G'day all - dear Stitch, upon reading the Malay PR, I can certainly understand where you come from. However, personally, I'd be more specific in that regard, i.e., it applies to only Malayesia only, and not the whole of orient.
Indeed, by imposing such draconian measure, it indeed will drive investors away and limit its liquidities. However, being a keynesian - not that I know anything about economics <vbg> - I do think govt has a role. More, while I think Malayesia policy is an incorrect one, "Hot Money" should be dealt with [obviously, PM Mahathir Mohammad's defn of "Hot Money" seems to be - um, how shall I put it - a bit xenophobic <g>. Contrasting to the Malayesia policy, HKMA is trying to make betting more expensive. In that regard, I think the latter has a bit more justification without curbing the flow of liquidity. Incidentally, heard an interesting quote from CIBC's Michael Metz on PBS News Hour last nite when he said something like "hot money going around detroying currencies and economies for amusement."
In short, I'd argue that broad brush can't paint fine details.
best, Bosco
[p.s. I did not have the chance to read Kipling's until I was an adult. Great stories. Of course, he was being attacked occasionally for possessing certain colonial attitude.] |
