Thursday, February 10, 2011

Free market and choice

The coffee stall in the canteen of my office raised the price of a cup of coffee from $0.80 to $1 (25% increase). The stall holder said that this is a permanent increase and is not only for the festive season.

I did not complain about the price increase because I have the following choices:

  • Buy package drink
  • Drink coffee (3 in 1) in my office
  • Drink water
It is different from the exorbitant charge levied by a telephone company to relocate a telephone line or the broadband line. I do not have any choice as I am tied into a contract. 

I hope that our regulators know the difference between a free market (such as the cup of coffee) and the exorbitant changes levied by telephone companies and banks - where the customer is locked into a long term contract or relationship.

Tan Kin Lian
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1 comment:

  1. captaincavemanFebruary 10, 2011 9:57 PM

    In Singapore, whenever there is a TV news report on the increase in some items such as coffee, bus fare, etcs, it is always without fail that the news producer will include a few interviewee who claim that they are not affacted by the increase or that the increase is acceptable. I always wonder how come I have never been interview before. Anyway even if they do interview me, I doubt it will be aired.

    Last year, when I was in the UK, the BBC reported their government's plan to increase the university fee and you know what? All the interviewee express their disgust and are against the increase. The students even demonstrated and protested outside the parliament.

    Now, which do you think reflects a more realistic sentiment on the ground better the mediacorp or BBC?

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