Friday, February 5, 2016

Devaluation - Who Benefits?

Oil has dropped a huge chunk of its value, so too our currency - back to square one! If I am to meet you at a point equidistant between you and me, you go then double the distance between you and that point in the opposite direction and I go to the point we are supposed to meet, will I meet you, have we made any gains? Same thing with our dollar and the price of oil. If we had kept the dollar stable, and oil prices fell, think of how much more oil our present expenditure on oil would be able to purchase.

Its these things the Jamaican population cannot wrap their heads around because they are too daft, impoversihed, under-fed and fed-up. A significant amount of them were born to this so they are totally unaware that there could be better.

Just imagine how much improvement there would have been in the life of the average Jamaican if the exchange rate was 86:1 when oil is US$46/barrel? Simple math that would be J$3956/barrel as opposed to $5612/barrel now at 122:1. Imagine had the dollar been stable how much less we would pay on electricity bills? I wont even go on to mention anything else, so the IMF, Byles and Phillips and all those fools, I wonder what is it they stand to gain from a devaluing currency?

It makes one wonder who benefits with a PNP  Government? Obviously not the average Jamaican.