Is Government Responsible For Bad Economy?

[r_victory]

In my opinion, yes. If a country's economy is bad, it's the government's fault, and not just the current one, but all the ones that came before it. In Brazil, for example, tax revenue is high, and although the current government is incompetent and corrupt, many others came before it, and nothing concrete was done. The previous government, in my opinion, was the best of all, but corruption seems to be deeply rooted in politics, and financial resources don't reach the people they need, they don't go towards the improvements that need to be made, they don't provide incentives, and they aren't invested in education or health. Everything needs to be aligned for a healthy economy.

[Johnlomape]

You talk about government allocation of funds, I want to ask, what does it mean to keep allocating funds to the same project at different times? Wastage of resources? Corrupt government is the progenitor of bad economy no matter the propagation by the masses.

There is no doubt that the government is the one responsible for the future of a country.  They hold the leadership, they have the authority and they have the fund.  The government officials are paid by the citizen to lead them to prosperity, peace and secured future.

The government have the power to utilize resources and allocate it to improve the economy of the country.  So when these leaders are not delivering, it is the country and its citizen that suffer.  So if we see a poor country, it is the government that is lacking. And sadly there are lots of naturally rich country but have poor economy due to greedy and corrupt officials only thinking their personal gains and disregard the reason why they are actually sitting on that high government position.

When the government is corrupt, it will be very hard for a country to grow due to the embezzlement that will be taken place quietly.
Bad government can cripple the economy of a country due to the level of stealing and mishandling of public funds that are meant for development. We most have been examples of countries that their economy is becoming a problem for their citizens due to money monetary policies are being used to steal big amount of money when the masses are suffering without no jobs for them.

[ZAINmalik75]

As a Nigerian am aware that annually the senate approves the national budget for the year. This budget drives development for infrastructure, Education, Health and Defence. The federal government also allocate funds to the state government monthly through the federation account allocation committee (FAAC).To cap it all there has been an appreciation in naira. But the price of commodities in the market are still high with traders holding onto the old prices,while in the transportation sector touts and security personnel are imposing taxes on the driver giving hike to transport fare and in the education sector,The University precisely which manipulate expenses like tuition and health services  which are free into the fees paid by students.There is also a case of landlords who increase their rent annually.
I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

The government is mainly responsible for the bad economy but they are not the only ones because people in government were also once one of us before they joined the government. Everyone is so determined to change the system and they even would join it for the sole purpose of changing their ways but after joining at a lower post with less authority, they came to realize the biggest mistake of their life because the system is rigged from bottom to top.

If you have a high authority and you can disobey direct orders to give special treatment to their relatives, friends or business partners, you will be dealt with strict punishments but I don't know about your country's system in deep but situation is almost the same everywhere, what you described is the universal way of government framework in every country but corruption is different. We might change it whole once we replace every employee with Gen Z who have to be honest.

[Rhow]

To know whether the government is responsible for a bad economy or not, a decision must be taken after observing a few things carefully. The government cannot be held solely responsible for the economy, but the government undoubtedly plays an important role. The government tries to control the entire economy. The government's monetary policy can have both positive and negative effects on the economy of a country.

The government's economy is deeply connected to these issues.

Monetary policy
Fiscal policy
Regulation and law

It would be wrong to blame the government for global influence because if the global influence is bad, the government cannot do anything. If the price of oil increases, the government cannot do anything. Even if a war starts somewhere, it is not under the control of the government.

Private sectors can also affect the economy in various ways, such as artificially increasing the price of goods. Again, when investment in this sector decreases, it will also affect the economy.

Moreover, the behavioral aspects of the public can also have a major negative impact on the economy. Especially if the public thinks that the government should pay taxes to them, their tax-related concerns can have a major impact on the country's economy.

[Davidvictorson]

I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

Before we think the government should be blamed, let’s look at the systems and structures that have already been in place. A good policy in a bad system cannot improve the economy of a nation. The system is what defines how people would react to the new policy and these systems have several different layers. So before we blame the government, let’s look at the old systems and structures already existing.

[Yeesha]

I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

Before we think the government should be blamed, let’s look at the systems and structures that have already been in place. A good policy in a bad system cannot improve the economy of a nation. The system is what defines how people would react to the new policy and these systems have several different layers. So before we blame the government, let’s look at the old systems and structures already existing.

