Singapore's Success Story - reality or myth

robertteh SG

(As Posted at findsingapore.net on 23.6.2008)

Singapore - Lion without teeth

Perth analyst and former Straits Times journalist writes a book on what he calls the city's 'hot air' successes. The Nation.

Jun 22, 2008

Singapore is brilliant at self-promotion, says an Australian analyst, but it is no financial dynamo. Much of the world has been deluded by its hollow roars of success

Singapore, the modern city-state known for its authoritarian ways and conservative government, has a reputation for functional efficiency and capitalist success.

The smallest member of Asean geographically is often touted as one of Asia's great success stories - a gleaming city that emerged from the tropical swamps under a strict but wise autocrat, Lee Kuan Yew.

But a fascinating new book by Australian Rodney King looks deeper into the "the Singapore Miracle" and reveals that a lot of the city's supposed successes are in fact hot air.

Reports of Singapore being a dynamic commercial melting pot are, King says, simply the oft-repeated claims of a government that tolerates little dissent, and city leaders who may actually have stifled the sort of entrepreneurial dynamism you get in places such as Hong Kong, Shanghai, Taiwan and maybe even Bangkok.

King is a Perth journalist who lived in Singapore for a number of years and worked briefly at the Straits Times.

"The Singapore Miracle - Myth and Reality" casts doubt on the city-state's claims of cutting-edge efficiency, global competitiveness, economic freedom and transparency.
Most Singaporeans are not as affluent as their government makes out, King says in his extensively documented, 500-page tome.

"Books about Singapore usually praise its achievements or criticise its authoritarian rule," he writes. "But few ever probe its widely publicised claims that it is a brilliant success that other countries should follow."

King argues that Singapore's workforce productivity is often mediocre and well below that of the West and Asian economies such as Hong Kong.

"The country also displays endemic inefficiencies at both macro and micro-economic levels. The performance of the construction, financial and service sectors is second-rate, while Singapore Airlines does not deserve the top rankings it receives."

Singapore, he says, has "a dependent and underdeveloped economy". Multinational companies and state enterprises predominate, and the economy has "low entrepreneurial and innovative capacities and an under-educated workforce".

The city-state's supposed affluence is also largely a myth.

"About 30 per cent of the population still lives in poverty by Western living standards," he says. And Singapore's Housing Development Board, Central Provident Fund and state-run health schemes have severe shortcomings.

What Singapore has been good at, he says, is marketing itself.

"Singapore has brilliantly sold itself to the world as an amazing success story to attract foreign investment and talent. It's managed to get most Western think-tanks and ratings agencies to give it top scores for such things as competitiveness, transparency, economic freedom, etc.

"These bodies reflect the interests of foreign capital and their methodologies are shoddy and incompetent at times. And the statistics they are fed by the Singaporean authorities are often dubious and designed to put Singapore in the best light.

"To sell itself to the world Singapore has also denigrated and patronised its lesser-developed neighbours."

Singapore was hardly an economic backwater when Lee Kuan Yew took power in 1959, says King, who has no special regard for the premier, who held office through his People's Action Party (PAP) for 31 years. Lee is now known as a "Minister mentor" and elder statesman.

"Lee is always carefully listened to, and rather too politely ... his views and lectures often receive reverential attention from opinion lenders, American think-tank experts and others who often have little direct first-hand knowledge of Singapore."

In the early to mid-'60s, Singapore had one of the highest living standards in Asia, with one of the best-educated and hardest-working populations.

Its strategic location and magnificent harbour - with extensive British-built shipyard facilities - alongside one of the world's busiest sea-lanes, meant that it became a natural transport hub. And these features were a great asset for industrialisation.

The strategies Lee used to develop Singapore were an open-door policy to foreign capital and export orientation to tap into global trade. They helped the city-state enjoy double-digit growth from the '60s to the '80s.

But the Lion City became heavily dependent on foreign capital while state enterprises focused on infrastructure and "nation-building concerns".

Entrepreneurial and innovative capacities have suffered because of a lack of domestic competition and the predominance of state bodies.

