I have been writing about this in comment pages in other blogs but I thought, hey, why not I expound this concept here?
We, too, are players in this game...Source: http://www.weblo.com/celebrity/Legend/Rich_Uncle_Pennybags/453993/
Anyway, what is monopoly? It is not just a game but underlying it, it is a hope of every player to have the ultimate control. From Wikipedia, Monopoly is understood as:
A persistent situation where there is only one provider of a product or service in a particular market. Monopolies are characterized by a lack of economic competition for the good or service that they provide and a lack of viable substitute goods.
In a way, many of us will agree with the need for monopoly, implicitly or explicitly, when it comes to public service and goods. It is costly to have a lot of suppliers offering alternative laws and implementation policies at different pricing scales. Take for instance if you want water supply, can you imagine 10 water suppliers willing to offer you water at different packages but the legality of each supply documents can be contested at 10 different courts because each court offers a different set of interpretations? Also, at the same time, 10 different legislative bodies, equally valid in its own right, enacting their own laws. Hence, to ensure you get the best the market can offer, you will need to do a lot of negotiations just to get a good, consistent quality with minimal disruption in services. Hence it makes sense to have 1 government to govern the needs of 1 nation.
So what will happen when we have a monopoly?
Basically, we as buyers surrender our rights to seek for best price, quality and quantity of goods and services to a single entity since we don't really have any other alternative suppliers.
So if the monopolising entity says, "Pay me at RM1,000 for that bread or else go fly kite...", it literally means pay RM1,000 or starve (Ok, some of you may want to do a Marie Antoinette by saying something along the line,"No bread, eat cake lo" but alas, in this example, consumers only eat bread...:p )
But must a piece of bread cost RM1,000? If we have alternative producers, say an additional 1 supplier, say supplier B who decides to offer for RM500 (he done his math that this will help him to recover the cost of installing and running a bread making factory while make a comfortable profit). To prevent everyone from flocking to supplier B, the original monopolising entity, now demoted to the title "the other supplier" which goes by the name, Supplier A, would now have to match that price. Hence, a piece of bread now costs RM500. And logically, the more the suppliers we have, it becomes increasingly difficult for any one of the suppliers to tarik harga and jual mahal.
But without alternatives, Supplier A may decide to sell stale and mouldy breads for RM1,000. This in effect will cause consumers to take the risk of surviving from food poisoning as the other alternative is death by starvation. Some may survive for today, others perhaps tomorrow but many would not hesitate to raise their hands when you ask if they know of anyone who died from food poisoning and are worried they may get poisoned too.
So what does it mean to us politically?
Similarly, when we unwittingly believe in the lie that only BN can govern effectively and give all our votes to them, we practically create a monopoly of power for BN. We may have the constitution to fall back on but that is just an illusion when BN has 2/3 majority to amend it. Our lives, by our votes, are literally at BN's mercy. Who then will check their pricing, quality and quantity provisioning of public goods and services? The opposition? Yeah imagine 20 puny oppositions trying to shout at 202 others.
So why are we surprised by the RM4.6 billion PKFZ government bailout? It makes perfect sense for PKFZ scandal to arise because we, by our votes, have rendered the alternative voices i.e. oppositions zero intervention powers.
Or when it comes to Gerbang Perdana RM100 million "compensation" for doing nothing? Should we be shocked? We shouldn't really. Rationally, it is also part of the package my friends thanks to our gungho attitude to vote for BN (Sadly, I am guilty at that too during the 11th general election).
Now, if you read Malaysiakini today, our "great" monopoly i.e. BN caretaker government vis-a-vis Transport Ministry is about to create a new baby monopoly, e-Kesihatan.
The scheme was drawn up last year to regulate compulsory medical checks for commercial vehicle drivers - particularly to detect drug abuse - as a means of reducing road accidents. Medical data obtained under the scheme would be collated through a online centralised system.
And who is tasked to manage this online centralised system?
Little-known entity Supremme Systems was to be commissioned by the government to implement the scheme as a gateway provider beginning Oct 1 last year. The fee for each medical test is RM80 to be collected by Supreme Systems which will also have the authority to appoint panel doctors for the scheme.
But there is more to this...
...RM80 fee was exorbitant as at present it only costs RM10 to renew their public services vehicles (PSV), goods driving vehicles (GDL) and conductor (KON) licenses...
A persistent situation where there is only one provider of a product or service in a particular market. Monopolies are characterized by a lack of economic competition for the good or service that they provide and a lack of viable substitute goods.
