InternationalInternational Economics

The problem of poverty and inequality could not be solved by equal and universal payment of subsidies


According to Fars News Agency, the seventh scientific presentation of the conference on democratization of economics and resistance economy entitled the role of people in the fair distribution of subsidies with the presence of Ali Mostafavi Sani, researcher at Imam Sadegh University Development Center in a webinar hosted by the Institute of Islamic Studies in Humanities Ferdowsi University of Mashhad was held.

At the beginning, Mostafavi stated that the main questions of the meeting were the role of the people in the fair distribution of subsidies and the position of the people in the mechanism of distributing subsidies, and said: Next to the time dimension, the variable, the distribution, and the result must be clear and codified.

He added: “According to the theory of universal basic income, some economists believe in the distribution of cash, equal, unconditional and universal subsidies and do not recommend the existence of various types of subsidies in society.” The philosophical foundations of this thinking are the homogeneity of all human beings and their similarity in terms of needs and the lack of need to recognize differences, and therefore with a lack of total balance, They prescribe a single intervention and obviously consider cash payment to be the best solution.

He described the logic of governance based on this theory as grammatical, controllable, one-sided, rule-oriented, linear process, content-focused, and with clear goals, and said: Equal and universal cash payment in the country since 2010 could not solve the problem of poverty and inequality.

Mostafavi considered simplification of issues as a feature of the government institution and said: “This feature of the government, along with the nature of government management, has led to the simple solution of paying cash as a subsidy.” Therefore, it is difficult to change the way we look at the distribution of subsidies.

He added: “The effective way to distribute subsidies and increase the role of people in this process is through the role of third parties such as charities and intermediaries. Institutional design is also essential for the role of people in this modern social knowledge-based approach.

The researcher of Imam Sadegh (AS) University Development Center said that this approach is necessary to implement the logic of network governance and said: the need to pay attention to different actors and interact with them, multilateralism, focus on interactions, use of changeable processes, recognition of complexity Subjects, multi-issues and multi-objectives, and learning through practice and experience are the hallmarks of this logic of governance.

Mostafavi said: “Subsidies are a tool for building society and should be used to move society, and the view of subsidies from this perspective is different from the view that gives people the responsibility to spend subsidies.”

He added: “When we mention subsidies as a tool of social construction, we need institutional designs that are accompanied by people’s participation and increasing their role in this axis.” Issues such as encouraging the use of public transportation, science and technology parks, building schools, and the like are of this kind and with positive public intervention.

Referring to the discussions about the preferred currency in the country, Mostafavi said: “In the issue of preferred currency, the quality of granting this currency is much more important than removing or changing its form.” Therefore, any intervention in the payment of subsidies should be decided by examining all aspects and consequences and based on the heterogeneity of goods, and by studying these aspects, we may reach a multidimensional solution in allocating, eliminating or changing the preferred currency.

At the end of the meeting, questions and answers were held in the presence of guests.

The final event of the conference on democratization of economics and resistance economics will be held by the Research Institute of Islamic Sciences in Humanities of Ferdowsi University of Mashhad in February, 1400. Due to the planners of this conference, a series of thematic presentations will be held alternately until the final event with the presence of related thinkers and activists.

The webinar held at the following e-mail address is available to researchers:

https://vroom.um.ac.ir/plq9m95ijdf3

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