The relevance of Neo-liberalism by drawing evidence from the current state of covid-19 pandemic in Bangladesh || Econometry

Neoliberalism is an economic and political ideology associated with laisezz-faire economic liberalism and free market capitalism. It is actually restatement of classical liberalism plus something else. In the modern capitalistic world many developed countries like UK, Netherlands follow neoliberalism. 

So if we see what neoliberalism focuses, we find economic liberalization, privatization,deregulation, globalization, free trade, austerity, reductions in government spendings. 

   

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Neoliberalism was running very well until the corona virus rises . We find a changed world in this corona pandemic situation. 

Empty streets, closed shops, clear skies such unusual scenario all over the world. The news about economy is alarming and the situation has triggered the economic contraction in the history of capitalism. If  we look at the situation of our country, we find thousands of workers became unemployed and many of businesses are in debt situation  because they lost employees, customers, suppliers . 

So that  private sectors and businesses ,media beg for government spending. And that’s how neoliberalism  faces problem and can’t work properly. 

    

Government measures to fight covid-19 : Is it enough?

 

The government of Bangladesh has  created  a haphazard situation to deal with the covid –19 crisis. That is the reason  why it could not take steps in time. Situation is getting worse. Our government did not announce total lockdown around the country for a certain period . Government announced a general closing which have promoted a huge movement of the people from cities to the locality enhancing the risk of community level contagion of the virus.

Before investigating, we better partition the job of government in two manner parts. One is the 'regulatory job' and another is the 'medicinal services framework the board job'. 

In regulatory job, the administration's reaction is way better contrasted with the legislatures of China and Italy. Bangladesh government forced lock down in generally speaking Bangladesh. Practically all kind of government organizations are on the ground to keep places empty and spread mindfulness among individuals; even the legislature didn't spare a moment to convey military to monitor the emergency. 

Bangladesh government opened complementary hotline. Government authorities are gathering data about remote returnees and attempting their best to get them isolate. Best of all, Bangladesh government shut pretty much every official, instructive, modern establishment for 15 days to maintain a strategic distance from open social occasion. 

Government's medicinal services the executives job is very sketchy. Specialists and medical clinic stuffs are not getting enough insurance hardware, yet it is accounted for that some administration authorities are utilizing PPE in their work place. In spite of the fact that such assets are restricted, yet the appropriation is unreasonable. 

Government medical clinics need more offices to battle against COVID-19 on the off chance that it scopes to a pandemic stage in Bangladesh, yet at the same time for certain reasons the administration doesn't permit private emergency clinics to lock in the early stage. Coronavirus quiet distinguishing proof is constrained in posing inquiry and testing internal heat level just, in allowed government emergency clinics and associations, rather testing through clinical packs. Costs of each kind of musk, hand sanitiser and related merchandise are soaring including kitchen products, however doesn't appear as though government is happy to control. 

The administration has parts to do if there should arise an occurrence of COVID-19 administration; following government's present condition in COVID-19 administration, Bangladesh isn't prepared at this point to battle against it on the off chance that it compasses to the scourge level.

From  the above situation  what we can see, private  sectors like garments, media, industries need government spending. But neoliberal perspective does not support this. 

Neoliberalism refers increased global connectivity. Neoliberalism explains that there are three things which are responsible for poor economic growth . 

These are :

• Government Regulation
• Huge public spending
• High tariff barrier to international trade   

Neoliberal thinkers gave solution of this problem and that is free market and free trade economic model. And this should be applied in both domestic and international market. 

If we see  Uk , how they take actions against covid 19 ,we find they go for herd immunity strategy. Even Netherlands  also follow this strategy instead of doing vast testing and implementing social distance. For this strategy covid 19 virus spreads more in Uk . But their target was let the virus spread among people who are at low risk because the mortality rate of this virus is low. So many people named this herd immunity strategy  as epidemiological neoliberalism. 

So can  we advise Bangladesh  to go for herd immunity strategy? 

Apparently  Bangladesh government and other actors go for  temporarily closed for educational institutions but open market, job, shopping malls ,banks, restaurants  at a limited range. These mean the developing countries like Bangladesh can not  go for lockdown  strategy  for long time. Instead of  going lockdown  system Bangladesh government kind of following  the herd immunity strategy. But this causes a huge problem in Bangladesh because of the health care systems and lack of icu  and less medical equipments. Because of the huge number of affected people there are less number of hospitals which will create mass problem and for these Bangladesh will suffer more. Besides, we also need to look at economical condition. If we follow the lockdown  strategy we must  fall down in economy and as a third world country it is impossible  running a country without economic activities. So Bangladesh need to run the economic activities so the  temporarily closed operation must be quitted.  

Countries like Bangladesh face  problems both in lockdown and herd immunity strategy. But the herd immunity system may help to overcome economic fall down. We have to perceive, in a neoliberal monetary worldview, that the dollar directs, chooses, and characterizes good and bad. We have to recognize that the Bangladeshi economy, and policymaking by and large, works under the neoliberal financial ethos. 

COVID-19 is the side effect, yet late-stage extractive private enterprise is the genuine infection unleashing devastation in biological and otherworldly domains of human advancement. 

So the epidemiological neoliberalism is the way  to solve problems.

Author :

Praggo Talukder
Department of Development Studies 
University of Dhaka