Metropolis Opinion

When the plan was decided, university students and citizens had been demonstrating against the plan. The plan was cutting the subsidy on oil price so Gas Price (gas, premium ect) will be sold up to 30 percent when before. The policy will active in near. According to government staff the new oil price will available on 23 may next year!Government excuses that Indonesian must accept the fact, government can’t stay longer while the oil price attacks their budget.

Demonstrations against the policy were happened in many places in Indonesia, Students in Makasar had been demonstration since 2 weeks ago. Others students in Java also turn to road, to shout their disagree opinion against the policy. Wife houses also objective about the policy; they was said, increasing the oil price make their budget consumption is lower (Purchasing Power Parity is lower), and the also scare with the fired from company because the companies is also attacked by high in Cost so fired are potentially happened to their husbands. Full Article »

A short opinion from metropolis opinionBlind Fluctuate on oil price has been striking third countries very hard, especially Net Importers from Third Countries (Poor Countries or Developing Countries).

As we know oil is unlimited resources so in front, someday oil supply decline and people will find someone else to replace oil. Many inventions had been done; for example electric auto car, sun-power auto car, nuclear for electric and more. But so far, those new inventions have been proven well but those things are too expensive and seem quite familiar to us. Nuclear is last alternative to replace our oil problems. While nuclear is very cheap; nuclear is very dangerous and must taken careful. So far; nuclear has been installed in rich countries, such as Japan, America, Russia, and Europe.

Newer invention has raised, oil can be replace with plant-oil (I don’t the phrase). The invention had been people replacing their land for food to land for oil. Many farmers have been replacing their land for food to land for oil, because of business. So the impact is food production had run low in recent days. In third countries (poor countries), which have agriculture as their main sectors, in the past is net exporters replace to net importers food. Full Article »

Prolog;To open my stupid metropolis opinion; I have simple question for us to answer and discussion together; which Countries give Marlboro Lucky Strikes profit? And Why Poor Countries are the biggest cigarettes market segment? Or why Poor Countries consume the biggest portion of Global Cigarettes Production?

Japanese Television and Newspapers launched the news that Government has been making good constitution about Smokers maniac. Government prohibited smoker to do their hobby; smoking in public area (public goods areas). The Government also provides the limited areas for smoker. Funny story from Japanese news that government makes a narrow room, transparent with glasses for smokers, so we can see smokers sit and enjoy the cigarettes. The Japanese government targeting those smokers will be shy because people can see smokers freely.

The case also happened in Europe and America. Government prohibits and does some actions explicitly based on relating regulations. The regulation is working so far. Health is the main and important reason why governments in many countries do the regulation; limiting and reducing quantity smokers. Full Article »

Tracy Chapman, my female-blues-singer fan; has launched a great song for me on this album Telling Stories. The song is Paper and Ink! All of his albums charmed me; previously my friend introduced Tracy to me ten years ago.I knew one thing; the singer is a male because of the sound. Tracy was laying me! Huaa huaa huaa!

Back to topic! Tracy said, Money is only paper and ink! So don’t greedy and don’t be arrogant with money; don’t show to people if you have money.

Money makes us stay alive. All of us agree that. Money feed me and money can make us to feces nicely. We need money as well us we need love and we need heaven with our honest activities to others. Money is important for us.

When oil supply is running low, and external factors makes oil price run high, investor look this phenomena as money purpose; money target, so they are fight force, greedy to get more money with their money in stock market, forex (exchange market), Commodities market and more. They greedy to get more money while suffering others.

Do you agree with me, agree with a stupid metropolis opinion that in crucial case Investor behavior hurt others? Investors hurt net oil importer countries. Yes! While oil price is running high and uncertainly, investors take profit. High oil price make poor countries governments rearrange their budget; oil price also strike business cost. High in Cost of Production make them reduce their employees; reduce labor, so unemployment is getting high. Labors make demonstrate to oppose the fired.

Business is in red line; they have two choices; reduce employees, or increase their products price. Hard Choice!!

First choice; if they fired more labor, they responsibility to unemployment and the second one is more difficult, increase their price products. While consumers have lower PPP (purchasing power parity), higher price is no good because they will lose their market segment, lose or lower in profit, ECT. Full Article »

Oil Supply is running low, We must to think about it!

China’s resurrection has been establishing since ten years ago. Now, China woke up as a new wild tiger and tries to eat all his victims. China followed his neighbor Japan; imitate Japan strategies to be Modern Country, Top industry and Asia Leader in Economic, Asia Tigers.

Now, China’s products have been spread to all countries; America, Japan, European, Asia and Indonesia. The China Resurrection made all rich countries scare because China’s products are very competitive in pricing.

Besides making industrial countries scare, Rich Countries look China as a potential investment field. Japan has been changing his face to China. Japan declined his Investment in East Asia (ASEAN) and increases his money in China.

While many new industries move to China, demand on oil also increases. Without investment (foreign direct investment in china), demand on oil is still high because China has two billions people. Full Article »

Today, oil makes its new record again. Oil runs to $120 per barrel. The main factors behind the new record are USD weak against Euro and Sabotage in Nigeria. If we look back, when governments worried when Oil ran close to $100 per barrel then $108 per barrel, some day before $112 per barrel and $118 per barrel, and hold at $120 per barrel today.
Some week ago, we got good news from Brasilia that they have found the new oil mine. The new oil mine can supply more then 20 percent of OPEC supply. The new made oil price declined to $112 per barrel. Now bad news comes.

Why oil price is too sensitive? When Oil Price was running high and high, the factors didn’t come from the supply, but Stock Exchange did. Investor took profit; Dollar was declined against Euro and some major currencies.
Why Dollar is too sensitive to make Oil Price fluctuating? Why we still use Dollar as Oil Price? Why not Euro or Japan Yen?
The question had been asked to my lecture in university. Why we still use Dollar as the measurement of Oil Price? I said. Actually I didn’t get best answer from him? I read the television; some analysts said that the main factor why we still use USD as Oil Price is because Dollar is transparent and more fluctuating currency if we combined with others. Full Article »