Wednesday, January 27, 2021
Home Opinions Privatize the governance, not government

Privatize the governance, not government

Also Read

Mumbai witnessed the municipal election on 21st February 2017. The gaga over this election is theatrically not new. The unfortunate fact is that this election is also “a sort of advance auction sale of stolen goods“. Henry Hazlitt said that “government has nothing to give to anybody that it doesn’t first take from somebody else.” This preface makes it clear enough for any layman to understand that the best form of governance can be adequately delivered in a system when the powers of the government are limited, accountable, open and transparent. The author of this article attempts to decode the [unseen] political economy of status quo of Mumbai’s municipality.

Despite having a richest budget (approx. Rs 37000 crore with a fixed deposit amt. Of Rs. 50000 crores) in India, Mumbai’s global ranking in infrastructure, housing, waste management, etc is not very comfortable. This picture is more than enough to tell our audience that there is a considerable demand of revamping the operating system of municipal governance of Mumbai. It is possible when the ‘democratic’ politicians stop treating the governance structure as their private property. To make it more coherent, the governing institutions should stand private because public agencies in the current structure are overlapping with responsibility deficit, unaccountability, and lethargic attitude.

Among many Mumbaikars, there is a common phobia that without governments to intervene, society cannot be structured and organized. This has never been the case in Edward Stringham‘s book “Private Governance: Creating Order in Economic and Social Life“, he looks at how governance can be achieved without what we normally call “government”. Currently, the character of governance in Mumbai is habituated or infected with incentive problems, corruption, and crony politics. To take a cue from Gurgaon (India’s private city), there’s a splendid possibility of transforming Mumbai. To infuse the revolution in Mumbai, there can be a clear differentiation between taxes and fees. Taxes are nothing but penalties for doing things right, whereas fees are paid to the services which we privately use. This sort of economy begets bad governance as the public institutions, generally unaccountable, in this case, live on expropriating the wealth/taxes from its own citizens, without being accountable to inefficient services. Therefore, the solution is having fewer powers with the government and more economic freedom in the market because it is possible to build better roads without government interventionism.

Edward Stringham notes that “Private governance is created wherever private institutions create order and enforce rules when governments are either unable or unwilling to do so. Time and time again, markets can be found to work even when the government is not underpinning them. The standard belief that government is necessary to enforce contracts or allocate goods — to name two examples — is belied by numerous examples throughout history. Private governance can be found, of course, in the rules imposed by any private club. But private governance is also employed to govern complex institutions, as it was first used by the founders of the London and New York stock exchanges. Similar institutions and rule-making are used today to govern electronic commerce. In fact, once we begin to contrast the voluntary marketplace with government institutions, we find that the rules of the market are much more orderly, stable, and potentially enduring than rules from a monolithic bureaucracy.

Privatizing the governance gives more power to the people. To ratiocinate the argument, the sole role of a legitimate government is to protect only the inalienable rights to life, liberty and property, and the pursuit of happiness. This is how “maximum governance with minimum government” [interventionism], in the system, is achieved.

References:

Free A Billion
Mises Institute

  Support Us  

OpIndia is not rich like the mainstream media. Even a small contribution by you will help us keep running. Consider making a voluntary payment.

Trending now

Latest News

Interesting “Tandav” challenges the conventional entertainment in India

Tandav actually challenges the way conventional entertainment has been in India not only for years but for decades now. It's a good story if a right wing student leader is corrupt and greedy but it is not a good story if the left leaning student leader does the same thing.

११वां राष्ट्रीय मतदाता दिवस आज, अब ई-मतदाता पहचान पत्र कर सकेंगे डाऊनलोड

आज राष्ट्र ग्यारहवाँ राष्ट्रीय मतदाता दिवस मना रहा है, यह दिवस वर्ष १९५० में आज ही के दिन, चुनाव आयोग की स्थापना के उपलक्ष्य में वर्ष २०११ से मनाया जा रहा है।

The bar of being at “The Bar”

The present structure of the Indian judicial system is a continuation of what was left to us by the colonial rulers.

Partition of India and Netaji

Had all Indians taken arms against British and supported Azad Hind Fauz of Netaji from within India in 1942 instead of allowing the Congress to launch non-violent ‘Quite India Movement’ of Gandhi, the history of sub-continent would have been different.

नेताजी सुभाष चन्द्र बोस जयंती विशेष: हर भारतीयों के लिए पराक्रम के प्रतीक

भारत माता के सपूत के स्वतंत्रता सेनानी नेताजी सुभाष चंद्र बोस की जयंती को केंद्र सरकार ने हर साल पराक्रम दिवस के रूप में मनाने का फैसला किया है।

पराक्रम दिवस, कुछ ऐतिहासिक तथ्य और नेताजी से प्रेरणा पाता आत्मनिर्भर भारत

प्रधानमंत्री ने कहा कि आज ‘आत्मनिर्भर भारत’ की ओर अग्रसर हो रहा देश बार बार नेताजी से प्रेरणा पाता है। उन्होंने कहा कि आज हम स्त्रियों के सशक्तिकरण की बात करते हैं नेताजी ने उस समय ही आज़ाद हिन्द फौज में ‘रानी झाँसी रेजिमेंट’ बनाकर देश की बेटियों को भी सेना में शामिल होकर देश के लिए बलिदान देने के लिए प्रेरित किया।

Recently Popular

Daredevil of Indian Army: Para SF Major Mohit Sharma’s who became Iftikaar Bhatt to kill terrorists

Such brave souls of Bharat Mata who knows every minute of their life may become the last minute.

गुप्त काल को स्वर्ण युग क्यों कहा जाता है

एक सफल शासन की नींव समुद्रगप्त ने अपने शासनकाल में ही रख दी थी इसीलिए गुप्त सम्राटों का शासन अत्यधिक सफल रहा। साम्राज्य की दृढ़ता शांति और नागरिकों की उन्नति इसके प्रमाण थे।

The reality of Akbar that our history textbooks don’t teach!

Akbar had over 5,000 wives in his harems, and was regularly asked by his Sunni court officials to limit the number of his wives to 4, due to it being prescribed by the Quran. Miffed with the regular criticism of him violating the Quran, he founded the religion Din-e-illahi

Pt Deen Dayal Upadhyaya and Integral Humanism

According to Upadhyaya, the primary concern in India must be to develop an indigenous economic model that puts the human being at centre stage.

Dr. APJ Abdul Kalam: Making of a legend beyond religious horizon

Dr. APJ Abdul Kalam is a perfect embodiment of a seeker in true sense who rejected this exclusivist tendency of only Islam is true. He notably acknowledged diversity of spaces which is a fundamental pillar on which Indian cultural and traditional society rests.