Public servants running state boards often have little experience of the private sector "and no idea how to run a business", King and other analysts say.

"The local private sector, normally the seedbed of innovation in most market economies, is stunted and starved of venture capital," King writes.

"The country's capacity for indigenous research and development and entrepreneurial and innovative endeavours remains limited.

"Heavy state control of the economy is exercised through an extensive layer of state enterprises. The state imposes this control through layers of red tape.

"The government also manages a big chunk of the people's savings through forced savings … and owns 72 per cent of the city-state's land.

Moreover, the government controls the unions and most of the labour force. Equally mythical are Singapore's claims to being transparent. Nothing could be more untrue. The operations of Singapore's government and bureaucracy are swathed in secrecy."

King counters claims of high home-ownership levels, saying 86 per cent of Singaporeans rent government flats from the Housing Development Board on 99-year leases.

The author is provocative but very thorough. Every aspect of life in the city-state is analysed in detail.

"Singapore's flaws are hidden by the PAP state's vigorous marketing campaign," he says.

And most local and foreign journalists "are usually too restricted or intimidated by government defamation laws and other penalties to challenge or refute" the "river of statistics" promoting Singapore's achievements.

There is a wealth of statistical and anecdotal material in this book to counter the official lines - or lies. Economists and anyone with an interest in Singapore should take note. This book could change the way you view our industrious neighbour.

But, perhaps the saddest facet of King's work is not what he's written, but the fact that the people who most need to read his book may find it hard to get, if Singaporean bookshops refuse to stock it, as he expects. (The Nation, Bangkok)

http://www.nationmultimedia.com/search/page.news.php?clid=33&id=30038130
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lionnoisy SG

u are damn wrong ,mate.

u can get the book in NLB library!!

oh Australian guy.I love it.

Ha what can i say after so much Anti--Oz threads i post here.

Oz cant even complete a M 113 APC upgrade in 10 years.

Scrap A$1 billion Seaspirit Heli projects...

Murray Detla almost going the die..

Shooting in CBD is not news anymore,

Passing by shooting just a routine..

Corruption charge to High ranking police,

Collins class submarines just went for ever ending upgrading,

if not rectifications.Only 3 out of 6 can sail.

And this Oz guy just give u too much bias info for SG.

What damn ranking of FX transaction for Oz?

What Oz products or services u think is famous

and first class.

SG military technology just ahead of Oz many years lah.

go to hell.

we are open to dissendent opinions.

http://vistaweb.nlb.gov.sg/cgi-bin/cw_cgi?fullRecord+11806+3002+12915591+1+2

Title The Singapore miracle, myth and reality / Rodney King. Author King, Rodney, consultant. Publisher Inglewood, Western Australia : Insight Press, c2006. Physical Description xvi, 516 p. ; 23 cm. Search by Subjects Singapore Economic conditions.
Singapore Economic policy.
Singapore Social conditions.

Branch Location Date Call Number Status  Lee Kong Chian Reference Library RSING 21-09-07 English 330.95957 KIN For Reference Only Lee Kong Chian Reference Library RSING 20-09-07 English 330.95957 KIN For Reference Only

Poh Ah Pak SG

Reports of Singapore being a dynamic commercial melting pot are, King says, simply the oft-repeated claims of a government that tolerates little dissent, and city leaders who may actually have stifled the sort of entrepreneurial dynamism you get in places such as Hong Kong, Shanghai, Taiwan and maybe even Bangkok.

I believe that to be true.

An authoritarian and oppressive state does not produce a creative society.

It does not allow the full potential of people to be unleashed or expressed.

That is why it must be destroyed.

DeerHunter SG

I believe that to be true.

An authoritarian and oppressive state does not produce a creative society.

It does not allow the full potential of people to be unleashed or expressed.

That is why it must be destroyed.

An authoritarian and oppressive state does not produce a creative society.

It does not allow the full potential of people to be unleashed or expressed.

Not necessarily true. In our early years, the govt had to regulate land use as to ensure safety and hygiene for us all. If you were to compare HK and Bangkok, you will understand what i mean-haphazard constructions, uncontrolled effluent flowing down sewers, etc, even till today. Many of the largely uneducated entreprenuers didn't understand the regulations and felt oppressed by the social order that was enforced to protect the population.

