President Trump and Asia: Lest it’s misunderstood–America First


January 23, 2017

President Trump and getting on the front foot in Asia: Lest it’s misunderstood–America First

 by  Editors, East Asia Forum
http://www.eastasiaforum.org/2017/01/23/president-trump-and-getting-on-the-front-foot-in-asia/#more-54137

The inauguration of the 45th US President, Donald Trump, is a game-changer and the fallout threatens Asian interests perhaps more than those in any other part of the world.

Image result for President Donald John Trump

The 45th President of the United States of America–Donald John Trump

‘For many decades, we’ve enriched foreign industry at the expense of American industry’, Trump declared in his inaugural speech, ‘[we’ve] subsidised the armies of other countries while allowing for the very sad depletion of our military; we’ve defended other nation’s borders while refusing to defend our own; and spent trillions of dollars overseas while America’s infrastructure has fallen into disrepair and decay’.

‘From this moment on, it’s going to be America First, America First’, Trump hailed. ‘Every decision on trade, on taxes, on immigration, on foreign affairs, will be made to benefit American workers and American families. We must protect our borders from the ravages of other countries making our products, stealing our companies, and destroying our jobs. Protection will lead to great prosperity and strength’.

That the United States under Trump would ‘reinforce old alliances and form new ones — and unite the civilized world against radical Islamic terrorism’ might provide a reassurance to allies in Asia and the Pacific, but one that is deeply qualified by the notion that paying for US deployments abroad is under scrutiny.

What is Donald Trump like and what will his presidency really be about? No one can know for certain: the only predictability about Trump is his unpredictability. But the experts on Trump, those who have studied his life and career and written his biographies, are clear on three things.

‘They see the same person they’ve always seen — the consummate classroom troublemaker; a vain, insecure bully; and an anti-institutional schemer, as adept at ‘gaming the system’ as he is unashamed of that. As they look ahead … to his administration … they feel confident predicting that he will run the country much as he has run his company: for himself’.

Apart from his father, Donald Trump’s chief mentor in life was Roy Cohn, a Joe McCarthy henchman, ‘a guy who stood for cold-eye calculus about how bullying people works’.

The world out there, without its norms or conventions, for which Trump on his record has no respect, is a bigger bully pit than even he has had to deal thus far in his career. On all the evidence we have, there is zero chance that in the fights he picks with world leaders Trump will be capable of separating personal pique from his country’s interests — let alone the interests of the broader public.

Nothing about inauguration day has allayed the two main anxieties for Asia that have been fuelled by the harbingers of radical change under a Trump presidency.

The old certainties that brought prosperity and a significant measure of stability to world affairs for over three-quarters of a century after the Second World War are no longer clear.

The US anchor of the Western security system, on which order in Asia and the Pacific has relied, may be being weighed.

The institutional edifice on which economic certainty and political confidence in the US-led global order has been built — the postwar institutional framework that guaranteed economic openness and the prospect of economic and political security — is under threat as Trump appears bent on trade wars and calls for protectionism. This is not a narrowly economic problem: it affects the global security outlook and especially economic and political security in Asia and the Pacific.

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The comfortable view in Tokyo, Canberra and even in Beijing that Trump in election mode was all political rhetoric, and that US global economic and security strategies would largely remain undisturbed, has given way to deeper disquiet.

Reliance on the enduring operational verities of continuing strategic engagement with Washington, around the uncertainties that Trump brings to the game, is an increasingly doubtful refuge for the business-as-usual camp.

So how do we deal with the new Trump reality show in Asia?

Certainly not by sitting back and taking what the bully pit dishes up, argues Hitoshi Tanaka in this week’s lead essay. Trump’s ‘America First’ foreign policy rhetoric is moving the United States away from its traditional role as a global leader at a time when the domestic and international political environments are undergoing significant change, Tanaka points out. Japan, as the United States’ most important ally in Asia, has to get on the front foot in defining the kind of engagement it wants with America. Prime Minister Abe, Tanaka says, has been right to engage Trump early and, he might have added, to swing through Southeast Asia and Australia last week to seek common positions across the region.

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The Giants of East Asia

‘Given that Trump appears keen on having Japan expand its share of the security burden’, says Tanaka, ‘the best option would be intensive US–Japan consultations that aim to forge a common approach to key challenges as an initial step toward a joint US–Japan strategy for the region’. The overarching objective would be to retain and enhance US engagement in Asia while bolstering Japan’s security roles and functions within the alliance framework, and its contributions to peace, without opening a regionally destabilising Pandora’s box’.

An important strategic priority among the four that Tanaka identifies is nurturing a stable and inclusive regional order. ‘On its current trajectory, the Asia-Pacific regional order risks fracturing into a two-tiered structure composed of the US-led liberal international order and an emerging Chinese sphere of influence’. The United States and Japan should prioritise engagement with China and find a new way to coordinate among regional institutions and advance cooperation among Asian powers. This requires rapid and immediate elevation of consultation among the Asian powers.Sitting back and relying on old default settings is unlikely to work in the new bully pit.

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In the new Trump era, Prime Minister Abe, on regional engagement, and Chinese President Xi Jinping, on the importance of economic globalisation at Davos, have both set good examples of getting on the front foot in Asia. One hopes that other Asian leaders, individually and collectively, will quickly follow suit.

