Tweet
Questioning Boyne On Bruce's Bounce
Published: Thursday | July 22, 20101 Comment and 0 Reactions
Golding
1 2 >
The Editor, Sir:
I read with interest Ian Boyne's article titled 'Can Bruce bounce back?' in The Sunday Gleaner of July 10. Below are my comments:
1. He stated, inter alia, that Jamaicans had forgotten that the Jamaican dollar could fluctuate either way and concluded that the people welcomed the lower prices. What lower prices is he talking about; and at what level in the supply chain? He needs to give empirical data to support his conclusions. On the question of the appreciation of the dollar, he ought to know that this has resulted from the massive decrease in the value of imports of merchandise, raw materials and, importantly, capital goods and finished products vital for the viability and sustainability of the economy.
Simply put, it is a reflection of the demand/supply equation for foreign exchange. So, along with the harm likely to be done to tourism, our most successful sector, what is the positive, when the lower prices are not being passed on?
2. On the issue of diplomatic relations with Trinidad and Tobago, I believe that these relations will continue to redound to the benefit of the twin-island republic with few exceptions. So the Trinis would want to preserve the status quo given the massive balance of trade in their favour etc. Beneficial relations between countries must be based on equality, fairness and balance, not on PR gimmicks from the Trinidadians.
3. a. In terms of the economy, I agree that there has been some positive elements, but this economy is in its deepest crisis since the 1970s, having been in rapid decline with 10 quarters of no or declining growth; unemployment at its zenith, poverty rising and more and more households starving.
b. The national debt is rising at a breakneck pace never seen in Jamaica's history, with over 50 per cent added to the debt in less than three years.
c. The money being borrowed is not being used mainly for developmental purposes (capital, social or infrastructural). So what is the economic base that future generations are going to use to repay these loans?
d. Productivity is declining rapidly (We are at late 1950s level) and not enough is being done to develop an educated technologically-competent labour force.
e. The climate is not being fostered for economic equality, empowerment and participation by the masses; instead what we are seeing is a clean sweep by the traditional ethnic minorities, who, now, not only control private-sector boardrooms but the most powerful public-sector boards from which base they wheel and deal by offering lucrative contracts to their companies.
4. On the issue of the crime rate, what would Mr Boyne expect to happen in a state of emergency, a decline or an increase? The question that should occupy most Jamaican minds is what will happen when the state of emergency ends, bearing in mind the runaway crime rate before it was implemented, and that most of the guns are still out there. But in terms of statistics, what is he comparing here, a May-June period of 2009 under normal conditions and the same period under a state of emergency? It doesn't seem we are comparing like with like.
Finally, I disagree with Mr Boyne that the next election will largely be determined by the moral failures of Mr Golding, repugnant as these are, but instead by the economic realities on the ground. The inevitable question will have to be asked of the people: Are you better off today under the present administration than under the previous regime?
I am, etc.,
LLOYD MILLER
alexmiller_037b@yahoo.com
Published: Thursday | July 22, 20101 Comment and 0 Reactions
Golding
1 2 >
The Editor, Sir:
I read with interest Ian Boyne's article titled 'Can Bruce bounce back?' in The Sunday Gleaner of July 10. Below are my comments:
1. He stated, inter alia, that Jamaicans had forgotten that the Jamaican dollar could fluctuate either way and concluded that the people welcomed the lower prices. What lower prices is he talking about; and at what level in the supply chain? He needs to give empirical data to support his conclusions. On the question of the appreciation of the dollar, he ought to know that this has resulted from the massive decrease in the value of imports of merchandise, raw materials and, importantly, capital goods and finished products vital for the viability and sustainability of the economy.
Simply put, it is a reflection of the demand/supply equation for foreign exchange. So, along with the harm likely to be done to tourism, our most successful sector, what is the positive, when the lower prices are not being passed on?
2. On the issue of diplomatic relations with Trinidad and Tobago, I believe that these relations will continue to redound to the benefit of the twin-island republic with few exceptions. So the Trinis would want to preserve the status quo given the massive balance of trade in their favour etc. Beneficial relations between countries must be based on equality, fairness and balance, not on PR gimmicks from the Trinidadians.
3. a. In terms of the economy, I agree that there has been some positive elements, but this economy is in its deepest crisis since the 1970s, having been in rapid decline with 10 quarters of no or declining growth; unemployment at its zenith, poverty rising and more and more households starving.
b. The national debt is rising at a breakneck pace never seen in Jamaica's history, with over 50 per cent added to the debt in less than three years.
c. The money being borrowed is not being used mainly for developmental purposes (capital, social or infrastructural). So what is the economic base that future generations are going to use to repay these loans?
d. Productivity is declining rapidly (We are at late 1950s level) and not enough is being done to develop an educated technologically-competent labour force.
e. The climate is not being fostered for economic equality, empowerment and participation by the masses; instead what we are seeing is a clean sweep by the traditional ethnic minorities, who, now, not only control private-sector boardrooms but the most powerful public-sector boards from which base they wheel and deal by offering lucrative contracts to their companies.
4. On the issue of the crime rate, what would Mr Boyne expect to happen in a state of emergency, a decline or an increase? The question that should occupy most Jamaican minds is what will happen when the state of emergency ends, bearing in mind the runaway crime rate before it was implemented, and that most of the guns are still out there. But in terms of statistics, what is he comparing here, a May-June period of 2009 under normal conditions and the same period under a state of emergency? It doesn't seem we are comparing like with like.
Finally, I disagree with Mr Boyne that the next election will largely be determined by the moral failures of Mr Golding, repugnant as these are, but instead by the economic realities on the ground. The inevitable question will have to be asked of the people: Are you better off today under the present administration than under the previous regime?
I am, etc.,
LLOYD MILLER
alexmiller_037b@yahoo.com
So what ..... even if this is the case?? That record number of arrivals has been so for maybe the past 8 years given the hotel/airport expansion...now accompanied by record discounting to get the business
Comment