Ex-PM Slams Govt Economic Measures

[george]

Ex-PM slams govt economic measures

BANGKOK: -- Former prime minister Somchai Wongsawat said he disagreed with the government in distributing 2,000 baht to people with low income.

He appeared on a television show on Democracy Television (DTV) hosted by United Front for Democracy against Dictatorship (UDD) core member and former government spokesman Nattawut Saikua on Sunday morning.

Mr Somchai, who is the brother-in-law of fugitive ex-premier Thaksin Shinawatra, criticised the government's move to give out 2,000 baht to people whose monthly salary is below 15,000 baht. He said such plan would not be sustainable and it only covers some civil servants and members of the Social Security Fund.

He suggested that the government should create jobs that generate more revenues instead.

On the government's plan to seek loans worth over a hundred billion baht from overseas, the former prime minister said a public hearing must be held and it must be proposed to the parliament first.

In addition, Mr Somchai said he does not feel sorry or regretful after the Constitution Court dissolved the former ruling People Power party (PPP) for electoral fraud in 2007 and banned him from politics for five years.

The ex-premier claimed that he plays by the rules and does not cling to any position.

When asked what would he do if he is still the prime minister, he said key policies, such as narcotics suppression, online lottery and railway extensions, would be continued.

According to Mr Somchai, his relations with army chief Anupong Paojinda is still cordial and he had no plans to remove Gen Anupong when he was the prime minister. Previously, Gen Anupong publicly called on Mr Somchai to step down from the premier's post.

-- Bangkok Post 2009-02-08

[jbowman1993]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

[Ga-gai]

I wonder if Mr Somchai ever felt any criticism when Thaksin handed out unrestricted loans to the rural villagers and put them into dept against the government. Where did the villagers do with that money? Nothing. Party, karaoke, alcohol, women... You name it. I know some people that actually took that loan. The money is gone and didn't do a thing to their situation. Every year they have to loan the equal amount of money from private sources to pay back the sum to the government, only to have it handed back again as a new loan a couple of days later. So why didn't they, at that time, create jobs for the villagers instead? Hello Mr Somchai...?

Edited February 8, 2009 by Ga-gai

[ballpoint]

Ex-PM slams govt economic measures

BANGKOK: -- Former prime minister Somchai Wongsawat said he disagreed with the government in distributing 2,000 baht to people with low income.

He appeared on a television show on Democracy Television (DTV) hosted by United Front for Democracy against Dictatorship (UDD) core member and former government spokesman Nattawut Saikua on Sunday morning.

Mr Somchai, who is the brother-in-law of fugitive ex-premier Thaksin Shinawatra, criticised the government's move to give out 2,000 baht to people whose monthly salary is below 15,000 baht. He said such plan would not be sustainable and it only covers some civil servants and members of the Social Security Fund.

He suggested that the government should create jobs that generate more revenues instead.

On the government's plan to seek loans worth over a hundred billion baht from overseas, the former prime minister said a public hearing must be held and it must be proposed to the parliament first.

In addition, Mr Somchai said he does not feel sorry or regretful after the Constitution Court dissolved the former ruling People Power party (PPP) for electoral fraud in 2007 and banned him from politics for five years.

The ex-premier claimed that he plays by the rules and does not cling to any position.

When asked what would he do if he is still the prime minister, he said key policies, such as narcotics suppression, online lottery and railway extensions, would be continued.

According to Mr Somchai, his relations with army chief Anupong Paojinda is still cordial and he had no plans to remove Gen Anupong when he was the prime minister. Previously, Gen Anupong publicly called on Mr Somchai to step down from the premier's post.

-- Bangkok Post 2009-02-08

Until forcibly prised away by prosecution. He clung onto that PM position despite the country falling apart, a complete break down in army and police confidence in him and a total lack of anything resembling a proper working government.

[Scott]

Because all of the countries facing economic problems, are doing so in uncharted territory, it's extremely easy (and sometimes convincing) to criticize their plans. It's a little like Columbus' journey--he knew where he wanted to end up, but no idea, how long, how far, or what lay in between.

It seems like economics is becoming the new religion.

[jamesjdaly]

That's rich coming fom a party whose many members have been banned from politics for electoral fraud, vote buying, cheating and whose leader is wanted on corruption charges.

People in glass houses.............................