The OP doesn't blame the government alone, from what he said, he the government administration has been corrupt for more than a decade now but the citizens unconsciously support this corruption. Citizens also contribute a lot to the situation that we are facing now, all these things are happening as a result of greediness and selfishness, how much do they stand to gain after destroying the lives of their fellow brothers and sisters. The world is full of surprises to the extent that the poors are the ones poisoning their fellow members. We must maintain peace, stand in unity in order to achieve progress and success which will serve as the growth and development of our societies, communities, nations, countries and the world at large.

[goldkingcoiner]

As a Nigerian am aware that annually the senate approves the national budget for the year. This budget drives development for infrastructure, Education, Health and Defence. The federal government also allocate funds to the state government monthly through the federation account allocation committee (FAAC).To cap it all there has been an appreciation in naira. But the price of commodities in the market are still high with traders holding onto the old prices,while in the transportation sector touts and security personnel are imposing taxes on the driver giving hike to transport fare and in the education sector,The University precisely which manipulate expenses like tuition and health services  which are free into the fees paid by students.There is also a case of landlords who increase their rent annually.
I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

We, the people, are the ones who vote incompetent people into the government in the first place. So really it might just be out fault that things turn out the way we do. There are too many uneducated voters who are given the right to influence such major decisions. If anything, If it were up to me, I doubt anyone besides degree holders should be allowed to vote.

But that is not the way the world works, unfortunately.

[EFS]

The state prepares a budget every year, showing how they will spend the taxes they collect. The government manages that budget, so naturally they have the responsibility for economy. This is same for Nigeria and other democratic countries. If the budget is poorly planned or tax revenues aren't spent properly, there's no one else to blame than government.

The economy can deteriorate in extraordinary situations of course, such as wars, natural disasters, pandemics etc. In that case, bad economy is understandable. When everything is normal, whoever is governing the country is also responsible for the state of the economy. It's simple as that.

[Coyster]

I have read the OP and it is hard to understand where exactly the OP was going with all that. The government introduces and implements economic and fiscal policies for the nation, these policies either end up being positive or negative for the economy.

OP, what you are trying to explain is the domino effect of bad decisions from the government. Since Nigeria is the case study here, i'll stick with, the removal of fuel subsidy was a terrible decision, particularly because of the way it was handled. The high cost of transportation and also goods and services is the domino effect of that bad decision. Likewise, if the government implements excellent policies, you'd also experience the effects of that decision in your everyday life.

[slapper]

...we the citizens unconsciously support this corruption.

Is it unconscious? The trader who retained the old prices when naira appreciated would not be informed to do so by someone. He determined that what the person who purchases with him has no right to enjoy a macroeconomic of the improvement. And that is a choice.

The touts who charge drivers. The landlord increasing rent each year as it is natural law. The university folding the free services into the paid services since no one will check, no one will battle.

In Nigeria, corruption is not actually a government practice. It is a trend which repeats itself on all levels. The senator takes an equivalent out of the budget, the trader out of the consumer, the landlord out of the tenant. Everyone justifies it with the same logic which is basically "if I don't take, someone else will, and nobody is coming to save me anyway."

The budget might be ideal. FAAC might be perfect. Wouldn't matter. Since the individuals who charge ground level costs have already factored in the cost that the system does not reward fairness, it penalizes it. So they act like that and act both fairly that you even cannot fault them completely since they are acting under actual circumstances.

The trust deficit did not arise by the government. They simply rationalized it.

[kawetsriyanto]

Before we think the government should be blamed, let’s look at the systems and structures that have already been in place. A good policy in a bad system cannot improve the economy of a nation. The system is what defines how people would react to the new policy and these systems have several different layers. So before we blame the government, let’s look at the old systems and structures already existing.

Who create the system and run the system? It is the government itself. If the system isn't quite effective to improve the economy in the country, the government must change or correct it. If they keep using the bad system, it means they let the bad economy happening in the country. Those people who are elected to hold power in government, they are demanded to change the bad system. So, the economy in a country can be better with a new system. Unfortunately, in some countries, the government doesn't care with the system, they only focus on what sectors they can corrupt. This happens in my country.

