9 point 8.fwThe Asia Pacific Economic Cooperation (APEC) is NOT AN ECONOMIC BLOCK.  Meaning… any declaration is NONE BINDING to all the 21 economies.  Yeah of course, those pinoy tycoons and know it all technocrats would say this would be good for the economy but my opinion is that it would be better off that we stick with our ASEAN partners.  Any trade agreements that each nation can put up is dependent on the huddles of the Trade Ministers / Department Secretaries.  ASEAN decisions are binding and since it is a concession, any decision should be agreed upon by all 10 member nations.  APEC is merely an R n R (representation and recreation) of the heads of the 21 states.

The moron in the palace seems to be obsessed in marketing the sex driven economy of Manila and its suburbs.  That is probably why he’s never considered doing the summit at Subic Bay.  This is ill-planned and stupidly expensive at 9.8 billion.  At this point the moron is probably harping how tight security is but imagine if this event has been done at Clark, an island in Cebu or at Subic?  Would the deployment of security details located in different hotels in various places in Manila, Makati and Pasig be better if it had been localized in just one area? … just like the APEC summit in Subic where the government has optimized the spending for building villas for the heads of state.  The spending could have been less.  The 21 (minus 2) heads shouldn’t have been a SECURITY NIGHTMARE.

Imagine billeting the heads and their entourage in different places in metro manila?  How many pulis patola would you deploy for one foreign delegate?  Fetching them from their hotels to PICC has become A TRAFFIC NIGHTMARE before, during and after the summit.  Pulis patolas are roaming around the hotels funded by taxes we pay as HONORARIAS and other form of expenditures.  Some of them are even billeted in expensive hotels.

Had it been in Subic or anyplace else with less population, the expenses for the so-called “tight security” or tighter perhaps must have only been 3 billion.  Tangna… PERA AT BUWIS NAMIN YAN MGA GAGO!

At the end of the summit… 21 economies will just be making concessions with the business tycoons on both ends.  So… what the fuck is this all about?  This is not about job generation or the blah blah blah of economic development.  And look at how the moron in the palace blabbered about how mediocre his predecessor is.

Can anyone please tell everyone else that has APEC done to the Philippines since president Ramos’ time?  NONE NIL NADA ZILCH.

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Napoles in the first place has no legal and binding contract with the Filipino citizens. We have not voted for her and she has never won any election. She is not a government employee so why would she be stupidly subjected under the scrutiny of the Ombudsman. I’m no lawyer but logic dictates that in this cobweb of deceit, hypocricy and deception of the PDAF allocation and disbursement system, Napoles is just a conduit… a channel.

The PDAF money that is supposed to be ALLOCATED for countrywide development has been allegedly funneled thru bogus NGOs created, owned or managed by NAPOLES and that x number of legislators have had their significant percentages. —- THIS IS THE BASIC PREMISE.

The whistle blowers’ statements confirm that these NGOs that they’ve mentioned are either non-existent or bogus as some government agencies such as COA and NBI confirms it so. At these point, these are USELESS. Hearsay. So where would the evidence be? And who are the real suspects?

Tagalugin natin. Kung ang presidente ng assosasyon ng kantatero (singers) ng ilog pasig ay naglaan ng pondo para sa nasalanta ng umapaw na ilog pasig na isang libong piso para sa sampung pamilya. Ang pera na ‘to ay binigay nya sa sargent at arms para ipamudmod sa mga biktima. Kaya lang kinuntsaba ni sargent si Napoles para gumawa ng mga bogus na pangalan para yung isang libo ay mapapunta sa kanila. Sino ang mas dapat na ibitin ng patiwarek? Si sargent o si Napoles? Sino ang may mas malaking pananagutan sa mga myembro ng kantatero?

Englisin natin. The person who has allocated the PDAF and the persons who have been entrusted to spend it accordingly are MORE ACCOUNTABLE THAN NAPOLES.

Tagalugin natin. Ang primary suspects dito ay yung Panot in a Barrel at yung mga Senatong at Tongressman…. HINDI SI NAPOLES. Kaya dapat IKULONG PARE-PAREHO YANG MGA YAN KASAMA NI NAPOLES!!!!
porktangnanyo1

I have tried to Google my college professor’s lecture on the theory of the four estates of society. I’ve found out that his version where the states are defined as the government, the military, the church and the press seems a bastardized one. For the sake of argument, let’s pretend that his theory is the original one. Let’s define operationally that government just refers to the three branches (executive, legislative and the judiciary) sans the military. On all the readings, Fourth Estate is consistently defined by the other references as the Press or the media. Let’s also assume that the commoner or the common citizens are subjected to the control and manipulation of these four estates as my professor has defined. Ceteris paribus or with all things remaining equal, we also assume that the ideal behaviour of these four states is to work for the common good of the commoner… that is Utopia isn’t it?

