CHRONOLOGY of government fee increases and effects on jobs
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Reserve US$130 billion ....budget surpluses $2 billion per annum..off-budget surpluses (HDB, JTC, LTA etc( $1 bil per annum..
Government runs the country like a private business corporation:
(1) Sell services to people at full market values and
(2) Charging back (only monopoly has such power in free market) all wage or material cost increases...resulting in pushing fees over the original market prices...to inflated market prices.
Taxes paid are under-utilized, departments and ministries over-spend on over-allocated budgets causing wastages.
Over-paid taxes accumulate as surpluses and go into reserves..reaching US$130 billions in 2005.
HDB acquired lands at cheap prices under the Land Acquisition Act but handed over acquired lands to state land office which then sells back to HDB at full market prices with a bit of discount to look good.
HDB keeps quiet about the cheap land prices originally paid for using power of acquisition but nevertheless sell the HDB flats at full market prices like private developer in way way over the construction and land costs. Instead of telling the truths in parliament on such lower land costs and making of huge profits due to the fact that lands were paid for by tax payers, HDB gives a bit of discount to claim it has given a subsidy...as a result HDB flat prices were pushed up from $7,800 (3 rm) in early 1970s to $150,000.
Through creative accounting, MOH also charges full market prices for essential medical services above costs of lands and fixed asset costs paid under taxes (not revealed) but claim it subsidised medical fees or has kept them affordable.
If government does not have the monopoly in the first place many of its services will have to face closer a long time ago due to inherent inefficiencies, e.g. over-staffing and excessive promotional structures where even car park are run by officers at super-scaled salaries a ridiculous situation as compared to private car park operators who engaged officers at 1/3 of car park superintendent's salaries.
Through systematic corporatizations, and monopoly powers e.g. utility, medical, educations, policing, housing, many services were corporatised into GLCs and through the GLCs operating as private companies higher fees were charged up to full market prices.
One such corporatised government service e.g. MediaCorp/Mediawork ran into heavy losses due to unsustainable fees due to internal inefficiencies in 2002 within 2 years of corporatisation proving the fact that in the real market environment (not monopoly), government departments trying to increase fees in one-sided manner like HDB will lose monies and have to be forced by market to close shops..like what Mediacorp has discovered in 2003.
So by charging market prices for housing, medical and essential services and charge-back of all cost increases, government is building up the bigger time bombs more than what minister Ng is claiming WP is doing in the form of highest market prices and inefficiencies of government. All the citizens' taxes become idle monies or accumulated as surpluses and go into reserves.
Reserves can be used to benefit the citizens e.g.
(a) creating jobs
(b) lowering high costs of living and doing business or
Reserves can also be used to benefit others e.g.
(c ) salary increments for ministes and year-end 3-8 month bonuses of ministers..or
(d) more projects like 7 wonders or upgrading of flats to win votes.
MARKET REACTIONS TO PRICE INCREASE:
HDB tried to withdraw rental rebates in 2001 during recessions on inflated shop rentals ...claimed to be rebates deserving taking back.
Whole neigbbourhood shops closing down...in large nos. 4,000 of which are in arrears of mortgage payments.
HDB saw the political time bombs caused by their market-pricing policies in the form of deserted or failed shops and mortgage debts ..proving once again that price increases by HDB has let to reduced spending causing job loss of jobs and running down of the economy.
JTC which had to see the same thing happening to cause foreign companies to close shops acted differently proving that HDB didn't bother
HDB flats increase from $7,800 (3 rm) to $150,000 through creative accounting but minister said HDB flats will be kept affordable.
Utility tariff increases, ..ministers said they will be kept affordable.
HDB flat and shop prices were over-priced as can be seen from the lower resale prices causing heavy mortgage debts and CPF losses by citizens but ministers still said their prices are subsidised and will be kept affordable even if HDB were forced to hold large stock of unsold flats.
At this election time, people should ask ministers to change their MANIFESTO on two issues:
(1) whether government is elected to charge citizens FULL MARKET PRICES OF GOVERNMENT AND MONOPOLY CHARGE BACK COST RECOVERY and get all the ministers to answer such questions.
(2) whether government is elected to keep the tax monies for their own purposes of salary increments and higher bonuses or create jobs and lower costs of living.. -
Not only jobs, education also. I can't believe that they give the same reason every time when they increase the fees.
Costs are going up, so fees go up also
that's the reason they give. -
How much is schools fees per month for secondary school?
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I am referring to polytechnic fees. I have forgotten secondary school fees liao. Over $20 or over $40. Can't remember if it's every 3 months or every month.Originally posted by Salman:How much is schools fees per month for secondary school? -
How much were the internal inefficiencies like over-staffing and over-inflated super-scaled salaries of ministry officers when private sector scales were 1/3 of the ministries.Originally posted by Salman:How much is schools fees per month for secondary school?
How many layers of promotional jobs do you want to create to give self-rewards to all the ministry seniors and principals and senior principals when private educational institutions only pay 1/3 of such salaries to keep secondary school fees competitive.
If ministry's seniors and principals and senior principals are to be outsourced school fees do not have to go up again and again. All the fee increases are caused by inefficiencies which will be corrected the moment ministry jobs are outsourced. When HDB/URA wer forced to outsourced due to heavy losses their car park superintendents and super-scaled car park officers were replaced by reasonable lower-paid officers with greater efficiency of the private operators. -
So how much is the monthly secondary school fees nowadays?
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Tell you can't remember liao. No point harping on this issue. Just say what you want. I really don't get what you want to say.Originally posted by Salman:So how much is the monthly secondary school fees nowadays?