that cigarette and beer taxes have not gone up. But there is much more to the Budget than just those few ringgit you saved. The real goodies are hidden away from public view. RM47.8 billion is being spent on education and training this year. That’s equivalent to RM8000 for each student in public education. And yet, so many parents feel compelled to send their children to private schools or for private tuition. So, what happened to all that money?

Also, did you know we spend the same amount on defence – 13.7bn - that we do on healthcare? Do you think that is the right choice?

“The Budget: How the Government is Spending Our Money” is a guide to how your Government raises its funds and how it spends all that money. The Federal Government alone spends about 200bn per year. On top of that, there is also spending by state and local governments. Do you think you got your money’s worth?

The first of its kind in Malaysia, this book explains in plain English where the Federal Government gets its income and what it spends it on. Interested citizens and taxpayers will find this an accessible read, while professionals will, for the first time, find the numbers compiled in a clear and concise format.

Foreword 1:

The book addresses the fundamental questions of budget formulation, its components, sources of deficit, transparency, and the political economy of government expenditure in Malaysia in simple language backed with solid statistics.

Budget deficits arise when government expenditure exceeds government revenue. Whether it is intentionally generated or unexpectedly recorded, governments generally desire to achieve a balanced budget over the long term. The book notes that the Malaysian budget deficit has grown sharply because of burgeoning operating rather than development expenditures. Instead of only meeting necessary consumption and focusing on development to spur investment into technological catch-up activities, its warning of the dangers future generations shall face from the current pattern of government expenditure should be taken seriously.

Professor Rajah Rasiah
Dean, Faculty of Economics and Administration,
University of Malaya.

Foreword 2:

With his straightforward but incisive approach to this normally dry subject, the author serves us a timely reminder of the impact of budgetary policies on our everyday lives. Budget, as he points out, is a question of choice – an important choice that is regularly made for us by others.

The temporary power bestowed on these few others to determine our economic welfare comes via another process of choice – that of the electorate.

This book is a powerful reminder that indeed our destiny ultimately lies in our own hands. We cannot expect that the right choices would be made on our behalf, if in the first place we ourselves do not know how to make the right choice concerning our surrogate decision-makers.

Yeo Yang-Poh
Former President of Malaysia Bar Council

^ Back to Top | Back to Books >