[Cgrexp]

How good or bad that the economy of a country is, wholly depends on the government's fiscal policies, interest rate, job creation, employment and unemployment rate in that country and rate of manufacturing or  production of that particular country. If the government is doing what is needed of them that particular country will definitely have a healthy economy, minus inflation that is transitory.

Although it's not completely dependent on government but the truth is that the government does have a major role to play, or should I say the most role to play, That is why I can agree that if the government failed in its own responsible, it will seriously affect the country and its economy, thereby hindering growth and development in the most possible way. But we need to also understand also that the citizens also have another vital role to play and the same thing might also happen if they also fail to perform their own responsibilities too.

Citizens have no role to play unless the government did the right thing because if the comment did not do the right thing how can the Citizens know which way to go. The government have a bigger role to play when it comes to economy, it is their responsibility to make sure the economy of the Nation stabilize so that the Citizens can enjoy their activities, and when all these are done that is when the citizen have a bigger rot to play too. The Citizens hand is short that is why they have limitation of where they can do things even though the economy is bad, before the attention of government is called.

I think that the government is not the only one responsible for the bad economy. The citizens of the country are also responsible for this. However, I think the government is more responsible. Because the people alone cannot change the economy of a country. The government needs to take various effective steps to change the economic situation. Especially by eliminating unemployment and increasing the employment of citizens. And the reason why citizens are called responsible for the bad state of the economy is that there are many citizens who do not want to do any work or are lazy. They cannot play any role in the development of the country's economy. Therefore, the government should create employment for working citizens. And citizens should help in the economic development of the country through their own work. If the government alone wants to, it will never be able to change the economy of the country. Again, even if the citizens alone want to, they cannot. Therefore, only if the government and the citizens can work together with initiative, then the change or development of the country's economy is possible.

[Cryptoprincess101]

Traders cannot maintain a fixed price when the currency keeps being manipulated all the time and that is the reason why some traders don't reduce the price of their goods even when the currency is gaining strength. If it were to be a situation where the currency will remain stable in the long term it would have been a good decision for government to moderate prices. You cannot also expect a transporter to maintain a fixed price when the price of petroleum products keeps increasing and when it reduces, not long again the price starts experiencing hike. About tenancy, let us be sincere, building materials are expensive so you don't expect someone who built a house for business to reduce the price of rentage and apart from building material being expensive, since it is a business, they will increase the price to be able to earn a living from it since stuffs for livelihood are expensive in the market. Everything revolves around the government so most of the time, it is the fault of the government because in a good economy, it is easy to moderate and regulate the price of goods and services.

[Cheema02]

I totally think that the government is responsible for the bad economy in the country,  because firstly the government itself is a corrupt institution, so everything circles around the government. Firstly most of the money allocated to the government are not put to the right use, but rather they keep most of the money for themselves.
Talking about the citizens also contributing to it, I think it's the government duty to put a stop to it. The government can not put this things a stop, because they are also corrupt and their is no way a corrupt government will change a corrupt system.  The citizens are wrong by increasing things unnecessary when the price of naira has appreciated,  but the government are not interested in it, because they are busy looting their money and don't care about the citizens and are not ready to do anything to improve the lives of the citizens.

Your point is very valid and its true that majority people puts all responsibilities of there economics all and all on government political leadership. And main reason behinds it is that the elected persons of government start to ignore public trusted and promote to corruption so in this situation the infrastructure of country declines and unemployment increases so government not able to properly controls policies due to low budget and useless economic plannings. But it the same time ordinary citizen paying taxes fairly run there local business properly so the main reason behinds collapse is corruption and if its controlled stricktly then country improves faster than faster and also citizen put more efforts for there country's progress. No doubt your criticism on governmental polices is right but for progress fair government and responsive public both are complsary.

[Sammye3]

The government has a major role to play when the economy of a country is bad, and that could be seen in all sectors. If there could be provision of job opportunities or a monetary fund for the less privileges, there would be no situations of touts on the road. The educational system should be the foundation of a good economy and that is an issue in the country.

[DYOR+BTC]

The government has a major role to play when the economy of a country is bad, and that could be seen in all sectors. If there could be provision of job opportunities or a monetary fund for the less privileges, there would be no situations of touts on the road. The educational system should be the foundation of a good economy and that is an issue in the country.