[Gravelrash]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

So you fully endorse Keynesian style pump priming and deficit budgets as a way to cure recessions? As you have planted your flag in this camp please expand citing successful examples where this has worked to illuminate the less economically literate of us. I appreciate many governments are now doing this, but is it for short term political or long term economic gain?

[jbowman1993]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

So you fully endorse Keynesian style pump priming and deficit budgets as a way to cure recessions? As you have planted your flag in this camp please expand citing successful examples where this has worked to illuminate the less economically literate of us. I appreciate many governments are now doing this, but is it for short term political or long term economic gain?

Don't you feel a bit silly asking an economic question to a musician? If I was any good at that, I would have chosen a profession that pays better. My camp is "anti-idiot". The TRT aka PPP aka PTP aka Thaksinistas are pretty much all idiots (if you disagree, please give us some examples of the quality people who we can rally around). Therefore I am against them. Give the other guys a chance is as good an answer as any, at this point.

[animatic]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

So you fully endorse Keynesian style pump priming and deficit budgets as a way to cure recessions? As you have planted your flag in this camp please expand citing successful examples where this has worked to illuminate the less economically literate of us. I appreciate many governments are now doing this, but is it for short term political or long term economic gain?

Don't you feel a bit silly asking an economic question to a musician? If I was any good at that, I would have chosen a profession that pays better. My camp is "anti-idiot". The TRT aka PPP aka PTP aka Thaksinistas are pretty much all idiots (if you disagree, please give us some examples of the quality people who we can rally around). Therefore I am against them. Give the other guys a chance is as good an answer as any, at this point.

In response please give us musicians an example of

something that HAS worked in the past in a similar situation?

It is generally acknowledged that what was done in the 30's

prolonged and deepened the Great Depression, so

they seem ALL to be avoiding that set of discredited solutions.

So rather that attempt to discredit J Bow for not understanding Keneysian economics

lets us know what YOU think should be done.

Pump priming to the masses or trickle down economics.

Neither really gets the final nod.

Letting most of the banks and core businesses fail is a non starter.

Confidence is central 80% to all international AND local financial transactions.

No confidence and no local or regional commerce, and then local runs on banks,

fatter matresses, scared people hording, money and food, all parts of the same coin.

Right now if BOLD moves restore confidence, that SOMETHING is being done,

and it comes back into the economy in some form, less paranoia might well help the situation.

Moving cash between hands and letting people know SOMETHING is trying to stop the slide,

CAN help stop the slide. If in the short term a deficet causes a slight up-tick then

minds and wallets will follow.

I think it's less a case of following John Maynard K.

and more of global psycological salvage in parallel to

not losing too much integrated financial infrastructure.

So what'chya gonna do Gravel, what's your big ticket solution?

[Freddie_fly]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

So you fully endorse Keynesian style pump priming and deficit budgets as a way to cure recessions? As you have planted your flag in this camp please expand citing successful examples where this has worked to illuminate the less economically literate of us. I appreciate many governments are now doing this, but is it for short term political or long term economic gain?

Well, rather than search myself I will be lazy and say just google it. You will find any number of references that state 'AT THE TIME' keynesian economics worked (roughly from around 1941-1970), and that they were more influential than those of Smith or Marx. Keynes fell out of favour in the 70's mainly due to the ascendancy of OPEC. But has had a resurgance during the current financial crisis.

Simply put Keynes style country priming worked when the conditions were favourable, and it currently looks like they are heading that way again.

having exhausted my economic knowledge and pushing off the subject, I will return to it and say the following, Thaksin suceeded because he gave the poor hope. Whether you regard bribes and constant loan paybacks as hope or fiscal irresponsibility is a moot point, the fact is that for Isaarn people it semed like they finally had someone who cared about them. On the other hand the entrenched forces for consistancy found a man who would overturn the feudal state that is Thailand and try to balance the wealth. I have no love for Toxin, but his downfall was not orchestrated by a democratic majority, rather by another bunch of sheep who received funds from the people who really run this country.

regards

Freddie

[sriracha john]

Considering the inept source (an indicted and convicted felon), I would say this is actually a ringing endorsement of the new stimulus package. Anything that PTP and Thaksin don't like, is probably good for the country.

