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China's consumer price index, the CPI, rose in the first half of this year to 4.4 percent, it's highest level in 33 months. Factors pushing up the index included higher prices for foodstuffs, mainly grain, meat and fowl and eggs. Chinese households have recently been told to expect an increase in electricity prices
Let's follow бн to learn more about what China's newspapers have been saying about the matter, and how we should cope with the rising prices.
When talking about price rises, one thing we should always mention is the general income level. This opinion is expressed in an article on the Workers' Daily. According to statistics released by the China Association for Labour Studies, the average level of Chinese workers' salaries has seen double digit annual increases.
However, what is missing from the discussion is the fact that the salary level of private companies and migrant workers has not been calculated in the research. Price rises have far exceeded their income increase.
The author of the article also suggests one possible solution is to adjust the interest rate. It is good for raising the income of the families on low and medium incomes and is also helps boost people's confidence in the future.
An article from Guangzhou Daily points out that food price rises are the major driving force for the rise of consumer price index. Continuous CPI rises at a high level will have little influence on rich people, but affect low-income earners. The government should tighten macro-economic controls to curb possible inflation and help reduce prices of raw materials. Only in this way can economic and social stability be maintained.
With China's energy regulator still considering a request from five major power suppliers to put up electricity charges, an article published in the Orient Morning Post pleas for a careful look at energy price rises.
Households on low or middle incomes are most likely to be hurt by higher electricity prices, because energy is a basic necessity of daily life and households have trouble trimming costs.
Even though wealthier households consume more than low or middle income households, the latter are more likely to feel the pinch from increasing energy costs. Under this circumstance, it is the government's job to address the problem and make sure not to increase the vulnerability of low income earners.
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