What if, like what we have now in this banana republic, the government legislators have been allowed to steal from the taxes that the executive branch has collected… and the main culprit is the Chief Executive himself. Sabi nga ng mga ostronot sa Apollo 13 movie… HOUSTON WE HAVE A PROBLEM. To make things right, according to history of revolutions (bloody or not), the normal reaction of the other two estates (the Church and the Press) is to influence THE MILITARY to react. In the case of the Piripins, I still would give this military reaction the benefit of the doubt.

It is more unfortunate that at this point where the Fourth Estate, the Philippine traditional media, is corrupted and controlled by the obnoxious men and women in the government’s legislative and executive branches. The commoner or the madlang tao will just be NGA NGA to the effect of this Goeblean spins. The church, on the other hand, is still trying to make up its mind. Probably it has benefited from this mother of all scams. Nonetheless, I theorize that for this banana republic’s society to become normal again does not need the military to react. All that the church and the press needs to do is CLEAN UP ITS ACT and with all their conscience work for the common good. MAKE THE TRUTH COME OUT… and empower the commoner to become their bosses.

PORKbarrel9

porkbarreldownMGA KABABAYAN

ETO PO ANG MGA DAHILAN KUNG BAKIT MAY DULUGANG BAYAN SA AGOSTO 26, LUNES SA LUNETA. KAYO PO AY MALUGOD NAMING INAANYAYAHAN.

ANG PORK BARREL AY BINUBUO NG PARTE NG BINABAYAD NG MGA BATA PAG BUMIBILI SILA NG KENDI AT TINAPAY, MAHIRAP O MAYAMAN. ANG TAWAG DITO AY VAT. ITO AY BUWIS NA PINAPATONG NG MGA NAGBEBENTA NG MGA SA SARI SARI STORE, 7/11 AT SM SUPERMARKET. ANG BUWIS NA VAT AY KINOKOLEKTA NG BUREAU OF INTERNAL REVENUE O BIR. ITO NAMAN AY NIREREMIT O SINUSULIT SA BUREAU OF TREASURY. ANG IBA’T IBANG BUWIS O MGA BINABAYAD NA MGA FEES O GASTUSIN SA LISENSYA AT REHISTRASYON NG SASAKYAN NG BUS, JEEPNEY AT MOTORSIKLO AY KASAMA SA ISINASALIN SA BUREAU OF TREASURY AT ANG MGA ITO AY BUMUBUO NG TINATAWAG NATING KABAN NG BAYAN.

PAG ITO PONG MGA BUWIS AT MGA FEES AY NAIPON SA KABAN NG BAYAN, ANG IBA’T IBANG AHENSYA NG GUBYERNO AY NG SUSUSMITE O NAGBIBIGAY NG KANI KANILANG BUDGET PARA SA SUSUNOD NA TAON. ITO AY BASE SA DATI NILANG GINASTOS AT NAIS NILANG GASTUSIN PA. PAG NALIKOM ANG MGA BUDGET NG BAWAT AHENSYA, ITO AY UUSISAIN NG MGA MAMBABATAS SA KONGRESO AT SENADO. MAGDADAGDAG BAWAS PO ITONG MGA ITO AT MAGLALAAN NG PARA SA PORK BARREL NG PRESIDENTE AT PARA DUN SA KANILA. ANG PERANG PAGKUKUNAN AY DUN SA SINASABI NATING KABAN NG BAYAN AT KUNG KULANG AY UUTANGIN.

SA ISANG MASALIMUOT NA PROSESO, ANG MGA ITO AY IBABAHAGI NG MGA NAPAGLAANAN AT DITO NA NAGSISIMULA ANG KATIWALIAN. SA MADALING SALITA, YUNG PERANG GINUGOL NINYO SA PAGBABAYAD NG MGA BUWIS NUNG BUMILI KAYO NG TINAPAY AT SOPDRINKS SA SARI-SARI STORE O TURO-TURO AY PINAGPARTIPARTIHAN NG MGA MANDARAMBONG SA KONGRESO AT SENADO.

ITONG PERA NA ‘TO AY DAPAT NA NAPUPUNTA SA LIBRENG EDUKASYON NG BAWAT KABATAANG PILIPINO, SA MGA ISTRUKTURANG LABAN SA BAHA, SA MGA DAAN AT TULAY AY PUMUPUNTA LAMANG SA MGA TAONG BINOTO NINYO.

SIMPLE LAMANG PO ANG ADHIKAIN NG MGA PUPUNTA SA LUNETA: IHINTO NA ANG SISTEMA O PROSESO NG PORK BARREL AT MAIPATAW ANG TAMANG KATARUNGAN SA MGA TAONG ILANG DEKADA NA TAYONG KINUKUPITAN NG ATING BUWIS.

SUMAMA PO KAYO AT GAWIN PO NATIN ITO PARA SA MGA SUSUNOD PANG HENERASYON NG MGA PILIPINO.

SALAMAT PO.

