The State as Policy Maker - Essay Example

The State as Policy Maker The state has played an important role in Third World development to make and implement policies that will play a major task in reduction of poverty in the society. Many states have put up measures to help in implementing the policies which will help to reduce poverty. To assist in implementing the policies, the state also needs to have dedicated policy makers and economists who will be willing to work hard to see the execution of the policies. The state has had various roles to play in implementation of strategies. Since the 1970s the policies that states have been putting in place to help in reduction of poverty include; liberalization of trade, financial market and foreign capital, privatization of production, legal work framework deregulation, securing of property rights, unifying competitive exchange rates, reformation of taxes by cutting the rates of the taxes and widening tax base and also have less progressive tax, providing social security for the needy and finally having flexible labor markets. State powers were supposed to be given to the public authority to avoid superiority in the markets and also individualized and economic relations that had been made private (Alden 160-158). The role of the state until the 1970s In 1960s and 1970s the key role of the state was to help making plans on how to divide and provide basic necessities. The idea was changed to a policy known as Structural Adjustments Lending (SAL). It was basically meant to explain economic and institutional measures through which, many huge organizations like the World Bank, IMF, and many aid donors would use to get policy oriented loans .Its main aim was to end importing manufacturing regimes bring together a free market and also privatize the government property. In other words SAL was meant to bring in ideas of freedom in the economy, have free markets, private sector projects and also throw away conditions meant to harm the economy of the state (Judd 1992). Public polices of any country are not totally shaped by the politics in the government but by the social policies brought forward by the global organizations like non-governmental agencies. The state was also supposed to play a part in social regulation and provision of basic needs. This was done by development of initiatives and programmes like World Health Organisation (WHO), International Labour Organization (ILO) and many others. The state was also supposed to help in building the Nation after the colonial rule .After colonisation, it was the role of the state to help people in recovering and help in making the nation a better place. This was to be done by deriving strategies ands policies to govern the people and help them work together towards building the Nation (Judd 1992). The state was also meant to represent the interests of its people and work toward providing and promoting the general welfare of the people in the Nation. The state had the role to fight for the rights and interest of the people by good governance and provision of necessities like security, education, health and legal system to the people. General welfare was also part of the state to execute. The state was to make sure that the society received services like security, provision of health facilities, good infrastructure and telecommunication services to enhance peaceful co-existence between people in the community. In addition, the state was meant to redistribute income to the poor people in the society for them to meet their basic necessities like food, shelter and clothing (Khamboly 2007).According to world development report (1997), the functions of the state included defence, law and order, rights to property, management of macroeconomic, education, and health of the public. They also added that the state would also be concerned with protecting the poor in the society by enhancing equal distribution of resources and organizing disaster relief programs. State would have not existed without development. The tasks of the state had developed depending on the economic and political ideologies. What is wrong with State? 1970s and 1980s the sate experienced political and theoretical critiques that were widespread. The state was being criticized for focusing on the public interest of the people in the society and neglecting the private sectors. To start with, the need so for the people and those of the state are every contradicting; when people are in need of care, health facilities and housing the state goes ahead and gives people very low salaries and very poor housing, and poor of no health facilities. They also limit people’s freedom and rights thus controlling their lives. Is it that the State does not understand the needs of the people or they ignore them? The state is viewed as the central problem rather than the solution to the problem (Lal, 13-10). Moreover, the institutions are governed by the state using the authoritarian rule. They have very many rules and regulation which tie the people and reduce their freedoms and rights. It is unfortunate that when the state is supposed to be fighting for the peoples rights in the society, is oppressing the people by denying them the rights. By this it is restricting freedom on the people and bringing its views on how people should live. As a result many end up dropping out of school thus poverty. The state is supposed to encourage self reliance to people but in this case the state is fostering dependency. The state should come up with initiatives to help the poor in the society start their own businesses and support them; instead, the state is making them depend on aids and donations from donors like World Food Programme (WHO).By doing this, the people in that community will never learn how to be self reliance (Oniz 104-90). Another problem with the state nowadays is the politicians in the government. They are supposed to be policy makers’ ad implementers’ while they serve the people’s needs and interests. On the contrary, their aim is to satisfy their own needs and they don’t serve the people effectively. For example, money provided by the government to help people in investments, the politicians squander it and lie to the public that the money is still in the bank. The state is also known to provide inadequate and cheap services to the people if needed. The state also tends to turn their attention to the interests of the foreign companies which bring in more capital and neglect the local industries. They divert their resources to the indigenous development and block the growth of the local companies and industries. They do not offer any financial support to the local companies and thus they end up closing down due to lack of finances or even interventions by political agendas. The state has the power to support both internal and external trade (Oniz 106-99). The state should stop undermining the public interests and work to help the society. There should be reformation of the government and their power should be reduced, decentralization of the governments operations and also divide some of its tasks to other non governmental organizations. Reforming the state would be aimed at strengthening the society solidarity. Analysing the state The state can be discussed in three dimensions. To start with, state is viewed as the sign or a symbol