KUALA LUMPUR, Dec 5 - Former President of the United States Bill Clinton told Malaysians today that the world is more interdependent than ever.
As such, especially in light of the global economic crisis, the world cannot play a zero-sum game, and success must no longer be measured in terms of being winners or losers.
"In an interdependent world, when others starve, we pay for it, and when others flourish, so do we," he told a packed hall during the inaugural BC Sekhar memorial lecture.
In his lecture, he gave examples of how countries like Kuwait could not understand how despite having a US$200 billion (RM727 billion) reserve, that there was little interest in investing in their market.
He praised Malaysia for deciding its own economic destiny during the 1998 economic crisis but even that could not save the country from the situation today.
"If they are scared here, they are scared everywhere," he remarked.
He said that while it was difficult for economic giants like the United States, the European Union and Japan to reach out in the midst of crisis, it is in their own self-interest, as a global economy requires someone to trade with.
"We have to move towards abolishing the difference between being selfless and selfish.
"We have reached a point where no problem can be solved alone and we must make more partners than adversaries," he said.
The 42nd President of the US also said that everything we know about economics, religion and science tells us that we have no choice but to share the future.
"If we follow this, then the best is ahead of us, if not, we will reap horribly.
"But since we seem to care about our children and grandchildren more than ourselves, I am betting on us making the right choice," he concluded.
According to Clinton, sharing meant that conflicts would arise, but that this would be a good thing.
"I know there are political conflicts," he said referring to Malaysia. "But that is a good thing. You cannot be right all the time."
"If you are thinking, then there will be disagreements. Hillary and I have disagreements all the time but this is healthy," he said, referring to his wife, who will become US Secretary of State in January.
He said that the press had labelled his economic team as "indisciplined" because it argued all the time.
"You need to balance order and creative argument," he advised.
He described Malaysia as having made remarkable strides in this area. That when he visited a bird park here, Muslim women who covered their heads due to religious requirement, greeted him and looked him in the eye.
"They welcomed me into a common space," he said, referring to the cultural gulf.
"What a different world we will have if everyone was more like this," he said to applause.
He also said that his wife had a personal assistant who was half Saudi and half Pakistani, a devoted Muslim.
But her best friend is Jewish and they constantly exchange views on each other's faiths and consider a future where their different cultures would mix together in a United States where it is projected that by 2050, there will be no single ethic majority.
He also answered several questions, including one on what Barack Obama, the first Democrat President since himself, should do to stimulate the economy when he comes into office in January.
Clinton replied that although he had adopted a conservative policy in an attempt to cut deficits, Obamas could not pursue a similar route.
"He faces deflation and contraction and he needs to liquefy, so there will be more debt.
"But he has no alternative but to stimulate growth," he said, referring to the US$700 billion bailout plan that is being finalised.
He said that foreclosures of housing mortgages were costing the US economy US$250,000 each, and given that there will be 2 million foreclosures this year and up to 3 million in 2009, the bailout would be wiped out by the drag from foreclosures.
As such, Obama would have to put a floor to asset prices, as mortgages far out valued prices of houses, and then initiate government spending to trigger growth.
Clinton's advice for Malaysia's economy, in the midst of concerns over climate change was "to make good business" for those who sought to reduce greenhouse gasses.
He pointed out landfills, for example, took up precious real estate and generated 23 times the amount of greenhouse gasses per capita as compared to cars.
However, organic waste could be turned into clean energy in the form of bio fuel.
According to Clinton, Denmark managed to grow its economy by 50 per cent without increasing energy costs, and in fact, reduced greenhouse gasses by 25 per cent in that time.
"You need to re-imagine the energy issue and not assume that the lowest cost and highest profit ratio is through fossil fuel," he said.
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