The future government should pay attention to investing in machinery
According to Sarzayem, if we are to pursue economic growth and production prosperity, we must pay more attention to investing in machinery than investing in housing, and value it.
According to the International Iranian Stone Exhibition, economist Ali Sarzaeem says: Iran's economy is facing many problems; Inflation, sanctions, low economic growth, monetary policy, etc. Meanwhile, some are looking for short-term solutions to create better conditions for the Iranian economy.
"Some people believe that a boom in the housing sector will lead to a boom in the economy as a whole," says Sarzaim. This is very appealing to politicians; Because it is very difficult to improve the situation of the people and strengthen the competitiveness of Iran's economy in the world economy, and if a simple way can be found that does not bother hard work, but leads to a similar result of prosperity, politicians will certainly welcome it. Politicians think that a shortcut to prosperity can be found by boosting the housing sector. That is why the banking system is being pressured to offer mortgages and home loans at preferential rates and long repayment periods, then the economy will move straight to recovery.
"But this view is very wrong," he said. The well-being of societies is largely determined by their competitiveness in the product market and in the global competitive market. The more competitive a country's economy is, the better it can produce goods at cheaper prices, the greater the well-being of its people. Of course, competitiveness also has principles that must be considered.
Sarzaeem emphasizes: The growth caused by investment in the construction sector, such as housing, factories, roads, bridges, etc., creates less growth than investment in the machinery sector. If we are to pursue economic growth and production prosperity, we must pay more attention to and value investment in machinery than investment in housing.
"We have to accept the realities of the world economy, economics and development," he said. There is no shortcut to development; In order to achieve prosperity, one should not look for short-term solutions such as housing prosperity, etc .; We must take industry seriously for growth and production; Consider economic variables, especially macroeconomics. The future government must also pay attention to these principles.
Sarzaim emphasizes: Those who dream of economic prosperity, instead of pressuring the bank to pay the facilities to the housing sector, wait for the industrial enterprises to be caught in working capital. Perhaps through industrial development, the country's economy will see prosperity and sustainable growth.