A26 N PB MOVEMENT

PDF VERSION HERE: ANG PORK BARREL AT ANG BUWIS SA KENDI

Everyone in the loops and cobwebs of the Pork Barrel scam is guilty.  None in the houses of corruption would point a finger or raise a fist to protest against this mother paker of all scams.  While the media is grilling Napoles and those bombs, explosion and stupid collision of big ships would want to draw out public perception from this scam, citizens wouldn’t blink an eye to monitor every bit of news related to the scam.  Why?  Because each one of them (or us) feels robbed by the rotten system of loops and cobwebs of layers of deceit and deception.  Why? Because the taxes from simple candies, cigarettes, toyo and suka that we buy from the sari-sari store goes to the treasury that will be a part of the pork barrel recipe. PORKbarrel1

Each time we renew our license and customs would tax us exorbitantly of the parcels we sent through Fedex we are ripped off once these taxes and fees becomes a fraction of the source of the infamous PDAF. Nonetheless the understanding of the citizenry should not stop at the house of Napoles na mukhang mapapanis na sa media. This should go beyond napoles where from the different sources, verified or otherwise, gives us the total picture of how the pork barrel system works.

The budget or budgeting is a function of government that provides the whole bureaucracy the oil to make each of the the machinery of each departments and agencies run smoothly.  It starts with the call of the CEO to have every offices under his command to provide him the budget for deliberation for the coming year.

Pork Barrel and the Budget

The process begins and ends with the CEO. The figure / diagram is self explanatory. The next thing is we should understand the layer upon layer of the web of men and women, organizations, agencies, departments etc. and how these relationships work. At the top are the offices of the DPWH, the Office of the President and the Houses of Thieves. They have the biggest allocation in the government budget that is solely designed to favor them. The second layer are the power brokers that includes those government employees that works within these agencies/offices; the private citizens like Napoles with their NGOS; and the NGOs that have been created by the politicians in the Houses of Thieves. This layer is responsible for the haggling and higgling of percentages.

PORKbarrel3

The last part of the process would be the approval part… who approves the releases… they are pictured in the diagram. Who benefits from them are the assholes who have their luxury SUVs parked in front of the hotels and posh restos that we see everyday. Now aren’t you wondering why the Philippines is so fucked up economically?

What we need is to ask Ban Ki Moon of the United Nations to bring in a fact finding commission on this scam. Everyone in the bureaucracy is on the take.

attorneysabovethelaw

this is what i have responded to this link : http://opinion.inquirer.net/59037/when-i-made-a-choice#ixzz2cHsJSrFz

our society is packed up with doctors and lawyers who are not even paying the right income taxes. government system are full of lawyers who have been idealists like you but have been eaten up by the rotten system of corruption. those who have been appointed at the higher position in the bureaucracy are lawyers or may have probably taken up law. lawyers are hired by big businesses because of their brods, compadres and panyeros in various agencies. their main purpose to make a work around and circumvent the law in favor of these entities.

what our economy needs are managers and educators. in a mismanaged bureaucracy we need people at the top to manage the implementation of policies. we need good educators that will form the young minds and remind them the value system that the Filipinos used to have.

there’s a difference between what you want to be and what is the reality. the chances of you being a lawyer and not being eaten up by the rotten system is 99.9 percent.


What is a public good? Water and electricity are examples of public goods where there are long standing debate whether they should be privatized or not. If there are no resources on the side of the government to institutionalize the distribution of any public good, the behavior is leaning towards privatization. In a country where the landed rich and the moneyed class have their strangle hold on the government, the ones that should be regulating the price of this type of commodity, things become complicated. This oligopolistic set up factored in by greed makes it even more complicated for the consumers of Mindanao to agree to the sole option of the “Piripin Plesident who robs us very much” to privatize. As he belongs to the oligarch clan of the Cojuangcos who has colluded with the Lopezes and the Ayalas, makes the decision of the Mindanaoans most complicated. Why?

There are two perceived problems here:

1. The bidding will most likely be influenced by a Cojuangco president…
2. The regulation on pricing on whoever wins the bidding would be none. Just look at the Meralco bill computation and how this Lopezes’ electric company influenced our government since the mother of the incumbent’s time. Even if Meralco’s case of consumer extortion has been decided upon by a Supreme Court ruling to return what they’ve stolen through absurd charges… the price of electricity keeps on being imputed with a lot of charges that makes it higher on every quarter of the year.

Point is that even if ideally, a public good should either be owned and operated by a private entity or a cooperative, the Philippines is a nut case of greedy oligopolistic clans who will always field in a politico to protect their interests.

Image

Here’s the BOTTOMLINE of this lousiness… WE DON’T HAVE GOOD STORIES TO TELL EXCEPT… depression, deceit and oppression… As action movies of Hollywood such as MI4, Expendables and Bourne Identity are based on a reality of military dominance of the US. It’s not about scenes, dialogues and cinematography… it’s about the capability of real men and governments to dominate and control. The Philippines have tried during the era of Tony Falcon alias X-44 the copycat of the UKs James Bond.  Being a copycat… it’s still lousy.  The Brit films have dominated the fantasy because it’s based on the kings, queens and the myths and legends of their cultural history.

