Prime Minister Lawrence Wong emphasized the need for measured government intervention to address the economic disruption and uncertainty arising from advances in artificial intelligence and other global challenges. Speaking on September 30 at the 25th anniversary of the Economist Service, he stressed that while support for affected workers and communities is necessary, any policy responses must adhere to sound economic principles.

Wong acknowledged the accelerating pace of change is driving what he described as "creative destruction," a process vital for innovation and growth. However, he noted the immediate impact on workers whose jobs are displaced can be significant and personal. “When livelihoods are affected and people feel anxious about their future, it is understandable that they will look to the Government for solutions,” he said. He reiterated the government’s commitment to assist those adversely impacted, protect vulnerable groups, and ensure that economic gains are shared broadly.

Highlighting Singapore’s approach, the Prime Minister pointed out that the government has never adopted a purely laissez-faire stance. While recognizing the role of markets, he said governments must intervene to correct market failures, pool risks, and pursue social objectives that markets alone cannot achieve. Yet, he underscored the importance of careful and disciplined intervention, involving a clear diagnosis of the policy problem, an understanding of the incentives created, acknowledgment of trade-offs, and anticipation of potential unintended consequences.

“We must respond to these concerns. We must help those adversely affected by change, protect the vulnerable, and make sure the benefits of growth are broadly shared,” Wong said, urging policymakers to maintain diligence and economic rigor in designing effective responses.

Wong delivered his remarks at the Parkway Collection Pickering hotel to a gathering of public sector economists. He reflected on his early days as one of the first five economists in the Economist Service when it was founded in 2001 under the Ministry of Trade and Industry. At that time, the service was a small team that he helped promote and recruit for. Since then, it has expanded to more than 100 economists operating within over 20 government agencies and two international organizations.

He concluded by affirming the continued importance of economic thinking in shaping government policy amid a rapidly evolving global landscape, reinforcing the Economist Service’s role in upholding discipline and clarity in public sector economic analysis.