I couldn’t help thinking and reflect about what happen in states now to our beloved country here. In one side, democrat is championing the ‘socialist’ agenda to American, which I think pretty similar to what government here prescribes the NEP to bumiputera. On another side, republican remain upholds their capitalist agenda, which in my opinion, forcing the non-bumiputera to live their life the capitalist way in order to succeed. For me, there are good and bad sides for both ideologies. On one hand, while socialist in theory seems a good idea, nevertheless it is very much vulnerable for abuse. In theory, the resources should be distributed evenly but that’s not what always happens in reality. Experiences suggest minority of the people benefitting tremendously while others are struggling to share the rest of resources. Looking at European countries to some extent or even Cuba or Venezuela, it seems the socialist ideology very much questionable. The not so good thing about socialist idea is that it inculcates the ‘laziness’ culture, every thing is dependable to government. You name it, Healthcare, education, pension and everything is provided by government. Let takes some example on Pension scheme. Pension scheme is like a giant Ponzi scheme. The fund for pensioners effectively coming from new tax contributor, the young guns. As long the young guns keep contributing the tax, then the pension scheme will still be alive. Ok, imagine when cost of living become so high, there are not so much young guns in the country because parents can’t afford to have many kids, then the tax collection will be lesser in the future. At the end, the scheme will collapse. Just like what happened to Madoff. He started to crack when the redemption request from old investors is bigger than new fund from investor coming in. Anyway, I would like to emphasis that socialist and social market economy are two different things. Some European countries such Germany and Austria practice social market economy that balance off between socialist and free market ideology. It seems working for them. On the other hand, Switzerland is a perfect example of free market economy. Also, it seems working for them.
So, capitalist ideology seems good then. One thing great about capitalist is that it encourages the culture of entrepreneurship. That’s good. However, the not so good thing about the idea is that the unable ones would be left behind. The rich is getting richer while the poor remains the same or getting poorer. Profit is the ultimate target which then encourages the greediness to the people. That’s what triggered the financial meltdown recently. I also could go on and on about the bad things of capitalist ideology but I won’t.
So what’s the best for us regardless of bumiputera or non-bumiputera. It’s hard to find the magic solution. On one hand, to some extent bumiputera somehow is benefitting from the NEP but abuses as described earlier are the cancer of the policy. After 30 years, still ‘majority’ of bumiputera are lagging behind but the minority ones become super rich. Does the policy work? Does living condition improve? Could it be because bumiputera is depending too much to government that we fail to improve ourselves? Does the laziness already been instilled in our heart due to the dependency? With 30 years of experiment, we should have the answer now. So what’s your answer?