Sunday, June 08, 2008
Oil Hike: Pictoral Prequel to a Perspective
The Sunday papers are highlighting the new market high to help soften the public's anger. It is complimented with explanation by officials, and cooperative economist, businessmen and politicians.
The argument presented by Dato Shahrir Abd Samad, Domestic Trade and Consumer Affair Minister, to increase prices of rice, cooking oil, petrol and various controlled goods was to ensure supply.
Is it about subsidies, affordability, and supply & demand mechanism? What is at play? Ponder through these pictoral headlines for a bigger socio-political picture.
We Got No Choice?
The country can't afford or do not want to give subsidies totally?
Not that, the Government will adjust price monthly. However, it is not so bad. We will get annual rebate and POS Malaysia will efficiently reimburse it.
Experiance tells that prices are elastic upward but not downward.
Where Petronas used to make RM15-20 billion a year, they are making RM70-80 billion a year. How are them to convince us they will go bust?
With so much money, Petronas can't afford to do exploration? How about your reserve?
Is Petronas heading in the direction of a GLC corporation with no social objective?
Why the Panic?
He sucks as an Airliner or his hands are tied, but he knows oil.
Not only that, we do not have food supply problem as bullshit by Shahrir.
What is the Real Agenda?
If there is no issue of supply, then why?
Thus far, we are being fed views from the narrow perspective of commercial logic, administrative convenience, and simplistic economics.
Revamping is a big word indeed.
Efficient, a word that rings of something.
It is more than the issue of leakage in subsidy to foreigners, corporations, and IPPs, while taxpayers have to suffer.
There is a bigger agenda ...
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