In a way, many of us will agree with the need for monopoly, implicitly or explicitly, when it comes to public service and goods. It is costly to have a lot of suppliers offering alternative laws and implementation policies at different pricing scales. Take for instance if you want water supply, can you imagine 10 water suppliers willing to offer you water at different packages but the legality of each supply documents can be contested at 10 different courts because each court offers a different set of interpretations? Also, at the same time, 10 different legislative bodies, equally valid in its own right, enacting their own laws. Hence, to ensure you get the best the market can offer, you will need to do a lot of negotiations just to get a good, consistent quality with minimal disruption in services. Hence it makes sense to have 1 government to govern the needs of 1 nation.
So what will happen when we have a monopoly?
Basically, we as buyers surrender our rights to seek for best price, quality and quantity of goods and services to a single entity since we don't really have any other alternative suppliers.
So if the monopolising entity says, "Pay me at RM1,000 for that bread or else go fly kite...", it literally means pay RM1,000 or starve (Ok, some of you may want to do a Marie Antoinette by saying something along the line,"No bread, eat cake lo" but alas, in this example, consumers only eat bread...:p )
But must a piece of bread cost RM1,000? If we have alternative producers, say an additional 1 supplier, say supplier B who decides to offer for RM500 (he done his math that this will help him to recover the cost of installing and running a bread making factory while make a comfortable profit). To prevent everyone from flocking to supplier B, the original monopolising entity, now demoted to the title "the other supplier" which goes by the name, Supplier A, would now have to match that price. Hence, a piece of bread now costs RM500. And logically, the more the suppliers we have, it becomes increasingly difficult for any one of the suppliers to tarik harga and jual mahal.
But without alternatives, Supplier A may decide to sell stale and mouldy breads for RM1,000. This in effect will cause consumers to take the risk of surviving from food poisoning as the other alternative is death by starvation. Some may survive for today, others perhaps tomorrow but many would not hesitate to raise their hands when you ask if they know of anyone who died from food poisoning and are worried they may get poisoned too.
So what does it mean to us politically?
Similarly, when we unwittingly believe in the lie that only BN can govern effectively and give all our votes to them, we practically create a monopoly of power for BN. We may have the constitution to fall back on but that is just an illusion when BN has 2/3 majority to amend it. Our lives, by our votes, are literally at BN's mercy. Who then will check their pricing, quality and quantity provisioning of public goods and services? The opposition? Yeah imagine 20 puny oppositions trying to shout at 202 others.
So why are we surprised by the RM4.6 billion PKFZ government bailout? It makes perfect sense for PKFZ scandal to arise because we, by our votes, have rendered the alternative voices i.e. oppositions zero intervention powers.
Or when it comes to Gerbang Perdana RM100 million "compensation" for doing nothing? Should we be shocked? We shouldn't really. Rationally, it is also part of the package my friends thanks to our gungho attitude to vote for BN (Sadly, I am guilty at that too during the 11th general election).
Now, if you read Malaysiakini today, our "great" monopoly i.e. BN caretaker government vis-a-vis Transport Ministry is about to create a new baby monopoly, e-Kesihatan.
The scheme was drawn up last year to regulate compulsory medical checks for commercial vehicle drivers - particularly to detect drug abuse - as a means of reducing road accidents. Medical data obtained under the scheme would be collated through a online centralised system.
And who is tasked to manage this online centralised system?
Little-known entity Supremme Systems was to be commissioned by the government to implement the scheme as a gateway provider beginning Oct 1 last year. The fee for each medical test is RM80 to be collected by Supreme Systems which will also have the authority to appoint panel doctors for the scheme.
But there is more to this...
...RM80 fee was exorbitant as at present it only costs RM10 to renew their public services vehicles (PSV), goods driving vehicles (GDL) and conductor (KON) licenses...
It is estimated that there are 700,000 individuals who need to renew these licences annually. Supremme Systems stands to make millions of ringgit through the scheme as the licences cannot be renewed unless accompanied by an all-clear medical certificate for one of the appointed panel doctors.
So what does it mean to you and me?
Have you been feeling the pinch where you can't afford to buy what you saved all this while to buy? Inflation is creeping too fast? Your increased salary somehow just isn't enough to pay for your bills? Well, why should it be surprising? It is only rational that whatever additional costs arising as a result of bailouts by the Government such as to save PKFZ, utter stupidity by Government officials in signing the bridge building contract with Gerbang Perdana and of course, creation of mini monopolies must be factored into the pricing of all goods and services in this country.
