From: othman@ntrc25.ntrc.ntu.ac.sg (othman (EEE/Div 4))
Newsgroups: soc.culture.asean
Subject: Re: Developed? Must have unemployment benefits!
Date: 8 Jan 93 09:34:31 GMT
Organization: Nanyang Technological University - Singapore
X-Newsreader: TIN [version 1.1 PL6]

Kyle Hor (khor@bnr.ca) wrote:
: Does Japan have unemployment benefits?  This is a question, not a
: challenge, as I honestly do not know.

Yes but only if you have an address so the homeless cannot receive any
social security help(fortune magazine).

:  
: |> ALL RICH PEOPLE SPEND A LOT OF MONEY                                      
: |> ALL POOR PEOPLE SPEND LITTLE MONEY                                        
: |> THEREFORE, IN ORDER TO BECOME RICH, ONE SHOULD SPEND AS MUCH MONEY AS
: |> POSSIBLE:                                                                
: Interesting.  I should start changing my lifestyle to become rich :) :).

Well you may succeed. What is richness anyway?
You may have a lot of money(in shares or assets) but if you cannot spend it
are you rich?

In an inflation economy which is the case in modern economy, it is better to
borrow and spend than save money. So someone who keep spending will in the
end become richer and richer whereas someone who keep on saving will
become poorer because his saving will decrease in value and is non-productive.
Money is just paper after all if not converted to goods to be used.

Actually I did not think much about this observation because it is not 
relevant. I'm not talking about spending money, I'm talking about 
unemployment benefits. There are subtle differences.
	But then these facts will be used against me and I'm afraid I'm 
caught but will think more about it but the current explanation put
forward about unemployment benefits fall flat on its face when confronted
by the German unification experience, which is why I dare to put forward
my controversial comment.
:  
: |>  There is one slight difference between CPF and unemployment benefits.
: |> Namely, you spend CPF on yourself. In the case of unemployment benefits,
: |> the government spends your money on someone else. A mere bagatelle, I
: |> know. After all, who cares about money?                                  
: |> : 
: No it is not trivia.  You hit the nail right on the head.   People
: receiving unemployment benefits are reluctant to go back into the
: workforce unless the pay is more attractive than the unemployment

What is the point of going back to work if you are engaged in a non-productive
manner. Refer to german experience.

: benefits.  Why not get fed for not working. Also attractiveness is not
: merely a measure of direct $$ received, but other things like taxes,
: other social benefits that get tagged along, and time to pursue your
: own interest or moonlight.
: 
: If it comes from one own's CPF, it is 'finite' and can deplete real
: fast. An incentive to go back into the work force.

What makes you thing the government coffer is unlimited? If there is too 
many people become unemployed, the amount received to each one will be reduced
somehow either through currency devaluation(inflation) or giving less to each
person.

:  
: Unemployment 'feedings' has lead countries to have a artificially
: higher labour cost than it should and make it less competitive.  (I

Are you saying that the west german salary is artifically high compared to
the east german salary?

	
: know it is not the only reason but it is one of them).  I'm sure that
: the forces in Singapore are aware of this and therefore had not
: blindly followed the "developed nations" example.
Are they successful in joing the super league with the current low salary?

Maybe I should start a thread called "how to achieve US $20k per capita"
which I believe is the level to be achieved to join the super league.


--
Othman bin Ahmad, School of EEE,
Nanyang Technological University, Singapore 2263.
Internet Email: eoahmad@ntuix.ntu.ac.sg
Bitnet Email: eoahmad@ntuvax.bitnet
Newsgroups: soc.culture.asean