Let’s Talk Some Economics

Article originally posted on Candles Online

What does “work from home” mean to different parties? For the one who is working it means no grooming required, pajamas would do for days on a trot, spreadsheets sharing screen space with prime or Netflix – basically, more about comfort, isn’t it? But can the same be said about the housewife who always works at and for home? A straightaway No or might not be. For many it could mean no time to let hair down at all. Aged Parents think “since you are at home why can’t you spare time, why are you on the screen all the time, you don’t talk to us“. So it’s different for everyone. “Work from home” has it’s own pros and cons varying from perspective to perspective.

So thinking about the “work from home Vs work from office” debate I stumbled on a thought “how does place of work impacts the economy“. Let’s take a mini tour into it.

Have you ever seen any office (as a structure/building) standing in isolation? Never (or say it’s a rarity). As soon as an office starts running, buzzing with people it serves as an opportunity for many other ancillary setups. For example, a cafeteria, a snack center, a stationary/Xerox center in case of educational or government offices, a tea stall, petty vendors like that of cigarettes, and many following the suit co-exists with the primary “office”. So the staff working and the people visiting the premises naturally provide business to the aforementioned entrepreneurs (not the scale but dignity matters). Turnover means income, and income means further possible spending creating more rounds of income and consequent spending. This is called the multiplier impact. More income and spending is the backbone of any economy. Incentives and investments are made to boost up the spending stimuli of the people. In that scenario closing of offices purely means a down spiral impact on the economy and the world is experiencing the same. Economic Depression is the offspring of the same negative multiplier impact.

Closing of offices might mean nothing much to the white-collared job holders but it’s a definite blow to the blue collared job holders since they usually are hired / work on an ad-hoc basis and their work can’t be remote so the very concept of “work from home” cease to exist for them. Also the social security schemes and other perks for such apparently minuscule jobs aren’t much overwhelming. In their case, it’s either go to the work or sit idle. The gatekeepers, guards, janitors, etc comprise this group and definitely don’t have a place in empty offices. This pandemic and work from home period also spelled doom for the daily wage earners and housemaids. On this account “work from home” is a horrifying practice and not to repeat the no income – no spending – crippled economy routine.

“Work from office” aids in generating state revenues. No matter whatever country we are in, a large proportion of the working population utilizes public transport for commuting to work :

Local Train
Metro

State-run buses, local trains, metro, trams – lifelines of any city. They not only facilitate hurdle free commuting but fetch a huge revenue on a daily basis to the government in the form of fares. Due to the pandemic and advent of work from home, people are no doubt confined to their spaces but the fiscal deficits are spreading wider and wider.

The world is amidst a grave issue, handling a double-edged sword. Work from home is an alternative to keep us going but sadly the fuel (read the GDP numbers) is not enough to steer any nation through. On personal front onsite/offsite work, both have a well-balanced impact on our lives yet individually. But for a greater good offices need to open ASAP.

No matter how advanced a nation is in technology not everything can be done ONLINE. The entire world on the same page of collapsing fiasco speaks volumes about this truth.

3 thoughts on “Let’s Talk Some Economics

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