Small businesses needs empowering, researcher says<\/p>\n
JAKARTA (JP): The government should empower small-scale
\nentrepreneurs to build a strong base for the nation's economy, a
\nscholar said yesterday.<\/p>\n
Cornelis LAY of the Yogyakarta-based Gadjah Mada University
\ntold a discussion titled Islam and Nationalism: The Present
\nReality and Future Portraits that inadequate attention had been
\npaid to small businesses.<\/p>\n
\"The lack of attention, from the economic point of view, is
\nnot because the sector has failed to give its real contribution
\nbut rather because it is difficult to measure its real
\ncontribution,\" he said.<\/p>\n
Cornelis said that as long as the methodology to measure
\neconomic progress or setbacks focuses on the aggregate economy,
\nthe small scale economy, which by nature is partisan and
\ninformal, would be disadvantaged.<\/p>\n
The Canada-trained political scientist said the so-called
\n\"people's economy\" would play a crucial political and social role
\nin the future.<\/p>\n
Cornelis cited how the expansion of the so-called \"black-
\nmarket economy\", which is largely controlled by small-scale
\nentrepreneurs in Jakarta \"has contributed immensely to overall
\nnational economic growth\".<\/p>\n
\"This sector has reportedly made a substantial contribution to
\nthe economy in Latin America,\" said Cornelis, who is also a
\nsocial studies researcher at the Inter-University Center at
\nGadjah Mada University.<\/p>\n
The members of the sector, according to Cornelis, fulfill five
\nfunctions; they are providers of recyclable materials, producers
\nof cheap goods, consumers of mass-produced articles, salespeople
\nand -- especially in Jakarta -- they make up a reservoir of cheap
\nlabor.<\/p>\n
Jakarta<\/p>\n
In Jakarta, the sector's presence is particularly demonstrated
\nby more than 400,000 scavengers.<\/p>\n
\"They have taken the position as suppliers for the formal
\nsector production process,\" Cornelis said. \"The 'fleet' of
\nscavengers has also made themselves the powerhouse for the
\nbillion-rupiah recycling business.\"<\/p>\n
\"By doing this they have also made themselves environmental
\nworkers.\"<\/p>\n
Touching on the issue of how nationalism could help empower
\nthe small-scale economy, Cornelis said: \"If we agree that
\ndiscrimination undermines nationalism, then we should eradicate
\nit. This should be realized by introducing policies which give
\nthe formal and informal sectors equal treatment.\"<\/p>\n
\"People's equal access to banking services, and other
\nimportant economic facilities, like locations to do business in
\nJakarta, are important,\" he said.<\/p>\n
Street vendors in Jakarta have often become victims of
\ngovernment policies and street hoodlums who get the backing of
\npowerful people in the bureaucracy. (aan)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/small-businesses-needs-empowering-researcher-says-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}