Ah Pek was seen arguing with the mama shop why his can of coke is now 80c and not 60c. Ah Pek said he read in the paper that the prices of common household goods increased only by 4.3%.
Now his coke of 60c increased by 20c or 33%!
How can? Profiteering huh!
5 comments:
Central Bank infltion of the money supply.
Yes, "profiteering" - by the govt, quietly stealing away the purchasing power of the citizen.
The ending will be when the mama shop owner tells the Ah Pek: Stupid Ah Pek, my shop is my business how much i want to sell lah. You don't want to buy, go and drink sai chwee from your tap lah. Free, mah.
you miss my point.
the price of coke gone up by 33%. official inflation rate is only 4.3%
There is no such thing in reality as an "official" inflation rate. It is a "number" published by govt, and thus is deemed to be (by law) "official".
Inflation is purely a monetary phenomenon - it occurs when the central bank allows the money supply and credit money to expand causing price rises across the economy.
Price rises are NOT UNIFORM. Some prices will rise more than others. The coke may have risen in price, but look at comouters -- they've FALLEN despite the increase in the money supply.
eh, you drinking at this hour?
there is not only the official rate, there is the unofficial rate, there is the matilah rate, there is the redbean rate. and there is the ah long rate.
you need not believe in any one of them though.
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