It is reported in the news that there are 1 Million foreign workers or more working in Singapore. Assuming a $1,000 per month paycheck, this is $1 Billion per month ( or $12 Billion a year) in income to foreign workers. Most of this money will go to their rent, food, drinks, and savings being sent back to their home country. This savings transferred back home will fuel a construction and housing boom in their home country. This $12 Billion is only for Singapore. How about countries like Taiwan, Japan, Hong Kong, Malaysia, Australia etc…? if this money stops flowing to the foreign workers, the construction and housing boom in China, India, Malaysia, Vietnam etc… may end.
There are many 6- 9 – year old normal car plate vehicles in car parks such as Toa Payoh, Bishan, Ang Mo Kio etc which are hardly used in daytime. Someone is paying taxes, maintenance, parking for these vehicles. If the job market remains good, then the car taxes, maintenance will be paid. Should the job market weaken, these vehicles may be sold early. If many of these cars are sold, the car market prices will dive.
In view of such situation in Singapore, it can be said that there is an excess of vehicles and foreign workers in Singapore. As such, car prices and foreign workers numbers can only go one way down.
