PM: Materialism partly to blame for financial problems

[ramrod711]

The country needs a first car scheme, where the people can buy cars they can't afford, using a rebate they don't have, for a down payment......Oh wait.

Ramrod.

I think you are joking.

On a more serious level would some sort of a co-operative(say - for rice?) where we excluded these over-indulging peasants from membership but lent them a penny or 2 for a deposit to engage a loan that they can't possibly service with the proviso that we now own their harvest for 10 satang in the baht work? If we also owned the local car dealerships, fertilizer/pesticide supplies etc. I can only see a win win situation. An alternative would be to simply trade legally in the futures market although I believe that may suffer some regulation.

We Have a Dream!!

As a post thought... I reckon if we called an election and distributed enough home-made rice whiskey we'd be a team for the top job. Get back to me with a shirt colour.

I was definitely joking, it's already been done. My favorite group were the green shirts, they didn't want to be involved in politics, red or yellow, they just wanted to make money. They were from the north, I can't remember the year that they were in the news.

[bartobar]

The COST OF FACE.

The real cost of face is huge.

Changing the way people think is difficult and almost impossible in a society where people are unaware of their own weaknesses.

What we really NEED is more important than what we WANT. Purchases should always MATCH with ONE'S INCOME.

My monthly salary is 12,000 baht

My car cost 800,000 baht. I had a car loan.

My iphone cost 24000 baht

Please help me with math. How long will I have to pay for the car loan ?

For my iphone the bank deducts 1000 baht monthly for two years.

Oh I need a condo too ? My childhood friend just bought hers for 1,800,000baht

I need another loan. to buy the condo. I will GAIN MORE FACE if I live in that condominium.

But howmuch will be left in my bank account after all monthly bank deductions ?

PLEASE HELP ME !

[lildragon]

The problem is recognized.

And what is the solution?

Could it be that 5% of the population, own 95% of the national wealth here?

Could it be that 30% of all taxpayers' money and state projects flows in dark bags?

Could it be that many wealthy people here do not pay taxes?

Could it be that many rich people hiding their money offshore and prefer then to invest in foreign countries?

There is a problem of a materialistic orientation, but it is especially a problem of distribution.

If the wealth would be more evenly distributed and would not so much disappear into dark holes, more people could afford and pay for materialist things.

That's a problem for every nation on earth. Not just Thailand.

This extreme distribution ratio is not as given in many other countries.

It certainly is very much more in your face here granted.

[maoro2013]

So just started reading about economics but not enough yet

[tomacht8]

The problem is recognized.

And what is the solution?

Could it be that 5% of the population, own 95% of the national wealth here?

Could it be that 30% of all taxpayers' money and state projects flows in dark bags?

Could it be that many wealthy people here do not pay taxes?

Could it be that many rich people hiding their money offshore and prefer then to invest in foreign countries?

There is a problem of a materialistic orientation, but it is especially a problem of distribution.

If the wealth would be more evenly distributed and would not so much disappear into dark holes, more people could afford and pay for materialist things.

That's a problem for every nation on earth. Not just Thailand.

This extreme distribution ratio is not as given in many other countries.

It certainly is very much more in your face here granted.

True.

There are some very interesting studies of the OECD on the measurement of the distribution of the national wealth by the Gini – coefficient. Last chart I saw from the credit swiss was Thailand 82,6 % (100% = one owns all; and 0% = all have the same share of national wealth)

It is now in leading economics Publications undisputed, that a more equal distribution of national wealth leads to higher growth.

Then you need only to add the corruption money, the export of black money in foreign countries and the tax-free black economy.

This explains the social, political and economic situation in Thailand for the most part.

[jaywalker]

I have first hand experience on how the RTA "saves money".

ZERO Maintenance!

[masquerade]

Well it was a toss up whether this topic was going to become a PM bashing fiesta or a Thai bashing extravaganza. Looks like the PM lucked out.

Would hate to think what the comments would be like if a member of the Shin family made a similar statement.

You have got it so bad, you cannot make one post without mentioning the name Shin, yet you have the audacity to accuse others of being a troll (me). Can you please try and post something of a sensible nature instead of looking for dirt. As for the this man's statement, it could only be read as arrogant and condescending.

Actually I can post a comment without mentioning "that name", in fact I do it quite often. Would you like me to pm you every time I do so, just to prove a point ?

I don't agree with everything the PM says, he usually makes a mess of it, unless it is the translation from Thai to English. But I doubt it, I just don't think he knows how to govern a country. But I have to agree with this latest statement, although I think it is a waste of time telling a Thai to be fiscally responsible.

You may say the statement was arrogant and condescending, and let's face it, if it was you would know. But what was he supposed to say ?

Go out and have fun, blow all your money on crap you don't need, borrow as much as you can and forget about having to repay the money ?

If he did you and your ilk would be all over him like a cheap suit.

Okay, I will agree to disagree, be it you and not me that you continually back the wrong horse, your money.

