Malaysian people sure love free things. FREE education, FREE healthcare, petrol subsidy and especially FREE FOOD.
Note: " We don't mind waiting for few hours just to get ONE free burger"
Meanwhile in USA:
"IT'S ALL ABOUT FISCAL CLIFF: INCREASE TAX, REDUCE SPENDING"
Based on news article by BBC, Obama demands more tax to be paid by the rich in order to avert a looming budget crisis. Republican House Speaker John Boehner object to this proposal as there are many other factors need to be taken into consideration. Full article here.
One does not simply:
The above article is about FISCAL POLICY. What is a fiscal policy all about??
Fiscal Policy= Government's Spending and Taxation
In the article, Obama is going for Contractionary Fiscal Policy which is to reduce spending and increase taxes during boom times.
Sounds good theoretically right?? Then, why did John Boehner object to this idea?? Everything has its own pros and cons. The same thing goes when you apply a policy. If you tax more the rich, their disposable income decreases, thus they will reduce their investment. When the investments are reduced, the employment and income rate will go down and this can lead to recession.
Taxes=Increases, Disposable Income (Yd) =Decreases, Investment=Decreases, Employment Rate= Decreases can lead to a possibility of recession.
Of course Obama is fully aware of the risk. He also has his own sets of economists to analyse the situation. Then, why he's still going for it. If you think in this perspective, even if you tax the rich, it does not affect them as much. It's like removing icing on top of the cake and Obama believes the strengths of American Economy lies on building the economy of the middle class and small enterprises as they are the majority population. Quoted by Obama, "The best of America is yet to come".
"The Unwritten Rule: NEVER QUESTION FREE THINGS!!"
Most Malaysian in general never think where they get all the free stuffs such as subsidy, cheap bills from government hospital etc. As we all know "Money does not fall from sky". Nothing comes free in life but then how did we get to enjoy all the benefits given by the government. It's simple, TAXPAYER'S MONEY. The people did not realize the fact that government tax us then uses the money a.k.a the collected tax to pay for the free things that we enjoy. It's like taking money from our right pocket and putting back a chocolate into our left pocket.
My point is, Malaysian should be more concern about the state of their country's economy instead of just demanding free things without knowing the positive and negative implications to them and the future generations. In advanced country such as Switzerland, the people knows about their economy and that is why they don't like free things because they realize that if it's free, it must have come from somewhere, which is the Taxpayer's money. Also, when things are free, people appreciate less and waste a lot. In economy, every step taken there's a pros and cons because everything is related to one another. Therefore, MALAYSIANS, THINK WISELY!!
Short comics about the differences in economic state in few countries:
-Nur-Izzati Zahirah Binti Che Ibrahim
We are sons of rubber tappers and paddy planters. Since Independence we talk about all kind of economic policies, unfortunately we remain the same .Wake up in the morning go and tap rubber and in the afternoon, cultivate our paddy fields. What matters, price of goods go up many times and we appreciate when we got free things.
ReplyDeleteYou guys are talking about 10% of the population. Our fathers are poor people. I'm sure you are doing very well, that's why you can talk like that.
ReplyDeleteThat's why Malaysian people need to be educate about economics knowledge. People can claim this and that but do they realise the signifant behind their choices. You can't take the easy way out in life. That's why we must think rationally. If we only think for our own benefit, might as well never bother about others and when the problem arise take the easy way out. What I'm saying is think properly and why certain things are meant to be in that way.
ReplyDeleteThank you for your comment and Have a nice day.
Everyone loves free stuff.i love them too.but if my tax money has to increased to provide these so called free stuff especially for political gains i ain't loving it no more
ReplyDeleteHaha, I agree with you. Nobody would refuse getting good bargain but if there's a hidden meaning behind it,it's better to be careful.
ReplyDeleteHow about policies in Asian countries like Singapore, South Korea, China and Japan?
ReplyDeleteIn my opinion, seeing the countries and the people, I think Japan, Singapore and South Korea are more advanced than us economically but China is still far behind. I believe what makes the country advanced is the history behind and their people. However, I think Malaysia is very lucky and very much ahead over many other countries in the developing economics. Unfortunately, most of Malaysians condemn their own country without actually visiting or seeing how the people of the other countries are living.
DeleteEvery countries has their own policies.why are policies different?if every country use the same policy will it work?we dont need to go so far into
ReplyDeletePolitics or ecomomy.i give u a simple example.lets talk about rubbish.every little kid knows u have to throw rubbish in a dumpster or rubbish can.if i say its the same policy in every country to throw rubbish at the appropriate place.i think you would agree with me.but y is it in malaysia u see rubbish everywhere! Its just a simple policy yet malaysian find it so hard to digest.i ll tell you why.its culture and attitude and you cant change them with policy.it takes years and years of cultivation for a culture tochange.people say habits die hard.i m malaysian and i love my country.learn to adopt good culture to replace our bad ones. First educate and then impose policies.thats the way forward for us malaysians.
I totally agree with you that everything requires process and time. What is needed the right attitudes,behavior & culture and this takes time to develop in any society. Many of us today speak very loud of good and bad culture of Malaysians because we have gone through process of education and cultural change. It is not difficult to understand, ask yourself why can't you just change to best behavior in your self and family. If you succeed in that, then apply that to organisation you're working. If you can do that instantly, you'll be the highest sort of person the company would like to engage. So if we realize that even with five or ten people is difficult to change so why people talk of government should change this and that just like one person coaching another person.
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