Everybody in the society has there own duties to perform in every society and that of the government is the provide a habitable environment for the survival of the citizens in the country. At times most government finds ways of challenging there duties to citizens by
showing complete negligence in what they are supposed to do at the right time therefore contributing to the complete downfall of the country's economy that is supposed to be there number one priority

[Faisal2202]

As a Nigerian am aware that annually the senate approves the national budget for the year. This budget drives development for infrastructure, Education, Health and Defence. The federal government also allocate funds to the state government monthly through the federation account allocation committee (FAAC).To cap it all there has been an appreciation in naira. But the price of commodities in the market are still high with traders holding onto the old prices,while in the transportation sector touts and security personnel are imposing taxes on the driver giving hike to transport fare and in the education sector,The University precisely which manipulate expenses like tuition and health services  which are free into the fees paid by students.There is also a case of landlords who increase their rent annually.
I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

I can't agree more with you, the situation is the same everywhere. Especially in developing countries, the worst thing is when they take a loan and engage in corruption, they are so dishonest with their country that they only care about money and don't care about the well-being of the country and its citizens. They don't know the money they are using is not beneficial to them as it could be to the whole country, they are looking at the short-term benefit to themselves, while if they had used that money for the development of the country with honesty, the outcomes would have made them rich too.

But they are being taught and motivated by other older ones sitting before them in their seats and this is like a cycle that will repeat until more than one or two people want to change it. But the kind of money is involved and once they taste the luxury, the becomes addict of taking bribes and doing corruption because they can't make the same kind of money for their luxurious life with honesty.

[LogitechMouse]

Re: Is Government Responsible For Bad Economy?

Yes, and no. The government has a role in the economy, but there are some factors where the government can't even control, and those factors could have an effect towards the economy of the country.

Why yes?
- We know that they're the ones responsible for the policy decisions such as the taxes, interest rates, government spending, business growth, jobs and inflation. If the government has poor decisions on just a few of these, that could slow the growth of the country.
- Managing the economy is one of the responsibilities of the government as well, and if they don't know how to stabilize the economy during the crisis just like what we are experiencing right now, things could get worse and the economy could get worse than what they are before.

Why no?
- Global events. Right now, we are seeing a war between 3 countries, and this can't be controlled by the government. All of the countries are getting affected in different ways, and the best thing that they can do is to mitigate the negative effects.
- Unexpected events. Events like the Pandemic, the current war as well or natural disasters. These are events that can't control by the government, but it could affect the economy of a country as well.

[justdimin]

I know the Government administration has been corrupt for more than a decade now but we the citizens unconsciously support this corruption.

Before we think the government should be blamed, let’s look at the systems and structures that have already been in place. A good policy in a bad system cannot improve the economy of a nation. The system is what defines how people would react to the new policy and these systems have several different layers. So before we blame the government, let’s look at the old systems and structures already existing.

I don't understand what you are trying to say here. How is the government not to be blamed if they are continuing with the system that isn't good? The government can make any changes they want, I know that it's not easy to change a complete system, but it's doable as long as they are willing to do it. It is going to take some time, and it is surely going to take a lot of efforts, but if government officials are corrupt and are mostly busy filling their own pockets and bank accounts instead of thinking of ways they can implement to bring a change in the system, nothing will happen.

If the government of a country decides that they will bring a change, and they start working on it, they can do it for sure. All it takes is a will to do something, if you start something, you will see that things will start to look easier once you have decided that you have to do it. It requires a lot of planning, a lot of work, but you can't convince me that a government cannot change the system if they want, it's just that they don't want it to change since it is good enough for them, and they are getting anything they want, and they don't care about the country or the people because once they retire, they will go somewhere else and enjoy their whole life with the money they have collected while they were in power.

[junder]

We, the people, are the ones who vote incompetent people into the government in the first place. So really it might just be out fault that things turn out the way we do. There are too many uneducated voters who are given the right to influence such major decisions. If anything, If it were up to me, I doubt anyone besides degree holders should be allowed to vote.

But that is not the way the world works, unfortunately.

Sometimes this conflict occurs when the performance of the government is poor while during the election period we are very confident that the one we choose will give the best, but it is not entirely the fault of the election of the community as well because there can be changes that occur in everyone especially when faced with money or benefits that usually the government will become greedy and selfish because they feel they are in a situation that can be utilized in the wrong mindset because if with the right mindset they will continue to carry out their duties as much as possible and are not selfish.