DislikedStill remember last year when the Government Hike the Oil Price... Everyone gone MAD!!!
But we still surviving till now... no problem at all... even the GDP is growing more than 6%.
Understanding about how economic works give me the satisfaction and pleasure. It's all about SUPPLY And DEMAND. Part of NATURE. Can't really control the nature... only after certain point... then the NATURE take its course... no matter what... can't fight it.
Back to basic >>> EQUILIBRIUM. With this increasing OIL price will cause other things becoming expensive too... such as FOOD and TRANSPORTATION.
I remember last time when I was in the primary school ... the cost of "Nasi Lemak" (typical Malay food) was about 20cents per plate. Right now already RM1 per plate. My mom told me... she bought Nasi Lemak only for 2cents during her time. See the price just keep on INCREASING.. but we still SURVIVING.
Why??? With all the living cost INCREASING... our INCOME also INCREASING. I bet after this everyone will be demanding a pay rise due to improving standard of living. As long as the ECONOMIC growth is healthy... this will happen. Back to EQUILIBRIUM. We will survive.
The drawback... the countries with economic problems and shortage of food... will suffer more and more. Up to the wealthy countries to help them.
The fact of life: The RICH get RICHER... the POOR get POORER. Unfair isn't it... but it's happening all around us.Ignored
But if applying "the rich gets richer; poor gets poorer" theory... that means the msian bosses wouldn't be increasing the pay so much (otherwise they wont get richer) and it would take a some long time before they will do the salary adjustments (the poor gets poorer).
In economics term, most people will have lesser overall spending power and certain businesses will start to deteriorate...
In countries like Australia, the employer (or govt) is very sensitive to fuel price so once the fuel price increase they swiftly adjust the petrol allowances for the employees. I've a fren whom is working as a part-timer got a $20 increase in petrol allowance the week after the price hit $100/barrel.
But in Malaysia (at least east Msia) that's not happening... None of my peers got an adjustment (of course other than some yearly increments) since the subsidy reduction years back.
I'm trying to make a point here for the newcomers to the working society and average family background are very difficult for us to save money with that kind of pays and this kind of expenses.