How so? Why are their follies and fancies at my sake?
Economics is defined as:
The science which studies human behaviour as a relationship between ends and scarce means which have alternative uses."
The scarce means underly the problem we all have regardless if you are an individual, a community or a nation.
Scarcity means that available resources are insufficient to satisfy all wants and needs.
Hence, in plain English, it simply means that as our BN led government happily use our limited resources to pay for their follies and fancies, we have lesser resources available for our own needs and wants. This naturally and logically force prices of those remaining resources to go up.
So please don't listen to the half truths BN loves to peddle i.e. "It is market forces, we cannot control". The truth of the matter is, they contribute to the uncontrollable factors by wasting scarce and limited resources to compensate for their follies and fancies.
Are we screwed? What can we do?
Yes we are screwed. Many times over. But is it not too late...
We can still do something.
We need to create a viable market for emergence of alternative / shadow government or government in waiting.
We don't need any unique theological, philosophical or ideological basis other than pure simple but real need to ensure more effective and efficient use of limited resources left for our disposal. Seriously, those who wants to promote communal, religious and/or gender favouritism are really a hindrance. Our common goal is just that: alternative players to make laws and govern the nation.
For those who disagree with DAP, PAS, PKR, PSM, PASOH and MDP ideologies, don't fret and get sleepless nights if you vote for them. You, as a voter, should understand, you don't want to pay for more follies and inefficiencies. Hence supporting them at this juncture is merely a political convenience. When they have strong representation in the Parliament, BN will have no choice but sit up and take note. Their survival is at stake. Look at MCA, Gerakan, MIC and SUPP. They are so afraid of the mere prospect of being badly weaken. Why? Because they understand that their negotiation powers will diminish. But that is the price THEY have to pay, isn't it?
If they can realise their bosses i.e. you and me have had enough with inefficiencies, failure to meet our standards of work and blatant insubordination, isn't it time we make sure the rest of the coalition members realise to?
Have you been feeling the pinch where you can't afford to buy what you saved all this while to buy? Inflation is creeping too fast? Your increased salary somehow just isn't enough to pay for your bills? Well, why should it be surprising? It is only rational that whatever additional costs arising as a result of bailouts by the Government such as to save PKFZ, utter stupidity by Government officials in signing the bridge building contract with Gerbang Perdana and of course, creation of mini monopolies must be factored into the pricing of all goods and services in this country.
How so? Why are their follies and fancies at my sake?
Economics is defined as:
The science which studies human behaviour as a relationship between ends and scarce means which have alternative uses."
The scarce means underly the problem we all have regardless if you are an individual, a community or a nation.
Scarcity means that available resources are insufficient to satisfy all wants and needs.
Hence, in plain English, it simply means that as our BN led government happily use our limited resources to pay for their follies and fancies, we have lesser resources available for our own needs and wants. This naturally and logically force prices of those remaining resources to go up.
So please don't listen to the half truths BN loves to peddle i.e. "It is market forces, we cannot control". The truth of the matter is, they contribute to the uncontrollable factors by wasting scarce and limited resources to compensate for their follies and fancies.
Are we screwed? What can we do?
Yes we are screwed. Many times over. But is it not too late...
We can still do something.
We need to create a viable market for emergence of alternative / shadow government or government in waiting.
We don't need any unique theological, philosophical or ideological basis other than pure simple but real need to ensure more effective and efficient use of limited resources left for our disposal. Seriously, those who wants to promote communal, religious and/or gender favouritism are really a hindrance. Our common goal is just that: alternative players to make laws and govern the nation.
For those who disagree with DAP, PAS, PKR, PSM, PASOH and MDP ideologies, don't fret and get sleepless nights if you vote for them. You, as a voter, should understand, you don't want to pay for more follies and inefficiencies. Hence supporting them at this juncture is merely a political convenience. When they have strong representation in the Parliament, BN will have no choice but sit up and take note. Their survival is at stake. Look at MCA, Gerakan, MIC and SUPP. They are so afraid of the mere prospect of being badly weaken. Why? Because they understand that their negotiation powers will diminish. But that is the price THEY have to pay, isn't it?
If they can realise their bosses i.e. you and me have had enough with inefficiencies, failure to meet our standards of work and blatant insubordination, isn't it time we make sure the rest of the coalition members realise to?
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