To change the whole context of the “story telling” in both the television soaps and the films in da piripins will require x amount of mindsetting from the producers perspective. Films are produced based on “marketability”. It’s a monopsony market where the buyer dictates what to “purchase”. An almost full interventionist form of governments such as that of china and malaysia can dictate what can and cannot be shown. The piripins like the US and other english speaking countries have “free markets” on this type of industry. Censorship is just based on “moral” or “ethical” biases of the government’s regulating bodies.

The metro manila film fest is NOT A FREE MARKET policy. It’s an interventionist policy where the only films that can be shown in metro manila are PINOY LOUSY FILMS. This leaves the movie goers no choice to choose between a foreign film with a global appeal and the lousy one.

The lousy films only comes into the market in full blast every last week of December and first week of January. The whole year round you could hear the rantings of the showbiz folks of the sad state of our film industry due to piracy.  The advancements of the technological artifacts such as the internet and dvd/cd replicators may have brought forth this piracy problem.  Nonetheless, if the local industry should pick up from what has evolved in both the Hollywood and the European movies… that is quality production and “good stories” this reason of piracy for a slacking film making industry will not be invoked like a mantra of desperation.   The package speaks for itself.  Meaning… a good film that is created to be viewed on a wider screen will make profit one way or the other.  Among what is bundled is the thrill of panning of cameras in different places and “being in the story” while watching.  You wouldn’t watch Sherlock Holmes 2, Expendables 2 and MI4 on a smaller screen would you?

Economic Analysis is an overview on what is to come in the next series of Economic subjects designed for any student in Masters of Science in Economics. Fortunately for this presenter, he has been able to take up two very relevant economic subjects namely: Economic Development and Economic Thoughts. The diagrams and figures that will be presented herein are parts of the previous presentations, reports and research work that have been required by the previously mentioned subjects. In this case the presenter’s Economic Development concepts are just more elaborative and summative with reference to the issues, theses he has previously mentioned in his papers.

A. Background on my Country: Present Situation

What brings about poverty and what is poverty? What are the results and causes of poverty? Social scientists main purpose is to answer these questions. In the internet and conventional libraries there are at least billions of materials that explained the causes and effects of poverty in different perspective, framework and context. This paper is just a redundancy so to speak.

According to the deceased father of the presenter, you only need to have three books to learn what “life” is. One is the Bible, next is the works of Shakespeare and lastly, an American Dictionary. The logic is that what has happened then is happening now. The Bible talks about Jesus’ engagement with the poor and the marginalized. Shakespeare’s work vividly pictures people from the different echelon of society, from the kings to the pauper and the ordinary middle class. The dictionary on the other hand defines the meaning of a new word that one has never heard or read.

But what do these books try to tell its readers? In one internet article where the verses of the bible has been enumerated to elaborate on the issue of “Wealth and Poverty in the Bible”[i], the author writes :

A Survey of Wealth and Poverty in the Bible

From the beginning of creation, God demonstrates a desire to bless humanity with the abundance of the material world (Gen. 1:28-31). God had blessed the patriarchs in many ways, including that of wealth, for the purposes of blessing others (Gen. 12:2-3). By the time of Moses, God had promised his people the land of Canaan, an abundant land flowing with milk and honey (Deut. 11:9). There were also specific laws about regulating material possessions: ownership of property (Deut. 19:14), gleaning rights for the poor (Lev. 19:9-10), and the Jubilee (Lev. 25:8-55).

The Psalms and Proverbs hold tension between material well-being and justice to the poor. Whole Psalms and passages in proverbs ask God for blessings, including material blessings (Ps. 128, Prov. 13:21). There are other passages that speak about justice for the poor (Ps. 82:3-4, Prov. 29:7). There are also very specific passages in Proverbs that speak about the danger of accumulating wealth as a goal in itself (Prov. 8:10-11, 15:16-17, 23:4-5).

The prophets are very vocal about the sins of Israel with respect to wealth and poverty. They often point out how the rich are oppressing the poor (Ezekiel 22:29, Mal. 3:5), leaders abuse material possessions (Isaiah 3:14-15, Micah 7:3), and using wealth for rituals rather than obeying the Lord (Isaiah 1:10-20).

He further elaborates that in the New Testament, Jesus advocated stewardship of material possessions, indifference and respect of people from different economic backgrounds, being cautious on the love of money and the danger of accumulating wealth as the goal in itself.

Shakespeare on the other hand during the Elizabethan Era may have just glamorized or romanticized the contexts of the travails of Englishmen in the different social bracket; nonetheless his plays show his sensitivity to the issue during his day.

O! reason not the need; our basest beggars

Are in the poorest thing superfluous:

Allow not nature more than nature needs,

Man’s life is cheap as beast’s.

