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Wednesday, July 4, 2012

Is The Philippine Government Really the Problem? Or is it.. the Pinoy?

“Like people, like government” – thus spoke Rizal. Voters, meet thy government. Government, screw thy voters.

Pinoys wonder why despite the changes in personalities, regimes, presidents’ mayors, councilors, governors, senators, congressman, even ballot counting systems – the Philippines remains the joke of Asia – and the world.

Take for instance the latest government scams.. este programs supposedly to reduce poverty and promote economic development in the Philippines.

Agribusiness

Aquino Government sez: Modernization pushed to boost farm incomes

The Catch: DA “modernization programs will only benefit VENDORS of equipment to the DA… it’s a SCAM!!!!

Aquino Government sez: Government to develop rubber industry.

The Catch: Business partners of Aquino are interested to enter the rubber industry – and will use the government to expand their operations – supply of rubber seedlings; purchase of rubber products; rubber exports – without improving the quality of life of rubber farmers.

Aquino Government sez it is bullish about rice sufficiency in Philippines in January 2012
* Government OKs 3 rice-sufficiency projects – March 2012
* Rice sufficiency program in jeopardy – May 2012
* Agriculture chief: Philippines on track in achieving rice sufficiency – June 2012
* Philippines eyes Vietnam for 100000 tonnes rice supply deal – June 2012
* Philippines to strictly enforce rice tariffs. – June 2012
* “First, an end to over-importation that only serves to benefit the selfish few. Second: we want rice self-sufficiency – that the rice served on every Filipino’s dinner table is planted here, harvested here, and purchased here.” – Aquino SONA

The Catch: How many years has the DA been talking about rice sufficiency? Forever, that’s what. Should we be addressing rice sufficiency or rice security?

Will it ever solve the issue of rice sufficiency? NO. Why? Because high production and export subsidies in developed countries and high protection in both developed and developing countries have distorted rice trade.

Take for example, the impact on Indonesia – which has effectively banned rice imports:

Consider the economic effects of a policy of restricting the quantity of rice imports, as under Indonesia’s ‘leaky’ import ban. The policy acts directly on the quantity of imports but its effect is to raise the domestic price by reducing the availability of imported rice. How much will the domestic price increase? A quantitative restriction on imports acts on the volume imported and lets the domestic price adjust accordingly. The domestic price will increase until the difference between the quantity demanded domestically and the quantity supplied domestically declines to the lower volume of imports now permitted under the quantitative restriction. When both the demand for rice and the supply are price inelastic, as is the case with rice, a large price increase is necessary to achieve this reduction in the volume of imports.

Obviously, people who are net consumers of rice are harmed by an increase in the price. But which consumers are harmed the most? Unfortunately, the answer is: the households for which rice is the highest proportion of their budgets – the poorest consumers. This includes not only the urban poor but also most of the rural poor, a surprising majority of whom are net buyers of rice. For example, this includes all landless agricultural labourers – people who sell their labour and buy rice.

What about the effect on producers? Obviously, anyone who is a net seller of rice benefits. Who benefits the most? The answer is obvious: those who sell the most – the largest farmers. Small farmers are both consumers and producers of food. Their net sales of rice might be positive or negative or, if they are subsistence farmers, zero. But if their net sales are positive they are small. Price changes have very little net impact on this group of farmers, one way or the other.

Who are the Philippines’ largest rice farmers? Don’t look now – but they are in Central Luzon, in the province of Tarlac. And by the way, the rice market in the Philippine is quite representative of any agricultural market in the Philippines.

Tourism

Aquino Government sez: PAL flies to $2.4-billion Las Vegas terminal.

The Catch: Air France and KLM end direct Manila-EU flights. Apparently NAIA Terminal – and all the folks behind it, SUCK!

Could PAL have been motivated to fly to Vegas after the Tongressmen of the Philippine Tongress, played hooky with taxpayers money, and flocked to Vegas to watch Paquiao?

Education

Aquino Government allies sez: Allocate portion of ‘sin tax’ for public schools.

The Catch: The “sin tax” spent on public schools will be spent on more sins. Bloated cost of schools. Bloated cost of school supplies. Teachers will remain UNDERPAID and OVERWORKED. Classrooms will remain congested. Students will remain STUPID and functional illiterates.

And that’s just for starters.

It’s the same MODUS OPERANDI folks. Let me spell it out exactly:

1. Craft a law – under the pretext of “protecting” or “promoting”.
2. Create an “authority/board”.
3. Impose regulation/taxes to fund the board who will enforce the “protecting” and “promoting”.
4. Vested interests then corner the market by doing business with the regulators.

This happens in ALL agencies that “protect” all industries -at all levels – NO EXCEPTIONS.

The scale of the corruption is mind boggling. Worse, Filipinos glorify this pathetic and repugnant state of affairs – from the boardrooms of Makati, to the halls of Malacañang – and down to our living rooms.

Then, we wonder why things have come to such a sorry sordid state?

Was it government who caused all these?

Or was it because, we, the citizens have defaulted, abrogated, ran away from the responsibility to run our lives and rise to the challenge of providing for our health, education, well-being – and delegated the task to government.

For short – we gave up on ourselves – and delegated the task to a nanny. The problem with having a nanny is – the nanny wants to expand her job – and, we never grow up.

On all counts – the solutions provided by big nanny government have been monumental failures which only make the matter worse. Imho, the biggest faux pas of Pinoys wanting change – is to look at politicians and government as saviors. I guess Pinoys still have to hear the adage – physician heal thyself.

We don’t need the DA’s mechanization programs – an open thriving economy with prosperous farmers who can trade with the rest of the glove without government restrictions can do the job better.

We don’t need the Aquino’s rice self-sufficiency -not when all it does is raise the cost of rice to consumers – and favor the big domestic rice farmers of Central Luzon. What we need is rice security – access to rice markets which provide the best prices to consumers – not a half assed government agency which only wastes taxes and STRANGLES rice consumers.

We don’t need headlines about PAL flying to Vegas, we need an open thriving tourism market that allows both foreign and local companies to provide jobs and services to Filipinos and non-Filipinos alike.

We don’t need decrepit public schools or the equally intellectually bankrupt private sectarian schools, we need world-class cost effective innovative schools that don’t waste tax money and are fully accountable to parents and students.

For short, In the coming local elections, instead of wondering why government has not done the job, – when you choose a candidate, are you voting for a nanny – or are you voting to reclaim your liberty?

In the coming local elections – are you choosing subsidies or jobs and prosperity?

In the coming local elections – are you choosing hunger or a full stomach?

In the coming local elections – are you choosing an open economy – or the perpetuation of the hacienda economy?

“Like people, like government” – Your government is a reflection of your values as a person.

The question is WHO ARE YOU – WHAT DO YOU STAND FOR?


About the Author

BongV

has written 390 stories on this site.

BongV is the webmaster of Antipinoy.com.


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