Subsidy Culture of Pakistan , Curse for Society

[AZADPAKISTAN2009]

Subsidy Culture of Pakistan , Curse for Society

What is Subsidy , it is a artificial means to keep real prices of consumer goods to reach consumers

Pakistan have over decade have struggled with this Curse , initially you would imagine the idea would help the greater population however in reality all it does it is give a false indication of inflation to general public.

The general public get used to the deflated prices and never budget their saving accounts or strategy for saving for raining day, leading up to great pain when the subsidy is removed

Due to the handout culture in Pakistan , under subsidy
People "EXPECT" a handout vs earning what you deserve

You see their is a problem between earning something vs Expected handout



Over the years the Subsidy Elephant has shown up many places

a) Subsidy for Seeds for farming
b) Subsidy for Tools for farming
c) Subsidy for buying tractor for farming
d) Subsidy for Metro Bus Ticket
e) Subsidy for Roti
f) Subsidy for Wheat
g) Subsidy for Sugar
h) Subsidy for Cooking oil
i) Subsidy for fuel
j) Subsidy for gas

Even Jobs are subsidized when their is no work or the factory is closed workers still demand money !!!

The problem with Subsidy really is that in a society which does not believes in Paying taxes they pay even less when it comes to subsidized goods


No feasibility study has ever been done to figure out the benefits of Subsidy on Projects in long run (2-3 year period)

However the public feels it is their right to get subsidized goods

 

[Sine Nomine]

Subsidy Culture of Pakistan , Curse for Society

What is Subsidy , it is a artificial means to keep real prices of consumer goods to reach consumers

Pakistan have over decade have struggled with this Curse , initially you would imagine the idea would help the greater population however in reality all it does it is give a false indication of inflation to general public.

The general public get used to the deflated prices and never budget their saving accounts or strategy for saving for raining day, leading up to great pain when the subsidy is removed

Due to the handout culture in Pakistan , under subsidy
People "EXPECT" a handout vs earning what you deserve

You see their is a problem between earning something vs Expected handout



Over the years the Subsidy Elephant has shown up many places

a) Subsidy for Seeds for farming
b) Subsidy for Tools for farming
c) Subsidy for buying tractor for farming
d) Subsidy for Metro Bus Ticket
e) Subsidy for Roti
f) Subsidy for Wheat
g) Subsidy for Sugar
h) Subsidy for Cooking oil
i) Subsidy for fuel
j) Subsidy for gas

Even Jobs are subsidized when their is no work or the factory is closed workers still demand money !!!

The problem with Subsidy really is that in a society which does not believes in Paying taxes they pay even less when it comes to subsidized goods


No feasibility study has ever been done to figure out the benefits of Subsidy on Projects in long run (2-3 year period)

However the public feels it is their right to get subsidized goods

Subsidy should be on two 2 things:
1-Wheat
2-Medicine
Govt should subsidize Railway,Govt should beef up railyway infrastructure and freighter/transport service should be maximum carried through Trains,rather then trucks/buses.

 

[Zapper]

Subsidy should be on two 2 things:
1-Wheat
2-Medicine
Govt should subsidize Railway,Govt should beef up railyway infrastructure and freighter/transport service should be maximum carried through Trains,rather then trucks/buses.

I agree with medicine but why wheat since it's already produce in high qtys in Pak making it available for a relatively cheaper price, infact subsidies should be given based on income class and the governments should be clearly able to identify the impoverished population eligible for subsidies but sadly this is where most corruption happens and lower level govt employees/middlemen end up exploiting these instance. This situation is also rampant in India but it's getting better in recent times

 

[FOOLS_NIGHTMARE]

Subsidies are a part and parcel of every developing country. Where the costs are transferred from the needy to the well off. Even wealthy nation subsidise fuel,electricity and food in some cases. The subsidies can never be curtailed,only the rates fluctuate depending on the current circumstances.

 

[Sine Nomine]

I agree with medicine but why wheat since it's already produce in high qtys in Pak making it available for a relatively cheaper price, infact subsidies should be given based on income class and the governments should be clearly able to identify the impoverished population eligible for subsidies but sadly this is where most corruption happens and lower level govt employees/middlemen end up exploiting these instance. This situation is also rampant in India but it's getting better in recent times

When subsidy on every thing like fuel,agri tools and seeds would be off,price of wheat would go up.
Wheat is right of every citizen,Govt should help so everyone can have it three times a day.

 

[fisher1]

The elite culture of Pakistan, curse for society.

The resident of Bani Gala and Grand Hyatt https://www.thenews.com.pk/print/417477-grand-hyatt-project-imran-leaves-cabinet-meeting can't feel the pain of poor and of course he will say "hosla rakay".

Subsidies aren't the issue, we have corrupt and lying scumbag politician which are the issue because they suck 99% of the country money and loans.

 

[blueazure]

mr azad pakistan. mouth piece for PTI / economic hitman team here on pdf.

azad pakistan's every post is reflective of IMF ./economic hitman agenda wherein he insinuates ideas like ' subsidy is bad' , IMF loans are good, interest is even better. etcetra

if he had his way, he would gladly exterminate half of pakistan's poor

 

[Sugarcane]

Very small amount of blanket subsidies go to poor people while every rich person get this subsidy, for example we have slab based electricity rates where first 100 units are charged with most subsidized rates, 300 units with less subsidy while over 300 units are with least or no subsidy. Most of this electricity subsidy goes to middle and above classes as their consumption is more, while there are millions of poor who don't even have electricity connections, many have one connections (as they can't afford cost of installing meter) shared between 2 to 3 and their collective consumption cross 300 units so they don't get the amount of subsidy they should be getting with dedicated connections. Same is the case with gas subsidy, wheat is also consumed (in fact wasted) more in higher income households so most of wheat subsidy goes to them while poor is struggling to buy bread for two times in a day, almost all subsidies end up like this.

In my opinion there shouldn't be blanket subsidy on anything at all, instead government should reform Income Support Card (don't know if it's still named after Benazir) and give funds directly to people based on household income, family size and support factors like electricity, gas, fuel, food etc. but this support should be like bailout of IMF with strings attached i.e. It should come with Rules & Guidelines which family should follow to improve their financial position instead of considering subsidy as their birth right and remain dependent on it generation after generation.