Wednesday, February 23, 2011

The Ripple Effect.....

I was watching the news last evening and I found myself getting frustrated.  Frustrated with the state of the world economy and how the media are feeding us all the doom and gloom.

The news this evening was telling us that we have to prepared for higher gas prices due to the unrest in the middle east.  They say that the increased gas prices will filter down and basically affect food prices and everything that you and I need to sustain ourselves.  They also were telling us that this will all happen around summer time.... well fancy that.  Summer time, a time when most families like to travel.  Some of us have taken to driving as we can't afford the already high air fares.  But now they tell us that we will be hit at the pumps. These higher gas prices will also affect ferry rates, all this at a time when those who are making the decisions know they will capitalize on the increase travel.

So how does this affect our economy.  For starters, when money gets tight folks don't travel...and if they don't travel, tourism suffers and so on. If toursim suffers, businesses suffer and are forced  to close their doors or  lay of staff.  The laying off of staff impacts the local economies.  If you don't have people  working in your town your town and it's infrastructure suffers.

This is exactly what has happened in fishing towns, mining town, forestry towns.  The ripple effect.  I see it first hand where I live.

Case in point.  Our provincial government were hoping that the Olympics would have a lasting effect on our economy.  It didn't really materialize the way they had hoped.  Partially due to our strong dollar. The economists tell us that our friends south of the border aren't visiting as much. They aren't  getting the deals they use to and hence they aren't coming.  And now with  gas prices people aren't travelling as much and our local economies suffer because of this.

So back to the news media.  I have read so much about the oil and who owns what and how it's moved.  There are a small few who control the oil market.  It is those few who set the market price,  but it is the masses who suffers for it.  The media's job(who I might add are supported directly and indirectly by the oil barons)is  to convince the public that we have to brace ourselves for higher oil prices.  That it is inevitable that it will happen and that it is a given that it will happen around summer vacation.  Well I'm sorry I don't buy it.

I don't buy what the media are trying to sell me.  Can I do anything about it most probably not.  But I will try to do what I can in my own little way.   I can conserve energy...make my trips to the store more efficient rather than making two trips try and make one.  Use my push mower rather than the gas mower....cut my hedges by hand rather than using the gas trimmer.....learn to grow my own produce....build a greenhouse....can more produce.

After listening about the oil situation and how it will have the ripple effect...the news anchor went on to tell me that my hydro prices will go up again.  I just had a 15% increase in my hydro bill this winter, I was shocked at my hydro bill, it was outrageous!  I don't see myself getting a 15% increase, so with the gas, food, and hydro going up what is left? Not much!  Entertainment is last on my list.....ripple effect once again.



This ripple effect touches all aspects of our lives.  From the basics of  food, health,keeping a roof over our head, to education, job loss, and the impact on local economies....nothing will go unscathed.

There's a part of me that just wants to put my head in the sand and hope this will all go away.  Then there's the other part of me that is thinking  in 10 years I want to retire ...but the way things are going I don't see that happening.....I think I will be nursing myself into the grave.

3 comments:

Rositta said...

I share your pain. We are in the same position here in Ontario. We have lost our manufacturing companies to China and Mexico partly due to the high dollar and partly because of an unquenchable thirst for cheap goods. My husband will have to work way beyond 65...ciao

Leslie: said...

It's a good thing there is no longer mandatory retirement at age 65, because we all need to keep working. But then it ripples down to the younger ones wanting to get started in their careers...

danielle said...

First of all - big surprise that gas will go up at summer - it goes up at every holiday and any time there is an increased use of it. Which is why the oil companies can post such horrendously high profits - which no one calls them on as they continue to raise prices. They must have the mot satisfied share holders in all the stock markets. But I am also starting to believe that the more the media announces it - the more the oil companies buy into it.Oil companies: Hey, the media says that we will hit $4/gallon gas - no one is screaming angry about it - so we might as well raise it because we will make a huge profit and no one is saying we cant do it. Sickening.