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January 28, 2022

Privatizations under any price?

Under the rule of law, public and private order coexist and stimulate each other through an organic equilibrium. Under the rule of law, the resistance of the state is based on the organic correlation and complementariness of properties, on the respect of the specificity of each of them. This is why the rule of law does not allow abuse and discrimination of any kind. But precisely this organic equilibrium, as a whole and in detail, is sacrificed in the periods of sudden transfer from one stage to another, in political and economic terms. After the socialist stage of the domination of state property, Romania suddenly jumped to the apology of the private property, thus sacrificing the equilibrium and organic correlation between the two forms of property. Precisely this sudden turn of situation contributed to ripping Romania through corruption, robbing the country of great natural riches and the endemic poverty of today.

Decades in the past, a reality like that of Romania, where 52 pc of children of school age (5-18) are subject to poverty more than anywhere in Europe, would have been associated to colonialism. Formally, colonialism disappeared after World War Two, but one of its consequences is present in the current stage. Although politicians of all orientations reject them, incriminate them, and this is the source of frequent accusations between parties. But when each of them takes the power, the respective party or coalition places its exponents at the top of state-controlled companies. But all of them are only political exponents, not prestigious professionals. In the absence of competent managing teams, the respective state companies decline and go bankrupt, and then both ruling politicians and the opposition make similar accusations against state property, but not against its poor management. This creates the first big crack in the structure of the Romanian society, when state property and the national unitary state is falsely accused of being the main cause of any kind of failure. The national state as a lightning rod is found in the mind and action of most of the present-day politicians in Romania.
Then, as reparatory measure, it is resorted to massive privatizations. But even this process is conducted under the same errors. In the sense that the privatization of a company, representative for a balanced economic structure, is made by ignoring the attributes of competence and continuity of the specific economic activity. By privatizing the state companies, rulers only aim at “escaping” the responsibility of their own incapacity. Of course, by favoring one of “our employers,” virtual contributor to the campaign expenses of the respective party under whose rule the privatization is made. This is why the provisions inscribed in the respective act of privatization of a state company are so vague, imprecise, contradictory that not abiding to them cannot lead to penal responsibility. For the simple fact that, in general, the new employer is allowed any treatment of his property.
Precisely on this road of avoiding responsibility and contempt for any national strategy, such privatizations also led to the destruction of modern fields of activity. In the absence of a national strategy, the Romanian scientific research, for instance, was financially supported to an ever smaller extent. It enjoyed maximum 1 pc of the GDP, compared to the European average of 4-5 pc of the GDP. Although its creation potential was demonstrated every time at the international salons of scientific research. Without political leading factors being positively impressed. They chose to avoid any responsibility. But how? Precisely through the forced privatization of many research units. Conducted under the pressure of corruptible commission fees, the respective privatization aggravated even more the problem of the Romanian scientific research.
Many of the new owners bought the respective research institutes especially for their accommodation space and for the vast lands they were located upon. Part of the institutes privatized this way became simple commercial companies, unrelated to scientific research. This is how the scientific research in the pharmaceutical industry, medicines, medical instruments, chemical fertilizers, electrotechnics etc. were pushed to bankruptcy. What could be saved, at least temporarily, is due to a national conference of university rectors which decided that the research institutes that still belong to the national patrimony are associated with higher education institutions.
This is why, today, the potential of our scientific research is still notable, but using it leaves to be desired. The possible positive initiatives of researchers are undermined by the acute political divergences. And many inventions made in Romania risk remaining in drawers. Or they are sold to foreign companies. The Romanian patents sold abroad are used there and then imported to Romania, at exorbitant prices, under the form of new technologies resulting from the ideas of our scientists. Who, meanwhile, are no longer ours. Out of the more than 100,000 researchers existing in Romania in the early ‘90s, we only have 10-15,000 today, but even this figure continuously diminishes through the emigration of the youngest and most valuable scientists.
And when does this phenomenon happen? Precisely at a time when prospective studies conducted everywhere anticipate the unprecedented development of the intellectual activity, of the production of knowledge. The source of profit of the social action tends to move from the sphere of acquisitions of physical assets to that of the production of knowledge (intellectual capital). In these conditions, it is clear that the development gaps between countries will widen or, on the contrary, will be narrowed depending on the investment made mainly in the activity of scientific research.
From this perspective, what hope does the government offer to Romania?

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