Steering A Nation

Published in Cebu Gold Star Daily

If a man does not know what port he is steering for, no wind is favorable to him.  

-- SENECA

Individual behavior is a result of the series and combinations of rewards and punishments a person receives throughout his or her life. In the most extreme, those who commit criminal acts are placed behind bars or fined while those who accomplish great things are rewarded by fame and fortune. In the center is a wide expanse of gray area of where minor behavioral nuances can no longer be micromanaged. Nonetheless, they can be generally steered by policy and law.


Taxation is the system of reward and punishment that leads the general populace to move towards certain behaviors while avoiding others. It is a process of soft obliteration, where undesired actions less than criminal are quelled. Imposing high taxes on certain industries like mining or logging can protect the ecology by some measure. Lowering taxes on green industries can encourage investment in these protective ventures.


Unfortunately, this behavioral control mechanism is not fully utilized in our islands. European countries, for example, charge very hefty luxury taxes on vices while keeping collections minimum for education. It sends a message to people that if you want to use your money for unproductive activities, you have to pay a high price for it. If you use it for something desirable, you will get some reprieve from the tax collector.


In our case, the government has already tried to impose greater taxes on book importations. It failed mainly due to political pressure, not sound judgment. Many legislators have proposed large ‘sin taxes’ but they keep getting stopped in their tracks by industry lobbyists, resulting in the cheapest liquor and tobacco to be found in the region.


Governance is one great social experiment, and although there is some leeway for creativity, there are general policies that ought to be maintained. Education must be supported while violence is to be eliminated. Productivity and hard work must be encouraged while destructive behavior must be penalized. Health is to be protected while environmental damage must be kept at a negligible minimum. 


For now, it is comforting to know that our Constitution has tax measures that protect educational, religious and civic interests. But even the solid foundations of our organic law are being grinded by our so-called ‘representatives’, who have very fat business interests. There are those intent in practically selling the country to foreign powers who have no interest other than profit, while local farmers walk on, landless. 


How do we steer national behavior when those who vote on these issues in our behalf have interests that conflict with ours – when those who command our tax collectors and cops give in to the temptations that such awesome powers provide? 


It all comes down to the populace and their ability to come together and express their frustrations and aspirations through their votes and their collective actions.


Democracy is not dead. It only remains misunderstood, misguided and unclaimed. In less than a year’s time, we will once again be collectively challenged to act with our best judgment. 


Let us steer the nation harder to a better place this time. 


No more excuses.

The World is Skewed

Published in Cebu Gold Star Daily


On paper and as an ideal, globalization promises a new economic world order that will uplift humanity to heights difficult to imagine. The free exchange of goods and services promises to create a single global market where the only restriction is the law of supply and demand. 


Grand plans… grand promises… but at what cost?


To get to that ideal, many people have to give up their livelihood. Small-scale farmers and fishermen will have to abandon their trades when faced by the uncontrollable influx of cheaper imported goods. Small-scale businesses and neighborhood shops will be crushed under the heels of large foreign-owned shopping centers. 


Cheaper goods and services might look like a strong selling point for consumers, but you have to remember that every consumer is also a producer and a service provider. What use are cheaper goods when people’s incomes are obliterated by unfair competition? What’s the point of having retail prices of your favorite grocery store cut in half when you have to close your own shop permanently?


To make this great economic omelette, we have to break a whole lot of eggs. Millions will plunge into hopeless destitution, while the few truly big businesses continue to balloon into grotesque proportions. The poor stay poor, the middle class joins them and the rich become gods.


To look at the end-goal without seeing the painful steps leading to that goal is Social Darwinism at its very worst. It attacks the life, liberty and property of the most marginalized sectors of society, widening the already vast chasm that separates the rich from the poor. Social ills are exponentially amplified, turning pride of labor into systematic worldwide greed. 


Powerful first-world countries welcome globalization with arms wide open, but for a tiny nation like ours, nationalist economics is our final line of defense against the tidal waves of mass production just waiting to erase entire industries and cultures. 


I do not dare to question the bigger-picture wisdom of economics experts, but to my mind, the evils needed to reach their goals are simply unacceptable. 


Is there a way around it? Is there a better way to do this?


There is. But for now, richer countries are not willing to give us a truly meaningful and effective quid pro quo situation. Their industries are allowed to flourish in our land, while they prevent our greatest and most abundant resource from being fully utilized. If they are allowed to sell their goods here without restriction, our people should be allowed to travel to and work in their countries similarly without restriction. This is how we create a formidable middle class. This is how economic balance is achieved. This is how globalization becomes a cultural revolution, rather than just a concept of economics. Instead, they use security reasons and terrorism scares to keep global trade consistently skewed in their favor. 


I used to be a believer in big-picture economics and full globalization. But as we draw deeper into this socio-economic experiment, the picture becomes uglier and uglier. Maybe it’s time to take a few paces back, cut our losses and try to figure all this out.


Higher productivity is no excuse for the perpetuation of human suffering. In its present form, globalization is a lethal pill to the most vulnerable nations in the world. Unless we come up with a better strategy and an honest will to bring economic fairness in the world, all this is simply unacceptable.