Monthly Archives: June 2007

The power of pork

Soaring pork prices are fueling Chinese inflation.

The cost is up 40% in the last year (while meat prices generally are up 26.5%), largely because of a blue-ear disease epidemic which has seen at least 18,000 pigs slaughtered. With pork a staple of the Chinese diet, and farmers no longer rearing the animals for fear of the illness, the shortages are having a knock-on effect.

Food prices in general are up about 8.3%, although consumer prices as a whole rose 3.4% in May. The government’s target is 3%, and so another interest rate hike is on the cards as the authorities try to cool an 11% annual economic growth rate.

And Reuters/Financial Times make an interesting observation:

Savers earn 3.06 percent on 12-month certificates of deposit, meaning that after a 20 percent tax is deducted, the value of their money is failing to keep pace with inflation.

This has encouraged millions of Chinese to cash in their deposits and punt on the stock market, which jangled government nerves by falling sharply last month after almost quadrupling in 2 years.

Communist in name only.

Inflation is a tricky bugger to quantify as different countries use different products in their calculations. For instance, Ireland is the only country that I know of in Europe which includes mortgage payments in its figures. This means the Irish inflation rate is above 5%, whereas if mortgage payments were stripped out it would be closer to 2.7% (the eurozone target is just under 2%).

Nonetheless, headline figures spook investors and jittery investors can instigate sell-offs that wipe billions off a stock market in just a few hours. It seems that, as with so much in life, confidence is everything.

Site news

Gavin has recommended posting on a daily basis (and who am I to argue with the grandaddy of Irish blogging?) but things are not going to plan. Work must take priority.

I am also having trouble moving tinyplanet onto its own domain, largely because I can’t get WordPress to install after I’ve uploaded the files. I had anticipated the transfer being complete by now… so much for the “famous five-minute installation”!

So for the time being things will stay here at wordpress.com and I will redouble my efforts to survive in the blogosphere.

Big Brother is watching…

The local government in Terengganu state, Malaysia, recently installed 16 CCTV cameras in a bid to improve security. However, they have a secondary use: spying on employees.

Surprisingly, state secretary Mokhtar Nong confirmed this to a local newspaper, saying the system would keep tabs on the 1,000 or so workers in the government’s administrative complex.

“We would know if they are adhering to office etiquette or playing truant, and we can also gauge if they are disciplined at work,” said Mokhtar, who will have access to the tapes.

There are plans to set up another 26 cameras in the near future.

What made me laugh about the story were the following passages, as scribed by Associated Press:

Officials and workers interviewed by the newspaper praised the measure.

State Communications Unit deputy director Ruslan Abdul Rahman was quoted as saying the decision was “a brilliant idea,” stressing that workers should “accept the move in a positive manner as this will actually encourage them to excel further.”

Abdul Mubin Ismail, who works in the youth and sports department, told The Star that the move was “not to pinpoint our errors but to mold us into becoming more responsible.” He added that the surveillance could also curb office politics and sexual harassment.

I wonder if these individuals are angling for promotion?

It’s all kicking off (follow-up)

Iraq has made a formal complaint over the Turkish bombardment of the Kurdish north.

The Turks have been shelling villages in Dohuk province and the city of Arbil, although the Turkish media reports the areas being targetted have largely been abandoned to Kurdish fighters.

In my last post on this topic, I noted how a cross-border incursion could have unpredictable and destabilising effects. It seems the Iraqi foreign ministry has come to the same conclusion. It has told the Turks that the artillery fire could “destabilise the region and could erode confidence between the two countries”.

The AP article linked to at the top of this post says the US has “opposed any unilateral action by Turkey for fear it would jeopardise the relative tranquility of northern Iraq”. However, I can not recall reading any such statement; at least not in recent times.

I am not an expert on this conflict, but I feel it has potentially widespread ramifications.

The Turks, in their eyes, have a legitimate security concern. The conflict with the Kurdish PKK has lead to tens of thousands of deaths over the last two decades. Turkey claims Iraqi Kurds are harbouring militants, who then slip over the frontier to launch attacks.

The Kurds also have legitimate grievances, such as cultural and political suppression. And we must always remain aware that the PKK is considered a terrorist group not just by Turkey, but by the US, NATO and EU. Their actions have caused the deaths and suffering of a great many civilians. They have been accused of grave human rights abuses.

Turkey fears an economically sound Kurdish region in Iraq — a territory that while not being independent outright would still possess great oil wealth — will lead to a major push among Turkish Kurds for union with their southern neighbours.

One might think that the Turks would welcome the departure of what it considers a restive ethnic group. However, the Kurds represent about 20% of the Turkish population and dwell in a broad swathe of territory in the nation’s southeast:

(from Wikipedia)

This is not a homogenous region. Many Turks live within what is generally referred to as Kurdistan (as do Arabs, Iranians, Armenians and many other groups). So the removal of this region from the political entity of Turkey would remove a great many Turks as well.

This would certainly be an economic blow. While there would be an accompanying reduction in spending on infrastructure, education, healthcare and the like, the sudden disappearance of 20 million people from the tax base would leave a major whole in government coffers.

But there are other factors, such as pride.

The Turkish government would not want to be seen as having abandoned many of its citizens to a new state (although there would always be the possibility of a population transfer, as was the case in India and Pakistan after their independence). Seldom are nations eager to give up national territory; historically human and state political ambition has always been more, more, more.

Security would be a further concern. Turkey would suddenly have a substantial, perhaps hostile nation on its southern and eastern borders. And Turkey does not formally recognise a Kurdish region within its state; this fluid situation would lead to further infighting over what would and would not be part of Kurdistan. It is possible that the Turks would view an independent Kurdish nation as a base for Kurdish rebels seeking to unify with Kurds still within Turkey.

There are solutions. A UN boundary commission is one, domestic referenda on a district-by-district basis is another. There are undoubtedly more which aren’t springing to mind right now.

Taking the plunge

I have pried my credit card from its calfskin prison and bought a domain of my own.

Although I have put together websites in the past, this will be the first I’ve paid for. I’m both nervous and quite excited about it; that said I’m more serious about this blog than the bits and pieces I cobbled together as a teenager (I shudder when I remember trying to upload HTML pages on a dial-up connection).

It has been so long since I’ve really worked on the technical aspects of the internet so it will take me a brief period to get back up to speed.

And it’s not to say I won’t continue blogging my little black heart out here on the WordPress-hosted site. I’ll post the URL and whatnot once things are set.