Nov 8, 2013

Why do cartels and syndicates persist in Nepal?


Anti-competitive practices such as syndicates, cartels, price-fixing are prevalent in almost every sector of Nepalese economy. Transport sector seems to be the most affected by syndicates and cartels. General public have not only been paying premium prices for sub-par transportation services but they have also been exposed to higher risks during their travels as they are forced to travel in decades old vehicles. This has resulted in unusually high death rates due to road accidents in Nepal. Although the Supreme Court has already declared cartels illegal, the government has not bothered to enforce the decision. Similarly, other sectors of the economy like education in the service sector is also facing anti-competitive prices mainly due to collusive price fixing. Many people, especially the socialists point out to syndicates and cartels and condemn the liberalization efforts of 1990s implying that they are the results of free market economy.

But is it true? What are the causes behind these anti-competitive practices in Nepal? Why do they  persist and why does not the government make efforts to tackle such practices? Who is benefiting from these practices? My colleagues at Samriddhi, The Prosperity Foundation have tried to answer these questions by analyzing the anti-competitive practices in five sectors of Nepalese economy, namely hydropower, education, agriculture, transport and tourism. Please go through the paper and let us know what you think of the paper. Please feel free to add your opinion and information in the comments below.

Nov 7, 2013

जुजुमानका साहसिक कार्यहरु - भाग ३६ (हरुवाको नियम)


अर्थशार्त्री केन स्कुल्ल्यान्डद्वारा लिखित, नेपाली भाषा सहित गरेर विश्वका ४७ भाषामा अनुवाद भैसकेको "दि एड्भेन्चरस अफ जनाथन गलिबल : अ फ्री मार्केट ओडीसी" नामक पुस्तकको नेपाली अनुवादको पोड्कास्ट्को यस ३६औं भागमा जुजुमान् क्रोम्पो टापूको एउटा एकदमै चर्चित खेल हेर्न पुग्छन् । त्यो खेल एउटा कुस्ती प्रतियोगिता हो । तर  यसमा एउटा नौलो कुरा चै के छ भने यस खेल मा जित्ने ले मात्र नभै हार्नेले पनि पुरस्कार जित्छ । साथै हार्ने प्रतियोगीले जिन्दगी भर काम गर्नु पर्दैन । 

किन त्यस खेल मा हार्नेले पनि पुरस्कार पाउँदो रहेछ त ? अनि झन हार्ने मान्छेले चै जिन्दगी भर काम गर्नु नपर्ने ? किन त्यस्तो अचम्मको नियम ? जान्नको लागि तलको पोड्कास्ट सुन्नुहोला ।  सुनेर प्रतिकृया पनि  दिनुहोला ।  

पोड्कास्ट सुन्नका लागि तल क्लिक गर्नुहोस ।


पोड्कास्ट डाउनलोड गर्नका लागि तल क्लिक गर्नुहोला।


यस पोड्कास्टका अरु अङ्क सुन्नको लागि तल क्लिक गर्नु होला ।

Nov 6, 2013

जुजुमानका साहसिक कार्यहरु - भाग ३५ (महान अन्वेषक)


अर्थशार्त्री केन स्कुल्ल्यान्डद्वारा लिखित, नेपाली भाषा सहित गरेर विश्वका ४७ भाषामा अनुवाद भैसकेको "दि एड्भेन्चरस अफ जनाथन गलिबल : अ फ्री मार्केट ओडीसी" नामक पुस्तकको नेपाली अनुवादको पोड्कास्ट्को यस ३५औं  भागमा जुजुमानलाई डुबी र जमुनाले उनिहरुको महान अन्वेषककोमा लिएर जान्छन ।  जुजुमानले उनिहरुलाई प्रश्नै प्रश्न सोधेर हैरान पारे पछी उनिहरुले त्यसो गरेका हुन ।  ती महान अन्वेषकले मानिसहरुलाई  "शान्ती नै युद्ध हो, बुद्धी अज्ञानता हो, स्वतन्त्रता दासत्व हो" भनेर सिकाउँदा रहेछन ।  मानिस हरुचै विना कुनै प्रश्न उनले भनेको मान्दा रहेछन । तर हाम्रो जुजुमान चानचुने मानिस होईनन । उनले महान अन्वेषकलाई पनि प्रश्न गर्दी हाल्छन ।  

ती महान अन्वेषकले किन त्यसो भनेका रहेछन ? अनि जुजुमानको प्रश्न को जवाफ उनले कसरी दिन्छन त ? जान्नको लागि तलको पोड्कास्ट सुन्नुहोला ।  सुनेर प्रतिकृया पनि  दिनुहोला ।

पोड्कास्ट सुन्नका लागि तल क्लिक गर्नुहोस ।


पोड्कास्ट डाउनलोड गर्नका लागि तल क्लिक गर्नुहोला।


यस पोड्कास्टका अरु अङ्क सुन्नको लागि तल क्लिक गर्नु होला ।

Doing Business in Nepal : Ground Realities


Since the economic reforms started in 1980s under the Structural Adjustment Program of IMF and World Bank, Nepal has endeavoured to follow an open and export-oriented economic model. Many restrictions on imports have been removed and custom duties have been reduced, the controls on foreign exchange also have been relaxed. Industrial licensing system has been reformed and foreign investment has been allowed in the country. Private sector has been recognized as one of the major pillars of the Nepalese economy. 

One of the major characteristics of a market economy is the freedom to enterprise which requires that there are no excessive regulations from the government. Studies have found that poor countries regulate their business the most and heavier regulations usually result in more inefficiency in public institutions with longer delays and higher costs along with higher unemployment, higher rates of corruption and less investment and productivity (World Bank, 2004). Nepal is not an exception despite adopting market friendly economic regime in the framework of economic liberalization with the objective of improving the competition and doing business scenario.