The EAF Editorial Group is comprised of Peter Drysdale, Shiro Armstrong, Ben Ascione, Ryan Manuel, Amy King and Jillian Mowbray-Tsutsumi and is located in the Crawford School of Public Policy in the ANU College of Asia and the Pacific.
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Japan-US Alliance in the Trumpian Era

by Hitoshi Tanaka, JCIE

Donald Trump’s election to the US presidency came as a major surprise to Japan and the rest of Asia. And Trump’s controversial campaign rhetoric has brought into question the pillars of US foreign policy, including the value of US alliance relationships, its commitment to free trade and its willingness to protect regional stability in the Asia Pacific.

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Yet the region must find a way to work with the Trump presidency. Japanese Prime Minister Shinzo Abe signalled Japan’s intention to do so by becoming the first foreign leader to meet with President-elect Trump on 17 November. Looking ahead, the region faces a number of challenges that require intensive consultation and cooperation.

Trump’s ‘America First’ foreign policy rhetoric appears to be moving the United States away from its traditional role as a global leader at a time when the domestic and international political environments are undergoing significant change. Continued US leadership and intensive cooperation with allies and partners will remain critical to the maintenance of regional peace and prosperity.

While the Trump administration contemplates its foreign policy approach, America’s allies must review their regional approaches as well. Given that Japan remains the most important US ally in Asia, the two countries need to move forward and further build up the infrastructure of the alliance.

Japan has responded to the changing security environment with a remarkable suite of defence reforms aimed at expanding its ‘proactive contributions to peace’. Japan will need to continue to expand its contributions, but must do so in a way that is anchored by its identity as a peace-loving nation that does not use military means to pursue its economic or political agenda.

Given that Trump appears keen on having Japan expand its share of the security burden, the best option would be intensive US–Japan consultations that aim to forge a common approach to key challenges as an initial step toward a joint US–Japan strategy for the region. The overarching objective would be to retain and enhance US engagement in Asia while bolstering Japan’s security roles and functions within the alliance framework, and its contributions to peace, without opening a regionally destabilising Pandora’s box.

The Trump and Abe administrations should focus on four key areas. First, a new approach towards North Korea is necessary. ‘Strategic patience’ has failed to change North Korean behaviour. The Kim Jong-un regime is edging closer to producing a miniaturised nuclear warhead that can be mounted on a long-range missile. This poses a serious threat.

Resolving the situation on the Korean Peninsula requires comprehensive and coordinated efforts between the United States, Japan and South Korea to bring China into the fold. Beijing is still hesitant to apply crippling pressure to the extent that it would seriously undermine the Kim Jong-un regime’s political control and run the risk of causing North Korean collapse. The United States, South Korea and Japan must do more to reassure China that a full break with the regime in Pyongyang will not end up being antithetical to its national interests. This requires joint contingency planning among the allies as well as intensive discussions with China to prepare for worst-case scenarios on the peninsula.

Second, greater confidence-building among the United States, China, Russia, Japan and South Korea is sorely needed in order to de-escalate tensions, defuse nationalism and build relations rooted in win–win cooperation. While this may be hard to envision based on Trump’s election rhetoric, operational-level cooperation that is already underway between the United States, Japan and other likeminded countries in the region can gradually be expanded.

The third priority is nurturing a stable and inclusive regional order. On its current trajectory, the Asia-Pacific regional order risks fracturing into a two-tiered structure comprised of the US-led liberal international order and an emerging Chinese sphere of influence. The United States and Japan should prioritise engagement with China. They need to find some way to coordinate among regional institutions and advance functional cooperation among Asian powers.

Though the Trump administration is likely to place lower priority on international institutions, it is in the US interest to find some way to promote smoother coordination between the Asian Infrastructure Investment Bank and the One Belt, One Road initiative on the one hand and the IMF, World Bank and Asian Development Bank on the other.

Finally, the United States will need to find a balance between cooperation with Russia in areas of mutual interest and maintaining a unified front within the international community against unlawful Russian behaviour, such as its unilateral annexation of Crimea in March 2014. There is a strong need for intense consultations between Japan and the United States on this front.

There is a deep sense of uncertainty about the future role of the United States in East Asia. As Trump takes office, it will be crucial that his team makes a concerted effort to understand the positions of US allies and friends. As US domestic politics and the regional balance of power undergo changes, intensive consultations and cooperation with allies and partners will be critical. Forging a joint approach on key regional challenges in a way that opens the door to a shared US–Japan strategy will benefit both countries.

Hitoshi Tanaka is a senior fellow at the Japan Center for International Exchange and chairman of the Institute for International Strategy at the Japan Research Institute, Ltd. He previously served as Japan’s deputy minister for foreign affairs.

 This article is an extract from East Asia Insights Vol. 11 No. 3 December 2016, which is available in full here, and is reprinted with the kind permission of JCIE.

 

World Economic Forum–Davos 2017–On Leadership


January 21,2017

World Economic Forum–Davos 2017

What does it take to be a great leader in times of change? We asked six experts @ WEF, Davos, 2017

Written by Stéphanie Thomson Editor, World Economic Forum

Watch a Compact for Responsible Business Leadership and Responsive and Responsible Leadership in 2017 from the World Economic Forum’s Annual Meeting 2017.

Image result for wef klaus schwabWEF Founder and Intellectual Innovator Professor Klaus Schwab

“Leaders must understand that we are living in a world marked by uncertainty, volatility and deep transformational changes,” World Economic Forum founder Klaus Schwab wrote at the start of the year.

