Tuesday, February 24, 2015
Budget 2015: Comparative wages
I haven't had time to read Tharman's speech. Perhaps this afternoon, but this chart through flipping the paper quickly caught my eye this morning. What hit me immediately is that when we compare ourselves against Japan, it is going to be really hard to grow wages. On balance the SGD must weaken quite a bit more. I don't expect Japan to pull ahead giving us room to chase them. Such is the sad situation they are in today.
A lot of problems come, and you feel yourselves hitting the glass ceiling when the economy cannot grow faster. People here underestimate how important it is to grow the pie. You cannot just assume that growth comes naturally.
Posted by PengYou at 9:43 AM