Is it the Mouth of Duterte or The Fundamentals of Economics; A Reflection from the U.S. Credit Crisis
Many
Philippine news agencies are giving their opinions regarding the economic
turbulence in the Philippine market today.
The said economic turbulence is not that unusual to the fluctuation of
our Philippine market before President Duterte’s reign. It is but normal for Asian market to react to
the world market when it comes to the economy.
Even the crisis of United States also ripples its effect to the world
specifically Asia. The case of CitiBank, Merrill Lynch, Fannie Mae, GM and other U.S. Multinational companies. It is the U.S. federal to be blamed with all
these world economic crisis that is looming in our society today.
As we can clearly manifest that most of the
American companies are transferring their production to China and Vietnam and
other parts of Asia knowing that the labor cost in Asia are far more affordable
for the company to manage. There is even
a case article entitled “Can US survive without Chinese Products”. U.S. citizens of today are in a scenario of
the negative effect of Capitalism. Small
entrepreneurial business players cannot survive the US market itself due to the
existence of the multinational capitalist.
If we try to analyze logically, why U.S. is in a crisis when they
have a “sweet talking President?” Do you
think their popularity in the world governments through their good PR can help
their declining economy?
Philippine Economy and the Future
In
the case of President Duterte and the Philippine economy, are we really in a
credit crisis like the US is experiencing or it is just a hyperbole of market
data and the manipulation to undermine the good governance of President Duterte. Filipino Citizens must not be fooled
with the data or any statistical output given in the internet or any social
media feeds, one must consider the bigger or the overall context of the case as
to why the currency is inflating or deflating.
As a given case, the consumer product of “palm oil” for example. If the supply of Indonesia’s palm oil will
experience in scarcity of supply, palm oil price across ASEAN and Asia at large
will be affected given the fact that Indonesia is one of the huge market
supplier of palm oil in ASEAN and Asia.
As a fact, we can conceived that economic and the national economy of
the Philippines does not rely from the words and mouth of our President Duterte
but rather the natural effect of the natural economic science that we are
always studying in academic institutions.
To some percentage maybe, but never in my academic life I’ve read a text
or other business research journal that states the notion that the economic
effect of a given country rely from the spoken words of the president. Even America who is a sweet talker when it
comes to diplomacy still experienced the credit crisis affecting to the world
market specifically Europe and Greece for example.
Finally,
the Duterte administration is gaining more impact to the emerging market
countries for greener investment in the future.
Future relationships from the emerging markets are creating new horizons
in the Philippine market and its foreign policies.
U.S. Financial Crisis
Job Crisis U.S.
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