The official figures said that since August 2006, the Beijing market rising oil price shocks. Entered in November, the prices of rice, flour, vegetables and non-staple food have risen in varying degrees. The report said that it is international soybean market prices upward that lead edible oil prices rising. However, rice and flour’s prices rise too, 25 kilograms of flour loaded strong increase of 12%, 500 grams of rice rose by 6 cents. As we know,in Shanghai, Guangzhou and Shenzhen, all prices of necessities such as grain and oil rose once, and continued for more than a month, flour and oil had an increase of 10% and 20%, respectively.
China’s consumer price index (CPI) rose 6.5 pct year-on-year in August 2007, bringing inflation to its highest single-month level since December 1996, the National Bureau of Statistics said.
Chief daily necessities’s prices rising, the people must spend more to maintain their daily lives. Daily necessities hike further intensified, people’s purchasing power declines further, the domestic market reduces further, production capacity excesses further, sales difficulties further. A spiral of rising prices and the overall price hikes lead to economic crisis,which is a increasing danger.
Today, China’s problem lies in the CPC privileged group’s spontaneous disintegration. Its members will no longer take into account the overall interests of the group, use its power and resources as possible in their own financial gain. For example, LUNENG Power Group worth 60 billion yuan is even bought at some 3 billion. Its members use all opportunities, including conniving with international floating capital, make a profit in housing prices bidden up so high like fishing in troubled waters!
With such avaricious and undisciplined men in power, in recent years, financial income and revenue of enterprises of bureaucrats and their pricellings increased more than 10 times farcically. Their money increased more than 10 times farcically . These currencies had not manifested in the commodity market, but manifested as the asset price inflation Now the prices of goods and services seems to rise inevitably.
Both the CCP and the mass need a more competent expert as premier,rather than a commissar like Wen Jiabao. Another Zhu Rongji is needed to overcome the jeopardy.
But the CCP are all corrupt and will muddle along ,even into a collapse.We wow “Wen Jiabao resign”!