Posted by Egide on 2024-11-21 15:40:01 | Last Updated by Egide on 2024-11-21 15:40:01
Share: Facebook | Twitter | Whatsapp | Linkedin Visits: 184
Government protectionism
In the
country, we have producers and consumers in the terms of the needs. With these needs,
they can be produced in the country or they can be taken from abroad. If the
country has the products which is not seen in the other countries; it can
export and receive money from abroad. Anyway, in the most seen cases, we
analyze two different views. If the country is producing more outside, it is in
the way of developing because the money of that country will have the value. In
contrary, when the country is importing everything it will face the problem of losing
money value.
The case of fuel importation
The fuel case is challenging some of the African countries nowadays and it is becoming the great issue for the economy of African countries. Some activities are not being executed as usual; goods inflation continues to be seen in those countries which face the issue of fuel. What is the essence of the issue?
The most origin in the importation and issue are mostly monopoly and protectionism of the government. The former is the doctrine, attitude and policy advocating intervention by public authorities in the economic life of the country.
Anyway, this system would be good for the country’s economy if it helps to avoid monopoly and fraud. In this case, protectionism is well applied if the authorities help to control monopoly on the market system or if there is anyone who is attempting to import things in the not allowed ways. Shameful, this is the contrary, those who would help for the country benefit, they control for their own interest at the level that the businessmen work in the loss and they judge better to abandon importing and the suffered in the ordinary population. If the country adopts defensive protectionism that is say, which poses barriers to importation, this country still know and will know underdevelopment in all. This is the case of the fuel in Burundi.The prices of petroleum products are a system that is both complex and multidimensional, bringing together the interventions of several state services and other actors external to the state.
Which should help?
Like other initiatives, it is imperative to organize general meetings of the petroleum products sector to propose adequate solutions to all the challenges it faces.