As thousands of global leaders descend on the Swiss village of Davos to discuss these very issues, we asked six of them this question: what does it take to lead in these times of turbulence?

Adam Grant, Professor, Management and Psychology, Wharton School

In times of uncertainty, a critical skill for responsible leaders is to say “I might be wrong” – and mean it. I work with too many leaders who cling to their convictions with an iron will. As intoxicating as that confidence can be, it’s a huge barrier to making wise decisions and pivoting as circumstances change.

 Adam Grant quote:

The leaders who fare best at predicting the future are the ones who recognize that the future is unpredictable. By embracing doubt, they stay open to new ideas. As a result, they’re ready to act when headwinds turn into tailwinds. So I have a simple message for leaders: if you want to increase the odds that you’ll be right, accept that you’re probably wrong.

Phil Tetlock and Dan Gardner, Authors of Superforecasting

Heightened uncertainty puts a premium on good judgement. And nothing is more fundamental to good judgement than intellectual humility.

Note the adjective. This isn’t self-denigration. Intellectual humility simply means appreciating both the infinite complexity of reality and the fallibility of human beings. It’s invaluable because, taken seriously, three consequences follow.

One, intellectual humility causes the wise leaders to distrust quick-and-easy answers. The intellectually humble always want to learn more and explore different perspectives, in hopes of finding additional bits and pieces of truth.

Two, intellectual humility spurs introspection. Mistakes are inevitable. Only relentless critical examination of one’s own thoughts can catch and correct them.

Three, and perhaps most importantly, intellectual humility dispenses with certainty. Indeed, for the intellectually humble leader, “nothing is certain” is axiomatic. All judgements are matters of probability only, with the goal of this “probabilistic thinking” being to accurately distinguish ever-finer degrees of uncertainty.

Want to know if you could predict future trends? Take the survey at http://wef.ch/forecasting

Linda A. Hill, Professor of Business Administration, Harvard Business School

Leaders must be able to build organizations that are agile and can routinely innovate. People don’t want to follow a leader to the future – that is yesterday’s model. They want to co-create it.

 Linda A. Hill quote:

Innovation is a collective activity, one in which different people – depending on their particular talents – come forward at different times to move the group where it needs to go. Leading innovation is intellectually and emotionally taxing work, much of which takes place behind the scenes. It requires a belief in others’ slices of genius and a sense of generosity to share power, control and credit. Leading innovation is more about being the stage-setter than the performer, not always easy for leaders with star talent themselves.

Kishore Mahbubani, Dean, Lee Kuan Yew School of Public Policy

One key skill that all responsible leaders need to have today is a deep understanding of the key global trends driving change. Three tidal forces are sweeping across our world simultaneously.

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The first is the return of Asia and the end of Western domination of history. The second is accelerated globalization creating a small, interdependent, borderless world. The third is explosive change in technology, which is driving the Fourth Industrial Revolution that Klaus Schwab has spoken so eloquently about. Each of these tidal waves must be understood in depth.

That’s the easy part. The hard part is working out how each tidal wave affects the other. This is why it is so difficult to work out the future of US-China relations. Globalization and technology are creating a deep interdependence between them. The shift of power is driving them apart. Hence, it is not enough to watch personalities like Xi Jinping or Donald Trump. We also need to understand the deeper forces driving their behaviour. Any leader who fails to understand this unique complexity of our time is ill-equipped to provide leadership to their society.

Lynda Gratton, Professor of Management Practice, London Business School

The path to leadership is both an inner and outer journey.

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The role of the inner journey is to create within the leader a deep sense of their values, a narrative that is unique to them, and the courage to act on their values.

The outer journey connects the leader to the world, to understanding the place of their leadership in this time of extreme change, and to use wisely the power and resources that are at their disposal.

Listen to  Philip Tetlock:

How to Get Beyond Our Tribal Politics


January 15, 2017

The most-watched made-for-TV movie in American history is “The Day After,” a 1983 portrayal of life in Kansas and Missouri in the days just before and after an all-out nuclear war with the Soviet Union. If you’ve had even fleeting thoughts that Tuesday’s election could bring about the end of the world or the destruction of the country, you might want to find “The Day After” on YouTube, scroll to minute 53 and watch the next six minutes. Now that’s an apocalypse.

It’s an absurd comparison, of course, but the absurdity is helpful. It reminds us that no matter how bad things seem, we have a lot to be grateful for. The Soviet Union is gone, and life in America has gotten much better since the 1980s by most objective measures. Crime is way down, prosperity and longevity are way up, and doors are open much more widely for talented people from just about any demographic group. Yes, we have new problems, and the benefits haven’t been spread evenly, but if you look at the big picture, we are making astonishing progress.

Watching “The Day After” also might help Americans to tone down the apocalyptic language that so many have used about the presidential race. On the right, some speak of this as the “Flight 93 election,” meaning that America has been hijacked by treasonous leftists who are trying to crash the plane, so electing Donald Trump to rush the cockpit is the only sane choice. On the left, some think that a Trump victory would lead to a constitutional crisis followed by a military coup, fascism and dictatorship.

