Deal with market disruptions and imbalances, PAS MP tells Rafizi

Bachok MP Syahir Sulaiman has called on Economy Minister Rafizi Ramli to deal with market disruption and imbalances in the government’s effort to counter inflation.

This comes after Rafizi advised consumers yesterday to battle inflation collectively, by refraining from buying or using unreasonably priced products.

In a statement, the PAS leader said the concept of “supply and demand” only applies to a rational market. However, Syahir claimed that today’s market was “not rational”.

“Rafizi must know that today’s market is not rational as there are many disturbances, surprises and imbalances.

“Therefore as a minister, a rational response (to inflation) is to have integrated measures from the government’s end to deal with market disruptions and imbalances,” Syahir (above) said.

“First, what is the government's stance on monopolies, cartels and quotas and its measures against suppliers who hide stocks?

“And what are the government's initial steps to deal with supply shortages due to the rainy season or drought?” he questioned.

Syahir also questioned the government’s initial measures when dealing with the lack of supply of goods such as chicken, eggs, flour and cooking oil during festive seasons when there is high demand.

Yesterday, Rafizi said refraining from buying unreasonably priced products would give the impression to business owners and suppliers that they cannot arbitrarily increase the price of goods.

Economy Minister Rafizi Ramli

According to him, data suggested that a prominent factor involved with rising prices was the inelasticity of demand.

Elasticity is an economic measure of how sensitive one economic factor is when corresponding to changes in another factor.

A product is deemed “inelastic” by economists when in spite of rising prices, consumers still purchase the same amount of goods.- Mkini