The Economist Singapore The Singapore exception To continue to flourish in its second half-century, South-East Asia’s miracle city-state will need to change its ways, argues Simon Long


Foreign policy and national identity



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Foreign policy and national identity

A little red dot in a sea of green

A sense of vulnerability has made Singapore what it is today. Can it now relax a bit?


Jul 18th 2015 | From the print edition


KISHORE MAHBUBANI’S MOST recent book was called “Can Singapore Survive?”. Singaporeans are never allowed to forget that their country is small and its future fragile. If it does not remain exceptional, said the prime minister in that May Day speech, Singaporeans will be “pushed around, shoved about, trampled upon”.

Fifty years ago the city state was born out of a row with one of its neighbours, Malaysia. The other, Indonesia, had been waging a campaign of konfrontasi—just short of open warfare—against Malaysia and Singapore. Those days seem long gone. The Association of South-East Asian Nations, formed in 1967, boasts of its success in lowering regional tensions. Singapore’s relations with Malaysia and Indonesia are excellent. But for how long? The neighbours sometimes give Singapore reason to fret. In 1998 the then Indonesian president, Bacharuddin Jusuf Habibie, was quoted in a newspaper article as saying he did not see Singapore as a friend. Pointing at a map, he went on: “It’s OK with me, but there are 211m people [in Indonesia]. All the green [area] is Indonesia. And that red dot is Singapore.” Mr Habibie denied saying this. But, with a characteristic mixture of pride and paranoia, Singapore adopted “little red dot” as a motto.

Besides peace with the neighbours, the other pillar of Singaporean security has been the benign, American-led order in Asia and the Pacific that has prevailed since the end of the Vietnam war in 1975. That, however, is now in danger. China seems to see America’s security presence as in part intended to thwart its own rise. Under Lee Kuan Yew, Singapore managed to position itself as the best friend in South-East Asia to both America and China. That makes a falling-out between the big powers especially ominous for it. It has already irritated America by joining the new Asian Infrastructure Investment Bank that China has set up. China, for its part, gripes about Singapore’s links with Taiwan, where it sends its army to train.

So nervousness about the future is understandable. It is reflected in high defence spending (S$12.4 billion in 2014, or 3.3% of GDP, more than twice as much in money terms as in Malaysia, which has a population more than five times bigger); and in the two years’ national service for men which, according to the defence minister, Ng Eng Hen, enjoys 90% popular support among Singaporeans.

The sense of vulnerability and hence of the importance of national cohesion, instilled in Singapore’s leaders by Lee Kuan Yew and his fellows, is at the root of many aspects of the Singapore exception described in this report: in the fear of tolerating an effective political opposition; in the anxiety about communal tension; in the retention of repressive colonial-era legislation such as the Internal Security Act. It has also influenced economic policy, including the ideological objections to welfare and its debilitating impact on the national psyche.

It can even be seen in the tough law-and-order policies for which Singapore is also famous. Its use of the death penalty is repellent to liberals, as is the resort to corporal punishment, for which the official terminology—“caning”—grossly understates the barbarity. But, say many Singaporeans, these policies have worked—and the system made by Lee Kuan Yew is presented as a package, as if the economic growth somehow justified the caning.

Singaporeans are never allowed to forget that their country is small and its future fragile

Lee Kuan Yew’s defining characteristic, however, was pragmatism, a willingness to change his mind. He long opposed allowing casinos in Singapore, but was a member of the cabinet that in 2005 agreed to allow two to open, generating within a few years gaming revenues equivalent to the Las Vegas Strip’s. He also, late in life, accepted that homosexuality was “not a choice”, though for men practising it remains an offence.

Time for a sonnet

This report has pointed to plenty of reasons to be optimistic about Singapore’s economic future—certainly for its well-educated, globally aware young people, who are in one of the best places in the world to ride the wave of Asia’s rise. But they and their leaders need to decide what sort of society they want. The danger is that they will no longer be meritocrats sitting atop an unequal yet basically harmonious society, but an elite in a country that relies on increasing numbers of short-term migrants treated with little respect; and where an ageing, less educated group of fellow citizens feel disgruntled and let down.

Many countries in the world face similar dangers, but in Singapore they are especially stark because of its size and its severe ageing problem. As this report has also argued, Singapore is better equipped than most countries to avoid the worst outcomes. It can afford to relax politically without inviting chaos; it can afford to relax socially without causing unmanageable tension; it can afford to provide better for its needy and elderly without pushing the country down a slippery slope of welfare dependence; it can afford, in other words, to be less of an exception, more of a normal country; and, yes, it can afford even poetry.



Sources

Introduction
The two volumes of Lee Kuan Yew’s memoirs provide a readable and lively account of Singapore’s recent history (from, of course, one important participant’s point of view):
The Singapore Story: Memoirs of Lee Kuan Yew (Times Editions, 1998);
From Third World to First: Singapore and the Asian Economic Boom (Harper Collins, 2000).

Two later collections on interviews are also interesting:


Hard Truths to keep Singapore going (Straits Times Press 2011);
One man’s view of the world (Straits Times Press, 2013).

