| Username |
Post |
| ashu |
Posted
on 02-May-01 11:18 PM
Kali wrote:
>I could not help but notice your idea of
>economics. I feel like I should clarify
>here the
>difference between economics and business.
Hi Kali,
I enjoyed your replies. Thanks for keeping on with
this discussion.
Not to worry, though: I have long been aware of the difference
between doing economics and and doing business.
I think you can fairly assume that you are addressing a
relatively sophisticated readership when you post stuff
on this Web site. This is one of the strengths of this
Kura-kani section.
>It is because Business is concerned about
>the bottom line. Business driven by the
>shareholders
>decision so there is nothing like maximizing
>the welfare of the society.
You know, Kali, I shudder at the thought of smart economists
like yourself who have such a dismissive attitude toward business
someday working at places like the National Planning Commission!!
In fact, having once worked at the NPC, I know that the place is filled with such economists (minus the smartness). And, I would argue that, that may be one reason why the private sector in Nepal -- which, in an ideal world, should have been the engine of growth and desh bikas and all that -- is so, , despite its POTENTIAL, sluggish. Why? Because it has its hands forever tied with all kinds of unfriendly-to-business rules and regulations.
I mean, a Nepali in America (such as, to borrow Namita's
example: Bimala) can be entrepreneurial and strive to do well
for herself in Boston. Why is that the same Nepali in Nepal has to feel forever trapped and khattam and "ghoos-pidit" and be always at the mercy of some goddamn bureaucrats? Why?
At a time when JOBLESSNESS among able Nepalis is alarmingly
high (thereby giving rise to unrests and agitations, Maoist
stuff, migration to foreign pastures and so on) running any legal, profit-maximizing business is the best social service anyone can do in Nepal. This way, at least, you are providing people with goods and services and jobs. Those are
contributions enough!!
[I have noticed that many Nepalis, especially the Bahuns -- who are overrepresnted in bureaucracy -- disdain the word "profit" as though it's a dirty word. There may be cultural/religious reasons behind such disdain, and I won't get into that here now.)
And this is where smart Nepalis, economists and others, are needed: To be architects of a SYSTEM which responds to the
market forces and to the TRANSPARENT rule of law and NOT to
the whims of some bureaucrats and politicians.
Can such a SYSTEM be devised?
Yes.
Is it easy to devise such a system?
No. It's very challenging.
Now, some among the smart Nepalis may respond to
such challenges and may wish to devote their lives to
establishing such a system; some may not,
and either pursuit is fine.
So, business has its purpose (jobs, goods and services).
If anything, Nepal needs strategic, credible and honest
Nepali advocates for the private sector (i.e. the business
sector).
And economics too has its purpose (a systematic way of thinking
about how to allocate scarce resources). Some people are good
wt one thing; some at another, and that's life.
And from experience, I have learnt that the best way to
motivate young Nepalis to take up intellectual pursuits
(whether in economics or physics or whatever) is to
EXPOSE them to fun debates like this and others.
It's only by being CONTINUUALLY exposed to all kinds of ideas, thoughts and writings can some among us can aspire to be
academics. That is why, you, I and others need to INVEST
our time and efforts to keeping forums like these alive
and well.
PS. Yes, I would encourage all Nepalis to learn Chinese too.
oohi
ashu
|
| Kali Prasad |
Posted
on 03-May-01 06:08 PM
Ashu:
I think even the sophisticated readers here are confused between economics and business. I am
not against doing a good business. My principle of business is that the distribution of benefit
from business should spread beyond the shareholders level. If it does, that is great. As
economists, that is what we all want, right? If that is not happening then we have to start a new
trend consistent with the definition of welfare economics at least in our country's need at the current situation. And with the attitude you are bringing
in business, I am sure you will help to distribute that benefit to more than handful people in the
capital city. Otherwise, we would be doing business to rip off the little natural resources we have
in our country. We will not care about environment. We will not care about water or air quality.
We have plenty of previous evidences of such occurrence in Nepal, such as that brought by the
Carpet industry. At one point lot of people have supported carpet industry in KTM. I am not
sure what is the economic impact of that industry in Nepal. It has caused us many problems as
evident from surface and ground water quality deterioration in the capital city. The labor issues
can be set aside at this point as that is another can of worms that we should not even open here.
