September 29, 2008

The Truth About the Malaysian Economy?

Malaysians seem particularly blind to the problem of income inequality in our society. It is not a commonly known fact, but according to the *Gini coefficient, which is a measure of income inequality, Malaysians have a wider disparity of income than other basket cases in the region like the Philippines.

In case you’ve just returned from planet Zartok and haven’t yet noticed the state of the Malaysian and Global economy, you’d better get over the jetlag and literally come back down to earth. The Global economic meltdown plus income inequality are surefire ways to set things off, if it hasn’t yet happened.

The true problem with income inequality is that it generally indicates a lack of economic opportunity. Poverty is a problem which cuts across all races, across all communities. There is a reliable economic case to be made for fighting poverty.
There are also people who readily buy into this worsening economic hell saying, “What to do?” It’s not my fault that I am financially incapable. I come from a poor family, and I didn’t get the chance to study abroad or get a university education like so many others.” Then there are those who do come from rich backgrounds and who have attended university but chose instead to be useless slackers – but yet have jobs and seem to go on to drive flashy cars and penthouses that overlook the little people.

This is what is it. Bow our heads in shame because as Malaysians, we should be ashamed not just that we have worse income inequality than the Philippines, but that in our society, which family you are born into is such a strong determinant of what you will grow up to be. That doesn't have to be the case, and it should not be the case.

Note: (from Wikipedia): The Gini coefficient is a measure of statistical dispersion most prominently used as a measure of inequality of income distribution or inequality of wealth distribution. The Gini coefficient is also commonly used for the measurement of the discriminatory power of rating systems in credit risk management.


eb said...

the mind set of 'I am financial incapable' should be abolish. Rakyat also should stop relying on HELP from Govt and NGO to get financial aid unless you are hit by unforseen disaster.

As long as you are capable physically & mentally to earn money, find the way, otherwise, you will be another beggars flooding the city.

holdencaulfiedwashere said...

We are very good at taking care of other people's backyards, but let out own grow wild and unkempt. Good one.

cRayOnGaL said...

Yupe. Also, kids nowadays are too well pampered by their parent. There will be no concern as long as the parent is always there to "back up"...

hl said...

Those who do come from rich backgrounds and who have attended university should appreciated whatever opportunity they had. However, it's been very sad to keep seeing those people are wasting thier time and not fully utilize the their capabilities to do their best and contribute back to the society.