Nearly half the country will therefore wake up deeply disappointed on the morning of Nov. 9, and many members of the losing side will think that America is doomed. Those on the winning side will feel relieved, but many will be shocked and disgusted that nearly half of their fellow citizens voted for the moral equivalent of the devil. The disgust expressed by both sides in this election is particularly worrisome because disgust dehumanizes its targets. That is why it is usually fostered by the perpetrators of genocide—disgust makes it easier for ordinary citizens to kill their neighbors.

In short, the day after this election is likely to be darker and more foreboding than the day after just about any U.S. election since 1860. Is it possible for Americans to forgive, accept and carry on working and living together?

We think that it is. After all, civility doesn’t require consensus or the suspension of criticism. It is simply the ability to disagree productively with others while respecting their sincerity and decency. That can be hard to do when emotions run so high. But if we understand better the psychological causes of our current animosity, we can all take some simple steps to turn it down, free ourselves from hatred and make the next four years better for ourselves and the country. Three time-honored quotations can serve as guides.

“Me against my brother, my brothers and me against my cousins, then my cousins and me against strangers.” —Bedouin saying

Human nature is tribal. We form teams easily, most likely because we have evolved for violent intergroup conflict. Our minds take to it so readily that we invent myths, games and sports—including war games like paintball—that let us enjoy the pleasures of intergroup conflict without the horrors of actual war.

The tribal mind is adept at changing alliances to face shifting threats, as the Bedouin saying indicates. We see such shifts after party primaries, when those who backed a losing candidate swing around to support the nominee. And we saw it happen after the 9/11 attacks, when the country came together to support the president and the military in the invasion of Afghanistan.

But with the exception of the few months after 9/11, cross-partisan animosity has been rising steadily since the late 1990s. This year, for the first time since Pew Research began asking in 1994, majorities in both parties expressed not just “unfavorable” views of the other party but “very unfavorable” views. Those ratings were generally below 20% throughout the 1990s. And more than 40% in each party now see the policies of the other party as being “so misguided that they threaten the nation’s well-being.” Those numbers are up by about 10 percentage points in both parties just since 2014.

So what will happen the next time there is a major terrorist attack? Will we come together again? Or will the attack become a partisan football within hours, as happened after the various lone-wolf attacks of the past year? Something is broken in American tribalism. It is now “my brothers and me against my cousins” all the time, even when we are threatened by strangers and even when there is no threat at all.

Democracy requires trust and cooperation as well as competition.

Democracy requires trust and cooperation as well as competition. A healthy democracy features flexible and shifting coalitions. We must find a way to see citizens on the other side as cousins who are sometimes opponents but who share most of our values and interests and are never our mortal enemies.

“Why do you see the speck in your neighbor’s eye, but do not notice the log in your own eye?… You hypocrite, first take the log out of your own eye, and then you will see clearly to take the speck out of your neighbor’s eye.” —Jesus, in Matthew 7:3-5

Our tribal minds are equipped with a powerful tool: shameless and clueless hypocrisy. It is a general rule of psychology that “thinking is for doing”: We think with a particular purpose in mind, and often that purpose isn’t to find the truth but to defend ourselves or attack our opponents.

Psychologists call this process “motivated reasoning.” It is found whenever self-interest is in play. When the interests of a group are added to the mix, this sort of biased, god-awful reasoning becomes positively virtuous—it signals your loyalty to the team. This is why partisans find it so easy to dismiss scandalous revelations about their own candidate while focusing so intently on scandalous revelations about the other candidate.

Motivated reasoning has interacted with tribalism and new media technologies since the 1990s in unfortunate ways. Social media, hackers and Google searches now help us to find hundreds of specks in our opponents’ eyes, but no technology can force us to acknowledge the logs in our own.

“Nature has so formed us that a certain tie unites us all, but…this tie becomes stronger from proximity.” —Cicero, “On Friendship”

Humans are tribal, but tribalism can be transcended. It exists in tension with our extraordinary ability to develop bonds with other human beings. Romeo and Juliet fell in love. French, British and German soldiers came out of their trenches in World War I to exchange food, cigarettes and Christmas greetings.

The key, as Cicero observed, is proximity, and a great deal of modern research backs him up. Students are more likely to become friends with the student whose dorm room is one door away than with the student whose room is four doors away. People who have at least one friend from the other political party are less likely to hate the supporters of that party.

But tragically, Americans are losing their proximity to those on the other side and are spending more time in politically purified settings. Since the 1980s, Democrats have been packing into the cities while the rural areas and exurbs have been getting more Republican. Institutions that used to bring people together—such as churches—are now splitting apart over culture war issues such as gay marriage.

Ever more of our social life is spent online, in virtual communities or networks that are politically homogeneous. When we do rub up against the other side online, relative anonymity often leads to stunning levels of incivility, including racist and sexist slurs and threats of violence.

So are we doomed? Will the polarizing trends identified by Pew just keep going until the country splits in two? Maybe John Adams was right in 1814 when he wrote, “Democracy never lasts long. It soon wastes, exhausts and murders itself.”

But we have lasted 240 years so far, and both sides agree that America is worth fighting for. We just have to see that the fight isn’t always against each other; it is also a struggle to adapt our democracy and our habits for polarizing times and technologies.

Illustration: Luci Gutiérrez

Some of these adaptations will require changes to laws and institutions. Some will come from improving technology as we fine-tune social media to reward productive disagreement while filtering out trolling and intimidation.

And many of the changes must come from each of us, as individuals who have friends, co-workers and cousins who voted for the other side. How will we treat them as customers, employees, students and neighbors? What will we say to them at Thanksgiving dinner?

