New rise in gas prices today
 

    today, i.e. march 26, 2006, a new rise in gas prices in china has come up to us. those car owners will feel it immediately, but commuters by bus will not feel it at once. very soon, taxis will charge more in nanjing.

    it is estimated that a 0.5% rise in gas prices will eat away 1% of GDP (www.yangtse.com). So we will have worse wages absolutely, i.e. a reduction in wages because we produce less value. And we will suffer a comparative disadvantage in wages too, i.e. we will have to suffer inflamation in every field--fertilizer, foodstuff, industrial products, medical care, education and housing.
We are already going through agonies because of high prices in education, medicare and housing now, but we have to face even more serious problems now.

    for an average developing country, the price of a house should be six times the yearly income of a couple. but the average yearly income for a nanjing couple is 50 thousand per year according to the already doubtful and exaggerated statistics. according to authorities, the average annual income per capita in nanjing is 16899 yuan. usually, a nuclear family has three members. but a recent report says that the spendable money for a nanjinger is 600 yuan per month. and the average pay by a divorced man/woman to give to her child is 260 yuan per month in nanjing. and the rearing divorces or divorcees complain that they receive too little. it should be raised to 300 yuan because each divorce(e) should shoulder half of the expense. If it is really this case, the spendable money by a three-member family is only 21 600 yuan per year. and laid-off workers have their low-income protection of 260 yuan per month. if a couple are out of work, they will only have 520 yuan per month for the family of three mouths. If we take the 600 yuan per capita per month as reliable, six times that of the yearly income is only not up to 130 000 yuan. with such a small amount of money, we cannot afford one room in a flat. if we wish to buy a flat of 4 rooms--one sitting room, two bedrooms and one study, that will consume approximately 600 000 yuan in the West-Bank area, which is a housing quarters outside the city proper. the prices will reach a couple's 30 years of income without eating or dressing or education or sicknesses.

          this new rise actually presents a new threat to the livelihood and welfare to the chinese people, especialy to those middle- and low- income citizens.