How truthful is our Annual Budget 2008?
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QUOTE:
“Greenspan says U.S. “on the edge” of recession
By Anna Driver and Eileen O’Grady Reuters
Published: February 15, 2008HOUSTON: Former U.S. Federal Reserve Chairman Alan Greenspan on Thursday said the U.S. economy is “clearly on the edge” of a recession.
Greenspan said the economy will continue to erode until there is a stabilization of U.S. housing prices.
“We have a long way to go” before housing prices hit a bottom, Greenspan told energy executives at the CERA conference.
High oil prices are dragging on the economy, but the fact that they haven’t done more damage shows its resiliency.
“It’s a burden now,” Greenspan said. He added that it’s “quite remarkable” that the U.S. economy is “able to do reasonably well” with oil prices near historic highs.
Crude oil futures hit above $95 a barrel on Thursday and went above $100 in early January.
Greenspan again — as he had last month — said that the likelihood of the U.S. economy going into recession was “50 percent or better.”
He said the U.S. economy was growing at “stall speed.”
“Stagflation is too strong a term for what we are on the edge of,” Greenspan said.
The subprime mortgage crisis would already have put the United States into recession if U.S. businesses weren’t healthy in part as the result of years of low interest rates, Greenspan said.
“If businesses weren’t in extraordinarily good shape, I have no doubt we wouldn’t be asking if we’re in a recession, but how long and how deep,” Greenspan said.
“Obviously, they (businesses) are not pushed for credit,” said Greenspan.
Banks have cut back lending and will continue tight controls on borrowing until housing prices backed by subprime mortgages stabilize, said Greenspan.
Greenspan made his comments in response to questions by Daniel Yergin, chairman of CERA.
Greenspan said he would like to see additional use of electric cars.
Nuclear power makes the “most sense” to increase U.S. power generation when all trade-offs are weighed, he said. “We have to use nuclear,” Greenspan said.
He said more discussion is needed before any “cap” is created as part of a U.S. cap-and-trade carbon program.
A carbon cap would likely lead to lower economic activity and higher unemployment if one were set before emissions-cutting technology is widespread, Greenspan said.
Greenspan said he doubted that technological advances will solve the problem of growing carbon dioxide emissions.
“If you don’t have a significant amount to trade, a lot of people won’t be able to trade and won’t have the energy they need,” Greenspan said.
(Additional reporting by Erwin Seba in Houston; writing by Bernie Woodall; Editing by Gary Hill)”
UNQUOTEStudy how Greenspan will resolve the many economic and social problems as compared with our own Finance Minister’s perspective.
For years we have seen our Finance Minister’s speeches in parliament during presentation of annual budget. It is a partial budget based on Incomes & Expenditure concept without revealing huge capital gains and extraordinary profits made by all corporatized basic services which stayed concealed year after year giving a distorted view of our surplus or deficit.
Now let us look at the annual incomes and expenditures for 2007 audited account again. Has it contained the Billions chalked up by state land sales, HDB flat sales, JTC land/property sales, URA and LTA sales and all the proceeds from transfer of people’s assets of lands and infrastructures taken over by GLCs upon corporations or privatizations to withhold or cut down government tax spending on basic services to the people?
The extraordinary capital gains made by SLA, HDB, URA have amounted to some $6 billions as reported sometime in 2007.
Has this figure been included in the bottom line of the annual budget?
Singapore government’s traditional annual budget is so far at best a white-wash or window dressing or creative accounting like NKF has done and is not something really creative or strategic enough to drive the economy.
It is reactionary responding to criticisms and trying to patch up unhappiness a bit here and a bit there with a bit of goodies.
To solve the perennial rising costs of living and the stagnated median wages for prolonged periods now since the 1997 financial crisis it is time for our new Finance Minister to present his annual budget reflecting the full incomes with information showing cuts in spending on essential government services due to corporatisation so as to make the tax burdens less onerous and more sustainable (since basic services are progressively passed to GLCs charging full market fees) for the longer term.
The whole Annual Budget should be transparent and not hide any hidden profits or extraordinary gains made by SLA or HDB due to double-charging on lands and infrastructures already paid for by citizens with past tax monies.
Try to eliminate all the hidden profiteering schemes through GLCs put in place by previous government under LKY which so far GCT nor LHL has failed to solve.
Government is elected to serve the people and solve their problems of living, working and competing for a job in this world.
Establish a people-centred annual budget to address root causes of our problems.
Do not hide profits made by SLA, HDB or URA from lands and infrastructures and assets already owned by them and funded by taxes.
Do not double-charge on lands and assets in respect of basic services like medical care, transportation, utility, telecommunication, public and welfare institutions.
Adopt a master economic planning strategy as recommended by Greenspan to save on energy bills and maximise our surpluses to benefit our job creations rather than giving away jobs to UBS or Citibank or Shin Corp.
existing resources to help save costs of operations and off rising inflation and energy costs.
Pass back all such savings including returns from surplus investments and plow back such profits in the form of endowment funds to prevent any further over-taxing and back-charging and under-spending thereby stalling our economic competitiveness.
Since ministers are being paid fullest market salaries (for bill collector jobs) the government should do away with their life pensions which will be a great burden to the people.
As long as the median income is stagnated at around $2000.00 pm, ministers and civil servants should not rely on artificial arbitrary devices like NWC or their own parliamentary votes to increase their salaries by 7-14% as clearly people are being left behind as against the PAP election manifesto or our national pledge.
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how does abolishing the estate duties helps the poor? how does GST helps the poor?
