Disadvantaged segments lack opportunity.

Byline: AKRAM KHATOON

Universally, economists and economic managers, while devising fiscal policies have been focusing on economic efficiency aspect, whereas in the face of growing inequalities the weightage should have been given to distributional aspect, upholding moral and social values ensuring welfare of disadvantaged segments of population. Policy makers need to be cognizant of moral perspective of public finance.

According to Paolo Mauro, Deputy Director in IMF, community, authority, divinity, purity loyality and sanctity are important considerations of not only in many non-Western countries, but also among politically influential segments of the population in advanced economies as propounded under 'moral foundation theory', which was created by a group of social and cultural psychologists with emphasis on five basic moral foundations: 1) harm/care, 2) fairness /reciprocity, 3) in group/loyalty, 4) authority/respect and 5) purity/sanctity, which are known as building blocks of morality. These five blocks of moral foundation if strictly followed, help devising rational public policies relating to economy and social sector.

As depicted from the views of many of the economists and social and cultural experts, concern for joblessness resultant of devastation caused by Covid-19 over and above already existing apprehensions in this regard initiated by fast move for globalisation and use of advanced information technology and automation needs creating liberalised markets and housing for labour enabling them to move to other places where they can get jobs.

While considering the issue region wise one comes across the fact that particularly in Asian scenario if countries take initiative to broaden the benefits of their comparatively fast economic growth by enhancing their social responsibility particularly making sizeable allocations for primary and secondary education to bridge the gap in education attainments of students from economically deprived families caused by long period of locked downs in educational institutions. This should be accompanied by sufficient cash transfer arrangements under social safety nets program plus reforming labor laws in order to provide greater protection to low income workers for ensuring sustainability of rapid economic growth of Asian countries, quite a number of which have been designated as emerging markets.

Unfortunately among South Asian countries particularly it is Pakistan where it would be Herculean...