If you would like to let go of anger on Nov. 9 without letting go of your moral and political principles, here is some advice, adapted from ancient wisdom and modern research.

First, separate your feelings about Donald Trump and Hillary Clinton from your feelings about their supporters. Political scientists report that since the 1980s, Americans have increasingly voted against the other side’s candidate, rather than voting enthusiastically for their own, and that is especially true this time. So don’t assume that most people on the other side like or even agree with their candidate on any particular issue. They may be voting out of fears and frustrations that you don’t understand, but if you knew their stories, you might well empathize with them.

Second, step back and think about your goals. In the long run, would you rather change people or hate them? If you actually want to persuade or otherwise influence people, you should know that it is nearly impossible to change people’s minds by arguing with them. When there is mutual antipathy, there is mutual motivated reasoning, defensiveness and hypocrisy.

But anything that opens the heart opens the mind as well, so do what you can to cultivate personal relationships with those on the other side. Spend time together, and let the proximity recommended by Cicero strengthen ties. Familiarity does not breed contempt. Research shows that as things or people become familiar, we like them more.

Emotions often drive reasoning, so as our hearts harden, our thinking also calcifies, and we become dogmatic. We are less able to think flexibly and address the social problems that we claim to care about. As John Stuart Mill wrote in 1859, “He who knows only his own side of the case knows little of that.” So cultivating a few cross-partisan friendships will make you smarter as well as calmer, even if polarization grows worse.

And if you do find a way to have a real conversation with someone on the other side, approach it skillfully. One powerful opener is to point to a log in your own eye—to admit right up front that you or your side were wrong about something. Doing this at the start of a conversation signals that you aren’t in combat mode. If you are open, trusting and generous, your partner is likely to reciprocate.

Tom Lehane, left, a Trump supporter, has a disagreement with Clinton supporter Hila Minshen before a Trump rally on Sept. 9, 2016 in Pensacola, Fla.
Tom Lehane, left, a Trump supporter, has a disagreement with Clinton supporter Hila Minshen before a Trump rally on Sept. 9, 2016 in Pensacola, Fla. Photo: Mark Wallheiser/Getty Images

Another powerful depolarizing move is praise, as we saw in the second Clinton-Trump debate. After more than 90 minutes of antagonism, a member of the town-hall audience brought the evening to a close with this question: “Would either of you name one positive thing that you respect in one another?”

Mrs. Clinton began with weak praise by saying that she respects Mr. Trump’s children. But then she made it strong and generous by noting how “incredibly able” those children are and how devoted they are to their father, adding, “I think that says a lot about Donald.” Mr. Trump responded in kind: “I will say this about Hillary. She doesn’t quit, and she doesn’t give up. I respect that.”

That brief exchange was emotionally powerful—the only uplifting moment of the night for many viewers. Had it been the opening exchange, might the debate have been more elevated, more constructive?

This has been a frightening year for many Americans. Questions about the durability, legitimacy and wisdom of our democracy have been raised, both here and abroad. But the true test of our democracy—and our love of country—will come on the day after the election. Starting next Wednesday, each of us must decide what kind of person we want to be and what kind of relationship we want to have with our politically estranged cousins.

Dr. Haidt is a social psychologist at New York University’s Stern School of Business, a fellow at the Martin Prosperity Institute and the author of “The Righteous Mind: Why Good People Are Divided by Politics and Religion.” Dr. Iyer is a social psychologist and data scientist at the website Ranker and the executive director of CivilPolitics.org.

The Malays are weak, says Dr. Mahathir.


January 10, 2017

The Malays are weak, says Dr. Mahathir. That’s rather bizarre logic

by S. [email protected]

“I’m a realist, I do what I can do, if I can’t do, I don’t.”

– De facto Opposition Leader Dr Mahathir Mohamad

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What if I said that Malays have a lazy, rent-seeking culture, relying on political and social influence to gain wealth and unable to retain power despite all their special privileges? Would this be wrong? Would this be racist? Would this be seditious?

How about if former Prime Minister and now de facto Oopposition Leader Dr Mahathir Mohamad said this? Would it still be “racist”? Would this be considered some sort of truth telling? Would it make a difference when he said this last week or when he was Prime Mminister of this country?

More than a decade ago, in an UMNO General Assembly speech (which also coincided with a celebration of sorts – 21 years in office), Dr.Mahathir as UMNO President engaged in some “realist” assessment of the Malay community he had led for over two decades.

As reported by Malaysiakini, he claimed – “If today they (Malays) are colonised, there is no guarantee they will have the capacity to oppose the colonialists.” The former Premier said Malays had failed because they were lazy and sought the easy way out by reselling their shares, licences and contracts to non-Malays.

Image result for Quotes from Mahathir

“They cannot be patient, cannot wait a little, they want to be rich this very moment… no work is done other than to be close to people with influence and authority in order to get something. After selling and getting the cash, they come back to ask for more”,he said.

Therefore, there is a rather bizarre logic in his thinking when he said that he had no regrets about stifling dissent in young Malay people during his tenure. Bizarre because the former Prime Minister has never been afraid of using the stereotype of the Malay community as a means of galvanising support.

