STATE V/S MARKET

Neither the State is holy nor is the Market demon. It depends upon the premise on which is better.

The progress of the economy occurred gradually and in a step by step manner in which market was deprived and still played their roles in the various phases along with their fallacies. So, it depends upon the situation which one is better.

Earlier there was need of activities to earn wealth so in that era of economy, the dominant factor was the market and there was a need of liberalization. But these also lead to inequality, concentration of wealth and deterioration of welfare. So, the state became more important in just the later phase and the government had to nationalize the means of production for equal development.

But this system led to corruption, inefficiency and restricted international relation. Therefore a need was felt for the collaboration of both state and market and hence develop a middle path in which there would be development along with welfare.

Thus the market and state played important roles in various situations. So, there is need of both State and the market and a holistic approach is required for wealth along with welfare management. For this adoption of market friendly government policies is very essential along with development, liberalization and globalization. Again an international economic organization can be formed for the same. So the need of the hour is wealth along with development where the government and the market play important roles. There should be a intersection of market, state and people.

#Economics #Social