Regulate the regulatory agencies

Steve Lyston, Contributor

In order to create more jobs, reduce poverty and give small businesses the opportunity to grow and be effective we need to look seriously at regulatory agencies.

Many times, regulatory agencies have been set up with a mandate stating they are protecting the poor, setting rates, protecting consumers as well as setting licence and compliance criteria by which organisations must legally operate.

But oftentimes, they are not set up in the interest of the 'small man'.

In fact, they are the biggest hindrance to economic growth.

It also hinders persons from coming forward with new ideas such as alternative methods and options for healing, communication, higher returns on investments as well as solutions for energy.

Regulatory organisations shut out small businesses and small business owners who desire to enter the market while they protect the big businesses and their owners from competition, even giving them exclusivity.

Within the airline industry, regardless of the season and the price of petrol, they can increase prices sometimes out of the reach of many of their customers.

This cripples small businesses causing lost opportunities for such organisations.

Lost opportunities have the potential to cause serious losses and bring failure and poverty.

Furthermore, the baggage fees being charged by most airlines when consumers have paid their hard-earned money for airfares, is without conscience.

There should not be a monopoly in telecommunications. It should be left wide open to attract healthy competition while offering nationals the opportunity to choose based on their needs.

Developing nations are often excluded from entering the markets of the First World and even from receiving the benefits other nations receive because of the imbalance evident in regulatory agencies.

They impose mandatory retooling and policy changes on the developing nations before they can enter the first world markets, and by the time they get these things done, these nations they have run out of funds and have lost valuable opportunities.

Regulatory issues have even affected the First World nations through zoning laws and other red tape and have stifled the small businesses.

In certain areas, faith-based organisations have been zoned out.

Faith-based organisations often provide jobs and help the community.

If there is to be change, growth and economic recovery, this issue must be addressed. Markets need to be opened so that prosperity can return and new players can enter.

Even in the area of real estate, there is too much red tape and there are too many problems - from the calculation of taxes to mortgage rates and building permits.

There is the need for the persons in the regulatory agencies who are unafraid to stand up and uphold the right - standing up for proper business practices and principles.

Things that can spur economic growth

Reform and regulate these agencies to deal with the economic challenges ahead.

For example, food, energy and the financial sector are critical areas that affect every individual, so reform and regulation will prevent serious food shortages.

It will also prevent market disasters and help manufacturing companies and small business to the benefit of the nation.

Remove duty and taxation from solar energy equipment and increase government investment into this area of energy so that low-income persons can afford to access solar energy for their homes.

Stringent measures must be put in place to monitor landlords who are charging exorbitant rental and leasing rates, so that low-income families can afford to have a place to stay, or a small business owner can lease office space and still run a business.

Real estate appraisal and evaluation companies need to be closely monitored to prevent abuse.

Small businesses should be given a three-year reprieve from paying certain taxes so that they have proper time to build a foundation and be successful to the benefit of the nation's economy.

High energy costs, high bank interest rates and so on can kill a business in the first year.

The economic changes that will be coming about will come through small businesses.

Therefore, we need more small business associations to be formed, especially for those small businesses operating for more than 30 years and for them to guide the young.

Steve Lyston is a biblical economics consultant and author of several books, including 'End Time Finance' and 'The New Millionaire'