Monday, April 23, 2012

Lights Out.

TAIPEI - The Taiwanese are feeling inflationary pressures, with a government-enforced rise in the electricity price, previously the lowest in Asia, about to follow already implemented fuel price increases averaging about 10%. 

The result will drive up prices and slow economic growth say critics, who charge that the government has misled the public and misread the need for the price rises. The big power companies are also being blamed for costly crony deals with independent power producers, driving up costs.



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Although the predicted CPI rise seems relatively low, there are some signs of panic-level domino-effects: bakers, whose water and electricity costs make up 10% of total costs, have been telling TV audiences that they fear mass bankruptcy; rice wholesalers are mulling a price surge of more than 20%; local eateries have cut back on food portions; restaurant chains like Pizza Hut creatively implement "cancellation of promotions"; and karaoke businesses and love hotels already bemoan a significant drop in customers. 


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Well, this can not stand, the Taiwanese have a god-given right to Karaoke and well, you know, eh-hem; say no more.

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