Jungibaaz
RETIRED MOD
- Joined
- Jul 4, 2010
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Stupid shortsightedness of the government.
Infrastructure spending is the basis of economic activity and development. Public enterprise and infrastructure projects are NOT intended to make profits.
Every government on earth runs budget deficits, with the exception of petro-states. The key question is how much benefit do we get from building orange line infrastructure for the Lahore economy vs cost. And I’d say my lay analysis says it’s worth a lot more to Lahore than we paid for it, and its value to the local economy will far outweigh the cost in the future. Extra tax revenue from better economic activity will make the project pay for itself, even if indirectly.
Agree on the suggestion. But I would add that such projects are completely worth it and necessary. To be talking about trade offs vs funding hospitals after it has been built is silly.
Here the London Underground (subway) is the lifeline of the economy. It does NOT return a profit, it and other rail infrastructure costs the government billions every year. But if the LU were to stop running even for a few days, the loss to the economy can be comparatively huge.
Infrastructure spending is the basis of economic activity and development. Public enterprise and infrastructure projects are NOT intended to make profits.
Every government on earth runs budget deficits, with the exception of petro-states. The key question is how much benefit do we get from building orange line infrastructure for the Lahore economy vs cost. And I’d say my lay analysis says it’s worth a lot more to Lahore than we paid for it, and its value to the local economy will far outweigh the cost in the future. Extra tax revenue from better economic activity will make the project pay for itself, even if indirectly.
Was there any doubt?
The government now has no option. They can't just scrap it, it would be even more stupid, the loans and the interest on them won't go away. Instead of playing more politics on the matter, like the typical Pakistani government that PTI is, they need to start service on it asap.
Agree on the suggestion. But I would add that such projects are completely worth it and necessary. To be talking about trade offs vs funding hospitals after it has been built is silly.
Here the London Underground (subway) is the lifeline of the economy. It does NOT return a profit, it and other rail infrastructure costs the government billions every year. But if the LU were to stop running even for a few days, the loss to the economy can be comparatively huge.