Interesting blog post about how people go about doing their economic business in Thailand – 7-11!
The most popular destination in Thailand is? Phuket? Bangkok? Chang Mai?
No, wrong, nope.
The 7-ELEVEN store across from my apartment- always busy
7-ELEVEN. As in the 7-Eleven convenience store.
Yep, but not the 7-Eleven we know and ignore in America. Small, clean, efficient stores that are truly one-stop shops. Milk, eggs, beer, cooking spices, school supplies, booze, batteries, fast food- got ‘em all.
Need to pay your phone bill? Need to pay your cable bill? Yep, head to the 7-Eleven. Utility bills include a bar code, head to 7-Eleven with your Baht for the payment, the bill is “scanned” and you pay the amount due plus Thb 20 to 7-Eleven as the service charge. The 7-Eleven store transmits the funds to the utility/payee.
Why is this done? In Thailand, based on the economic situation of the majority of the people, checking accounts are not common and the vast majority of Thai people don’t have a credit card. 7-Eleven having the bill pay service keeps transactions cash (Baht) based while providing an easy and convenient way to make payments.
According to reports coming from Washington today, the Senate has failed to reach any agreement on extending unemployment benefits. Next week benefits run out for hundreds of thousands of would-be workers and this economy is still not creating jobs. So, as a stopgap, the Senate proposes a “15-day” extension. Yes, you read that right: 15 DAY extension. We have levels of long-term unemployment not seen since the Great Depression, yet Washington cannot figure out how to do something basic. Unemployment benefits are a critical counter-cyclical automatic stabilizer mechanism. Born of the Great Depression, they have proved their value in moderating recessions since (as well as helping those most in need). Now we’re just going to let them expire.
So WLNS Channel 6 came by today to ask what I thought of the 15 day extension. Of course, 15 days is better than zero. But if this all we get and we don’t an longer extension, we’re in trouble. Those folks wanting to control the deficit – forget it. Keeping people unemployed and taking away their spending cash is the way you increase the deficit, not reduce it. Every day the unemployed, especially the long-term unemployed go without jobs we are playing with fire. It’s not just no income for those would-be workers, it’s no sales revenue for the companies and stores they can’t buy from. It’s reduced tax revenue for state, local or fed governments too – thus making the deficit worse. It’s an increase on demand for government services. It’s a waste of potential resources. It’s clear the private sector economy is still not ready, able, or willing to create enough jobs, but in response we get indecision, dithering, and weak proposals from Washington. The consequences could be nasty long-term: see my post here.