Categories
Economics Politics & government

[1226] Of Wolfowitz to quit

It is only right:

Paul Wolfowitz is to quit as president of the World Bank following a bitter promotion row involving his girlfriend.

After lengthy talks with the bank’s board, Mr Wolfowitz said he would quit the global lending body on 30 June.

He had faced widespread calls for his resignation after being accused of a conflict of interest over a pay rise given to ex-bank employee Shaha Riza.

The White House, which had backed Mr Wolfowitz, said President George W Bush reluctantly accepted his decision. [World Bank head Wolfowitz to quit. BBC May 18 2007]

Mohd Hafiz Noor Shams. Some rights reserved Mohd Hafiz Noor Shams. Some rights reserved Mohd Hafiz Noor Shams. Some rights reserved

p/s — some of us are still waiting for Anwar Ibrahim to explain his involvement.

Categories
Economics Politics & government

[1223] Of Malaysian budget in May?

Man. It is just May and the Second Finance Minister Nor Mohamed Yakcob has already mentioned the “b” word.

KUALA LUMPUR: Budget 2008 will hand out more benefits to wage earners, Second Finance Minister Tan Sri Nor Mohamed Yakcop said.

He said the Government would ensure that the prices of common consumer items would be affordable and not burden the lower-income segment of society. [Budget 2008 benefits to help lower-income group. The Star. May 16 2007]

This talk of a people’s budget so soon publically is weird. For goodness’ sake, we have not even past the second quarter yet. Talk about forward planning!

Maybe it is a sign that election is coming?

Categories
Liberty Politics & government

[1217] Of there goes Giuliani

Freedom is about authority. Freedom is about the willingness of every single human being to cede to lawful authority a great deal of discretion about what you do.

— Rudolph W. Giuliani, ‘Freedom Is About Authority’: Excerpts From Giuliani Speech on Crime. March 20 1994.

While authority to some extent is desired, ceding “a great deal of discretion about what you do” to the authority sounds wrong.

Well, it is not too hard to strike Giuliani off the list. Bye bye.

Anyway, how well do you know the candidates for the office of the President of the United States of America?

Head over to an NYT quiz to find out.

Categories
Liberty Politics & government Society

[1216] Of a case for organically grown leaders

According to several sources, the Prime Minister’s feet gave way at a function at Lumut. He however has denied such allegation:

LUMUT, May 13 (Bernama ) — Prime Minister Datuk Seri Abdullah Ahmad Badawi denied rumours spread in the internet that he collapsed while attending a people feast and officating Dataran Hadhari at Teluk Batik, Lumut at noon. [PM Denied Rumours Spread In Internet That He Collapsed. Bernama. May 13 2007]

The Sensintrovert claims that RTM confirmed that the PM fainted. TV3 aired something on it but it is not clear on whether the PM actually fainted. Regardless, I wish the allegation remains as mere allegation because the PM and his counterpart from Singapore are meeting at Langkawi later this week. The last thing we need is a weak leader to talk on matters of national interests to the Singaporean. If it is true that he lost his consciousness even for a moment, I sincerely wish him speedy recovery. But what if the PM resigned today for health reason? Or for any reason for that matter?

Just as when former PM Mahathir Mohamed resigned several years ago, I am uncertain who should be the next PM. Mahathir was the only PM that I knew for all of my life back then and the uncertainty revolving around Malaysian political succession was piercing. Even when Abdullah administration first came to power, the uncertainty was still unshakable. The only time there was certainty was before the sacking of Anwar Ibrahim second highest executive position in the country.

This kind of uncertainty arises because the flawed political system our country practices. The practice of gerrymandering prevents organic representation from taking place. Misused of public money, masqueraded as development spending clouds uninformed poorly educated voters’ decision. As if that are not enough, disrespect on individual rights further discourages free flow of information that would allow voters to make informed decision when needs be, especially during election times. All that makes selection of leaders harder than it should be.

Organic political system operates from the bottom. Leaders derive their legitimacy from the people. Such model however is handicapped by imperfections mentioned earlier and that gives a chance for power to be played inorganically. Decisions from the top, while appropriate from time to time given the right context, is unhealthy if practiced frequently. For many libertarians, the fact that such origin of power goes against the idea of spontaneous order is not lost.

At the very extreme, power play from the top could be characterized as dictatorship. While it is common in Malaysia, Malaysia does not fall into a class of autocratic nations such as Myanmar, Thailand, Pakistan, etc. But as far as selection of leadership is concerned, hint of authoritarianism is observable. The current PM himself was appointed by his predecessor rather than being elected by Malaysians from Kedah to Sarawak, from Sabah to Johor.