Image result for Mahathir Quotes

And this extends to the other communities as well. Well by “others”, I really mean the Chinese community because as we all know the Indian community is absent from the discourse. In the same speech at the 2002 UMNO General Assembly, he also referenced the Chinese community – the very community that UMNO has always demonised as a threat to Malay hegemony but in reality, meant they were perceived as a threat against UMNO hegemony.

He said, “If we take out the Chinese and all that they have built and own, there will be no small or big towns in Malaysia, there will be no business and industry, there will be no funds for the subsidies, support and facilities for the Malays. Learn from the Chinese.”

Only Mahathir could balance such contradictions, playing the racial card against communities, including the one UMNO claims to represent. Which is why in Mahathir’s thinking there is really no reason why he should not be standing shoulder to shoulder with his former opponents in an attempt to bring down the Najib Abdul Razak regime.

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This is  truly bizzare

He really does not care what political pundits, who seek to remind people of what he did during his tenure, say because he knows that he then enjoyed the support of the majority of Malaysians and he did this using the kind of realpolitik that oppositional parties during his regime did not grasp or were uninterested in learning.

While some opposition supporters blather on about “truth and conscience” but offer no real evidence that these form the desideratum for oppositional forces in this country, the former prime minister has no problem twisting the facts on the ground or contorting social and economic realities to fit his narratives.

A clear example of this would be when in an interview, he acknowledged that discrimination was part of the system but that there were communities who thrived in spite of it – “The Chinese in Malaysia have no special rights, they experience discrimination. But they are more successful than us.”

This is exactly the system a Gerakan political operative was talking about when he mocked the opposition for subscribing to the same system as BN. And the same kind of thinking that for years sustained BN which led to the creation of the leviathan which in the Najib regime. We get the world we deserve.

Slaying sacred cows

And keep in mind that during Mahathir’s tenure, UMNO defined oppositional racial preoccupations because the slaying of UMNO sacred cows were the very definition (and still is) of any kind of egalitarian agenda that would truly “save Malaysia”. All those other so-called racial preoccupations, religious, social and economic are a direct result of the UMNO agenda and the mendacious ‘social contract’.

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Not True, Mahathir forgets easily

However, since the short-term goal of saving Malaysia means removing Najib, the real power brokers, those invested in the system – and they are not only Malays – would like to keep the gravy train moving, only with a different railroad engineer.

Unlike some oppositional voices who pontificate about “principles” or at least attempt to control the discourse, demonising those who dredge up so-called ancient history and engaging in victimhood to facilitate political expediency, the former prime minister is clear about the purpose of his alliance with the oppositional forces in this country.

As he told me when I brought up the trust deficit when it comes to opposition supporters and his new role as oppositional leader – “If Najib is there, the opposition will suffer. If Najib is there, even UMNO will suffer, the whole country will suffer. I think the opposition is not supporting me, they are interested in removing Najib. I have the same interest. It is okay to work together – only on that issue, not on other issues.”

Furthermore, he has had no problems claiming that he would slay Malay sacred cows for the benefit of the community – “I cannot predict how much longer this (affirmative action) will go on but at the moment, we are trying out… some kind of experiment… by withdrawing some of the protection in education,” he said. “We want to see whether they will be able to withstand the competition or not. Obviously if they prove themselves able to, we can think of reducing further some of the protection.”

This was always the stick component of the carrot-and-stick approach, and the former Prime Minster knew very well that affirmative action programmes had a deleterious effect on the Malay community.

Moreover, when he hinted that he would slay sacred cows, he was greeted with rapturous applause as some sort of truth sayer by the very same Umno who now endorse the Najib regime’s attempt to further consolidate power and engage with Mahathir’s sworn enemy, PAS.

But of course, now that the Malay community is fractured and the Malay opposition needs to reassure the Malay community, all those special privileges, all those affirmative action programmes, everything that the former prime minister said was holding back the Malay community, are off the table.

The only thing that discerning Malaysians have to take away from any of this is that Mahathir acknowledges that he failed to change the Malay community – “What else (can I do) … I have tried to be an example, tried to teach, scolded, cried and even prayed. (But) I have failed. I have failed to achieve the most important thing – how to change the Malays.”

When asked if there was anything he would do differently, he claimed that he wanted to be a “normal” UMNO member because he could not do anything for the Malays. Well, he is not even a member now and he is the power behind a nascent Malay power structure.

The big question is, will he fail again. More importantly, is changing the Malays really the agenda of the game for him or anyone else.

Economists versus the Economy


December 26, 2016

Economists versus the Economy

by Lord  Skidelsky

Robert Skidelsy, Professor Emeritus of Political Economy at Warwick University and a fellow of the British Academy in history and economics, is a member of the British House of Lords. The author of a three-volume biography of John Maynard Keynes, he began his political career in the Labour party, became the Conservative Party’s spokesman for Treasury affairs in the House of Lords, and was eventually forced out of the Conservative Party for his opposition to NATO’s intervention in Kosovo in 1999.

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https://www.project-syndicate.org/commentary/mathematical-economics-training-too-narrow-by-robert-skidelsky-2016-12

LONDON – Let’s be honest: no one knows what is happening in the world economy today. Recovery from the collapse of 2008 has been unexpectedly slow. Are we on the road to full health or mired in “secular stagnation”? Is globalization coming or going?

Policymakers don’t know what to do. They press the usual (and unusual) levers and nothing happens. Quantitative easing was supposed to bring inflation “back to target.” It didn’t. Fiscal contraction was supposed to restore confidence. It didn’t. Earlier this month, Mark Carney, Governor of the Bank of England, delivered a speech called “The Specter of Monetarism.” Of course, monetarism was supposed to save us from the specter of Keynesianism!

