An economics professor who has been sitting in his little castle for too long. Yes, there will be less VISIBLE abject poverty as countries develop, but poverty will exist WITHIN developed economies as the rich-poor gap divide increases.
I can't believe taxpayers are paying for this turtle and horse talk.
Updated 10:10 PM Oct 19, 2012
by Neo Chai Chin
SINGAPORE - It is only a matter of time before the world eradicates extreme poverty, economics professor Lim Chong Yah - one of Singapore's foremost economists - declared today to an audience of some 200 economic experts and guests from around the world.
Many economies in the world are developing rapidly, and in two or three decades, there will potentially be none or very few countries in the pre-industrial phase, said Professor Lim, who was delivering a keynote address at International Convention of the East Asian Economic Association.
The convention was co-organised by Nanyang Technological University's (NTU) Division of Economics and the East Asian Economic Association.
Dubbing low-growth, low knowledge-base economies as "turtles", Prof Lim said that their numbers will dwindle, given how more of such economies are morphing into "horses" through industrialisation, higher savings and investment, as well as growing of their knowledge base.
Prof Lim, who is the only Emeritus Professor of economics at both NTU and the National University of Singapore, also noted that despite its problems, the world economy is still growing about 3 per cent per year. Many countries that were by and large not plugged into the global economy, such as Myanmar, are opening up, he said.
"When the economy is growing very rapidly it means there will be a lot of jobs available, more job opportunities are created," he said. This means the number of people who are malnourished and without access to proper medical care "gradually will disappear", Prof Lim told reporters at the sidelines of the convention.
About 870 million people are estimated to have been undernourished between 2010 and this year, according to the United Nations' Food and Agriculture Organisation.
Prof Lim said Singapore - with average growth of 6.4 per cent per annum over the last decade - is considered a "horse" economy. But had it not attracted more foreign investment and foreign labour in the last five to ten years, the Republic would now be an "elephant" economy characterised by low growth, low savings and investment, high knowledge base and in the post-industrial phase.
He noted that the Government is moderating the influx of foreign labour. Asked how growth would be affected, he said this would depend on the pace of moderation and discretion when it comes to which foreign workers to retain.
Singapore has to recognise that like all affluent societies, it is difficult to grow at "horse"-economy rates of 5 to 10 per cent annually.
But to keep growing at a "respectable rate" of 3 to 5 per cent per annum, Singapore must keep its investment climate favourable and invest in its people. This, the Government is already doing by establishing institutes of higher learning in hard sciences and technology and championing tripartism and industrial harmony, he said. "We should continue to invest in talent (and) attract talent we don't have from abroad. That will make our economy and society much more dynamic, vibrant and competitive."
URL http://www.todayonline.com/Hotnews/EDC121019-0000176/Economic-growth-will-spur-end-of-abject-poverty--Lim-Chong-Yah