The inorganic power origin makes creation leaders limited to circles favored by those at the top. Give it time and slowly, a culture of subservient, the fear to criticize leaders is born. In the end, the incumbent number one has a say on everything. Any sign of challenge is dealt with illiberal ways and a perception of no option later proliferates the society. This is especially so when the leaders’ power is not derived from the people. When that is true, there is no need for the leaders to seek consent from the people, similar to Friedman’s First Law of Petropolitics:

What I find particularly useful about Ross’s analysis is his list of the precise mechanisms by which excessive oil wealth impedes democracy. First, he argues, there is the “taxation effect.” Oil-rich governments tend to use their revenues to “relieve social pressures that might otherwise lead to demands for greater accountability” from, or representation in, the governing authority. I like to put it this way: The motto of the American Revolution was “no taxation without representation.” The motto of the petrolist authoritarian is “no representation without taxation.” Oil-backed regimes that do not have to tax their people in order to survive, because they can simply drill an oil well, also do not have to listen to their people or represent their wishes. [Thomas L. Friedman. First Law of Petropolitics. Foreign Policy. May 2006]

Even if such system practices meritocracy, it is only practiced in a limited manner, limited to favored circles. Leaders are inorganically grown and do not have the necessarily qualifications as typically seen in the industrialized world. There is a dearth of high quality leaders exactly because the system does not create too many high quality leaders. We cannot choose when there is no option.

With a better system that pays respect to individual rights — libertarian values — leaders could be organically grown, which only those among the best would be elected to hold power. Choices would be aplenty as each section of the society elects their own leaders, able to practice their individual rights, unsuppressed by illberal powers.

With a better system, one would not have a problem to answer, if our PM resigns today, who would succeed him. In a better system, choices, if not immediately apparent, it would be soon enough. That system is liberal democracy.

Categories
Politics & government Society

[1210] Of the self-doubting Malays

Drugs is a marvelous substance when consumed with care. Among other things, it heals illnesses, relieves pain and gives us the extra boost we might need. The more adventurous use involves psychedelic pleasure. Taken with moderation, it is all that and more. Taken excessively, it is a poison that wrecks life. In parallel, the Malaysian New Economic Policy (NEP), an affirmative action policy, is very much like drugs to the Malays.

Though discriminatory and perhaps, flawed in its rationale, to a certain extent it eliminated race as an economic function. The NEP coupled with other policies reduced poverty and created a large middle class in the country. Above all, it guaranteed political stability and paved the way to later prosperity. That however was then. The NEP is a specific policy designed in the 1970s to rise up against the challenges of that time. Despite officially ended in 1990, the policy in actuality outlives its supposed end date, well into a new age that provides new challenges.

While the policy had its successes, its side-effects cannot be ignored. The discrimination it introduced excited the Malaysian diaspora. Those that did not benefit from the NEP and further marginalized by the same policy migrated away to other countries that offered better and fairer economic opportunities. Malaysia was bleeding the talents that it needed for modernization. The trend continues till today, as with the policy of the 1970s.

Months ago in one of the tallest buildings in the world, overlooking Kuala Lumpur, a consultant told me that at some point, the NEP has made the non-Malays stronger while weakening the Malays. I agreed with him even before he explained himself.

The privileges enjoyed by the Malays made them complacent while the rest had to endure obstacles placed for the sake of the Malays. The restriction taught the non-Malays the survival skills they needed in the face of discrimination. They learned how to become fiercely independent economically while the Malays continue to be fed by a policy designed to save them in the first place. Nietzsche wrote that which does not kill you make you stronger. He is right.

Years turned into decades and now here we are with the drugs strongly ingrained in our society. What was a privilege then has now been demanded as a right. The majority of the Malays have become so dependent on the policy that they are addicted to it. A drug addict would have to overcome a withdrawal symptom to be free. Most Malays would need to do the same in order to be truly free.

There are Malays that do not need the NEP to survive. There are those that manipulate the NEP for unfair gains. While these groups deserve the disgust some give them, we cannot overlook those that sincerely believe in how the policy is linked to their destiny. To many Malays, years of dependency have eroded their self-confidence.

Not too long ago, I had supper with two friends. One is a Chinese and another is a Malay, of whom I had been introduced to just hours earlier. At the coffee shop, one thing led to another and NEP became topic of the moment.

The Chinese friend questioned the NEP and the Malay defended it. I, half asleep, decided to stay out of it. The debate went on and at one point, the Malay friend said something to the effect that the Malays are incapable of competing against the Chinese in Malaysia.

I, whom was already bored, observing how the same argument was being repeated here, immediately awakened, felt grossly insulted by the comment. I had wanted to reply but already under assault by the other person, I felt pity for him and decided to let it pass. The day ended peacefully soon after.

That incident statement excited the cogs in my mind, asking is this really a question of self-confidence?

In the self-doubting Malay friend’s mind, the NEP is the only and the best option there is in this world. A majority of the Malays might share his sentiment. After all, how could the same side win over and over again if the majority did not believe in such defeatist mantra of insecurity?

The truth is, there are better options. But the question is not whether there are option. The question is how do we convince these Malays.

The first step in undoing the NEP is to offer hope to the majority of the Malays. We need to provide reason to have confidence in themselves. Show to them how one could be successful in life without the NEP. We must convince these groups of Malays that do not need the NEP to succeed in life. We need to show that that others have succeeded without the NEP, that the others have succeeded despite discrimination.

This particular group is the key to a better society. If this group is won over, the dream of a fairer society is one step closer.