This is apropos a Business Recorder op-ed “Redefining Pakistan’s economy” carried by the newspaper on Wednesday. The writer, Jawad Majid Khan, deserves commendation for pointing out, among other things, that “Rent-seeking is so deeply embedded that the state’s ability to carry out critical functions such as ensuring effective regulation to prevent market failures and efficient delivery of goods and services has been considerably diminished.”
Rent-seeking often adversely affects market efficiencies and economic growth. In my view, cronyism and rent-seeking have become an integral part of the way our politicians do politics. Those in power are often found engaging themselves in the manipulation of public policy or economic conditions as a strategy for increasing their profits. In Pakistan, rent-seeking is more extensive or deeper; it is strongly characterized by a slew of illegal forms. Rent seekers here seek to gain wealth without any reciprocal contribution of productivity. Thus, the majority of our parliamentarians, among others, can be described as ‘rent seekers’, who will never allow this country to discover its true potential.
Anwarul Haq Qasmi (Karachi)
Copyright Business Recorder, 2023
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