King Lear (2.4.276)

A most poor man, made tame to fortune’s blows;

Who, by the art of known and feeling sorrows,

Am pregnant to good pity.

King Lear (4.6.216)

Poor naked wretches, wheresoe’er you are, That bide the pelting of this pitiless storm, How shall your houseless heads and unfed sides, Your loop’d and window’d raggedness, defend you From seasons such as these? O! I have ta’en Too little care of this. Take physic, pomp; Expose thyself to feel what wretches feel, That thou mayst shake the superflux to them, And show the heavens more just.
King Lear (3.4.33)

I can get no remedy against this consumption of the purse: borrowing only lingers and lingers it out, but the disease is incurable.
2 Henry IV (1.2.74)

The naked truth of it is, I have no shirt.

Famine is in thy cheeks,

Need and oppression starveth in thine eyes,

Contempt and beggary hang upon thy back;

The world is not thy friend nor the world’s law:

The world affords no law to make thee rich;

Then be not poor, but break it, and take this.

Romeo and Juliet (5.1.76), Romeo to the Apothecary

Well, whiles I am a beggar, I will rail,

And say there is no sin but to be rich;

And being rich, my virtue then shall be

To say there is no vice but beggary.

King John (2.1.612)

Whiles, like a doe, I go to find my fawn

And give it food. There is an old poor man,

Who after me hath many a weary step

Limp’d in pure love: till he be first suffic’d,

Oppress’d with two weak evils, age and hunger.

As You Like It (2.7.138)[ii]

The most common phrase “history repeats itself” in the Old and the New Testament through the Elizabethan / Shakespearean era can always be used in the context of poverty. Now, in the Philippine setting, we can say that what has happened in the Bible and on the plays of Shakespeare is also happening now. But the logic of writing about the poverty issue should focus on the concrete definition of the source or the root of poverty and its effect. How to deal or solve it would be another huddle… the question is… Are we solving the root… or are we solving the cause?

The preceding part of this presentation is an enumeration of social and economic issues in the Philippines. Pictures and diagrams are self explanatory and most of them have been already used in the presenters articles as a requirement the subjects he has taken a semester ago at the time of writing.

1. The Migration Phenomenon

According to the Philippine Government statistics there are about two thousand four hundred (2,400) Filipinos leaving their homeland everyday. More than ninety percent of this figure are contract workers who have left their spouses and children for a work contract in order to earn a living in in the More Developed Countries such as New Zealand, Astralia, US, Canada, Singapore, Malaysia, Japan, and other Mid-Eastern Countries. On the other hand, official records do not show the actual ratio of permanent and temporary migration. Permanent migrants’ or OFWs who intend to permanently settle in the US, Canada, New Zealand and Australia have brought their families with them.

Why permanently settle in their preferred country?

In one of the study done by the presenter there are three general issues that has made the permanent migrants decide to leave their homeland and settle in their country of preference for good. The samples are young married couples from the middle class community in of the one subdivisions in Metro Manila. The Influencing Factors are as follows :

1. Salaries and Wages do not make both ends meet.

2. Negative perception on the government’s stance on globalization

3. Discouraging issues on establishing a business enterprise such as high rental and unfair competition.

The Temporary Migrants or OFWs who are working under a short term contract in countries such as Singapore, Japan and Middle Eastern nations. In their case, several issues stemmed up from human trafficking, prostitution, discrimination and maltreatment.

From the signals being sent by the current administration, this migration phenomenon seems to them a solution to the economic problem that we have at hand. The Twelve point three Billion from the net factor income from abroad or in layman’s term, the remittances of the OFWs should be increased. Therefore, the labor capital market should be geared towards the development of skilled workers that has a high rate of return in terms for remittances. The basic premise is that we educate and train our young Filipinos to become laborers of the more developed countries.

Is motivating Filipinos to migrate really a solution?

Figure 1 – Overview Diagram of Permanent Migration

Figure 2 – Context Diagram of Permanent Migration

2. Degeneration of Morals and Mental Sanity Trough the Boobtube Media

Talk shows, variety shows, drama and fantasy anthologies in the television is a way of life of the current generation. Even the buses roaming in Metro-Manila to the provinces have their own TV sets that are either tuned in to ABS-CBN or GMA. You can watch noontime shows where TV hosts encourages people to join their game shows and become rich… instantly. About two months ago from the time of writing one talk show host slipped up on national and international television the modus operandi of how contestants and viewers alike is being cheated. The incident has been posted on youtube.

We can watch talk shows hosted by gay personalities such as Boy Abunda who at one time presented his house and his boyfriend in his segment called Homeboy. Like what I’ve mentioned in my previous writings, the “boy” term in the Filipino context is already a term for gay. Since Boy Abunda is a gay, he should not be called “boy”. He should be called GAY ABUNDA. From him stems up a lot of validation process for young male Filipinos that it is ok to be gay in the Philippines. The church on the other hand tolerates these aberrations. One need not be surprised about it because their men in cloak are mostly men in palda so to speak.