[elgordo38]

Undoubtably the spending discipline of some income earners is a cause of financial problems but the irresponsible lending of banks and the government is a bigger cause of the problem. Teachers (and I guess all government employees) can borrow large sums of money without any consideration for the ability to repay the loans

And what is constantly pushed by government including here to push the economy forward why consumer spending. It is 50 to 70% of the economy and vital. Interest rates like candy are manipulated to lure people into borrowing. The consumers that have no money and do not know how to accumulate it rush to the bank for a loan. Yes dear leader you are right on the money Materialism is to blame but your doing nothing to correct it and maybe you are part of the cause and not the solution. People living in Ivory Towers with lots of moolla should not be critics. Sorry the horse has left the barn on this one.

[silverado]

Undoubtably the spending discipline of some income earners is a cause of financial problems but the irresponsible lending of banks and the government is a bigger cause of the problem. Teachers (and I guess all government employees) can borrow large sums of money without any consideration for the ability to repay the loans

And what is constantly pushed by government including here to push the economy forward why consumer spending. It is 50 to 70% of the economy and vital. Interest rates like candy are manipulated to lure people into borrowing. The consumers that have no money and do not know how to accumulate it rush to the bank for a loan. Yes dear leader you are right on the money Materialism is to blame but your doing nothing to correct it and maybe you are part of the cause and not the solution. People living in Ivory Towers with lots of moolla should not be critics. Sorry the horse has left the barn on this one.

[wabothai]

Yep general, your boys and policeboys are shiny examples of materialism.

[Srikcir]

"financial trouble of Thai people may have stemmed for materialism other than falling agro-product prices or economic slowdown."

Didn't Prayut just come out with a new version of the First Car Buyer program that encourages people to buy cars in hard-pressed economic times?

Prayut has unleashed more populist programs that the Yingluck administration that encourages more household debt spending. The local Kasikorn Research Center Household Economic Condition Index is at its lowest point in 11 months. The Junta has controlled the government for the last 15 months!

If materialism is partly to blame for financial problems, so is General Prayut.

[diehard60]

It always has been and always will be. The PM can npt do anything about it.

[jerojero]

So will he donate his assets or millions to the poor? Demonstrate your commitment to non-materialism. Put your personal money where your mouth isn't. Be a leader!

[godden]

Here is a very good example, Mother ,2 daughters,1 daughter goes to Uni ,the other

still at school,only 1 income coming in ,they just purchased a new Mitsubishi small

car,payments over 6 years,and at moment NONE of them can drive! but they just

had to have the car.

I would say a good proportion of Thais are up to their eyes in debit,just because

they must have it and have it now.

regards Worgeordie

When did not being able to drive a car stop a Thai from driving, but i get your drift.

[MZurf]

I would say a good proportion of Thais are up to their eyes in debit,just because

they must have it and have it now.

Like much of the planet – but Thai household debt whilst high is still less than many OECD nations http://www.cityam.com/1411501631/debt-map

I'm pretty sure that the figures from Thailand (and many other 3rd world countries) do not include the grey lending market. If that was included then I think we would see Thailand at, or very close to, the top.

[SantiSuk]

Government policy in my home country has encouraged people to buy houses they can't afford for the last six decades I've been on the planet. Then the ba$tards steal money from savers and pensioners just to prop up their profligatees.

Consumerism is shades of fiddling while Rome burns and every developed nation and wanna-be is deeply into it. The Muslim world may have the last laugh.

[metisdead]

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[billd766]

Meanwhile let's buy some submarines nobody needs and while we are at it, trash the economy because we are utterly clueless - and hire a disgraced former finance minister to be "economic tsar" simply because he has the right political taint.

The word "idiot" is hard to escape.

This government could always buy every grain of rice at 50% above market value and store it untill the price drops even more and the rice is rotting away. That would only cost 6 opr 700 BILLION baht and would be very popular.

Wait a minute. Isn't that what the last "elected" PTP government did and look at the problems that caused the country?

[billd766]

If they end up buying those subs he will look soooooo hypocritical

Billionaires telling the rest of us how to live.

The point is there though. Suffiency economy is a nice idea in principal but it's not being adhered too. Thailand is wrapped up in the consumer machine just like most of the rest of the world. When you throw 'face' into the mix (gotta have a fancy car so people respect me even thought I can't afford it) then we get this current mess.

Aren't Thaksin and Yingluck billionaires and didn't they tell the Thais how to live? They even promised (though it was only an elction promise) that all Thais would be rich in 6 months.

Isn't this thread about how much debt a lot of Thais are in because they spend more that they earn?

[sendintheclowns]

I admire his Majesty the King greatly for his many years of advising his subjects about the wisdom of "self sufficiency".

I love Thailand and its people. I have seen more than one Thai mortgage their land to buy a fancy new pickup. And it's saddens me. No matter how much or how little wealth I have, It is irrelevant to the righteousness of my opinion that Thais needs to learn to not spend what they do not have. So when the PM says it, up yours, naysayers.

[retarius]

Finally something I agree with from the good general.....

[retarius]

It would also help if some basic maths were taught in schools. You know like adding up, subtracting and that sort of boring stuff....nowhere near as exciting as going to school in a scout uniform but would help if you could figure out what your loan payments added up to (addition) and how much is left out of your salary when the loans are paid (subtraction).