Get Out

On 15th August 2007, the Burmese military junta imposed huge fuel prices without explanation and formal announcement. As diesel was doubled and petrol was put up by two-thirds, there had a large impact on the commodity prices and transportation costs. Four days later, the 88 Generation student leaders and pro-democracy activists staged a powerful demonstration against this fuel price hike and other mass protests followed through out the week. The protestors pointed out the economic mismanagement of the SPDC regime.

Although the military regime claimed as a Government of Burma after a brutal and bloody coup in 1988, it cannot play the required roles in an economy as a government. Government’s first role in an economy is to achieve macroeconomic and political stability. It can be done by establishing stable government institutions, a consistent economic framework and sound macroeconomic polices such as prudent government finances and low inflation. During the Regime’s administration period, the economic infrastructure was deteriorated with high inflation rates, high unemployment rates and unstable political situations. So it is clear that the military junta cannot fulfill its first role.

Government’s second role in an economy is to improve general microeconomic capacity of the economy by improving the efficiency and effectiveness of the general purpose inputs to business (i.e. an educated workforce, appropriate physical infrastructure, and accurate and timely economic information) and institutions that provide them. Under the SPDC regime, the educated workforce cannot get a suitable and reasonable job inside because most of the government senior and elite positions are only open to the relatives and friends of the military high-ranks and ex-military officers so that the brain-drain rates from Burma has become the highest in the region. Besides, the government cannot provide the reliable economic information and most of the businesses are monopolized by the government-back up companies. Setting up a private business is Burma is very costly due to the corruption and red-tape practices. So it is clear that the regime cannot improve the microeconomic capacity of the country and fulfill the second role as a government.

Government’s third role is to establish the overall macroeconomic rules and incentives governing competition that will encourage productivity growth. These include a competition policy enhancing rivalry, a tax system and intellectual property laws, a fair and efficient legal system, laws providing consumer recourse, corporate governing rules holding managers accountable for performance and an effective regulatory process promoting innovation rather than status quo. Since 1988, the regime had not established a fair and efficient legal system yet. A tax system is unreliable and innovation is never promoted. Instead of putting a proper competition policy, the regime gave the monopoly powers to the friends and families companies in most areas. So it can say that the Burmese military regime cannot fulfill the third role as a government.

Therefore, why should we accept this military regime to rule the country as a government?

All the People of Burma, including students, monks, soldiers, house-wives, civil Servants from all walks of life in Burma should come forward and stage the protests against the military regime.

The regime cannot fulfill the role as a government. So we all should say only one word.

“Get Out”

Khin Ma Ma Myo (24/08/2007)