Implementing a 24-hour economy policy with a three-shift system in Ghana could potentially address various economic challenges, including unemployment and positive micro indicators.
Here’s how:
- Job Creation: Introducing a three-shift system would create more job opportunities as businesses would need to hire additional staff to cover the extended working hours. This would help reduce unemployment rates by providing more people with opportunities for employment and entrepreneurship.
- Increased Productivity: With round-the-clock operations, businesses can maximize the utilization of resources and infrastructure, leading to increased productivity. This heightened productivity can positively impact Gross Domestic Product (GDP) growth by enhancing output across the various sectors of the economy.
- Reduction in Unemployment: By spreading out work hours over three shifts, the labour force participation rate can increase, absorbing more individuals into the workforce and reducing unemployment rates. This would have a positive effect on social indicators and alleviate poverty levels.
- Improved Microeconomic Indicators:
(i) Debt to GDP Ratio: Higher economic activity resulting from a 24-hour economy could lead to increased tax revenues for the government, potentially reducing the debt to GDP ratio over time.
(ii) Inflation: A boost in economic activity can stimulate demand and consumption, potentially leading to controlled inflation rates, especially if accompanied by appropriate monetary policies.
(iii) Depreciation of the Cedi: A more robust and diverse economy operating around the clock could attract foreign investment and strengthen the Ghanaian currency, mitigating depreciation concerns.
(iv) Diversification of Industries: A 24-hour economy encourages diversification across industries, reducing dependence on specific sectors and enhancing economic resilience against external shocks.
(v) Infrastructure Development: To support a 24-hour economy, investments in infrastructure such as transportation, energy, and security would be necessary. This would not only facilitate economic growth but also create additional job opportunities in construction and related sectors.
However, implementing a 24-hour economy requires careful planning and consideration of various factors such as labour rights, safety regulations, and social implications. Additionally, proper monitoring and evaluation mechanisms should be in place to address potential challenges and ensure sustainable growth.
To conclude, the vivid policy for the revival of the Ghanaian economy and the avoidance of future returns to the IMF and self-dependence from the Bretton Woods Institutions is THE 24-HOUR ECONOMY (THE GAME CHANGER).
The writer of this article, Comrade Augustine Mmi-Oni Guure, is a graduate student of Public Policy and Management.
Source: Media Without Borders/mwbonline.org
