Salient to Investors:
William Pesek writes:
Singapore’s addiction to population growth shows it has run out of ideas to increase economic vitality. The era of easy growth in Singapore is over and its formula has run its course.
Singapore is half the area of New York City, with a population of 3.3 million citizens and 2 million foreign residents predicted to rise by as much as 30 percent to 6.9 million by 2030.
Economist Intelligence Unit ranks Singapore as the 3rd most expensive Asian city and sixth most world city out of 131 cities.
Singapore may well be a case study for what happens when leaders try to offset slowing economic growth with immigration and increased birth rates.
Joseph Chamie says the view that it’s almost always better to have more and more people is Ponzi demography. The bubble bursts when population growth stalls – incomes top out, high debt crushes consumption and investment, the need for public assistance rises, environmental degradation increases and angry people take to the streets.
Read the full article at http://www.bloomberg.com/news/2013-02-14/ponzi-schemes-built-on-people-always-crash-too.html
Free email alerts of articles as soon as they are posted.