With virtually no usable macroeconomic tools, the default position is “structural reform.” But no one agrees on what it entails. Meanwhile, crackpot leaders are stirring discontented voters. Economies, it seems, have escaped from the grasp of those supposed to manage them, with politics in hot pursuit.

Before 2008, the experts thought they had things under control. Yes, there was a bubble in the housing market, but it was no worse, current Fed Chair Janet Yellen said in 2005, than a “good-sized bump in the road.”

So why did they miss the storm? This was exactly the question Queen Elizabeth of Britain asked a group of economists in 2008. Most of them wrung their hands. It was “a failure of the collective imagination of many bright people,” they explained.

But some economists supported a dissenting – and much more damning – verdict, one that focused on the failure of economics education. Most economics students are not required to study psychology, philosophy, history, or politics. They are spoon-fed models of the economy, based on unreal assumptions, and tested on their competence in solving mathematical equations. They are never given the mental tools to grasp the whole picture.

Image result for Adam Smith John Stuart Mills and friends

This takes us back to John Stuart Mill, the great nineteenth-century economist and philosopher, who believed that nobody can be a good economist if he or she is just an economist. To be sure, most academic disciplines have become highly specialized since Mill’s day; and, since the collapse of theology, no field of study has aimed to understand the human condition as a whole. But no branch of human inquiry has cut itself off from the whole – and from the other social sciences – more than economics.

This is not because of its subject matter. On the contrary, the business of earning a living still fills the greater part of our lives and thoughts. Economics – how markets works, why they sometimes break down, how to estimate the costs of a project properly – ought to be of interest to most people. In fact, the field repels all but connoisseurs of fanciful formal models.

This is not because economics prizes logical argument, which is an essential check on faulty reasoning. The real trouble is that it is cut off from the common understanding of how things work, or should work. Economists claim to make precise what is vague, and are convinced that economics is superior to all other disciplines, because the objectivity of money enables it to measure historical forces exactly, rather than approximately.

Not surprisingly, economists’ favored image of the economy is that of a machine. The renowned American economist Irving Fisher actually built an elaborate hydraulic machine with pumps and levers, allowing him to demonstrate visually how equilibrium prices in the market adjust in response to changes in supply or demand.

If you believe that economies are like machines, you are likely to view economic problems as essentially mathematical problems. The efficient state of the economy, general equilibrium, is a solution to a system of simultaneous equations. Deviations from equilibrium are “frictions,” mere “bumps in the road”; barring them, outcomes are pre-determined and optimal. Unfortunately, the frictions that disrupt the machine’s smooth operation are human beings. One can understand why economists trained in this way were seduced by financial models that implied that banks had virtually eliminated risk.

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Good economists have always understood that this method has severe limitations. They use their discipline as a kind of mental hygiene to protect against the grossest errors in thinking. John Maynard Keynes warned his students against trying to “precise everything away.” There is no formal model in his great book The General Theory of Employment, Interest, and Money. He chose to leave the mathematical formalization to others, because he wanted his readers (fellow economists, not the general public) to catch the “intuition” of what he was saying.

Joseph Schumpeter and Friedrich Hayek, the two most famous Austrian economists of the last century, also attacked the view of the economy as a machine. Schumpeter argued that a capitalist economy develops through unceasing destruction of old relationships. For Hayek, the magic of the market is not that it grinds out a system of general equilibrium, but that it coordinates the disparate plans of countless individuals in a world of dispersed knowledge.

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From left, Russell Brand, Naomi Klein, Thomas Piketty, Yanis Varoufakis and Paul Krugman. © David Fisher/Rex, Mars Jerome/JDD/SIPA/Rex, Ben Cawthra/Rex, P Anastasselis/Rex

What unites the great economists, and many other good ones, is a broad education and outlook. This gives them access to many different ways of understanding the economy. The giants of earlier generations knew a lot of things besides economics. Keynes graduated in mathematics, but was steeped in the classics (and studied economics for less than a year before starting to teach it). Schumpeter got his PhD in law; Hayek’s were in law and political science, and he also studied philosophy, psychology, and brain anatomy.

Today’s professional economists, by contrast, have studied almost nothing but economics. They don’t even read the classics of their own discipline. Economic history comes, if at all, from data sets. Philosophy, which could teach them about the limits of the economic method, is a closed book. Mathematics, demanding and seductive, has monopolized their mental horizons. The economists are the idiots savants of our time.

Mahathir –A Malay Leader of Paradoxes and Contradictions


December 25, 2016

Mahathir –A  Malay Leader of Paradoxes and Contradictions

S. [email protected]

“I’m a realist, I do what I can do, if I can’t do, I don’t.”

– De facto opposition leader Dr Mahathir Mohamad

What if I said that Malays have a lazy, rent-seeking culture, relying on political and social influence to gain wealth and unable to retain power despite all their special privileges? Would this be wrong? Would this be racist? Would this be seditious?

How about if former Prime Minister and now de facto opposition leader Dr Mahathir Mohamad said this? Would it still be “racist”? Would this be considered some sort of truth telling? Would it make a difference when he said this last week or when he was prime minister of this country?

