Kicking The Subsidy Habit
By Lee Chyi
December 2012 UTTER ECONOMICS
Despite decades of enviable growth, Malaysian consumers still depend a lot on subsidies. These cost the government billions of ringgit, but getting rid of subsidies can cost the government even more dearly. So, can it think long term when its hold on power is necessarily short term?Note: RON or Research Octane Number refers to how resistant the fuel is to detonation or “knocking”, some high performance engines require higher numbers.Malaysian drivers have long been enjoying gasoline subsidies which help protect...
Lee Chyi
is a public policy analyst at Penang Institute; she is interested in energy policy and development economics.
