If GIC and Temasek ever go bust, this is a possible scenario:
Singapore Govt Securities will be priced at 7-8% coupon. Fixed deposit rates will be higher.
The govt will have less bullet to defend the SGD versus foreign currencies. Even though this will likely be balanced by the higher interest rates, the exchange rates against SGD will be more volatile as hedge funds know that SGD is 'bully-able'. Singapore's credit standing will drop.
Regional headquarters will shift from Singapore to Shanghai or Shenzhen as their cost of doing business is lower in terms of labour costs and business overheads. Besides, in 15 years time, almost every citizen of China will be effectively bilingual in both English and Chinese. Singapore will not have an edge anymore.
Property market will likely collapse as the govt will auction more land to rebuild the reserves. With higher interest rates, the property market will be less attractive as an asset class. Singaporeans will be impoverished as most people rely on properties as a store of wealth.
The dissipation of the wealth effect will cause consumer spending to decrease. Retail business will be crap. Big franchises like NTUC will suck the life out of any remaining small set-ups. NTUC and the likes will attempt to venture into any business that benefit size, e.g. commercial schools, tuition centres, eldercare, real estate, food and beverage, hostel, hospitality, motor-car repair, money-lending, pawn-shop business, medical and dental clinics etc .....
Due to widespread unemployment, massage parlour businesses will flourish. So will prostitution. By then, the middle class in China would have increase dramatically. China mei-meis working in KTVs will be a rarity. Local unemployed girls will take their place. Many Singaporean girls will even venture overseas to sell their services. They will poignantly reminisce their older counter-parts' hiding behind the Women's Charter. Many local girls will regret their earlier high expectations as Singaporean males will have wised-up and will not fall into the marriage trap so easily.
Tax will likely increase. So will all forms of taxes. ERP too. Given the kiasu nature of the govt officials, the process of rebuilding the govt revenue will likely suck liquidity out of the private sector. Taxes on alcohol, cigarettes, etc will increase dramatically.
By then, due to frustration, increase of courage or simply desperation, the voting public will begin to see things clearly and vote wisely.
Also, by then, my alcohol addiction will have gone into the irreversible stage. I will likely die of liver problems. Just like Nicholas Cage in 'Leaving Las Vegas'
So all these will be none of my bloody business.