We see soaps depicting everyday the misery of one’s story, the plight of the oppressed hero or heroine against the kontrabidang mayaman. On Sundays we see variety shows that commemorate the anniversary, birthday of artistas and or newbie artists… nothing new, nothing better and nothing worth watching.

Figure 3 – Gay Showbiz Abberations

3. False Concept of Peace and Order

What now then is Peace on Order Philippine style? It’s a continuous war against muslim separatists to justify the military presence and existence. About hundreds and thousands of Muslims are being slaughtered another thousand left homeless and orphaned. On one hand, an office called the Office of the Peace Process has been there since this current administration took over the government to sit and talk with the communist insurgents and the muslim separatists. Yet a month ago a soldier was beheaded and cut into pieces. Still at the time of writing a soldier father of a friend of this presenter was just killed in Basilan. Perhaps policy makers should take a little more time watching the movie Beautiful Mind and try to learn what Game Theory means.

Figure 4 – Peace and Order pictures

4. Tax Cheating and Malicious Spending of Treasury Money

When you talk of cheating you talk of three players:

  1. The Tax Evader (the Cheater)
  2. The Tax Collector (the Extortionist)
  3. The Budget Spender (the Thief)

Tax Evaders are the private citizens and companies who are bounded by law to pay taxes. The main reason for tax evasion is maximization of profit. But the other twisted reason according to some of the businessmen is that the government does not do its function properly. They say that they do not experience the benefits of what they are paying to the government such as widening of roads in the urban area, peace and order situation getting worse to worst and other blah blahs.

The Tax Collectors are government employees in the major revenue generating agencies namely the Bureau of Customs and the Bureau of Internal Revenue. “It takes two to tango” in the collection side. The tax evader evades paying taxes, while the extortionist takes a percentage of what the evader saves. In street lingo… Everybody is happy. One should be thankful if the extortionist still collects for the government and not for his own pocket alone.

The Thief or the Budget Spender is the worst kind. The revenue collected by the tax collectors plus the money borrowed by the government from IMF-WB is called treasury money. Thievery of this money comes in many forms under the civilized budget allocation system. When the budget is already disbursed in the executive, legislative and the judiciary… that is already bye bye for the yaman ni Juan. Remember the JocJoc Bolante case and the most recent ZTE scam?

Figure 5 – Context diagram of Taxation in the Philippines

5. The Widening Gap Between the rich and the poor

In a street called Daang Hari somewhere in Las Pinas is a very clear picture of the great divide between the Rich and the Poor (see Figure 6 – Widening Gap Between the Rich and the PoorFigure 6 – Widening Gap Between the Rich and the Poor) In the presenter’s paper on research method, he’s tried to define the social brackets in the urban community through the satellite pictures taken by google earth.

It is so obvious that the lots subdivided in the Ayala Alabang Subdivision on the right side of the divide are extremely larger than the ones on the left. Shanties of twenty where around forty families eat, live and sleep can fit into one subdivision lot.

Figure 6 – Widening Gap Between the Rich and the Poor

6. The Favored Multinationals vs. the Local Traders and Entrepreneurs

In the Economic Development class, the presenter had a chance to present a powerpoint on the harris-todaro concept of import substitution. The slide shows the different incentives given to multinational companies who have put up their companies in the Philippines. Tax incentives, shelters, tariff covers, subsidized or tax free importations are given to multinational companies such as Proctor and Gamble, Nestle and Mitsubishi Motors.

Mitsubishi Motors in the guise of producing cars locally through our local labor is protected by the government where it has almost outlawed the importation of cars. On one hand, Filipinos are left off to forcibly by from these manufacturing companies at a very high price of Completely Knocked Down (CKD) vehicles that are assembled here locally. An ordinary Filipino cannot import from abroad because in according to policy makers these companies generate jobs for the Filipinos. Really? Mitsubishi has only around five thousand (5,000) employees. It’s just an insignificant speck of the total population of Filipinos. Are we really dumb enough to say that this company is not earning that much?

Tax incentive comes in a form of delayed payment of taxes thus saving the company a significant amount of interest earnings from the bank. Mitsubishi does not pay the government outright or upon importation, payments are delayed under the customs bonded warehouse scheme. They only pay the taxes on raw materials upon assembly or release of goods for the CBW during the actually assembly day.

What is worse is that it is a foreign company earning its profit in the local ground and employing Filipinos as the labor force. Do we get the biggest slice of the pie?

Figure 7 – Tax Incentives, Tax Shelters of Multinational Companies

7. Continuous Rape and Rampage of the Natural Resources

One does not need to research on what urban development has done to the Pasig River, Manila Bay and the Laguna Lake. We have made these God given resources black, stinky and fugly (fucking ugly). One lawyer student commented that the Laguna Lake is the largest toilet bowl in Asia. This writing gives the presenter the opportunity to say that the Pasig River is the largest sewer in Asia. Annoying as it may sound but it’s true. All the sewers in metro manila connects to the three bodies of water.

