Alex must be an economist or at least a very well-informed individual able to dish out impressive figures. As a layperson with a background in political science, I can only say that the inflationary rate in Malaysia is a lot higher than the government's single digit number.

My basket of goods is not the controlled prices for fish, chicken, sugar and rice. It's my favourite char kueh teow, soya bean drink and the petrol I use to get to the shop for my greasy breakfast.

As a person with a background in political science, I can put in my two cents worth on what has happened to the state of the nation.

In an Utopian capitalist society, the government is to provide law and order to keep playing fields level for businessmen and entrepreneurs. The rights of an individual stop when they begin to infringe on another's.

In order for the government to do this effectively, it must be free from any vested interest in business or money-making projects that benefit any person holding office in government. The way to do this is through checks and balances. The various branches of the government ensure this; the parliament, the executive, and the judiciary.

You see, capitalism is based on one fact, that is that man is ultimately selfish and greedy. If left alone, he will capitalise on another person's weakness. However, this drive for self-fulfilment and independence is what creates a prosperous and independent economy for the whole.

The government's role is to ensure that there is always a level-playing field and that wealth is shared to a certain extent with the less fortunate or needy in society. Many countries who claim to have a democratic capitalistic society run in this way and are all on a continuum.

In Malaysia, we have a very different scenario which explains Alex's observation that Malaysia has sunk to a current state of non-competitiveness with wealth in the hands of a selected few.

In Malaysia, we have a government that views parliament as a mere rubber stamp. The judiciary who challenged the executive in the 80s has been 'revamped'. We have ministers and menteri besar owning mansions abroad and at home. Government is intimate with businessmen and vice versa.

A minister, I recall said that it was too idealistic to have an independent judiciary in Malaysia. No checks and balances exist and government leaders are free to do and say anything they choose.

If money politics, graft and corruption are not taken seriously and stemmed, Malaysia will sink further into oblivion.