Saturday, August 30, 2008

National Education (I) Economic Competition

Key points from the online module:

Economic Competitiveness
  • changes over time... as the economic power of the neighouring countries (esp. those in Asia) rises
  • for survival, 3 key areas: Globalised Economy, Diversified Economy, A creative and entrepreneurial nation

Key principles:

  • prudent macroeconomic policies (ie. fiscal spending: disciplined)
  • outward orientation (ie. globalisation)
  • conducive environment (ie. stability and just)
  • infrastructure: efficient & well-connected
  • education and training
  • eschew welfarism

5 key thrusts (ERC):

  • Expand external ties - through trade liberalisation (eg. FTA)
  • Manage competitiveness and flexibility - from direct to indirect taxes; land & rentals, electricity, telecommunications, manpower (eg. wages, CPF)
  • Grow domestic enterprises and encourage entrepreneurship - (i) Enterprise continuum (ii) Enhanced Cluster Development (iii) Intellectual Capital (iv) Human Capital (v) Expanded Regionalisation
  • Promote engines of Growth - manufacturing and services
  • Develop human capital

Basically, Singapore relies on manufacturing and services for growth.