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We do not need economist to tell us what is wrong with the full blanket subsidies

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1) First thing to do by the government is remove those wasteful and indiscriminate subsidies to rich people like sugar, cooking oil, petrol, textbook loan, university fees, etc.

A real case, I became a textbook loan sponsor for a good friend who earned several millions in a year. His wife wanted to enjoy the government subsidy as many poor citizens who earns less than RM 24000 a year.

Below is statistics for year 2009 with total 74 billion subsidies.

=> Petrol and diesel price subsidy is RM 15 billion

=> Sugar subsidy is RM 720 million.

=> Cooking oil subsidy is RM 850

=> Rice subsidy is RM1.34 billion

=> Flour subsidy is RM 140 million

2) Second thing to do is stop all subsidies to IPPs power generators, toll operators, water, etc.

=> Natural gas subsidy for IPPs is RM 12 billion

=> Subsidy for tolls is RM 800 million

3) Third thing to do is reduce the leakages of public funds due to rampant corruption and poor planning.

=> The losses due to corruption is RM10 billion per year.

My fair and justice solution:

What the government should do is re-distribute these […]