Kapaligiran, the song of a band called Asin has been composed more than twenty years ago. Along this thought the presenter would like to make another parody.

Wala ka bang napapansin (Tanga ka na pag di mo napansin)

Sa Iyong mga Kapaligiran (Sa ginawa mong kababuyan)

Kay dumi na ng hangin (Kay baho na ng hangin)

Pati na ang mga tubig natin (Itim na ang mga ilog natin)

Enough said!

8. Who Controls the Land, Money and Honey

Who is well off nowadays? Who rides the big AUV cars? Who can afford to travel to and fro from favorite tourist spots destinations in the world? Who lives in the posh villages and condominiums such as Ayala Alabang, Dasma, Corinthian and Forbes? Whose sons and daughters can afford to spend beach bumming in Boracay or surfing in some beaches in the Philippines? Who can afford to put up high-end restaurants and entertain high-end clients? Who visits the holy land frequently with some boytoy priest and prays with a gold-plated rosary? Look at the diagram below.

Figure 8 – Where does the money flow?

B. Economic Concepts Applicable to the Situation

1. Conventional Economic Development Concepts

There are several definitions and models for economic development. In synthesis, and based on the context and definition of wikipedia, ecodev is an interplay and interconnection of entities, goods and services and the general process of PRODUCTION and DISTRIBUTION. Figure 1 is the author’s analysis utilizing the Systems Analysis and Design’s approach on the context that is stated in http://www.wikipedia.org:. “The economic development process supposes that legal and institutional adjustments are made to give incentives for innovation and for investments so as to develop an efficient production and distribution system for goods and services. (http://www.wikipedia.org/economic_development)”

Figure 9 – Economic Development – Context Diagram

There are three building blocks of most growth models

  1. the production function
  2. the saving function
  3. the labor supply function (related to population growth)

Wikipedia has also enumerated the following models as they are quoted verbatim :

Harrod-Domar Model

The Harrod-Domar Model delineates a functional economic relationship in which the growth rate of gross domestic product (g) depends directly on the national saving ratio (s) and inversely on the national capital/output ratio (k) so that it is written as g = s / k. The equation takes its name from a synthesis of analyses of growth process by two economists (Sir Roy Harrod of Britain and Evsey Domar of the USA). The Harrod-Domar model in the early postwar times was commonly used by developing countries in economic planning. With a target growth rate, the required saving rate is known. If the country is not capable of generating that level of saving, a justification or an excuse for borrowing from international agencies can be established. An example in the Asian context is to ascertain the relationship between high growth rates and high saving rates in the cases of Japan and China. It is more difficult to introduce the third building block of a growth model, the labor and population element. In the long run, growth rate is constrained by population growth and also by the rate of technological change.

Exogenous growth model

The exogenous growth model (or neoclassical growth model) of Robert Solow and others places emphasis on the role of technological change. Unlike the Harrod-Domar model, the saving rate will only determine the level of income but not the rate of growth. The sources-of-growth measurement obtained from this model highlights the relative importance of capital accumulation (as in the Harrod-Domar model) and technological change (as in the Neoclassical model) in economic growth. The original Solow (1957) study showed that technological change accounted for almost 90 percent of U.S. economic growth in the late 19th and early 20th centuries. Empirical studies on developing countries have shown different results (see Chen, E.K.Y.1979 Hyper-growth in Asian Economies).

Also see, Krugman (1994), who maintained that economic growth in East Asia was based on perspiration (use of more inputs) and not on inspiration (innovations) (Krugman, P., 1994 The Myth of Asia’s Miracle, Foreign Affairs, 73).

Even so, in our postindustrial economy, economic development, including in emerging countries is now more and more based on innovation and knowledge. Creating business clusters is one of the strategies used. One well known example is Bangalore in India, where the software industry has been encouraged by government support including Software Technology Parks.

Surplus labor

The Lewis-Ranis-Fei (LRF) Model of Surplus Labor (LRF) is an economic development model and not an economic growth model. Economic models such as Big Push, Unbalanced Growth, Take-off, and so forth, are only partial theories of economic growth that address specific issues. LRF takes the peculiar economic situation in developing countries into account: unemployment and underemployment of resources (especially labor) and the dualistic economic structure (modern vs. traditional sectors). This model is a classical model because it uses the classical assumption of subsistence wage.

Harris-Todaro model

The Harris-Todaro (H-T) model of rural-urban migration is usually studied in the context of employment and unemployment in developing countries. In the H-T model, the purpose is to explain the serious urban unemployment problem in developing countries. The applicability of this model depends on the development stage and economic success in the developing country. The distinctive concept in the H-T model is that the rate of migration flow is determined by the difference between expected urban wages (not actual) and rural wages. The H-T model is applicable to less successful developing countries or to countries at the earlier stages of development. The policy implications are different from those of the LRF model. One implication in the H-T model is that job creation in the urban sector worsens the situation because more rural migration would thus be induced. In this context, China’s policy of rural development and rural industrialization to deal with urban unemployment provides an example.

