Tag Archives: price

Greed


Why do we desire more than we need?

A car is a car, yet some must have the most expensive to validate their existence. Such cars would not be made if we did not, as individuals, crave attention or simply desired ‘the best’.

Do we, in effect, just want the best we can buy or is it the status that our greed desires? Transport provides the same function, with various degrees of comfort, until more comfort is unnecessarily luxurious. Then it becomes greed, or simply the desire to possess the best.

The best. This also relates to homes, jobs, clothes, food, all items we purchase. If we were to remove the top end of luxury and place that monetary value into the hands of the almost four billion poor we would progress as a society.

For some, progress as an individual is more valuable.

Who notices the luxury more than the owner? If it is not recognised by anyone else then its desirability reduces. What does this say about us? Do we truly pursue ‘quality’ as some philosophers state and does this intrude into personal space, or is our desire for art all encompassing.

Perhaps we require recognition for our efforts, inheritance or luck to place us above others in our world view.

Unfortunately the ‘others’, apart from a very brief moment of recognition, do not desire the same level of luxury as a permanent quality. Therefore the money used to impress is mostly wasted.

Purchase luxury for your sake, judge it for yourself, and only purchase it if your life is further fulfilled by its presence.

If luxury has no more meaning for you, assist those who will never experience it to provide them with the basics of life to achieve true fulfilment.

Our true inflation figure and how it is ripping us off


I am sure you have all noticed the same thing.

For almost everything you purchase from the supermarket today, you are receiving around 20 percent less in actual product than you used to receive a year ago, and for the same price.

Our real inflation figure is around 7-8 percent, maybe more. Yet the figures coming out of the the Australian Bureau of Statistics (ABS) indicate inflation is no higher than 2.5 percent.

So our wages increase by a quarter of the increased costs we pay for essential goods every day, meaning our buying power is being significantly eroded. We simply cannot buy anywhere near as much in the supermarket today as we did last year, the year before that and so on.

No wonder we all feel a lot worse off today, and get very angry when politicians state the ‘official’ yet wildly inaccurate inflation figure.

Its official title is ‘household gross disposable income’ and it is decreasing as fast as water draining from a bath once the plug is removed. Or at least it sometimes feels that way.

The ‘statistics’ say we should all be fine, yet we have more people seeking assistance than ever before. And our purchasing power has reduced by 20 percent or more on many of our regular food items.

For example, packets of nutritious nutbars we used to enjoy did come in packs of six. Without any price reduction they then contained five per pack, and now only four. They then reduced the size of each individual bar by 20 percent. The price of each box has not reduced at all

So the ABS, who only look at the surface and so obtain meaningless figures, sees no increase.

Obviously their data collection is way off, and they should have started to include the size of items as well as price some years ago.

It started when bottles of wine and spirits reduced from 750ml to 700ml, with no increase in price, and the ABS registered no increase in inflation.

Many of us did not notice this seven percent increase in overall price, encouraging others to do the same.

The ABS has been completely wrong for some years now.

Packets of potato chips now contain far fewer chips, and they cunningly fill the rest of each bag with compressed air. This actually adds weight, meaning the weight shown on the packet is the same, or very close to the same, weight was before. Unfortunately we cannot eat air, yet we are now paying for it.

Once again the fast diminishing cash in our pockets tells the real story.

If the ABS does not get its act together quickly and measure the real cost of living increases we experience every day, we will soon have our buying power reduced by 50 percent with only, if we are lucky, an increase in wages of 2.5 percent.

Businesses know this, and also know it contributes to their ever increasing bottom lines so they are not going to speak up any time soon. The government, likewise, loves announcing ‘low’ inflation as evidence of their wonderful economic management.

I have read quotes from officials within the ABS admitting they are not getting the inflation figures correct. How about they simply include measurements/quantities of food items we now receive for the same money? It would quickly show the correct inflation figure, at approximately four times the current figure.

However that would mean admitting to incorrect calculations for the past several years. Why do that when the government is so happy with the way they calculate it now?

We are all being squeezed in a vice consisting of business profits and fast diminishing products for the same amount of our money.

Once again our confidence in those who are meant to know what they are doing, because it directly affects our quality of life, is eroding almost as quickly as the size of the products we buy.