Does anybody really give a rat's ass what this Banned People Power Party Proxy, who did absolutely NOTHING for this country in the short time he tried to hold office for his brother-in-law before he was thrown out on his ear, has to say??

[Journalist]

Giving cash or (preferably vouchers with an expiry date) to the public to spend is the quickest way of getting more money into circulation and gives a pop to consumer expenditure.

However giving it to a selected few - eg civil servants - is not cricket. It has to be a broader distribution to be effective and fair.

[Old Man River]

I appreciate many governments are now doing this, but is it for short term political or long term economic gain?

Well, given Obama is doing this and he is pretty much guaranteed of 4 years in office and is just beginning the 4 years, it is hard to say that stimulus packages are based on political gain.

Gravelrash, I can get down and dirty with you on economic issues, but really, let's not go there as this is the worst economy most of us have ever seen in our lifetimes and none of us know what the right answers are.

[justanothercybertosser]

I wonder if Mr Somchai ever felt any criticism when Thaksin handed out unrestricted loans to the rural villagers and put them into dept against the government. Where did the villagers do with that money? Nothing. Party, karaoke, alcohol, women... You name it. I know some people that actually took that loan. The money is gone and didn't do a thing to their situation. Every year they have to loan the equal amount of money from private sources to pay back the sum to the government, only to have it handed back again as a new loan a couple of days later. So why didn't they, at that time, create jobs for the villagers instead? Hello Mr Somchai...?

Unrestricted?

I would check your information again. The loans were restricted.

The million baht fund for example had to be paid back by all within one year before new loans were given. To qualify for that loan members of you community had to vouch for you, and the limit was 20 000 baht.

Other loan schemes with larger funds and longer repayment periods were available as well, and were also checked upon by officials.

Of course some did turn into NPL's, but that happens with banks as well. My family did take advantage of some of the loan opportunities, and did waste it on financing of their crops (which at the time made good profits), and buying a lorry that is now the only thing that makes money for them after this government has decided not to stabilize the price market for certain crops anymore.

[animatic]

Giving cash or (preferably vouchers with an expiry date) to the public to spend is the quickest way of getting more money into circulation and gives a pop to consumer expenditure.

However giving it to a selected few - eg civil servants - is not cricket. It has to be a broader distribution to be effective and fair.

Gotta agree with this including the cricket.

I suspect a smaller, but wider distribution will happen,

when they have a firmer idea of what numbers are looking like.

Somchai "slams" this???

... criticised the government's move to give out 2,000 baht to people whose monthly salary is below 15,000 baht.

He said such plan would not be sustainable and it only covers some civil servants and members of the Social Security Fund.

Sustainable.. a one shot injection needs to be sustainable?

I remember things were on the downward bell curve during Somchai's tenure.

And he did SQUAT except try for a Bush photo op.

We are in pretty uncharted territory here, and the only reference is the Great Depression.

At least people are specifically avoiding those things proved to NOT work back then,

several of which exacerbated and dragged out the situation.

The one thing that ended THAT fiasco was WWII...

Hope no loose cannon nimrod thinks that is the only way now....

[Bizz]

why no one listens or can see what the populace can envisage and can stipulate its outcome totally eludes me especially as is now.

"I told you so"

is a very childish playground comment: not something lawyers would ever really say. This man has done something stupid, against his lawyers' advice. The lawyers now have the same feeling as a child does when he says "I told you so! what is really said, Ner!!" ok german,

but they can't say that, so they tell him how stupid he was in a more business-like way (being lawyers, they can make it sound even cleverer and less childish by using Latin)what a load of bollo*. But the sentiment is the same." can we move on.

[Piengrudee]

Vote for me, I give out 10,000 baht of govt money to all eligible voters.

[SomTumTiger]

why no one listens or can see what the populace can envisage and can stipulate its outcome totally eludes me especially as is now.

"I told you so"

is a very childish playground comment: not something lawyers would ever really say. This man has done something stupid, against his lawyers' advice. The lawyers now have the same feeling as a child does when he says "I told you so! what is really said, Ner!!" ok german,

but they can't say that, so they tell him how stupid he was in a more business-like way (being lawyers, they can make it sound even cleverer and less childish by using Latin)what a load of bollo*. But the sentiment is the same." can we move on.

Why in the world did you resurrect this one year old, irrelevant thread. Stop drinking so early in the day...