A waste of cash at taxpayers' expense
Meechai Burapa believes that those who oppose Pheu Thai's new-car policy are self-centred; basically, he wants "young people who have never owned a car to experience what (he) did", and have the sense of freedom, independence and pride. That's fine - he's
However, the government is using the money of all taxpayers - not just Meechai's - to pay for the tax rebates. In that case, I suggest that the policies should benefit the most people possible - especially the poor. Former finance minister Korn Chatikavanij, who should know, says that the car scheme will cost as much as a mass transit line, which, over its lifetime, would benefit millions upon millions of commuters - mainly in the middle- and lower-income brackets.
Contrast that with the 500,000 cars the auto industry expects the tax rebates to boost demand by. Be generous and assume that every car is bought by a two-child family, and you have a maximum of two million beneficiaries, over five or so years. Also, to qualify for a car loan, a family must have a steady and sizeable income - thereby eliminating a vast chunk of mass transit commuters.
I'm glad that Pheu Thai is seeking to help the underprivileged - but a scheme that bypasses the lowest income groups isn't the way to go. Use the funds to build a new mass transit line, give the poor free travel cards on existing lines - or, better yet, give them vocational training that meets market needs instead of programmes that leave 80 per cent of students unable to find a job or be self-employed even a year after graduating.
Burin Kantabutra
Bangkok
