Saturday, October 07, 2006

The Truth of Economics - Differences With No Sides

The subject Economics is a theoretical subject . It is a subject that holds true to the principles of law and demand . The truth of Economics is kept within a boundary of assumptions of course , if you study the subject .

By analysing all factors of policies , supply and demand , etc , we put in a logical explanation to the effects of each action . And these resultant are based on assumptions that many times hold many things constant , ceteris paribus .

The analysis of economics cannot be a Bible or Quran for our daily lives . This is simply because Economics are a set of theories and we analyse each case so distinct that it does not apply in the real world .

There are many great leaders in the world who have and had different opinions on economics . Some did not obey the principles of economics and yet excel to bring glory to the nation .

To begin with , Dr Mahathir with his Mahanomics . Dr Mahathir disobeyed IMF’s “tablets and syrups” prescription . Thankfully , he steered us through from the crisis in 1997 . We did not face huge interest bills like Thailand and other SEA countries .

Look at Thailand . Not everyone agrees with me that Thaksin Shinawatra is a capable leader .

He is so good that I believe he is a new force in SEA . But his only mistake was high level of cronyism though that was not the turning point .

Upper class Thais were irritated with his sale of Shin Corp to a threatening pest called Temasek Holdings .

That caused an uproar as it is a national security threat to sell the firm . But besides these , you should read more on Thaksin . Thaksin not only delivered goodies to help the poor , but he taught them how to fish and gave them rods and baits to carry on with life .

Thaksonomics wasn’t that bad either . If the world condemns him , I can understand that . But why adore and praise Robin Hood then ? Thaksin is just another Robin Hood . If he did not feed the upper class people while giving out to the poor , the upper class group would have never agreed with his party and policy .

For a win-win situation , he had to “adopt friends in business and politics” to ensure the smoothness of his low income enrichment policy .

Thus , to comment on another person for having not an economic sense , would that be a case of reflection of the mirror ? Economics are there for everyone to debate , and again , there is no right or wrong , it is just different .

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