More than a decade ago, in an UMNO General Assembly speech –Amanat Presiden (which also coincided with a celebration of sorts – 21 years in office), the former prime minister engaged in some “realist” assessment of the Malay community he had led for over two decades.

As reported by Malaysiakini, he claimed – “If today they (Malays) are colonised, there is no guarantee they will have the capacity to oppose the colonialists.”

The Ex-Premier said Malays had failed because they were lazy and sought the easy way out by reselling their shares, licences and contracts to non-Malays.

“They cannot be patient, cannot wait a little, they want to be rich this very moment… no work is done other than to be close to people with influence and authority in order to get something,After selling and getting the cash, they come back to ask for more,”” he said.

Therefore, there is a rather bizarre logic in his thinking when he said that he had no regrets about stifling dissent in young Malay people during his tenure. Bizarre because the former prime minister has never been afraid of using the stereotype of the Malay community as a means of galvanising support.

And this extends to the other communities as well. Well by “others”, I really mean the Chinese community because as we all know the Indian community is absent from the discourse. In the same speech at the 2002 UMNO General Assembly, he also referenced the Chinese community – the very community that UMNO has always demonised as a threat to Malay hegemony but in reality, meant they were perceived as a threat against UMNO hegemony.

He said, “If we take out the Chinese and all that they have built and own, there will be no small or big towns in Malaysia, there will be no business and industry, there will be no funds for the subsidies, support and facilities for the Malays. Learn from the Chinese.”

Only Mahathir could balance such contradictions, playing the racial card against communities, including the one UMNO claims to represent. Which is why in Mahathir’s thinking there is really no reason why he should not be standing shoulder to shoulder with his former opponents in an attempt to bring down the Najib Abdul Razak regime.

He really does not care what political pundits, who seek to remind people of what he did during his tenure, say because he knows that he then enjoyed the support of the majority of Malaysians and he did this using the kind of realpolitik that oppositional parties during his regime did not grasp or were uninterested in learning.

While some opposition supporters blather on about “truth and conscience” but offer no real evidence that these form the desideratum for oppositional forces in this country, the former Prime Minister has no problem twisting the facts on the ground or contorting social and economic realities to fit his narratives.

A clear example of this would be when in an interview, he acknowledged that discrimination was part of the system but that there were communities who thrived in spite of it – “The Chinese in Malaysia have no special rights, they experience discrimination. But they are more successful than us.”

This is exactly the system a Gerakan political operative was talking about when he mocked the opposition for subscribing to the same system as BN. And the same kind of thinking that for years sustained BN which led to the creation of the leviathan which in the Najib regime. We get the world we deserve.

Slaying sacred cows

And please keep in mind that during Mahathir’s tenure, UMNO defined oppositional racial preoccupations because the slaying of UMNO sacred cows were the very definition (and still is) of any kind of egalitarian agenda that would truly “save Malaysia”. All those other so-called racial preoccupations, religious, social and economic are a direct result of the UMNO agenda and the mendacious ‘social contract’.

However, since the short-term goal of saving Malaysia means removing Najib, the real powerbrokers, those invested in the system – and they are not only Malays – would like to keep the gravy train moving, only with a different railroad engineer.

Unlike some oppositional voices who pontificate about “principles” or at least attempt to control the discourse, demonising those who dredge up so-called ancient history and engaging in victimhood to facilitate political expediency, the former prime minister is clear about the purpose of his alliance with the oppositional forces in this country.

As he told me when I brought up the trust deficit when it comes to opposition supporters and his new role as oppositional leader – “If Najib is there, the opposition will suffer. If Najib is there, even UMNO will suffer, the whole country will suffer. I think the opposition is not supporting me, they are interested in removing Najib. I have the same interest. It is okay to work together – only on that issue, not on other issues.”

Furthermore, he has had no problems claiming that he would slay Malay sacred cows for the benefit of the community – “I cannot predict how much longer this (affirmative action) will go on but at the moment, we are trying out… some kind of experiment… by withdrawing some of the protection in education,” he said. “We want to see whether they will be able to withstand the competition or not. Obviously if they prove themselves able to, we can think of reducing further some of the protection.”

This was always the stick component of the carrot-and-stick approach, and the former prime minster knew very well that affirmative action programmes had a deleterious effect on the Malay community.

Moreover, when he hinted that he would slay sacred cows, he was greeted with rapturous applause as some sort of truth sayer by the very same UMNO who now endorse the Najib regime’s attempt to further consolidate power and engage with Mahathir’s sworn enemy, PAS.

But of course, now that the Malay community is fractured and the Malay opposition needs to reassure the Malay community, all those special privileges, all those affirmative action programmes, everything that the former Prime Minister said was holding back the Malay community, are off the table.

The only thing that discerning Malaysians have to take away from any of this is that Mahathir acknowledges that he failed to change the Malay community – “What else (can I do) … I have tried to be an example, tried to teach, scolded, cried and even prayed. (But) I have failed. I have failed to achieve the most important thing – how to change the Malays.”

Image result for The Malays are lazy--Mahathir quote

The Question we must ask ourselves–Does Mahathir what he says?

When asked if there was anything he would do differently, he claimed that he wanted to be a “normal” UMNO member because he could not do anything for the Malays. Well, he is not even a member now and he is the power behind a nascent Malay power structure.

Image result for The Malays are lazy--Mahathir quote

The big question is, will he fail again. More importantly, is changing the Malays really the agenda of the game for him or anyone else.