Monday, June 18, 2018

Back To Square One?

We have a new old regime in Malaysia, where the old men (and old women) now have a second chance (what about young men and women do not?).

I am unsure what the current political agenda is all about. Is it to develop a new model of economic growth, or to continue to find fault with the preceding regime. Sometimes, it doesn't appear that they have realised that they have won the election and is not the government. They continue to behave like they are still in the opposition. An old opposition against the new opposition. Does it mean that there is now no government as such that we can rely on to look forward to? Apart from a zero GST, zero price reduction and another national car that we have to overpay.

Last time we had an immense oil reserve (amidst high oil prices). Now less, and therefore less degree for policy error to play with. After nearly forty years of one-man domination of a singular idea of a one-race supremacy without economic merit and the loss of one generation, the younger generation now have no idea how they have got to such dazzling heights, only to come crashing down when the hot air cools.

If all the wealth of the world has been made by the old generation, then the new generations do not have to work. The only thing they will need is labour-saving services which can either be machines or human services produced by poor or less rich third-world foreign workers. This dialectical process means the slave will eventually takeover the master's household and wealth.

The new situation requires a new infrastructure on which the new economy must be built. The new economy will need the banks and finance industry to re-skill themselves to know how to finance projects with feasibility and good prospects for success in order to create good jobs for the new generations. The handling of finance in the economy must now return from the government to the private sector if there is going to be any real prospect for growth of the economy on a sustained basis in future. We should get the politicians to lay out a level playing field for everybody, and stop creating a crooked frame which collapses under the slightest weight or pressure.

We have to move on. The perspectives of the old generations are now obsolete and irrelevant. The young must struggle to find their niche in the new world of technology. The global economy has changed. It will be sad if we here are still stuck in the mud of post-colonial preconceptions.

1 comment:

walla said...

If familiarity with BN makes for a hankering of Square One, perhaps we are now really at Square Minus One, that segment in our history where politics had a certain pristine air of the innocence of being back to the basics.

Looking at the confetti of our national debts strewn on the floor by Umno and its BN hangers-on after the party had ended ignominiously for them, it certainly won't be back to the future for some time to come.

For all the Moody's may say, the liabilities can't be discharged magically because their repayments are schedular ahead of all foreseeable returns. Already, we are constrained by having to pay contractual interest whose size is eating like locusts into the next development let alone operating budgets. Without development, how can there be progress to derive returns to pay interest furthermore discharge principal?

And millions will be more than disconcerted by what is happening to their KWSP, the sole source of their twilight income. Thus, remembering Keynes' famous rejoinder, hopefully life will end before savings finish. Just ask the KWAP members.

Moreover, it should not be lost on all that the new government faces the painful dilemma of being forced to continue some of the projects left by the previous one or else lose money already committed and paid out ahead of jobs done.

All this must be made known to voters throughout the land else they may expect miracles including what can humanly be delivered inside 100 days. Which is now impossible as one red file after another, one scandal after another fiasco, surfaces to add to the collective weight sinking one and all to the bottomless ocean.

However one is not hopeful those who still support Umno and PAS will admit to anything. Instead they will continue to chant their 3R mantra to the end. It makes for a good case study on the psychological schism of political tribalism for that matter of unconscionable thieves now wanting to be conscientious police instead of packing their bags for long stays in small cells. They now aspire to check-and-balance the new government. For a start, they can produce that Arabian donation check of an unimaginable amount. Talk about hypocrisy.

Yet there is hope the new government will right wrongs and trigger good growth based on honest assessment. The SMEs must be helped up without any loaded favoritism by race nor prying eyes of officialdom. More investments must be attracted. Efficiency in operations must return to raise productivity last left in the swamp of some supremacy. Education must be 21st century or no new infrastructure will do any good. Social thinking must be progressive; society must loosen up. At least take encouragement we are ahead of Saudi Arabia where women can now drive. Compare downwards, remember?

All of us gotta get real this time if only for those kids who die-die flew back to vote. If we don't, it won't be Square Minus One. It will be Square Root Minus One. An imaginary number, yes?