand sees to the prevalence of a fair competition. Unfortunately, the invisible hand is being witnessed twisted by invisible corruption besmirched hands to tip the balance to one’s favor creating make-believe competitions.
A free market divested of competition is monopoly in another guise as it swings the door wide for a larger profit margin to those who are engaged in things underhand. Creating a cartel to this effect is turning the order of the day to the chagrin of citizens and damage to the country’s economy. In the present day Ethiopia, the aforementioned practice is rearing its grotesque face in almost all walks of life, though it is highly conspicuous in Medical field, Real Estate Development and consumers service delivery.
These days it does not come as a surprise to hear irk by patients seeking medical services that some physicians do not give patients enough time to heedfully hear them out for a right diagnosis and right prescriptions. Anchoring their legs in governmental and private health institutions, some physicians are seen seeking optimizing financial gains inconsiderate and insensitive of the constraints of patients, whom they refer from government-run health institutions to private ones, where the physicians do part time jobs. They also make patients crisscross private health centers, where their friends work.
In the Real Estate Development competition is lacking as opportunist entrepreneurs get sought-after land greasing the palms of corrupt officials solely eying the undue rewards they reap. This creates price hike on citizens who seek residential home service, for the houses will be accessible only for the affluent few.
When it comes to consumer goods delivery, via phones, wholesalers and retailers fix prices. In the absence of price ceiling set by a fair free market systems prices indefinitely soar up creating reeling inflation. To control things by taming unreasonable inflation, the government could use cooperatives. But as experience shows corruption poses a challenge hijacking this counteracting measure.
Such facts on the ground show that business laws and professional ethics have to be strictly observed. Heeding public outcries and monitoring things putting in place public complaint receiving mechanisms are mandatory. Some engaged in import and export trade, dealing with their counterparts abroad, do under and over invoicing evading tax oblivious to the fact that such trend could strip the government of a bone marrow.
Here, it is important to note that even substandard materials are ubiquitous in the market. Electric wires made to look made of cooper are creating a trouble unable to resist electric voltages. By extension it is possible to surmise possible problems could be manifested in drugs. The problem, therefore, extends from business tricks to destruction and health hazards.
In another twist, through the order of corrupt government officials the National Bank was made to allow the outflow of hard currency deducted from its relatively meager reserve. Such a trend, no doubt, is inimical for a nation. Some foreign investors, bit by bit, send to their country the hard currency they managed to generate here before they finally sell their firms and leave for their country for good. This no doubt creates trouble on the country.
Self-seeking bent must not be allowed to pull roots as it is nebulous to the country’s edifice of growth and citizens’ dream for a turnaround in their life styles. Seeing to the translation of laws, be them business or otherwise, is exigent. The laws must not be paper tiger ones. Regulations, recording complaints and reacting fast must be made a point of.
The Ethiopian Herald, Sunday Edition November 3/2019
