Leadership credibility and economic stability

By ETCO

Author: João Francisco Salomão *

Source: A Gazeta - AC - 22/07/2009

As a whirlwind of denunciations of irregularities breaks out in the Brazilian Senate, it is inevitable to endorse the importance of credibility in political leadership for the social and economic stability of nations. The more you believe in public office holders, the Executive and the Judiciary, as well as parliamentarians and institutions, the greater the sense of legal security and the confidence of society and productive sectors to invest, consume and turn the economy around.

Congruent with this thesis is the situation in the United States. The high level of public confidence in President Barack Obama has been decisive for the country to sustain itself in the midst of the global economic crisis born in its mortgage market for real estate and financial derivatives. A reaction such as the one observed would not be feasible, were it not for this relationship of credibility. Included in this process is the elevation of the controlling interest in large companies by the State, a real taboo in view of the resistant liberal philosophy of American society and politicians.
In the case of the United States, which has the highest GDP, external credibility is also decisive for the recovery of the crisis in the context of the globalized economy. Fortunately, research conducted in twenty countries by the organization WorldPublicOpinion.org shows that Obama inspires more confidence than any other world leader. A year ago, George W. Bush was one of the leaders who inspired the least confidence. In other words, when the crisis broke out, the ex-president had no support in terms of public opinion to trigger an immediate reaction, which certainly aggravated the problem.

The WorldPublicOpinion.org study, in which the United Nations Secretary-General, Ban Kimoon, appears in second place in terms of global credibility, interviewed 19.224 people, in nations that make up 62% of the planet's population. The largest countries, such as China, India, United States, Indonesia, Nigeria, Pakistan and Russia, were included. People in Latin America, Germany, England, France, Poland, Azerbaijan, Ukraine, Kenya, Egypt, Turkey, Iraq, Palestinian territories, South Korea, Hong Kong, Macau and Taiwan were also interviewed. The survey's margin of error varies from 3 to 4%, more or less.
In an analogy with the Brazilian reality, the approval of President Luiz Inácio Lula da Silva by public opinion is important, as research has indicated. However, the sequence of denunciations and scandals involving parliamentarians from his party and / or the allied support base for his government in the National Congress is very negative. Cases such as the monthly allowance, the air tickets of parliamentarians, millionaire assets not declared by National Congress officials and bureaucrats and the secret acts of the Senate arouse growing distrust in society.

It is essential that the Legislative Power is also worthy of the trust of citizens, companies and all organizations in the country. Credibility in the Executive is not enough, considering that the pillars of democracy include Parliament and Justice. Brazil has made great progress in consolidating its democracy, a civic and peaceful achievement of society. We now need to improve its fundamentals, starting with the uncompromising rejection, in the sovereign exercise of the vote, of politicians who do not correspond to the confidence of the population. There is no doubt that the growing credibility of the leaders will contribute a lot to economic stability and a faster development process.


* João Francisco Salomão is president of the Federation of Industries of the State of Acre - Fieac. 

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Leadership credibility and economic stability

By ETCO

Author: João Francisco Salomão *

Source: Maxpress - SP, 14/07/2009

At the moment when a whirlwind of denunciations of irregularities breaks out in the Brazilian Senate, it is inevitable to endorse the importance of credibility in political leadership for the social and economic stability of nations. The more we believe in public office holders, in the Executive and Judiciary, as well as in parliamentarians and institutions, the greater the sense of legal security and the confidence of society and productive sectors to invest, consume and turn the economy around.

Congruent with this thesis is the situation in the United States. The high level of public confidence in President Barack Obama has been decisive for the country to sustain itself in the midst of the global economic crisis born in its mortgage market for real estate and financial derivatives. A reaction such as the one observed would not be feasible, were it not for this relationship of credibility. Included in this process is the elevation of the shareholding control of large companies by the State, a real taboo in view of the resistant liberal philosophy of American society and politicians.

In the case of the United States, which has the highest GDP, external credibility is also decisive for the recovery of the crisis in the context of the globalized economy. Fortunately, research conducted in twenty countries by the organization WorldPublicOpinion.org shows that Obama inspires more confidence than any other world leader. A year ago, George W. Bush was one of the leaders who inspired the least confidence. In other words, when the crisis broke out, the ex-president had no support in terms of public opinion to trigger an immediate reaction, which certainly aggravated the problem.

The WorldPublicOpinion.org study, in which the United Nations Secretary-General, Ban Ki-moon, appears in second place in terms of global credibility, interviewed 19.224 people, in nations that make up 62% of the planet's population. The largest countries, such as China, India, United States, Indonesia, Nigeria, Pakistan and Russia, were included. People in Latin America, Germany, England, France, Poland, Azerbaijan, Ukraine, Kenya, Egypt, Turkey, Iraq, Palestinian territories, South Korea, Hong Kong, Macau and Taiwan were also interviewed. The survey's margin of error varies from 3 to 4%, more or less.


In an analogy with the Brazilian reality, approval is important


that of President Luiz Inácio Lula da Silva by public opinion, as research has indicated. However, the sequence of denunciations and scandals involving parliamentarians from his party and / or the allied support base for his government in the National Congress is very negative. Cases such as the monthly allowance, the air tickets of parliamentarians, millionaire assets not declared by National Congress officials and bureaucrats and the secret acts of the Senate arouse growing distrust in society.

It is essential that the Legislative Power is also worthy of the trust of citizens, companies and all organizations in the country. Credibility in the Executive is not enough, considering that the pillars of democracy include Parliament and Justice. Brazil has made great progress in consolidating its democracy, a civic and peaceful achievement of society. We now need to improve its fundamentals, starting with the uncompromising rejection, in the sovereign exercise of the vote, of politicians who do not correspond to the confidence of the population. There is no doubt that the growing credibility of the leaders will contribute a lot to economic stability and a faster development process.


* João Francisco Salomão is the president of the Federation of Industries of the State of Acre - FIEAC (salomao@fieac.org.br).