All indications are rates will stay low for now, credit continues to be easy to keep things afloat.
Subsidies will be reduced, inflation accelerates.
Gomen will be forced to do what other gomens do - increase money supply. Already in action.
That's one reason why they are so hyped up over Sg Buluh/RRI land dev and the 100s tower - creating money at the stroke of a pen.
And print more money if required.

Daily items prices will go up, people will feel poor. Home prices will go up too - until a point where you need to decide - to upgrade to high price home and eat roti kosong everyday or stay put, forget upgrading to spend the stagnant income you have on better food and kids' schooling. Then, home prices will stagnate or ease.

One way or another, it will get nasty for the lower-mid income group. Unlike other countries with higher and increasing incomes, my with low-stagnant incomes and a large not-so-productive group employed by gomen will soon have a rough time. The world does not give a handicap to a poor and/or unproductive nation that spends a lot using credit.

This post has been edited by AVFAN: Dec 12 2010, 10:47 PM

Well said. It is a caution to:


The right to invest in anything does not entail a right to fair play and assessable risk info. This is how the big boys make their $ - from the smaller ones. One need to be very clear what one is doing at this time.