So if the increased profits businesses are making from this underhanded price manipulation are not being shared with us in higher wages, why does the federal government think their planned tax cuts will be passed on?

As always the lower and middle classes suffer so the rich can get richer. The current gap between the rich and poor has never been bigger and shows no sign of slowing.

When the results of all the bi-elections from yesterday come in and victory is dominated by independents, the two main political party’s have only themselves to blame.

We are not as gullible as they think we are.

Finally I must, in the interest of balance, mention the new government here in South Australia. So far they have met all their election promises and look like they are doing their best to meet all of them wherever possible. This is reflected in recent business confidence figures being the highest this State has seen for a very, very long time.

Unfortunately they have no clout when it comes to calculating real inflation. We can only hope that a federal government will follow their lead soon and tell it like it is.

In the meantime we progressively get poorer and, unless we read and note the weight and quantity of everything we buy, it will only get worse.

But hey, with inflation at only 2.5 percent why worry?

My great prediction


In a few days time, if it passes into law or not, we will pay GST on any goods we order that come from overseas.

Apparently this will be a big boost to our local retail sector. Unfortunately my prediction is that it will not be anywhere near as big a boost as they are hoping for.

For decades we have all had to pay the Australia Tax. This is the massive differences in price to, say, a notebook for sale in the US and the price the exact same notebook sells for here. You can find even worse examples in everyday painkillers (we pay around $8 for 24 ibuprofen tablets and in the US you pay $10-15 for 500 tablets!

Other examples are DVDs, CDs, books, food…. basically anything.

And when the companies that sell these products at vastly different prices are asked why, the excuse they always offer is the distance to Australia and our smaller market.

So either the suppliers are making a fortune because no-one in Australia has the guts to ask the tough questions or our local retailers are terrible at negotiating.

Maybe a bit of both. Personally I am staggered by the number of people here who will pay nearly double for the latest smartphone or Apple product, as they sell for in the US. Go ahead, check it for yourself.

So, my prediction is that on the 1st of July the people of Australia will have finally had enough of governments introducing new taxes seemingly every week. (A sugar tax? What a laugh. Apparently we can’t be relied on to make our own decision on what we should drink, so of course we need a tax to help us out. To paraphrase The Beatles, they’ll be taxing air next).

We will have had enough, finally, and we will revolt. Personally those items I purchased from overseas – because of this thing that is meant to be free, called the internet – I simply will not buy again.

Why not? Because every time I go to do so online there will be a stark reminder in my shopping cart, GST of 10%. I will get angry and log out.

And I will not buy it locally because unfortunately local retailers, big and small, are lacking when it comes to understanding buying on the internet. Ask them what a Google rating is and they will ask what movie are you referring to. Seriously, key into Mr Google the item you want to buy and stipulate Australia. The first items listed will be Ads for overseas sites, followed by some articles or reviews (from overseas of course) followed by something completely unrelated. Unless you include a store name in your search you will not even get close.

So until the local retailers discover Google search, it will make me so angry trying to find the item I want that I’ll end up not wanting it anymore. Shopping online should be easy and fun, and only a dozen or so Aussie retailers get it.

So, our local retailers will see a much smaller increase in online sales than they hoped for. My prediction is that less than 50% of what was spent overseas up until June 30 this year, will be spent locally in the next financial year.

If I see a news article stating how local retail has boomed I will know it is false, and was probably influenced by government press releases. How do I know this? Because every year, about two weeks before Christmas, every news outlet predicts the biggest spending Christmas ever of $X billion dollars. Then in February or March, on page 27, will be a small article saying the figures are in and it was actually a very disappointing Christmas for retailers. It happens every single year, like clockwork.

I am especially a fan of TV newsreaders proclaiming that in the last weekend before Christmas shoppers went crazy and spent $X billion dollars. Hello? How could you know that? Did you ring every shop in the State and ask them for their sales figures? No? Would the shops even know what their figures were for those two days, and get them to you within just 24 hours so you can run your news item? Somehow I doubt it.

Wet your finger and proudly hold it up high. There, now you have as much chance as getting your prediction right as 80% of our so-called economic ‘experts’.

