Singapore 21
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Singapore is a bit like a child who was bullied and looked down on by its peers—it grew up having something to prove.
The insecurities of Singaporean society are a reflection of the insecurities of its founding fathers. And as all deep psychological traumas go, the result is a pathological pattern of behaviour—in this case, the perpetual post-Separation obsession with proving that it can prosper without natural resources and an initial industrial base.
To this end, Singapore has transformed itself into a rentier state in all but name. And the resource that is rented: Human labour. Factories and offices in Singapore are in principle no different from the sweatshops of the Third World, riding on loose or non-existent labour laws and wage legislation that help make the country competitive as a magnet for foreign investment. Politically, in order to facilitate this path of economic development, security and stability have been prioritised over other goals such as democracy and social justice—again, much in the manner of the archetypal rentier state.
What sets Singapore apart from other rentier states that rely on renting its workforce to foreign investors is the kind of industries it seeks to attract. Thus, a significant part of the workforce has to be trained and educated enough to do the kind of work that those industries require, but not in a manner that is enough to enable them to challenge the country's socio-economic trajectory.
That is the essence of Singapore's famous economic and political pragmatism.
However, popular dissatisfaction with its immigration policy and with falling standards in the provision of public services point to a parallel but related trend in the country's political and economic stance.
Even the most diligent of workers may not be able to stomach the fate of forever being a mere cog in the economic machine. Hence, as a form of compensation for their dedication to the government's vision, citizens were promised comfortable middle class lifestyles that were ensured by the provision of subsidised high-quality public services. This is one of the reasons why the government has invested heavily in the country's healthcare and transportation infrastructures—things that are, incidentally, important in maintaining the productivity of the workforce.
This social compact has held until fairly recently. As Singapore increasingly aligned itself with the neoliberal paradigm, however, the old wisdom of labour market liberalisation—which also happens to be a core tenet of neoliberalism—was eventually joined by the move towards the privatisation of state-owned enterprises.
With this move, naturally, came an increased emphasis on profitability, which has been blamed for the fall in service standards in the country's public transportation system, as demonstrated by the recent and unprecedented major disruptions to urban rail services. At the same time, fares continue to increase, which only helps to lend credence to the notion that the privatisation of public transport has not been in the public's interest.
In addition, as an extension of its stance towards the labour market, Singapore is importing large numbers of cheap workers in its continuing effort to keep labour costs low, thereby contributing to overcrowding and adding to the stress on the country's infrastructure.
Thus, Singaporeans can no longer expect the nanny state to take care of them. Now, all we get in return for our hard work and dedication are promises that are no longer backed by concrete socio-economic support structures. We may have been a first-class rentier state before, but now, with increasing income inequality and decreasing welfare, there is less and less to separate us from the neighbouring states we so enjoy looking down on.
Can things change? Perhaps with the aid of the vast sums of public money that is currently given to the government's investment bankers with little or no public oversight. Will things change? Probably not if we are counting on the old guard to make it happen.
Unfortunately, at the rate we are going, change probably won't come soon enough. Add in the uncertainty in the global economy and the prospect of slower growth, and you know we're in for a rough ride.
So, in light of our predicament, let me say this: Welcome to the 21st century, ladies and gentlemen. The worst is yet to be.
So, in light of our predicament, let me say this: Welcome to the 21st century, ladies and gentlemen. The worst is yet to be.
Hi there, really enjoyed reading this article. you have a knack of coaxing the essence of this crazy place that is sg. i was googling rentier state and sg and your post popped up!
thanks! i wanted to write something a little provocative to get singaporeans to think about how they want their country to be, but i'm also aware that change will probably take a long time. glad you enjoyed it.