Open AccessSome Reflections on Income Redistributive Intermediation in Pakistan
Author(s) -
Abdur Chowdhury
Publication year - 1969
Publication title -
pakistan development review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.154
H-Index - 26
ISSN - 0030-9729
DOI - 10.30541/v9i2pp.95-110
Subject(s) - intermediation , redistribution (election) , financial intermediary , incentive , economics , revenue , redistribution of income and wealth , monetary economics , market economy , financial system , finance , microeconomics , public good , politics , political science , law
Mobilization of domestic saving for economic development maybe attempted by alternative methods, namely, through taxation and publicrevenue surplus, through higher incentives to savers and financialintermediation, and through income redistribution in favour of sectorswhich are provided high incentives to save and invest. In view of thelack of an active financial sector, fiscal weaknesses and other marketimperfections, Pakistan primarily depended on the last strategy tomobilize domestic saving. This paper elucidates the mechanics of thisstrategy and some of its effects on sectoral resource transfer,aggregate savings, financial intermediation and resourceallocation.