Wth?! In the IVLE Forum:


A: Hmmm...im quite doubtful that the package is really gonna offset the impact of the GST hike on the poor and elderly. But i guess its something the government has to do in order for Spore to maintain at a competitive edge?

I was wondering if there is anyway measures other than a GST hike that could help close the income gap and finding different sources where the government can tap to increase government spending, cos i don think we want to have a few % increase in GST once every few years.Of thats the case, we will be approaching where the Scandanavians are today very soon!

Me: GST increases the income gap.

Scandinavia has a high tax rate, but they also have a splendid welfare state: http://waynesoon.blogspot.com/2006/11/first-world-taxes-without-first-world.html

B: Scadinavians design nokia phones, but we make plastic phone covers and silicon chips. we don't deserve and we can't earn as much as them. i mean even their old folks go for computer lessons to upgrade themselves after retirement, but ours only know how to buy 4D and drink kopi.

Even if we have the same income tax rate as them, their tax revenue will still be much higher than ours . so of course they can have a 'splendid welfare state', furthermore, such a state can only be achieved gradually, we are nowhere near that stage yet.


Must... resist... the urge...

Maybe after I finish Problem Set Modigliani.