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"Oh, all are stored into the country's reserves"
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Originally posted by Lin Yu:
how does abolishing the estate duties helps the poor? how does GST helps the poor?
The poor KY dying soon, so by abolishing estate duty, there will be less charge when his poor children take possession of all the assets.
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It's very truthful.
But truth can be twisted.
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Originally posted by maurizio13:
The poor KY dying soon, so by abolishing estate duty, there will be less charge when his poor children take possession of all the assets.
...damn, bro... you're good! -
read the newspaper on the budget today?
first, they announce fees increase for Uni, then they offer help by means of busaries
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Originally posted by maurizio13:
The poor KY dying soon, so by abolishing estate duty, there will be less charge when his poor children take possession of all the assets.correct.. and 5 yr later... they will offer dual citizenship.... cos his grandchild all wan to stay in US already what...
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Originally posted by Lin Yu:
read the newspaper on the budget today?
first, they announce fees increase for Uni, then they offer help by means of busaries
As usual.....what kind of safety net is this? -
Originally posted by eagle:
"Oh, all are stored into the country's reserves"
That's like building a car so strong it'll survive any crash... but the people inside all dies. -
Originally posted by HyperFocal:
...damn, bro... you're good!KY & wife has lotsa assets, when he & she dies, they can leave lotsa money to their children and grandchildren if they scrap estate duty now.
Repealing the Estate Duty Act favours the super-rich, because current exemptions are already up to $9 million for property and $600,000 for CPF. It is not beneficial for serfs like us.
I wonder how many billions is KY worth, since current exemptions are already close to $10 million.
(4) Subject to this section, estate duty shall not be payable, in the case of a person dying on or after 28th February 1996, to the extent of —
(a) the amount prescribed of the aggregate value of the deceased’s interest in a dwelling-house or dwelling-houses, whether occupied by the deceased or not;
(b) $600,000 of the aggregate value of all other property, including any interest in any dwelling-house which does not qualify for relief under paragraph (a); and
(c) the excess over $600,000, if any, of the aggregate amount standing to the credit of the deceased at the time of his death in the Central Provident Fund or in any designated pension or provident fund except that no contributions (and the interest thereon) made by the deceased —
(i) on or after 1st April 1982 to the Central Provident Fund or to any designated pension or provident fund; or
(ii) on or after 1st August 1986 to the Central Provident Fund on his own account while carrying on a trade, business, profession or vocation,
shall qualify for relief under this paragraph unless the contributions were deductible by the deceased under section 39 (2) (g) or (h) of the Income Tax Act (Cap. 134),
and the amount thereof shall not form part of the principal value of the estate chargeable with estate duty of any deceased person.
(8) In this section —
"amount prescribed" —
(a) in relation to a person dying on or after 1st April 1979 and before 1st January 1981, is $200,000;
(b) in relation to a person dying on or after 1st January 1981 and before 1st April 1984, is $600,000;
(c) in relation to a person dying on or after 1st April 1984 and before 28th February 1996, is $3 million;
(d) in relation to a person dying on or after 28th February 1996, is $9 million;
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Not surprising this post was removed by the moderator of Forumsasiaone without any explanation.
Perhaps the Straits Times editors or chief executive or chairman cannot face up to their superior for allowing such post in its official website as foreigners might come to know that our annual budget does not contain full information or true profits and gains made by the government.
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robertteh,
on your point about Govt hiding the revenue from land sales somewhere, suggest you read the response given in the 2007 budget wrap-up, esp. pages 5 and 6.
http://www.mof.gov.sg/budget_2007/budget_speech/downloads/FY2007_Budget_Debate_Roundup_Speech.pdf
Issue of revenue from land sales was brought up by Opposition politicians.
In gist, the Govt is not hiding revenue from land sales. Rather, revenue from land sales are channelled directly into the Presidential reserves. Govt cannot touch these reserves unless President gives consent. As a result, revenue from all the land sales last year does not go straight into the operating income of the budget.
Opposition politicians have disagreed with this conservative approach. The argument is that revenue from land sales, or at least some of it, should go into annual operating income for Government.
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Originally posted by onlooker123:
robertteh,
on your point about Govt hiding the revenue from land sales somewhere, suggest you read the response given in the 2007 budget wrap-up, esp. pages 5 and 6.
http://www.mof.gov.sg/budget_2007/budget_speech/downloads/FY2007_Budget_Debate_Roundup_Speech.pdf
Issue of revenue from land sales was brought up by Opposition politicians.
In gist, the Govt is not hiding revenue from land sales. Rather, revenue from land sales are channelled directly into the Presidential reserves. Govt cannot touch these reserves unless President gives consent. As a result, revenue from all the land sales last year does not go straight into the operating income of the budget.
Opposition politicians have disagreed with this conservative approach. The argument is that revenue from land sales, or at least some of it, should go into annual operating income for Government.
We are lucky that there is a president to protect the reserves.
Really.
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i read in IHT yesterday tt DBS will make an official statement on it's sub-prime exposure soon so the new group CEO can have a clean start. IHT implies it is worse than it seems. i think tt cld be the reason by Jackson Tai got shipped back to the US. i dun really follow DBS development, not sure if it is true. any news from DBS? i am overseas now......
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Originally posted by charlize:
We are lucky that there is a president to protect the reserves.
Really.
Go run for President lah. Pay is more than PM. People here might vote for you :> -
Originally posted by onlooker123:
Go run for President lah. Pay is more than PM. People here might vote for you :>You must be new in sgforums.