When I entered into a mediocre hotel at Kazan chis Meneharia in search of Samson, a friend I discuss local and international politics with on top of daily routines, a turmoil around a table, sporting six empty X Beer bottles, drew my attention.
The waitress, the cashier and the coordinator were locked in altercation fencing the irritable Samson and his friend already on their feet to leave.
Unlike in the past, the hotel was short of occupants. I slowly headed there and mixed with the crowd.
“It doesn’t matter! Correct things another time,” the friend of my friend pulled out his wallet. He was a sumptuously-dressed and well-shaven middle aged man, observably a person leading a life of affluence.
“It matters. Why should you say so? The misdemeanor affects other clients who lead a modest life. Unless we act uniformly cut-throat merchants will press ahead this uncouth behavior,” Samson swung his arm upwards a bit offended.
After greeting Samson with a head gesture I asked him what is going on.
“You see what is put in black and white on the menu and the price they ask mismatches. The price of a single X beer reads 30 birr on the menu. It was 30 birr I paid yesterday. I brought him here thinking this in mind. But we are asked to pay 40 birr,” he pointed his finger to the menu and handed the bill over to me.
“I see. It is unbecoming;” I shook my head in dismay, “they should have informed you beforehand in case of price change. Otherwise, this is nothing devoid of fraud. What if you call police? ” I eyed the shuddering cashier.
“By the way, this is Samuel. My economist friend,” Samson said tapping his friend on the back.
“Come on shake hands. This is a journalist friend of mine. He goes by Aron,”he stood between us putting his hands on our shoulders.
Seconding Samson’s stance the coordinator was challenging the cashier and waitress, who simultaneously were lashing back “It is the owner that gave us instruction via the phone.”
“I didn’t know that. How could he do that prior to informing me? I could have seen to the price amendment,” he regretted and together with his staffers he cleared away sensing our leniency.
“Let me see Samuel off. I will be back in a jiffy,”Samson and Samuel walked towards the latter’s four wheel drive,”
Soon they returned back as the Kazanchis- Arat Kilo road was blocked for a while as guests head to the palace.
“I could offer you two bottles of beer each. Let us have fun in the meantime, ” I got up from my chair and invited them to take their former seats.
“In that case let us go to a bar next door. It is a quiet place to discuss to our hearts content,” Samson pointed his finger towards our destination.
“Of course we could do that, ”I said getting up from my seat.
We headed there and took a table by a corner in a similar barflies’ hungry hotel.
“The price hike is pushing barflies out of market .Otherwise this place was thronged by toppers most of the times,” I reflected.
“Right you are!” Samson expressed his consent with his arm and added
“I don’t know why the government doesn’t control dishonest and gluttonous business persons that change price by the hour as if they are changing dollar. There has to be a reason.”
“Yes. For instance the Russia-Ukraine war has nothing to do with the price of water bottled up here. Also immediate effect couldn’t be felt on imported items already stockpiled in stores. Merchants already have ready-made pretexts for immediate use,” Samuel smiled and added
“Free economy. Adam Smith’s Invisible hand is evaporating into thin air.”
“Mixed economy has to be adopted to cut an invisible hand that twists Adam Smith’s invisible hand, ”I cut in by way of a joke.
“I didn’t get you,” Samson looked puzzled.
“It is not the market that is fixing the price true to Adam Smith’s theory. Through their covert network retailers discuss how to scale up price creating artificial shortages.”
“Sure. I overheard two shop owners discussing how to fix price of Injera, unleavened flat bread. ‘we have to increase the selling price by two birr as of tomorrow,’ they were conniving”
“There has to be a Consumers’ Association to offset price. Once in Greece a price hike in onion disturbed consumers. You know what consumers did heeding the words of their Consumers’ Association. They put down their foot from buying onion which is easily perishable item,” Samuel said smiling.
“Bravo!” Samson put his thumps up.
“What happened?” I expressed eagerness to hear the outcome.
“The merchants incurred loss. They rotten onions ended up in damp yards. That gave them a lesson to behave. We have to use a similar tactic.”
“But here the Consumer Association couldn’t create a meaningful impact if it itself fails to distance itself from corruption,” Samson punched the table twice.
“Yes the government too has to control businessmen engaged in activities that run counter to our cultural and religious norms of considerateness, At times merchants stockpile household commodities to create shortages thereby to create price hikes that attend the burning demand.”
“Laymen tradesmen are outwitting economist,” Samuel laughed.
“Amusing!” Samson could not help laughing.
“Also Indirectly the government has engaged in business,” Samuel once more unzipped his lips.
“I didn’t get your point,” Samson said.
“If a given Hotel sells X’s beer for 30 birr and another hotel sells it for40 birr, from the former the government gets 4.5 birr vat tax from the latter 6 birr per bottle.”
“Presumably the price hike is to the advantage of the government then that could make it a bit reluctant,” Samson silently punched the table.
“I don’t think Vat on food and a non-alcoholic drink is right. Eating is a human right issue ,”Samuel laughed.
“It was Meles Zenawi that introduced vat on food after his party’s ignominious defeat in the 1997(E.C) election.”
“Yes the experience of other countries should be taken in this regard. Once the government employees’ double taxation issue did generate a heated debate in parliament,” I said.
“Besides it is government employees, now languishing under inflation, that properly pay taxes,” Samson held his head with his arms,
At that point the owner of the house entered into the Hotel and greeted us and said “We have decided a price cut, for customers have shunned us. I was mistaken it was because of the fasting season they deserted us. But soon after Easter I realized the reason—the unreasonable price hike. May God forgive me I will not seek beyond my due from now on,” he headed to the kitchen.
“Samuel I want to know how per capita income is not reflected in GDP?” I asked.
“That is a long story! Let us meet another time, ”Samuel eyed me with dropping jaws.
BY ALEM HAILU G/K
THE ETHIOPIAN HERALD FRIDAY 20 MAY 2022