In the  Doing Business 2014: Understanding Regulations for Small and Medium-Size Enterprises report, Nepal has been ranked 105th out 189 countries with regards to ease of doing business. Nepalese enterprises seem to face additional problems and hurdles that are not covered in the report. Under the guidance of Dr. Dileep K. Adhikary, I have co-written a paper titled "Doing Business in Nepal: Ground Realities" with my colleague at Samriddhi, The Prosperity Foundation. I have tried to find out what kind of additional hurdles do business enterprises in Nepal face and what can be done about it. I would love your comments and feedback on the paper.


Nov 5, 2013

जुजुमानका साहसिक कार्यहरु - भाग ३४ (मेरीबेरिज)


अर्थशार्त्री केन स्कुल्ल्यान्डद्वारा लिखित, नेपाली भाषा सहित गरेर विश्वका ४७ भाषामा अनुवाद भैसकेको "दि एड्भेन्चरस अफ जनाथन गलिबल : अ फ्री मार्केट ओडीसी" नामक पुस्तकको नेपाली अनुवादको पोड्कास्ट्को यस ३४औं  भागमा जुजुमानको फेरी एक महिलासँग जम्काभेट हुन्छ ।  ति महिला अत्यन्त मोटी छिन र शरीरको धेरै भाग देखिने गरी लुगा लगाएकी छिन । उनले जुजुमानलाई सोध्छिन्, "के तिमी आनन्द लिन चाहन्छौं ?" जुजुमानलाई भने केहि समय पहिले भेटेका अनैतिक कार्य हेर्ने प्रहरीको याद आउँछ र ती महिलाको शरीर बाट आएको दुर्गन्धले गर्दा वाक्क आउला आउला जस्तो हुन्छ ।  

ती महिलाले कस्तो आनन्द को कुरा गरेकी रैछन त ? अनि जुजुमानले तीनीलाई के जवाफ दिन्छन त ? जान्नको लागि तलको पोड्कास्ट सुन्नुहोला ।  सुनेर प्रतिकृया पनि  दिनुहोला ।

पोड्कास्ट सुन्नका लागि तल क्लिक गर्नुहोस ।




पोड्कास्ट डाउनलोड गर्नका लागि तल क्लिक गर्नुहोला।


यस पोड्कास्टका अरु अङ्क सुन्नको लागि तल क्लिक गर्नु होला ।

Oct 31, 2013

जुजुमानका साहसिक कार्यहरु - भाग ३३ (अनैतिक कार्य)


अर्थशार्त्री केन स्कुल्ल्यान्डद्वारा लिखित, नेपाली भाषा सहित गरेर विश्वका ४७ भाषामा अनुवाद भैसकेको "दि एड्भेन्चरस अफ जनाथन गलिबल : अ फ्री मार्केट ओडीसी" नामक पुस्तकको नेपाली अनुवादको पोड्कास्ट्को यस ३३ औं भागमा जुजुमान बाटोमा एक्लै हिंडीरहेको बेलामा एउटी महिला सँग जम्काभेट हुन्छ । ति महिला अन्त्यन्त सजिएर बसेकी छन् र पुरुषहरुलाई केहि मागेको झैँ गरेर ईशारा गरिराखेकी छिन । ति महिला देहव्यापारी हुन् भनेर जुजुमानले पत्तै लगाउन सक्दैनन् । यस्तैमा एक भ्यान प्रहरी आएर  ति महिला र अर्की एउटी महिला लाई समातेर लैजान्छन् । प्रहरीलाई देखेर जुजुमानलाई आफो चोरिएको सामान को याद आऊछ र उनि प्रहरीको मा उजुरी हाल्न जान्छन । तर ती प्रहरी अचम्मका रहेछन । डकैती उनको विभाग अन्तर्गत पर्दैन रे।


डकैती चै किन उनको विभाग अन्तर्गत नपर्ने रहेछ? अनि उक्त महिलाहरुलाई उनले कुन आधारमा समातेका रहेछन ? जान्नको लागि तलको पोड्कास्ट सुन्नुहोला ।  सुनेर प्रतिकृया पनि  दिनुहोला ।

पोड्कास्ट सुन्नका लागि तल क्लिक गर्नुहोस ।



पोड्कास्ट डाउनलोड गर्नका लागि तल क्लिक गर्नुहोला।


यस पोड्कास्टका अरु अङ्क सुन्नको लागि तल क्लिक गर्नु होला ।

Oct 29, 2013

How are the public enterprises of Nepal doing?


Although huge state-owned enterprises are benchmark of any centrally planned economy, after second World War, numerous public enterprises emerged even in market economies of the West. The stated purpose of establishing these enterprises is to provide goods and services to citizens cheaply and in some cases provide goods and services that are not taken up by the private sector for lack of profit-making opportunities. In centrally planned economies, public enterprises were (and still are) considered essential to spearhead the economic growth and control the commanding heights of the economy. However, more often than not, public enterprises have failed. They have not only failed to achieve their objectives but usually have ended up being a drag on their economy.

Nepal too had created dozens of state-owned enterprises starting 1950s. But Nepalese public enterprises also have failed to meet their objectives and instead have become one of the most lucrative avenues for corruption and labor politics. A handful of these enterprises were privatized during the economic reforms of early 1990s. Today around 36 public enterprises are in operation, out of which, nearly every one of them is incurring losses. 

Why is the scenario so bleak? Why have our public enterprises failed and what can be done about it? Is privatization the only option or restructuring them can solve the problem? Which of the public enterprises are really essential for us? These are some of the questions, my colleagues at Samriddhi, The Prosperity Foundation have tried to answer in the following study. Please go through it and let us know if you have any comments or feedback.