Neoliberal economic policies practiced by former Barisan Nasional and now Pakatan Harapan federal and state governments believe in allowing market forces to determine prices, such as allowing housing prices to be determined by free market forces, rather than impose price controls for the benefit of the people, who increasingly are unable to afford the skyrocketing housing prices.
Aiming to make big profits from increasing demand for housing, developers have built more houses priced at above RM250,000 which most ordinary people cannot afford and are now caught with having completed properties worth a total of RM27.4 billion which remain unsold, whilst there is a shortage of affordable houses priced below RM250,000.
Whilst I am anti-neoliberal, however according to von-Hayekist, Chicago School, Ron Paulist, Thatcherite, Reaganite neoliberal capitalist economics so loved by economic planners and obviously by businesses and business CON-sultants today, to clear the glut, these property developers should live up to their neoliberal ideals and sell these unsold properties which they have priced at RM500,000, RM750,000, RM1 million or more - at RM250,000 or below, even at a great loss to themselves or even at the risk of going bankrupt. That's neoliberal economics after all!
The "people-friendly", "New Malaysia", Pakatan Harapan federal and state governments should adopt regulator policies so despised by neoliberals, and make it law that all complete properties which remain unsold after nine months must be sold at RM250,000 or below to low income people whom the government will qualify to exclude property speculators who would take advantage of this measure to buy at RM250,000 or below and sell at a huge profit later. At the same time, qualified low-income buyers who buy these properties must be subject to a regulation which forbids them from selling their property for the first 20 years of ownership or which allows them to sell to similarly qualified buyers at the same price they bought their properties within 20 years after purchase.
At the same time, the various state development corporations should develop quality public housing, not low-cost, ultra high density pigeonholes, and sell them to low income members of the public who qualify, subject to the same 20 year conditions.
These state development corporations must hold open tenders in which building contractors must bid for the contact to build such housing at competitive prices and to the standard stipulated by the contract, with heavy penalties if they cut corners, use sub-standard materials and so forth. Also, any corruption involved on the part of the developers or government inspectors must be severely punished.
Look at how government officials in India demolished a sprawling luxury seaside bungalow in Alibaug near Mumbai which belongs to Nirav Modi who was accused of his involvement in a Punjab National Bank fraud case.
The bungalow was deemed to have been illegally built by the seaside and violated coastal regulations.
MUMBAI: The sprawling seaside mansion of fugitive diamantaire Nirav Modi, accused in the USD 2 billion PNB fraud case, was demolished Friday using explosives, Raigad District Collector Vijay Suryawanshi said.
The district collector told PTI that it was controlled blasting.
The senior IAS official had issued the demolition orders after the Enforcement Directorate (ED) handed over the property situated in Raigad district, over 90 km from here.
Neoliberals will hate such laws and regulations but too bad.
Do current Pakatan Harapan federal and state government have the political will to adopt such measures which benefit of the ordinary people?
Malay Mail article of 9 March 2019 follows below:-
No comments:
Post a Comment
Note: only a member of this blog may post a comment.