There’s no room for dilettantes

Over 2,000 students have just graduated and celebrated in style the achievements that they deserved.

For every student, the graduation ceremony is the culmination of a journey, generally commenced a number of years earlier. The ceremony and the relevant degree should not, however, be regarded as the end of one’s study and research voyage. Instead, it should be regarded as the starting point of one’s academic and professional journey.

The challenge that faces politicians is to make sustainable suggestions within the financial parameters- Hermann Schiavone

My experience is that the more I read and researched during the past five years, the more I realised how little I knew about the field of political science and electoral systems. No academic qualification provides one with the entire knowledge of a particular subject. There are, however, basic concepts that one gets a grasp of while conducting research. There are some fundamental concepts in every field that a professional is expected to be conversant with.

The Leader of the Opposition, Joseph Muscat, was awarded a doctorate from Bristol University after conducting economics research. As an economist, Dr Muscat is abreast of the basic concepts of economics. His grasp of the subject is beyond question.

Needless to say, the Labour machine has been flaunting their leader’s acumen since he was elected. However, some of his statements leave me flabbergasted. Their gist or, rather, what they imply seem reminiscent of a dilettante rather than a well-read economist.

I found it strange, for instance, when during his reply to the Budget speech Dr Muscat threw 51 proposals with no indication of their financial implications. The list seemed a cheap shot akin to an elementary wish list on how to address the country’s challenges, albeit only some of them.

Dr Muscat’s pledges are very worrying. Here is a man aiming to steer the country in perhaps the worst economic moment since the Great Depression. Let’s look at his most prominent promise, that of reducing the water and electricity rates for everyone whatever the circumstances.

As an economist, Dr Muscat knows very well that he cannot keep his pledge. How can he commit himself to cutting the utility tariffs without knowing the future price of oil? Alfred Sant’s populist promise of removing VAT rings a bell here.

Dr Muscat’s wish list smacks of superficiality. If he manages to sell the idea to the electorate, Malta’s finances may be severely compromised.

The Leader of the Opposition is tossing proposals as if he were operating in a country with unlimited resources. Anyone can propose measures to fatten people’s bank accounts just like anyone can suggest rampant tax cuts.

If one were not faced with financial constraints one could make not 51 but hundreds or indeed thousands of similar proposals. Unfortunately, that is not the world we live in. In the real world, resources are scarce.

The challenge that faces politicians is to make sustainable suggestions within the financial parameters. This is where Dr Muscat is failing. He is presenting the electorate with an unsustainable wish list rather than sustainable proposals.

Unsurprisingly, numerous political, financial and economic observers labelled his two-hour long Budget speech as superficial as he offered only simplistic solutions to the problems and challenges that Malta is facing.

Dr Muscat’s 51 proposals appear to be simply a populist election gimmick. He is conveniently making vague statements, suggesting policies that are already being carried out by this government and throwing costly proposals without putting a price tag.

This is not the sort of behaviour one expects from an educated economist or, indeed, an honest politician. This attitude is associated more with maverick politicians who are only interested in winning elections.

The months ahead will be tough and challenging. They require a focused and a competent leader to steer us through the bumpy road. There is definitely no room for dilettantes.

I wish to take this opportunity to wish the editor, staff and all readers a happy Christmas.

info@schiavone.com.mt