II. Proposed Development Program

Development according to the Harris-Todaro model should always have a different approach on the rural and the urban areas. CSBCOM should approach it on the same context. Another concept should be segregating the development for the Indigenous people. On the other hand where the more developed countries such as the United States and Australia is giving due importance to their indigenous people, the Philippines is now on the verge of exterminating them.

Countrywide development has to be done most importantly in the mindset of the people. Minds setting coming from the context of where Moses has rallied the Israelites from Egypt to the promise land by mere play of words; and where Winston Churchill has made a stand through the radio broadcast by motivating the English men, women and children to be watchful for the German invaders coming from the other side of the English channel… thus prevented Hitler for capturing one of the most strategic country in the European peninsula.

These four areas need to be taken into account if Philippines should move from across the red sea to the promise land.

1. Proper Mindsetting

In the television and radio broadcast are being controlled moneyed clans such as the Lopezes, the Cojuancos and the Jimenez’s. They make all of the Filipinos dumb…. If not dumber. Gay people should completely be eliminated from anything that has to do with broadcasting to return the right concept of the Filipino malehood. This idea does not stem out from a homophobic tendencies because such word does not really exist but it stems out from the fear that one day all Filipino males will become Boy Abunda and Ricky Reyes is now almost possible because such aberrations are being tolerated.

What needs to be broadcast in the media should be rallying concepts of development. Marcos has then been on the right track when he made the Bagong Lipunan axiom or the New Society. Depressing soap operas, trash noontime shows and stupid fantasy series should be replaced with value forming shows that features the Filipino Culture and its decent origins.

Warring factions, ideologies should sit down and talk and come up with a compromise. Muslim separatists should really know what they want. The government on the other end must be able to consider the irony of facts of these conflicts not only with Muslims but with the communist insurgents as well. They should negotiate for a win-win situation.

Revolution always starts in the minds and the hearts of the people. It is not a one shot deal but a continuing process when problems always pops up and solutions are just ready to be designed and implemented.

The first EDSA revolution is successful because of the media radio broadcast. Along this historical context the Philippine Government has to use this component in order to capture the hearts and minds of its people.

2. Urban Setup

There should be a separate model for the urban areas particularly for areas such as the Metro Manila and Cebu. The urban areas have different environment, pollution level, population density and poverty level. Urban areas are convergence of cultures since ninety percent are all migrants from different provinces.

Pollution level of the Pasig River is different from the Pagsanjan River and Taal Lake from the Laguna de Bay. Population density of a squatter area in Parola, Tondo is different from Liliw, Laguna so is with the culture of the people. Resettlement will only be the key to make the people of the poor and the marginalized uplift their standard of living. Such resettlement need not be pa-pogi points type but a resettlement in a holistic approach. First they should identify the area where they will be resettled and provide them technical know how on the products or services they will produce.

3. Rural Setup

Rural areas only need farm to market roads, proper irrigation and marketing. Theirs are still a culture not yet so bastardized by the stupid things one could see in the Philippine media. Where Liliw has thrived in the areas of production and marketing of vegetables and tsinelas, the different towns in the Philippine archipelago in all probability can do the same thing. Philippine rural towns still have the land and the watershed. Only thing that has to be done is to motivate and channel the development fund properly.

4. Indigenous People

The Aetas, Negritos, Mangyans, Dumagats and the Igorots are keepers of the earthly traditions. They are the bearers of cultural knowledge and wisdom. War dance of the Igorots and the American Indians if not similar are almost the same. An Australian aborigine’s village doctor gets his medicine from local plants which is being done by the local arbularyo of the Dumagats. When more developed countries such as the US and Australia are protecting the ancestral lands of their indigenous people, the Philippines is doing the reverse. Pushing them out of their ancestral homes is like exterminating them. Along with this extermination process is a death of centuries old of earthly rooted culture of economics, medicine and arts.

If the Australians and the Americans thrive on the idea that they have a lot to learn from the culture of their indigenous people, so do we as Filipinos.

Figure 10 – Indegenous Aeta

III. Conclusions

The Philippines can be better off if only people who are steering the wheels of power realize that there is no point in greediness. Through such realization is a notion that the twenty percent (20%) of the landed and moneyed powerful clans should be able to converge, sit down and think what should be done to uplift the country in the current economic chaos. Without them wanting to change the way they run things in our present chaotic economic condition… any vision for this country will just be a dream… a broken dream.



[i] http://yuling.wordpress.com/2007/02/07/wealth-and-poverty-in-the-bible-part-1/, “Wealth and Poverty in the Bible”, February 7, 2007

[ii] http://shakespeare.about.com/od/studentresources/a/poverty.htm