Decentralized Economy Based on the CooperativeSystem
by Ac. Tadbhavananda Avt.The biggest problem the undeveloped and developing countries face is how toeradicate the poverty and starvation of their people. The developed countrieshave to some extent succeeded in providing the minimum guarantees of life byproviding a measure of purchasing capacity. But still most people even there arefacing chronic social insecurity. The cause behind the poverty of the poor countries and the social insecurity of developed countries is that all existingeconomic systems are centralized structures. In the rich countries the economyis monopolized by a few individuals, whereas in the communist world the stateowned everything. Such centralized systems are characterized by ominiouscontradictions, and cannot eliminate either chronic insecurity or outright poverty.It seems that people are not psychologically related with such exploitativesystems. Therefore it will not be possible to eradicate economic disparity andsocial insecurity within a centralized framework. There is only one way to stopchronic economic exploitation and elevate the living standard of the people. Thatis to implement the policy of decentralized economy in all sectors of theeconomy. Proper planning cannot be carried out while sitting and resting in theaffluent capitals of the world. Rather, economic planning should be prepared frombottom to top. From the bottom level the experiences, expertise and knowledgeof the local people can be harnessed for the benefit of all members of the socio-economic unit.All kinds of effective economic structures can be built up on the basis of a Proutdecentralized economy. The decentralized economic pyramid will consist of apublic sector, a dominating cooperative sector, and a small scale sector. Thepublic sector will be responsible for for raw materials, energy, heavy capitalgoods, public transport, defense, etc. Prout proposes that the public sector becontrolled directly by the immediate governmentor any autonomous board. Thiseconomic structure will produce primary material for the other sectors to process.In the cooperative sector large scale consumption goods, light engineeringgoods, large scale agriculture products, etc. will be produced. The small scalesector will consist of proprietorships, partnerships, and small scale agruculturemanagement.Decentralized eocnomies form the main economic plank in Prout and will be oneof the principal reasons for the success of the cooperative system. Indeed,cooperatives are the force that will be able to compete with the capitalistmonopolization of local markets. Their agenda will include promoting the right of the local people to control the indigenous raw materials. In addition, people willnot search for a job, rather the job will search for them. The production anddistribution of large scale consumption goods will also be organized by the
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