Thursday, November 27, 2014

True colours through the lens of facts and figures

"That’s the beauty of this book – it is not political rhetoric chasing some selfish agenda. The Colour of Inequality sticks to the facts and available data. The author listed the failures in leadership, policy (crafting and implementation), education, racist stereotypes, business culture alongside what worked and the results of a 57-year long social experiment that is Malaysia."


The Malaysian Reserve. Thursday, 27 November 2014
by Amir Hafizi

The Colour of Inequality is a book all Malaysians must read. It explains how we got here, economically – how the minority Chinese are performing better than other races, how it was set up by the British before they left, how the policies were handled, pre and post-NEP. The failures of our leaders and their triumphs in creating a prosperous Malaysia – all of it is presented in this book through the lens of facts and figures.
Yes, there are many facts and figures – tables as well. However, the book also has a flair for the dramatic. It even starts with a man on fire - the self-immolation of Mohamed Bouazizi in 2010.
Written by Dr Muhammed Abdul Khalid – director of research at a local think tank, it has some interesting data and insights from available info on the nation’s wealth and its distribution. The book focuses on the gap – how it came about, why it is there and why it continues to be there for decades.
The book also dispels some myths about NEP - for instance the NEP retards growth or investment, or even leads to brain drain, which he proved to be untrue based on actual facts. The NEP actually promoted growth and there is clear evidence in the book that the brain drain – if any - was not driven by the NEP.
In fact, the NEP managed to eradicate poverty (51% in 1957 to below 2% in 2012, though places like Sabah are at 8%) and increase GDP (RM5.1 billion in 1957, close to RM1 trillion in 2012). Other indicators – increase in income, positive growth rate - are improved as well throughout the implementation of the NEP. However, the income gap has remained largely the same for the past two decades.
That’s the beauty of this book – it is not political rhetoric chasing some selfish agenda. The Colour of Inequality sticks to the facts and available data. The author listed the failures in leadership, policy (crafting and implementation), education, racist stereotypes, business culture alongside what worked and the results of a 57-year long social experiment that is Malaysia.
Some interesting insights on discrimination are also featured, for example the percentage of jobs requiring Chinese or Mandarin proficiency according to state (Johor is the highest at 37%). That chapter also features Dr Muhammed’s research with Dr Lee Hwok Aun in 2012 on whether race matters in a job interview. Spoiler alert – it does and also determines your salary.
There is indeed a focus on race relations, racism and discrimination and its relationship to inequality. However, it is not the only dimension the author found in studying inequality. There is also the gender component, the regional component and a few other factors. This paints a more complex picture of inequality in Malaysia and is the reason why the author’s suggested remedies for inequality at the end of the book are multi-faceted and targets specific demographics instead of a magic bullet solution.
Some of the substantiated revelations may make some readers squeamish, but it is part of our current reality, and we ignore the truth or become delusional at our own expense.
If you have to read one non-fiction book this year, make it The Colour of Inequality.

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