Hegemony of Globalization

This is a simple movie clip on the hegemony of economic globalization, and the often chain of unintended consequences it brings. Enjoy!



Not exactly a "butterfly effect" (of Chaos Theory) given that capitalist dynamics and impacts had more or less been already described and predicted, but it nonetheless describe how seemingly unrelated events are actually connected by causal relations, albeit complex.

Nowhere to Hide

Dr. Michael Lim Mah-Hui, an internationally-known expert and speaker on international finance, has recently come to the Philippines to talk about his latest book, "Nowhere to Hide: The Great Financial Crisis and Challenges for Asia" which combines the disciplines of economics, finance, sociology and politics to analyze the consequences and challenges of the crisis and propose that its causes be understood at three inter-related levels - the level of theory and ideology, the level of financial  industry practices and malpractices; and finally the level of  structural imbalances in the international economy.

I met and conversed with Dr. Lim during the “Understanding the Financial Markets” forum by Jubilee South - Asia Pacific Movement on Debt and Development (JS-APMDD) in cooperation with South Asia Alliance for Poverty Eradication (SAAPE) and hosted by Monitoring Sustainability of Globalization (MSN) Malaysia. This was held from April 14 to 17, 2009 at the NUBE Training Centre, Port Dickson, Malaysia. We later corresponded through email on statistical distributions and that how financial analysts and statisticians in the US blindly follow the normal (or the Gaussian) distribution curve in the computation of financial risk when they actually can test - using "goodness of fit" tests such as the Pearson's chi-square test or the Kolmogorov-Smirnov non-parametric test- the probability distribution curves of historical data.

I highly recommend that you buy this book. The financial crisis is still as relevant as ever with the collapse of Greece and possible fallout for Asian markets.

An alternative platform by Ted Alwin Ong

Young activist James Matthew Miraflor of the Freedom from Debt Coalition painstakingly prepared a discussion paper together with his team which serves as guide for an alternative economic platform for the country.

In the social movement, this paper is now known as the National Economic Platform or “HaNEP 2020.” The document is a by-product of different analyses covering various issues which significantly affect our people and nation. By collecting and consolidating the different analyses from the country’s social and political activists, James was able to formulate a fitting alternative platform from what we have today.

The “HaNEP 2020” was submitted to President Benigno S. Aquino III by FDC as an Agenda outlining demands for changes in the debt and public finance policy, the power industry, the water sector, and government’s stance on climate negotiations and responses to climate crisis.

Read more. http://www.thenewstoday.info/2010/09/16/an.alternative.platform.html

New Economics for a new administration

by Walden Bello*

THE dominant feature of the Arroyo administration was pervasive corruption, but its most destructive legacy in the long term will probably be its policy failures.  The ascent to power of a new president, backed by a new Congress, provides the opportunity for a fundamental shift in policy in order to end poverty and relaunch the Philippines on the road to development.

The policy paradigm of the administration was one it inherited from previous administrations. This was a promarket, neoliberal approach the key prongs of which were accelerated trade and financial liberalization, deregulation and privatization.  In addition, Arroyo continued her predecessors’ policy of fully servicing the foreign debt, dealt with the ever-widening budget deficit by imposing a 12-percent value-added tax that hit mainly the middle class and the poor, and left it to the market to address poverty and income inequality.

With its promarket orientation, the Arroyo presidency followed the lead of previous administrations in refusing to pursue an industrial policy, reducing budget support for agriculture to a minimum, and radically bringing down tariffs on both agricultural and manufacturing imports. Abandoned to global market forces as the administration embraced the ideology of globalization, the economy was channeled to the massive export of labor, export-oriented, low-value-added manufacturing, particularly of electronic components, and providing personnel for the outsourced operations of transnational corporations like call centers.

Appeared in:

Perspective, Business Mirror : July 30, 2010

Viewpoints/Columns, Inquirer.net (Afterthoughts) : July 29, 2010

Freedom from Debt Coalition

FDC on SONA: Keeping an eye on Aquino’s commitment to change

PRESS STATEMENT
Freedom from Debt Coalition
11 Matimpiin St., Pinyahan, Quezon City 1100, Philippines
Phone: +63.2.921.1985 | Telefax: +63.2.924.6399 | Website: www.fdc.ph

Keeping an eye on Aquino’s commitment to change

The new administration of President Benigno S. Aquino III begins with an extremely high trust rating of 88 percent – higher than any of the post-dictatorship presidents. This is a measure of people’s belief in the commitment of the Aquino administration to reverse the anti-poor policies implemented during the regime of Gloria Macapagal-Arroyo. 




We in the Freedom from Debt Coalition (FDC) submitted to the President an Agenda outlining demands for changes in the debt and public finance policy, the power industry, the water sector, and government’s stance on climate negotiations and responses to climate crisis. This is in the context of a looming fiscal crisis due to the record-breaking deficit and empty public coffers left by the Arroyo administration, electricity prices soaring past major Asian cities save Tokyo, a water crisis that is pushing Filipinos to desperate extremes, and a looming La Niña that might bring us another devastating Ondoy.

The Structure of Crisis, the Crisis of Structure

Last year, I was invited as one of the speakers during the "Waging Peace in the Philippines Conference of 2009 - Advancing a Citizen’s Peace Agenda in 2010 and Beyond" held at the Social Development Complex Audio Visual Conference Center, Ateneo de Manila University on December 7-8, 2009. I specifically attended and participated on the plenary on Significant Issues for Peace in 2010, with Atty. Marvic Leonen, Dean of the UP College of Law, as my co-speaker.

The organization I was representing, Freedom from Debt Coalition (FDC), was supposed to present on Climate Change, Global and National Crisis. Using existing data we culled from several government sources and presentations, this is the presentation I used. It begins with the then hot issue of Maguindanao massacre and then proceeds to discuss the structural causes of the confluence of crises we are facing. Check this out as a break from the optimism of the incoming Noynoy era:

The Structure Of Crisis, The Crisis of Structure

View more presentations from jmmiraflor.

This is also to serve as a counterpoint on the 7.3% growth pronouncement earlier by the Palace, which has largely been criticized as merely base effect of the manufacturing drop at the peak of the global crisis. But just some facts and observations to add to the point:

• It is an election year, one of the most expensive in fact in the history of the Philippines. While consumption indeed has been high, the net transfer will largely been from politicians (which means from the government, for how they became ultra-rich is already, a little too obvious) to the TV networks, or more likely, to Chinese companies which produced all those ground-war stuff (campaign paraphernalia, posters, etc.). The amount of redistribution (via vote-buying, etc.) has largely been limited by the phenomenon of a mass media-driven campaign. So while GDP may indeed have been boosted by transfers of wealth, it is merely one class taking money away from one pocket and putting it to another.
• This is not a new pronouncement. Curiously, the 7.3-percent figure already came up two years ago. But if this quarters growth is largely base effect, the growth then was largely spending-led, with National Statistical Coordination Board (NSCB) stating that among the components of the GDP by expenditure share, it is Government Expenditure Consumption (GCE) which grew the highest, by 10.0% from 2006-2007 - reflective of substantial increase in the proposed national budget from P1.045 trillion in 2006 to P1.126 trillion in 2007, an increase of P81.31 billion or 7.8%.