of nationhood. Its main aim is to pursue the interests of the people. Secondly it is also viewed as public sector bureaucracies that deal with the interest of sectors in the society. And thirdly, state is seen as regime or a government which assists in ruling the society by expressing dominant forces (Martnussen 1997). It is also used to constrain the external and internal factors in the society. The state comes from the interest conflicts and struggles of power. The state is formed as a result of struggles of power and interests of the people; it is formed to be a mediator and help come up with a solution. Through the state the conflicts are resolved by appointing the right people to power. The state is known to serve as a platform for interaction and conflict between opposing social forces. In this case, the state is used to help in resolving conflicts between two social forces. The state is responsible for making judgement on certain issues and hence it gives its final verdict in case of a conflict. The state is also seen as a manifestation of structure that provides a framework for how society functions. The state formulates and makes laws, rule and regulations that guide the society. It also defines roles and responsibility of individuals in the society and hence it shapes its structure. The state the right to exert influence and sets agendas and discourses in the society. It forms agendas and helps the influences the society to help implement the agendas to bring change in the community (Martnussen 1997). Case study: China and poverty China has had a successful fight against poverty. This can be attributed to their states involvement and being part of reducing the problem. China which is a developing country has made a big progress in fighting poverty. China has very high population density and hence they are very productive when it comes to labour. As a result, there are great innovations which have improved the economy of China. States with low population density have problems in distribution of basic infrastructure and it becomes expensive. These states have very weak institutions and hence very poor basic social services (Gill, 20-8). China has made policies that are implemented to reduce the dependency rates of the people in the society. Due to this many people are self employed and have means of sustaining their families and hence reducing poverty. The country has also entered the demographic transition period; this is where the birth and death rate falls thus maintaining a steady population. China is able to provide domestic public goods, have trade negotiations, and have access to external market and migration of labor which work towards the growth of the economy. Migrating labor increases output by decreasing the geographical differences labour productivity (Alden, 156-140). Population urbanization is another strategy in China that has contributed to the reduction of poverty. There are very minor differences between rural and urban areas in China. Urbanization process has come with growth of the economy. The state has also played part in the steep rise of inequality which has also contributed to the fight of poverty. The upward thrust has come with returns to the Chinese markets boosting their economy (Gill, 17-14). Stabilizations of the macroeconomic have also played part reduction of poverty in China. This has been done by avoiding inflationary shocks in the market. Unstable macroeconomic leads to higher inflation rate thus leading to poverty. However, having growth promoting economic reforms is not sufficient for fast and maintained poverty reduction. Achieving pro-poor reform has also contributed to reduction of poverty. The poor people should be empowered and hence their abilities are realized. Policy makers should play a major role in the empowerment process and raising their economic power over political ideologies. However, policy and empowerment must be combined to obtain economic equilibrium in the market (Alden, 160-153). Discussion Poverty exists due to the problems affecting the society mainly in the economic sector. Countries with a stable or growing economy like China have reduced their poverty levels. The state should collaborate with the citizens to come up with ways to eradicate poverty. Lack of cooperation between the state and the people has led to more problems economically in the society (Alden, 153-148). The government of each should form reforms and come up with policies to help ion fighting poverty. It is not possible to fight poverty without the implementation of policies. Other states should copy Chinese state to help in fighting poverty. China has set a very good example in the fight against poverty. China has provided employment to its fellow citizens and many states should follow that and offer employment opportunities to their citizens to help in building ones economy. Employed people do not depend on anyone for survival and hence this will reduce the dependency rates in the society (Sen 1999). The state should be involved in providing good infrastructure, health, telecommunication and other basic facilities in rural areas to provide favourable environment for agriculture and other processes like mining and fishing. Many states have neglected the rural areas and everyone has run to the city. This has led to congestion in the city and thus raising the cost of living. Many rural developments have been neglected and hence production in agriculture sector has diminished. Conclusion Each state has a role to play in poverty reduction. Dedicated citizens can make an impact in their society with the help of state leaders. Policies must be formulated, rules made and implemented to combat poverty. Making sound policies with practices is a key factor to reducing poverty. States should stop neglecting sectors like agriculture which are always the bases of most economies. The state should also provide effective services like healthcare, good education, lowering the dependency rates and support both local and foreign investors (Martinussen 1997). This will be of great help and will play a big role in eradication of poverty. Political change could also play a part in reduction of poverty; this is by removing of corrupt and selfish leaders and bringing in leaders with a vision to help the society. This could have a significant change on the economy and this will also help to combat poverty. Works cited Alden, C. China in Africa. Survival, vol 47(3), 2005, 147–164 Gill, B. G., Huang, C., & Morrison, J. S. Assessing China’s growing influence in Africa: China Security, vol 3(3), 2007, 3–21. Judd, L et al. Lessons from Kerala, Open University. 1992 Khamboly, Dy. A history of Democratic Kampuchea (1975- 1979), Phnom Penh: Documentation Center of Cambodia.2007. Lal, D. ‘The misconception of “development economics”: Finance and Development, vol 22 (2) 1985, 10-13.  Martinussen, John Degnbol. Society, State & Market: A Guide to Competing Theories of Development, London: Zed Books. 1997. Oniz, Z. The Logic of the Developmental State: Comparative Politics, vol 24(1), 1991, 26-109. Scott, J. C. Seeing Like a State, Yale University Press, New Haven. 1998. Sen, A. Development as Freedom, Alfred Knopf, New York. 1999.  World Bank, World Development Report 1997. The State in a Changing World, Oxford University Press: Washington.1997. Read More