.
Total case count seems to be decelerating, so it seems 14 April really will be the end of lockdown unless new clusters emerge.
/
Comparison of stimulus packages: Americans get MYR 5,193/ month / worker... so nothing has changed in 15 years... PPP in the USA is still 8x Malaysia! :D
/
/
Here is (another) contrarian view (I'm accidentally contrarian). I think Malaysia needs higher taxes AND it needs to double federal debt AND it needs to let the currency freefall. Objectives: high money velocity, and higher leverage on our manufacturing position in global trade.
Besides external debt, what are some of the other quantitative indicators which lend credulity to a nation's currency? Tax ratios? P&L stability?
For starters:
1. External Debt
USA: 22 trillion, 60 thousand per capita, 115% of GDP
MY: 0.25 trillion, 10 thousand per capita, 75% of GDP
2.
3.
4.
5.
#ihavenoideawhatiamsaying #iamverysmart
/
I really think it's time to drop the narrative that we have too much debt. We needed to harp on it to depose one criminal... that is done, and the deposers have been deposed. We need to move on.
/
The Friday stimulus announcement works in Muhyiddin's favour, really. It enables mega project funding to proceed to those already endowed (1) , minimises new federal debt (his political adversaries' favourite target of abuse, 2), props up his familiar voter base (low income Malaysians, 3), forces his political opponents' voter base to stretch their cashflow and incur greater debt (middle income Malaysians, 4), and pretty much ignores undocumented labour (also a sore point with his voter base, and perhaps something he has given thought to in his time as Home Minister, 5). I like his work. I think he's a good chap. That being said, I still think the policy is shit... because it could be distributed the same, but amped up to three times the cashflow, funded by more national debt. It's the perfect time for governments to borrow!
No comments :
Post a Comment