Secondly, there wasn't much funds in our coffers to help entreprenuers in the early days. There were many other social needs that must be meet.

Thirdly, Spore was only a population of 1.5million then. What kind of a market was there for our entreprenuers? Could they have survived by producing what our neighbours already had?

Thus the govt had to step in and use the land space for industrialization and the people to get a fixed salary. In time when we had grown, only then can entreprenuership be better encouraged, such as current times.

I too wish there were better ways, but back in the 60s, our young fledging nation had little choices.

Poh Ah Pak SG

Not necessarily true.

You didn't give reason why not true.

You are giving reasons to justify authoritarian rule.

Not reasons why authoritarian rule does not result in uncreative society.

Devil1976 SG

http://www.sgforums.com/forums/10/topics/321909

Hmm.... Sama sama....

SingaporeTyrannosaur SG

An authoritarian and oppressive state does not produce a creative society.

It does not allow the full potential of people to be unleashed or expressed.

Secondly, there wasn't much funds in our coffers to help entreprenuers in the early days. There were many other social needs that must be meet.

Thirdly, Spore was only a population of 1.5million then. What kind of a market was there for our entreprenuers? Could they have survived by producing what our neighbours already had?

I too wish there were better ways, but back in the 60s, our young fledging nation had little choices.

So what about now?

charlize SG

99 year lease on HDB flats.

So a lot of people are actually paying 500K on a 5 room HDB flat now that is technically not really theirs at the end of 99 years.

Hmm.

kramnave SG

99 year lease on HDB flats.

So a lot of people are actually paying 500K on a 5 room HDB flat now that is technically not really theirs at the end of 99 years.

Hmm.

I transfer 10k to your estate and you transfer the title to me when your lease is almost up.

DeerHunter SG

So what about now?

The govt had encourage entrepreneurship and had created agencies to help facillitate the growth of entrepreneurship. They are EDB, IE Singapore, and Spring Singapore. They not only provide funds to help startups, smes, and industries, they also lend management expertise when required. For full details, i would encourage any would-be entrepreneur to check them up. But do be aware, those monies are ours, and these agencies will have to ensure that the money is responsibly spent and not to fund 2nd wives or that new car.

There are also local venture capitalists whom one can approach. In our country now, there is no lack of encouragement and help. Only issue is, do our citizens prefer the safety of a fixed salary or would they dare venture out? Do realize that if they venture out, the local market may be small to realize extensive profitability. And the overseas market is highly competitive and realitively unknown to those who had not studied or spent a large amount of time to research.

Our govt understand these, and provides seminars as well as agencies to help and guide those whom are keen and have the intelligence with drive to succeed.

But if you are talking about importing or exporting 'freedom of speech or freedom to slander', then you are on your own. Our society have other needs that could be better spent on, such as 'freedom from hunger', 'freedom from disease' and 'freedom from illiteracy', if judging from the quality of 'freedom of speech and slander' on this forum is of any value to go by.

Poh Ah Pak SG

An authoritarian and oppressive state does not produce a creative society.

It does not allow the full potential of people to be unleashed or expressed.

DeerHunter, your views on above?

DeerHunter SG

DeerHunter, your views on above?

I don't know, Poh, sorry, cause i don't live in an authoritarian state or had felt any oppression directed against me from my country. The only oppression i had encountered are from your hypocrite kind, which humilates others' freedom of expression if their views are different and insults my intelligence with irrational nonsense.

Poh Ah Pak SG

So you have already emigrated DeerHunter.

Where are you now?

DeerHunter SG

So you have already emigrated DeerHunter.

Where are you now?

Nope. I would never emigrate. Singapore is my country where my previous generations had worked hard together with a capable and responsible govt to give me what i could not possibly have own by myself today - education, home, transportation, medical care, etc.

pearlie27 SG

http://www.sgforums.com/forums/10/topics/321909

Hmm.... Sama sama....

Nowadays mod go on strike? Never close similar threads.