As Steve Jobs said on many occasions, do not listen to anyone who says they are an ‘expert’ or worse, a ‘guru’, because no-one is, it’s impossible.

So buy big and buy now, the clock is ticking. At least this is one tax you can choose not to pay. And just think of all the money you will save!

The Royal Wedding – why it is a great advertisement for a Republic


Warning: if you love the Royal Family you may want to stop reading.

Before this event was shown on millions of televisions worldwide, I read an article that said over two billion people would be watching. This was quickly changed to a few hundred million, and I think that is part of the problem.

Hype.

The Royal Family changed their surname in World War I to Windsor, as they are all of German descent. But no, that is not what I do not like about them. What I don’t like is people holding positions of power and influence simply because of who their mother is, and the industry of hype that surrounds them.

Take Royal Commentators. Who would employ these egotistical windbags if they didn’t have the Royal Family to be interviewed and written about? No one I suspect. Also losing their jobs would be their voice coaches, who teach them to speak with an overly exaggerated posh English accent that millions fall for. Margaret Thatcher employed one of these voice coaches and went from a backbencher to Prime Minister.

Oh how gullible we are as a collective.

I am from a business background and had to work very hard for everything I have, as have the other nearly six billion people on this planet. Sure, people can be born into wealth and that happens on a daily basis, but they are not also born with power over how countries are governed. Unless of course you include North Korea, and gee isn’t that going well.

Yes we are very fortunate that the British Royal Family seem relatively sane, but if Prince Charles had married Camilla when he had wanted to, and there was no Diana in their bloodline, I believe we would already be a Republic.

My main point is that we already should be a Republic. Why?

Glad you asked.

We currently have a Governor General who can wield massive power over our country (just look at the 1970s) and answers only to their boss, the Queen. Residing on the other side of the planet the Queen mainly understands our society from what her advisors tell her. She could be receiving good advice, yes, but there is also a fifty percent chance that the advice is bad.

Bottom line is she is not Australian and is not immersed in our society, so why is she our ultimate ruler? We get upset when a politician doesn’t live in the electorate they are campaigning in, yet we bow to the Queen of England who doesn’t even live in our country?

Which brings me around to those projected television audience figures.

For some reason people become so overly excited that everything about the Queen and her family is highly exaggerated. How can billions become millions? Media hype.

The media see dollar signs in the Royals (and not much else). Television stations jack up the prices of advertising during the wedding. Countless photographs of the happy couple adorn the covers, insides and everywhere else on magazines and newspapers for weeks on end. Newspapers in particular temporarily forget that their job is to inform us about what is happening in our own country. Granted, this doesn’t happen much any more because Mr Murdoch has sacked all the good investigative journalists, instead his newspapers copy stories to fill pages (pick up a paper from Melbourne and you will read the same articles in the paper in Adelaide).

Hype turned up to 11, blaring at us from every direction, because of one wedding that is taking place on the other side of the world. And the only reason many of us are interested is because the people involved were born into wealth and power? Are we really that discontented in our own lives? Do we really believe that they should rule over us instead of a democratically elected Head of State who, shock horror, would be an Australian?

Granted they do some good work in raising funds for good causes but so do thousands of families in Australia, and they don’t get to live in a castle with servants. The amount of money spent on this wedding could save thousands of lives amongst the two billion people who currently make only $2 a day. Same with the homeless, who I suspect were removed from the route taken by the horse and buggy show before the cameras arrived.

There, but for the grace of a few missed pay days, go the rest of us.

If you want to watch a wedding and cry at the love and devotion two people have for each other, there are hundreds of them that happen every Saturday. They may not have veils longer than a football field, but they are displays of love and therefore, in my opinion, far more ‘tear worthy’ than the one on every television last weekend.

Thank god for Netflix!

Oil Prices – Jan 2016


Crude oil prices have decreased by 70% over the past 18 months and yet bowser prices have reduced by only around 30%…where’s the ACCC??

Prices now (January 2018) are still reaching highs above where crude oil Singapore pricing was a lot dearer…so who is ripping us off?

Petrol is a necessity purchase and as such we have to buy it now matter the price…and they know this.

So they keep increasing the price, affecting the middle and lower classes the most.

It is extortion by stealth.