Newsday Editorial
Monday, August 4 2008
Does the Government understand the difference between luxuries and necessities? It does not seem so, if comments made earlier this week by Finance Minister Karen Nunez-Tesheira are any indication.
Admitting that Government spending has contributed to double-digit inflation, Ms Nunez-Tesheira nonetheless insisted that the expenditure was a “necessary investment”. But Government’s main contribution to the spiralling inflation rate has been through its construction programme, and most of these projects cannot be considered investments in any real sense. The $148 million spent on the still incomplete Prime Minister’s residence and Diplomatic Centre certainly pays no returns, and was entirely unnecessary. The building of a Government campus and Social Affairs tower and an Education Ministry edifice cannot be defined as investments, either. Even if we accept Prime Minister Patrick Manning’s argument that the public servants who will work in these buildings will be more productive because of the comfort of their workspace, we very much doubt they will be productive to the tune of billions of dollars.
Nonetheless, Ms Nunez-Tesheira claims that this Government expenditure facilitates the development of tourism, health, education. The last claim is particularly egregious, since one of the few areas where government construction would have been worthwhile – the building of 601 Early Childhood Care and Education Centres – has been put off till 2012 because of the rising price of materials. This, it must be noted, occurs after ECCECs promised in two successive budgets failed to materialise. Moreover, the rising costs seem not to have affected other government construction projects – save perhaps the now stalled Performing Arts Centre, which is another project which might indeed be integral to the tourism sector. Here, the $3.5 billion allocated for tourism projects can be justified and, had the Government confined itself to this kind of construction, inflation would not have become an issue. As for health, a total of $3.7 billion was allocated to this sector, and most of that money is spent on supplies and services, not construction, so this is not driving inflation.
Yet, not content with such arguments, the Finance Minister offered one even more peculiar – that the Government could not slow down its construction programme because the sector was partially responsible for stable employment levels. Yet the most pernicious aspect of inflation is that it affects poor people most harshly, erodes the savings of the better-off, and undermines overall confidence in the financial system. Does Ms Nunez-Tesheira really think a stable employment rate offsets these negative consequences? Is the Government she serves, really so insensitive to the plight of the poor people of the nation?
During the last oil boom, the PNM administration presided over double-digit inflation from 1973 to 1984. Then, as now, inflation was fuelled by excess government expenditures. Now, however, rising food prices have become an additional factor. Perhaps the government may not be able to do anything about that in the short term, but it should not exacerbate the situation by continuing its wild spending.
http://www.newsday.co.tt/editorial/0,83788.html
From the outside looking in this is sad and funny at the same time. Does the Government know that they are putting the coutry in ruin trying to keep up with the,”Jones'”? TNT doesn’t produce as much as a Japan, United States, Canada, England and so many others so why oh why would the spend frivilously as if they did? Rather than using the peoples money to improve the country and lives of the citizens of TNT, they would rather pretend to be on the same economic level as the “yankees”. The worst part about it is that it’s not even subtle suggesting that they don’t care what the people think. Either they are just stupid, or they don’t care. At this point in TNT’s independent history and as a part of the global market economy, I’m not sure whats worse for TNT. Unintelligent leaders make bad decisions out of ignorance while corrupt leaders make bad decisions ut of selfishness. Either way it hurts the people including children making it tragic for all. It’s funny laughing at the leaders and their attempt to be something that they are not, but sad because the people have to suffer.
Today as we look round us we can see that everything is changing
the attitude of our kids is defferent , morals and respect for others is know more , even the fear for the God that we all has all way known has being be littled . my piont is! we all have the right to life without fear. the scale is’t balance when some people has weapon to comment crime and the law abiding citizen is left unprotected ,i believe that some kind of law should be put in place so the lawfull Tax payers can defened themseleves and there family.hala at me!