10/24/2011

Beware of a welfare state

Greece was the role model for Europe’s crisis of a welfare state gone wrong. And Greece is not the only welfare state in Europe. Many are and still looking after their people through public welfare and assistance. And they have done it for many years. Canada and the US also have their own variations of a welfare state.

A welfare state is costly to the country and public. It has to be carefully managed. And many of these countries have managed their welfare system pretty well. Singapore has defended its policy of welfare by the people, of the people and from the people’s own pocket for many years. Finally we have a Greece to prove that we are right in not having a welfare state.

But are those countries that are still practising welfarism finish or near finish? One swallow does not make a summer. For the fall of Greece, there are many that are successful and still doing ok.

What is important is how much to collect and how much to give. Giving $500 to $600 a month to the down and outs will not empty our state coffers so easily. If our reserves can afford to lose tens or hundreds of billions and still can afford to lose more, a little welfarism is not going to harm the reserves. No, no one is asking to kill the golden goose or for a drum stick, just some eggs.

Definitely if the welfare comes in the millions for each recipient it is going to be very dangerous. As more and more people continue to receive million or multi million dollar state welfare, then that is a different kind of welfarism that cannot be condoned. Do we practise state welfarism of any kind here?

10 comments:

Anonymous said...

Aren't we already practising it?

Definition of welfare:
the good fortune, health, happiness, prosperity, etc., of a person, group, or organization; well-being: to look after a child's welfare; the physical or moral welfare of society.

We paid millions to our gahman so that they won't be corrupt. This is more important than increasing $30 in aid to the needy because we need good gahman, so that our women won't end up as maids in foreign countries. As for our own poor and needy, well, they can collect cardboxes or upgrade to become security guard, can't they?

Anonymous said...

"One swallow does not make a summer". Unquote.
BUT,
one dictator will bring miseries to all his people.

patriot

Anonymous said...

Greece did not fall becoz it was a welfare state. It fell becoz of corrupt politicians and leaders using shady accounting to trick the rest of EU, and to preserve their positions by bribing the people blind.

And no worries about S'pore becoming a welfare state. Over here is You Die Your Business, You Die Better Than I Die. We are basically animals living in a concrete jungle with survival of the fittest laws & regulations. That's why Sinkies are among the most selfish & self-centred animals on earth.

Anonymous said...

The Greeks had enjoyed their heydays 3000 years ago and during Onassis time.
Capitalism has brought Greece to where it is today.
Sin shld follow soon.

so1trg said...

I rather we be a welfare state and pay the homeless and jobless some monies than for some SWF aka TH to lose our money gambling in the financial markets.

Anonymous said...

What can we do when the powers that be believe in 'Charity begins abroad'. The reserves are for gambling big internationally.

Third class Singaporeans keep on begging, but bear in mind they are deaf and blind.

Anonymous said...

And they are so trusting of foreigners. Putting billions into foreign companies and happily walk away telling them we trust them with out billions.

How to spell suckers or naive?

Veritas said...

Greece problem is not welfare state. In fact Greece has almost no welfare to the unemployed.

High pay and perks to civil servants are interpreted as welfare for denigration.

But its main problem is cause by tax dodging rich.

Veritas said...

If welfare is the problem, the first to bankrupt is Germany, Switzerland , France and the Nordic countries.

The rich like to point finger at welfare not withstanding that its their suicide economics policy that actually bankrupt the countries.

Policies such as low tax, stripping production, financialization of economy, free capital flow(facilited tax evasion to rogue countries like Singapore),....

Then blame welfare

Chua Chin Leng aka redbean said...

Hi Veritas, welcome to the blog. And very nice pic.

We have a differnt kind of welfare state, only for the rich and famous.

The failure in the western system of spending ahead, spending more than you have is taking its toll now. Our great housing mortgage scheme, to ever pricing it higher and higher as long as the people can afford to pay for them with future income that is not guaranteed will face the same fate.