Topic: Economics of Development
Country: Poland
Delegate Name: Mark Wassink
School: Forest Hills Eastern High School
Topic page: background guide and all position papers All Poland position papers GLIMUN 2015 committees
Poland had been occupied and devastated by Nazi and Soviet rule from 1939-1989. They have only recently turned to a mixed economy with protective regulation that focuses on helping the working class and small businesses. Ever since this transition, the GDP of Poland has grown nearly 180%, almost triple what it was under soviet rule. The evidence that Poland’s economy has increased over 180% due to economic changes is overwhelming.
Poland believes that in order for economic sectors to develop, the government should take minimal action and instead let freedom run its course, unless of course, a sector is failing and needs aid from the government or a sector gains too much power. If the government decide not to fund certain sectors through taxes, other sectors will be left behind or hurt through the lack of capital. This is a problem, unless the helped sector is behind the other sector and jobs are at stake. The polish government believes that if money were to be injected in a flourishing part of the economy, other sectors would be at a loss and lag behind the other sectors. To help those in certain industries gain jobs, Poland believes it is best to help create jobs in certain sectors. From 2013 to 2014, the unemployment rate in Poland went from 10.0% to 8.2%, demonstrating the positive effects of this economic policy.Many countries can follow Poland’s lead when deciding how much government they should use. Since Poland has switched from a command economy to a mixed economy, they have rapidly increased their gross domestic product in purchasing power parity because of the ability of businesses to flourish and hire workers through lower taxes and helpful regulation. Some of the regulation that Poland advocates for include a higher corporate tax rate, which then can be given to areas of the economy that need the capital to hire workers. The government can also invest this money in infrastructure to help create jobs as Poland has done before. An example of this would include the financial support of LOT airlines which saved thousands of Polish jobs. Money can be invested to create more jobs. With more capital, comes the ability to invest more in a certain part of the economy.While regulation in the economy is good, too much regulation can be a negative boost for the economy. This is demonstrated by the fact that Poland’s economy has grown 180% since they became independent from a command economy. Poland believes that the government should be responsible for providing some housing for those who need it to have roles in the economy. With lower taxes on citizens and useful spending for their citizens, government can drastically improve the lives of many of their citizens.
The government can be a helpful tool for improving the lives of people, yet should be kept from growing out of control. Poland stands for a government that invests to help their people, but decreases burden on everyday citizens. If the government can lower taxes, but spend accordingly, then people can enjoy the good parts of a government, while being safe of the harmful parts of the government that could hinder economic development.
