Wednesday, November 10, 2010

Global recession and Recovery from it

Dear Readers,
The G-20 summit is going on in Seoul, South Korea, for finding solution for the global recession and making the currency stable and strong by by finding common arena of valuing the currency of each country. My suggestion to overcome the recession is the price control. The modern world is ruled by the industrialists and trading persons. This has to be changed and the real producer has to get the value depending upon the value of his product. The present industrialists are engaged in the profit making enterprises and never think of serving the community with their product. They artificially increase the value of their product and sell it for more prices than its actual cost of production. So any commodity has to be valued on the basis of their cost of production and not on the basis of the profit making enterprises. In order to regulate the urge of human being to make more money, the government has to intervene and make laws to regulate the prices of the commodity. Because any industry uses the raw material available in the Nature, which is equally deserved for other humans as well. Therefore every humans have equally access to these resources of Nature. It is not the sole property of the entrepreneur alone. He acquires his wealth by becoming an enterpriser and not by becoming the owner of the factory. The entrepreneur will get a salary depend upon his performance and work. This has to be the income for him and not the profit. The profit made by the company belongs to the public and it is the rightful share of the workers and they have the sole authority in determining the utilization of that fund.
If such situation of price control comes into effect, then the escalation of the prices according to the greediness of the entrepreneur will come to an end. In order to control the prices the government has to publish the prices of each commodity daily in the news paper and it remains the same for one week. During this time the village level officers will check the shops with in their jurisdiction to report any kind of irregularities. After one week the government may review the prices on the basis of the recommendation of the expert committees in each field. This will bring the recession down and the consumer will buy things more since it is cheaper. So the money is in the hands of industrialists now and ask them to pay back or to reduce the pricee of commodities and sell goods at the actual prices which include the cost of production and nominal profit.

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