Lee Kuan Yew's Alternative To European Style Welfare State

Many European governments have made promises they must either default on or impose draconian taxes to pay for.

Singapore has avoided that problem.

The key is to ensure that one generation won’t bankrupt future generations by living beyond its means.

John Fund, American political journalist and columnist for National Review wrote:

"I believe that the least appreciated part of Lee Kwan Yew’s legacy is his method of ensuring that one generation won’t bankrupt future generations by selfishly living beyond its means. It’s a welfare state that works, and one he always said was available to any political leader with the courage to tell his people the truth about the limits of government’s power to pass out goodies.

In 2013, when Singapore broadened its medical-benefits program, the local Straits Times newspaper made clear the government’s philosophy: “The first [priority] is to keep government subsidies targeted at those who most need them, rather than commit to benefits for all. Universal benefits are ‘wasteful and inequitable,’ and hard to take away once given, [finance minister Tharman Shanmugaratnam] said.

That mindset is embodied in Singapore’s philosophy of welfare, which rests on four pillars:

Each generation should pay its own way. 
Each family should pay its own way. 
Each individual should pay his own way.

Only after passing through these three filters should anyone turn to the government for help. But it will be there when needed."

Ref: http://bit.ly/1DFa72i