Malaysian Food Inflation: Myth or fact, revisited

I was shaking my head in disbelief (and I belief many of you too) when I read the statement by Deputy Domestic Trade, Cooperatives and Consumerism Minister Datuk Tan Lian Hoe which was conveyed to the Dewan Negara on Monday. Malaysia's food inflation rate fell to 4.6% in May, compared to 4.9% in the previous month, she further claimed (as usual) that this rate was lower when compared with other countries such as Thailand (8.4%), Indonesia (10.2%), China (11.7%) and South Korea (6.2%)....( I wish I could tell her straight to the face.(seriously......go and fly a kite...and get a life...can't you guys come up with better reasoning?).


The way it is explained...as though there is a general reduction in food price,,,the truth is the general food price continues to increase for the month of May, but for a smaller quantum, in other words, this is what known as disinflation, many quarters often confuse themselves between disinflation and deflation.Disinflation is a slowing in the rate of increase in the general price level(in this case the general food price), as represented by the average price of food in the consumer basket. Deflation, on the other hand, refers to a persistent fall in the level of the overall  price index, with negative inflation being recorded year after year. 


And bear in mind, this is the monthly inflation rate and not annual, on a layman's term, the price of food increases 4.9% for April, 4.6% for the month of May, imagine if you could work out the mathematics (or is it arithmatics?) , how much the price of food have increased for the first five months of 2011?...She is not brave enough to announce all the figures and purposely picked up the disinflation for the month of May. The answer to Dewan Negara is indeed fishy, politically motivated and ill advised. Why can't the Minister be honest and be transparent, what does she think of Malaysians?, Stooges with low IQ, madam, for your kind information, you can't fool us, we feel the pinch, we can feel the shrinking purchasing power parity.Our figures are low with other countries, because they are honest and transparent unlike you and your Ministry.....you can't sweep everything under the carpet,,,,sooner or later the truth will prevail...and how will that portray you?


GOD have mercy and help us.....ciao.......a.h.baharom