Yesterday, the Straits Times had an article on class divisions. The article attempts to conclude something that we already know – There are class divisions in Singapore.
The journalist did not explain why these class divisions exist, so it falls on the financial blogger to do so.
a) Freedom and Equality are trade-offs that every society makes.
No society gets this trade-off right to the satisfaction of all its citizens. On one hand, we want to the freedom to apply our talents to become the best that we can be. On the other hand, we also want a certain measure of equality between all citizens.
Singapore has made a brutal choice between Freedom and Equality and we’ve largely chosen freedom : That is the freedom to accumulate wealth and the freedom to be rewarded based on merit. This has resulted in a low tax regime with an education system …