have u realised why singapore is getting so expensive, its because its prices are controlled by artificial means through the use of one or two limited entitites to deliver services and goods..
There is no competition to bring prices down. Why should there be a competition?
Competition ensures that the general price index doesnt rise too high, for example an alternative transport compay decided to price a value based offer better than the competitors, naturally the prices of commutation will come down
On the other hand prices may rise too if there is too much of a free market resulting in price fixing and monopolistic practices.The answer to this is a commission set up with authorative powers and effective laws to regulate prices before it reaches the end customer. But this will not work if the supreme overseer, a corporate like government wants to make a profit by buying up goods and service providers. It will end up being worst with prices going sky high
This scheme of thought process is particularly important in industries like food , housing and transportation, the basic industries as everything else like expenditure and buying power are closely related to them. Any price spike in these "basic" goods and services may result in a chain effect increasing the overall price index resulting in what we call inflation.
Glossary:
A price index (plural: “price indices” or “price indexes”) is a normalized average (typically a weighted average) of prices for a given class of goods or services
here, only our wages is competing downwards otherwise its always upwards.
Originally posted by Worldlybusinessman:have u realised why singapore is getting so expensive, its because its prices are controlled by artificial means through the use of one or two limited entitites to deliver services and goods..
There is no competition to bring prices down. Why should there be a competition?
Competition ensures that the general price index doesnt rise too high, for example an alternative transport compay decided to price a value based offer better than the competitors, naturally the prices of commutation will come down
On the other hand prices may rise too if there is too much of a free market resulting in price fixing and monopolistic practices.The answer to this is a commission set up with authorative powers and effective laws to regulate prices before it reaches the end customer. But this will not work if the supreme overseer, a corporate like government wants to make a profit by buying up goods and service providers. It will end up being worst with prices going sky high
This scheme of thought process is particularly important in industries like food , housing and transportation, the basic industries as everything else like expenditure and buying power are closely related to them. Any price spike in these "basic" goods and services may result in a chain effect increasing the overall price index resulting in what we call inflation.
Glossary:
A price index (plural: “price indices” or “price indexes”) is a normalized average (typically a weighted average) of prices for a given class of goods or services
in other words you're trying to tell us every must be done in moderation?