Kishore Mahbubani’s “Can Singapore survive?” (Straits Times Press, 2015) is a collection of articles covering many of the issues discussed in this report, in the author’s typically combative style.

Also interesting is Koh Buck Song’s “Brand Singapore: How Nation-Branding built Asia’s leading global city (Marshall Cavendish, 2011).

Highly recommended is the series of five lectures by Ho Kwon Ping on “The next fifty years”, given to mark SG50 at The Institute of Policy Studies, covering politics and governance, the economy and business, security and sustainability, demography and the family and society and identity. The texts are available on the IPS website.



Land and Population
The controversial 2013 population White Paper can be found at http://population.sg/whitepaper/resource-files/population-white-paper.pdf
Elsewhere on http://population.sg/ are annual population briefings

On Singapore’s investment in its near abroad, see; “Mirror images in different frames: Johor, the Riau islands and competition for investment from Singapore”, Francis E. Hutchinson (Institute of South-East Asian Studies, 2015).



Politics
An excellent introduction to Singaporean politics, though now somewhat old, remains Cherian George’s “Singapore: The Air-Conditioned Nation: Essays on the politics of comfort and control 1990-2000” (Landmark Books, 2000).

Mr George has also written an interesting examination of the role of the press in Singapore: “Freedom from the Press: Journalism and State Power in Singapore” (NUS Press, 2012).

Also worth reading is the 2000 book “Self-censorship: Singapore’s shame” by James Gomez (Think Centre, 2000), and especially the foreword, by Philip Jeyaretnam, a leading lawyer and novelist, as well as son to J.B and brother to Kenneth.

For an opposition view, there is “A Nation Awakes: Frontline Reflections”, edited by Tan Jee Say (Ethos Books, 2011)



Social Policy
An excellent collection of essays is “Hard Choices: Challenging the Singapore Consensus”, edited by Donald Low and Sudhir Vadaketh, (NUS Press, 2014).

CPF and HDB policies are explained on their websites.
Tharman Shanmugaratnam’s interview at the St Gallen symposium in May is worth watching in full.

The report referred to on the “Malay Underclass” is at: http://www.scribd.com/doc/102025306/89383297-the-Malay-Underclass#scribd



Inequality
A very useful survey of the available data and literature is the Lien Centre for Social Innovation’s report on “Unmet Social Needs in Singapore”.

The lecture by Ho Kwon Ping is the fifth and final one in the series, on Society and Identity.



The Economy
The IMF figures come from the report on its most recent “Article IVconsultation with Singapore, published in October 2014.

A useful article is “Singapore’s success: After the Miracle” By Linda Y.C. Lim in “Handbook of Emerging Economies” (Routledge 2014).

A much older study, useful on the role of the state in Singapore’s early development is: The Political Economy of Singapore’s Industrialisation” by Garry Rodan (Macmillan, 1989).

An “e-intensity index” including Singapore in in BCG’s “The Internet Economy in the G-20”.

Commissioned by Google, PWC compiled a study on “Singapore’s tech-enabled startup ecosystem” (PWC, March 2015).

The “Smart Nation” idea can be examined further.



Business and Finance
The figures on manufacturing and GDP come from the World Bank.

On Rolls-Royce in Singapore.

On oil-refining in Singapore, Shell’s history is central.

I am grateful to the EDB for an admirably clear and concise guide to the evolution of Singapore’s Hard Disk Drive industry.

For a list of the “GLCs”, see  http://bschool.nus.edu/Portals/0/docs/FinalReport_SOE_1July2014.pdfs

The survey by Deloitte.

On 14th Century Singapore.

On its present-day ranking in port league tables.



Foreign policy, Defence and Identity
The classic study of Singapore’s foreign policy was published in 2000 by the late Michael Leifer, a British scholar, with an almost inevitable subtitle: “Singapore’s Foreign Policy: Coping with Vulnerability” (Routledge).

For a succinct version of Singapore’s current world-view, see Lee Hsien Loong’s speech at this year’s Shangri-La Dialogue, an annual security forum held in Singapore.



The defence budget.
Directory: tlairson -> china
china -> The Asia-Pacific Journal, Vol 11, Issue 21, No. 3, May 27, 2013. Much Ado over Small Islands: The Sino-Japanese Confrontation over Senkaku/Diaoyu
china -> The South China Sea Is the Future of Conflict
china -> Nyt amid Tension, China Blocks Crucial Exports to Japan By keith bradsher published: September 22, 2010
china -> China Alters Its Strategy in Diplomatic Crisis With Japan By jane perlez
tlairson -> Chapter 5 The Political Economy of Global Production and Exchange
tlairson -> Chapter IX power, Wealth and Interdependence in an Era of Advanced Globalization
tlairson -> Nyt india's Future Rests With the Markets By manu joseph published: March 27, 2013
tlairson -> Developmental State
tlairson -> History of the Microprocessor and the Personal Computer, Part 2
china -> The Economist The Pacific Age Under American leadership the Pacific has become the engine room of world trade. But the balance of power is shifting, writes Henry Tricks

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