Limitations of Government

Adam Smith in his book ‘Wealth of Nations (1776)’ argued that “Government being an elephant can’t fly at all”. He did not argue that government does a poor job in running the economy. He argued that Government, by its very nature, cannot run the economy, not even poorly. This is relevant about what PM Dr. Manmohan singh told in his first formal media interaction since a series of scandals rocked his government late last year.

At least three times during his hour long interaction, the PM lamented on “Compromises” which are unavoidable in running a coalition. He also admitted there were many things that didn’t go with his outlook. “The things are not entirely the way I’d like them to be" , Singh said at one point. We now understand why there are some things government by its very essence, cannot do. And even for the thing government can do, conditions must be right.

First limitation of the UPA government is that it is not corporate house. Because on his performance PM said that if he get seven out of ten decisions correct, the shareholders of any corporation would say: Good job. Since UPA is a Government we know that whatever government does always become “morality “. No longer is it viewed as “economic” as one alternative use scarce resources of people and money.

Second, coalition government. UPA-II is the jumbo alliance of the congress, DMK, NCP, Trinmool Congress etc. Running a coalition government is very difficult exercise. PM openly blamed coalition dharma. He said that no one should doubt that he was conscious of his responsibilities. But he had some compulsions. It is very difficult to fulfill interest of the each coalition partner and which become ultimately hurdle for the decision making process.

Third, Political pressures. Government can do well only if there are no political pressure. There are pressures from inside and outside the government. Manmohansingh government is pressurized by opposition on the issue of corruption. Coalition partners also creating intra governmental pressure. And overall loss of the Congress party on the ground of morality is not conducive for governance.

Lastly role and responsibilities of the PM. Opposition says that PM is puppet in the hands of UPA chairperson. No doubt Manmohansigh is playing crucial role as PM on national and international dais. But still he is not clear about his responsibilities because he didn’t have the elbow room to select many of his ministers. Hence he is captain of the team with enforced team members but not of his choice.

However it is good start by Manmohansingh to accept the limitations of the government with courage. As Albert Einstein’s quote “Once we accept our limits, we go beyond them.” Hence definitely now responsibilities of each stakeholder of democracy is increasing to overcome the limitations of the Government.