Sunday, May 3, 2009

A favourite passage...

Many people concerned with economic development consider Singapore a good example to learn from. There may be a few lessons to learn from my favourite passage, on p381 of Lee Kuan Yew's From Third World to First:

"For nearly four decades since the war, successive British governments seemed to assume that the creation of wealth came about automatically, and that what needed government attention and ingenuity was the redistribution of wealth. So governments devised ingenious ways to transfer incomes from the successful to the less successful. In this climate, it requires a prime minister with very strong nerves to tell voters the truth, that creators of wealth are precious members of a society who deserve honour plus a right to keep the better part of their rewards...We have used to advantage what Britain left behind: the English language, the legal system, parliamentary government and impartial administration. However, we have studiously avoided the practices of the welfare state. We have seen how a great people reduced themselves to mediocrity by leveling down."

This is to all those who are only concerned with "sharing the national cake". The cake must first be baked and the baker must have his reward recognised, ensured and protected!