Jul 24 2012, 08:45 PM
QUOTE(gark @ Jul 24 2012, 01:40 PM)
When Euro loan too much and cannot pay their debt, we say they are lousy and irresponsible. Their money worthless, fiat money, lousy economy etc etc. But when they are enjoying those debt (given as handouts by politicians), no one says anything and their praise their govt.
Now Malaysia is doing the same thing with our govt going heavily into debt (currently our 2012 budget is -7% of GDP), by giving all kind of subsidies, 1Malaysia handout, even taxi tire subsidy, we are not saying anything also? Later people will say the same about Malaysians and their currency and compare them to EU.
So lets not say bad about other's fiscal responsibility until we can manage our own.
If look through the list, for eg the website below, most countries are in deficit. Even countries like USA, UK, Japan etc.Now Malaysia is doing the same thing with our govt going heavily into debt (currently our 2012 budget is -7% of GDP), by giving all kind of subsidies, 1Malaysia handout, even taxi tire subsidy, we are not saying anything also? Later people will say the same about Malaysians and their currency and compare them to EU.
So lets not say bad about other's fiscal responsibility until we can manage our own.
http://www.gfmag.com/tools/global-database...l#axzz21XbqlYs0
Whereas the countries in Euro, eg Greece cannot even pay their bills if they don't get the next round of loans.
Therefore comparing the troubles in Euro to Malaysia or any country in deficit is like comparing apples and oranges. Or durians and rambutans, whichever you prefer.
Don't get me wrong - I'm not defending, nor condemning the actions of this government as running a deficit is NOT necessarily a bad thing, just like a company with debts is not necessarily a bad thing. But this topic would easily take up another forum section all by itself and more. And it's not my point.
The point, which you missed altogether, is the fact that the Euro is grouping of different countries tied by a common currency, but not the fiscal or political responsibilities. For eg, if Greece had its own currency, and given its problems, it would have (1) defaulted, or (2) devalued it's currency long ago. But it can do neither, because the Euro is not for it to do as it pleases. And therein lies the problem.
So no, I wasn't talking about simple deficits.
Added on July 24, 2012, 9:14 pm
QUOTE(gark @ Jul 24 2012, 02:56 PM)
You do realize that EPF is using YOUR money to boost the share market so that YOU feel good right? 
It's not just a case of feeling good. The value of your investments have gone up as well, in real value.On the other hand, what do you think the downside(s) are?
This post has been edited by howszat: Jul 24 2012, 09:14 PM
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