So yes, Ashu, we need to have few good companies which would keep our brain drained people
and little skilled people in our home country. The business may start from there. I suppose your
aim should be something like what Gramin bank has done in Bangladesh (recall the founder is a
Vanderbilt University trained economist). You want to earn money but you also want to serve
people.
I agree with you that we do not have good environment to foster fair business practice. My mom
tells me that corruption and bribery are rampant in the public sector. She said she even had a
difficulty to get her own passport before she was traveling to the US last year. That should not
be the case. This is again problem common to all developing countries. We certainly need to
uproot these kinds of nuisances from the society. Until we do that, a good business practice
cannot be fostered. When business grows in that kind of ill environment, an entrepreneur would
have no incentive to serve people as he is already frustrated. I suppose that has been the trend in
Nepal. And I agree we need to change those.
I was reading the ADB report few days ago on India’s GDP growth. It is whopping 7.5 percent
this year. May be we should take advantage of open border with India and look every thing
differently than what has been looked at with that country traditionally. We should be known
more than as Lahures or gate keepers in India. I think if we do take enough pride in ourselves we
can create a better country, and much better citizens than what we have now. It needs
commitment from people in every sector. We need to change the attitude of the people there. It
may be wishful thinking but I am sure one day we will have a country where business can be
done efficiently.
I would not encourage everyone to learn Chinese language up yet. It may be good in a long-run
but we can focus on revising our trade concept with India and reap more benefit than what we
have been getting from them currently. It is more feasible now than mass mobilization of doing
trade with China. We know we are better. We should cultivate this feeling among leaders and
common people.
I think you are thinking great but do not get guided by money only. I am sure we all can think
beyond the money level. We need that attitude among people in our country now. A real change. If that is ever going
to happen or not, we cannot tell until we all act together toward achieving our goal.
Cheers,
|
| ashu |
Posted
on 03-May-01 11:40 PM
Kali wrote:
>I think you are thinking great but do not
>get guided by money only.
Thanks for the advice :-)
I take heart from the fact that successful entrepreneurs
are guided NOT by the money (which is a pleasant by-product,
if all goes well) but by the sheer challenges of taking risks
to pursue their dreams. Personally, I'd rather try something
new and fail spectacularly (and, of course, learn my lessons), than play it safe by never taking risks.
My point is simple: It'd be great if some Nepalis
end up being TENURED economics professors at top
US universities.
But one potential candidate (at least, in my judgment)
I know told me that, after his PhD, he wanted to work
as an economist at a bulge bracket firm on Wall Street.
And I don't blame him.
After all, breaking into the ranks of top-tier American
academia is notoriously difficult. Sure, that's no reason
NOT to try.
But, in all fairness, I'd imagine that potential economics professors from Nepal are rational enough to do a simple cost-benefit analysis re: their future, look at the market for economists and decide for themselves what as to what they want
to do professionally. I'd leave the career choices to the economists themselves.
That is to say, I wouldn't get caught in a jump-in-logic scenario whereby, one ends up talking down to them by saying: "Gee, Mr. Ram Prasad, since you are such a smart economist, and you since are a Nepali, you should apply for that vacant position at the Harvard's economics department. After all, if you are a professor there, maybe you can act a 'gate-keeper' and admit more Nepalis
into the PhD program at the Littaur Hall." :-)
oohi
ashu
|
| Kali Prasad |
Posted
on 04-May-01 12:08 AM
>That is to say, I wouldn't get caught in a
>jump-in-logic scenario whereby, one ends up
>talking down to them by saying: "Gee, Mr.
>Ram Prasad, since you are such a smart
>economist, and you since are a Nepali, you
>should apply for that vacant position at the
>Harvard's economics department. After all,
>if you are a professor there, maybe you can
>act a 'gate-keeper' and admit more Nepalis
>into the PhD program at the Littaur Hall." :-
>)
>
>oohi
>ashu
Ashu:
I would doubt if there is any nepalese economist in Nepal who has caliber to join a top rank economics department in the USA. But if I see one in Nepal, I would not hesitate to encourage/request that person to join a faculty position at the top school in the US (In the past, I have told few other smart nepalese scientists, not economists, to do that, but they could not make the final cut!) If you do not say that, either you do not want pareto improvement in the society or you do not understand the meaning of peer advise. That is exactly why I want to address this concern among young smart undergrads currently enrolled in the top schools. They have the true potential to achieve what many of us could not/will not achieve.
But once again, I wish you luck in your venture to the business world.
Cheers,
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