In economics, demand that is more than supply, prices will go up or supply that cannot keep up with demand, prices will go up.
In Singapore, almost everything is imported. So, if the imported prices increase, the prices in Singapore will go up. The only way to reduce prices in Singapore is to buy from the chepeast source of imports or to buy inferior imports or substitute imports to as to reduce the prices in Singapore.
Another way, it is to make Singapore dollar stronger so that singapore can still buy the same amount or slightly amount of the higher price imports. Singapore dollars can only become stronger if there are greater demand for Singapore dollars (eg attract more tourists to spend in Singapore or exports more) or less supply of Singapore (eg imports less or fewer Singaporeans go for overseas trips to spend).
Alternatively, the government can subsidize the imports but this will require a lot of money and it will be difficult for the government to sustain on a long-term basis when the imports prices keep rising.
Also, the consumers can choose to buy less imports and use more local goods and services but this might not be possible as Singapore imports almost everything and some goods cannot be substituted.
Theoretically, the above analysis is correct. But, it is incorrect for anyone who does not have the money to keep up with the sharply increase in prices !!!.
I believe silver-spooned kid LHL will bring down PAP in the near future,coz he do nothing to curb inflation.While other countries leaders trying so hard to reduce the impact of inflation to their countrymen n women,this fuking silver-spooned kid do nothing to control the prices of necessity goods.
He doesnt learn the lesson of other countries leaders fall due to the inability to control inflation,no wonder ppl call him silver-spooned kid....
May I ask why call them FAP?
This question is always good for Lies and DeerHunter to reply .. Am i right, guys?
Originally posted by Midlusionz:This question is always good for Lies and DeerHunter to reply .. Am i right, guys?
Oh but then what is FAP?
Originally posted by drawer:I believe silver-spooned kid LHL will bring down PAP in the near future,coz he do nothing to curb inflation.While other countries leaders trying so hard to reduce the impact of inflation to their countrymen n women,this fuking silver-spooned kid do nothing to control the prices of necessity goods.
He doesnt learn the lesson of other countries leaders fall due to the inability to control inflation,no wonder ppl call him silver-spooned kid....
I don't know about you but I see other governments removing subsidies to combat against inflation ?