Tuesday, June 10, 2014

What caused the high cost of living in Singapore?

Singapore has become one of the most expensive cities in the world. We did not achieve this dubious distinction from nothing. There are a few important factors.

1. Top most must be the high cost of properties. This has its multiper effect to all parts of the economy, affecting housing, commercial rentals and even the rentals of food courts!

2. The high taxes collected from vehicles, goods and service taxes, levies and other fees.

3. The high prices charged by many large companies that are mostly owned by the government.

4. The wastefulness and inefficiency of the way that we do our business or carry out our activities, due to an excessive and impractical cautious approach and a disregard for cost.

I have made many observations in the social media. Sadly, most Singaporeans are used to the inefficiency and wastage and consider it to be "acceptable".

Well, it is one important factor leading to the high cost of living in Singapore.

http://c-onyx.com/page/1876

1 comment:

michael13 said...

To sum up the root cause of high cost of living in Singapore: "Lack of macroeconomic management. The right hand doesn't know what the left hand is doing."

One simple example. I remembered that the COE system started implementing in 1990. The original objective was to control car/vehicle population and to keep/maintain its annual growth rate at 3% or less. Traffic jam means lower productivity. But today, this social/economic objective is replaced by money printing machine (the ridiculous sky-high COE prices). Ask ourselves one honest question: "Is our current traffic condition much more smoothly and the driving becomes much more comfortable and enjoyable especially during the peak hours?"

"Honesty is still the best policy" if the government truly wants to convince NOT to confuse the people. Finally, the good attitude counts. No more, no less.

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