Robbing the young rich to pay the old poor

The legend of Robin Hood and how he robbed the rich to pay the poor and always fighting against the Sheriff of Nottingham who only knew how to protect the rich, was a favourite and must read comics of our generation. I don’t think the Y generation onwards bother with such wholesome righteousness. But the Govt still does, as many of them were of my generation or close to it. They are brought up with the same righteousness, of robbing the rich to pay the poor, not robbing to pay themselves for sure.

Housing is still a big pain to many Singaporeans, and the right to buy a public flat from the Govt is like striking lottery to some, or a big savings to many. Every Singaporean given the opportunity will want to buy directly from the Govt to save a few hundred thousand bucks of their hard earned money. With a monopolistic public housing scheme, the Govt knows how vital its role is and how they could make life easier or meaner to the Singaporean home buyers. By tweaking the demand and supply, by formulating rules and regulations, some will be cut out from the public housing schemes and be left at the mercy of the free market and the private property developers.

Many groups of Singaporeans have been deprived from the public housing scheme while the ‘Ginny come lately’ new citizens were graciously allowed to buy public housing freely. One of the groups that have been deprived from public housing is the young high income earners, ie those earning above $12,000. To the Govt and to many Singaporeans, this group is very rich and must not be allowed to buy public housing. So the Govt has in place an income ceiling to keep these rich young people from public housing.

What the Govt has done is like what Robin Hood had done in the past, robbing these rich young people to pay the poor. By not allowing them to buy direct from the Govt, these young people have no choice but to buy from the resale market or buy private properties. The effect is a transfer of their savings to those who are selling their public housing in the resale market. The difference in price can be a few hundred thousand dollars. Effectively the Govt is forcing these young people to hand their money to the HDB owners who bought their flats direct from HDB. This must be a well thought out scheme of the Govt, to ensure a fairer distribution of wealth among the average Singaporeans. The young and abler Singaporeans must share their wealth with the less able and older Singaporeans. Who can fault such a benevolent design?

If these young people refuse to share their savings with the HDB dwellers, they can share them with the private property developers and pay even more. In the latter case it will not be robbing the rich to pay the poor. It will be robbing the not so rich young people to pay the rich developers and rich speculators.

Whatever way you look at it, it is a good thing. The young people have the money and it is only right that they should share their hard earned money with those who are less able. Not sure if one agrees that they should share with the rich developers and speculators. The Govt is doing a righteous thing, a moral thing, a good thing, like modern day Robin Hood. We have a very caring Govt that cares for the poor.

The Govt should not remove the ceiling, for by doing so they would not be able to rob the young rich to pay the poor old. The moral of the story is that it is ok to rob the rich and pay the poor. But don’t touch the super rich. Their wealth must be protected at all cost and to grow and grow. Make the young rich buy properties from the super rich, who incidentally, many have bought many properties and waiting for the young rich to hand over their hard earned money for them. We have a good system in place. Don’t rock the boat. Be thankful and be grateful.

PS. I wrote this piece with my eyes wide shut.