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Thursday, May 05, 2005

What else hasn't increased?

If we scan the papers for the past 2 weeks, most people will note that there has been an increase in the Second Link toll charges, bus and taxi fare, Penang ferries and a MAS fuel surcharge. This is not to mention the increases in PLUS toll charges that began this year.

And today's breakfast news read : "Petrol up 10 sen, diesel up 20 sen." What else hasn't increased?

My income.

So what does that mean?

The poor get poorer, the rich get richer - my catchphrase for the week.

I don't have to even start on the vicious snowball effect that will begin with this huge increase in petrol and diesel price. Anyone who uses the transport industry to move products and services (which means that it comprises practically everyone), will have increased costs. And who bears these increased costs? Not the business owner, of course - it'll be you, you, you and me. Wonderful. And did someone mention that day in the papers that inflation was at 2.6% - only?? Yeah, right.

Petrol increased twice last year, by 2 sen per litre in May and 5 sen per litre in October. With the increase to RM1.52 per litre effective today, it will mean that petrol price has increased by 12.6% the past year. And has anyone's salary seen that much of an increase?

Things get more expensive, expenditure value increases but income remains the same. Simple maths done by a not-very-happy rakyat.

I've practically forgotten my economics from school. But I remember that we used to make equations like : Increase in petrol = increase in general price of products and services = inflation = deter consumers from spending = less expenditure = lower GDP = not very good economy.

I'm definitely one of the many who are complaining at the price hike. My Vitara used to need only RM45/- for a full tank back when I bought it in 1997. Now, it needs RM75/-. Like, hello, that is what it cost my dad to fill up his Merce back then.

I haven't yet met someone who's happy with the price increase. Except maybe the government, since they're subsidising less now - which means more civil servants can go for more overseas "lawatan sambil belajar" and build more luxurious "government quarters" eh?

Tsk tsk, skepticism isn't a good thing.

So, to get out of the "poor get poorer" phase, must work harder and find ways to make money and combat all these capitalism. After all, prices will never come down, they can only head up north.

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