Management and CompetitionJuly 27,JourneyMan. Such global inequality is very wasteful of resources, as further resources are expended maintaining this unequal balance of power be it through military, political, social or other means. As Robbins was quoted above, someone has to pay for our consumption levels. The causes of these imbalances are discussed throughout this web site, as well as later on in this section on consumption and consumerism.
Both of those crises were caused by a combination of misguided policies and profligate spending related to elections on which Marcos had staked his grip on the nation. The first crisis spawned violent spasms from a restive citizenry, giving Marcos an excuse to impose martial law and silence opposition to his rule.
After his reelection in that was characterized by record-high government spending, the Marcos government was confronted by a sharp devaluation of the peso in that required tight monetary and fiscal policies to stabilize but at the cost of popular disenchantment.
Martial law became a moral and political necessity under the peculiar circumstances my country found itself in.
As fate would have it, another major economic crisis, in the early s, virtually drove the Philippine economy into a standstill, crippling businesses and sending millions of Filipinos out of their jobs and into the streets.
Private investors either moved out or froze operations. Aquino into the presidency. Why Marcos did it On the industrial front, the regime moved toward export orientation through the establishment of enclaves, export-processing zones and bonded warehouses which later created minimal linkages and benefits for the rest of the economy.
He also set aside land for export processing zones where investors could set up operations with exemptions from payment of duties and income taxes. In fact, it was these low wage rates that also partly lured foreign investors into setting up shop in the Philippines during the early martial law years.
Being a big producer of such commodities as coconut, sugar, minerals and forest products, the Philippines was able to earn higher revenues that helped it cope with the increased cost of imported crude oil.
That helped domestic output, as measured by gross national product GNP, the overall value of all goods and services produced in an economyleap to a growth of 9. Although the GNP growth rate eased to 5.
Moving forward Emboldened by all these, the Marcos administration initiated massive spending sprees on infrastructure projects roads, bridges, irrigation, dams, and communications and on the development of indigenous energy resources as an alternative to costlier crude oil that had been absorbing huge portions of export revenues since the oil shocks of the early s.
On the industrial front, the regime moved toward export orientation through the establishment of enclaves, export-processing zones and bonded warehouses which later created minimal linkages and benefits for the rest of the economy.
While this strategy did lead to a surge in non-traditional exports, such as garments and electronics, local value-added in these products remained low because of their high import content.
The MIPs, however, never took off owing to lackluster interest from investors and to their astronomically high costs. Under the cover of martial law, the government also took an increasingly interventionist stance on the economy. Marcos, through decrees that he issued in the absence of a legislative institution that he had abolished after imposing martial law rule, was dispensing monopoly privileges and power to individuals closely associated with him, including business friends and golfing cronies.
Business empires were built by these associates, mainly with the aid of exemptions from tariffs and other taxes, liberal credit from state financial institutions or exclusive grants to certain operations. This new era spawned a new set of aberrations whose adverse impact on the economy would continue to be felt for a long time.
Costly rescue In the end, martial law gained notoriety for having been reduced to a scheme for Marcos to cling to political power with the help of political associates, relatives and other allies who were regularly granted economic largesse that most likely came from foreign debt.
When the availability of foreign funding started to dry up towards the end of the s, many of these crony companies required massive rescue operations by the government.
In the end, the pouring of surplus petrodollars into the Philippine economy yielded mainly negative effects. The agricultural monopolies of the Marcos era also failed to correct the terms of trade in the rural sector, blocking moves into more serious, outward-looking modernization of the economy.Despite its many positive effects, industrialization had a negative impact on Europe too.
Urban areas doubled, tripled, or quadrupled in size which led to over crowding in cities. Sometimes a large population is a good thing, but in this case the population was too big and caused many health problems. The ‘boom bust” pattern characterizes Philippine industrialization and the economy as a whole.
The manufacturing sector had been inward looking and it relies on domestic demand for its growth. The cyclical pattern continued until the ’s with a sharp decline in followed by strong growth.
The promise of jobs and prosperity, among other factors, pulls people to cities. Half of the global population already lives in cities, and by two-thirds of the world's people are expected to. Negative effects. networking has many positive effects in society, it has more negative consequences, especially upon teenagers, such as cyber-bullying, negative influences on social behavior, and the promotions of crime and violence.
When used responsibly, social networking is efficient, fun, and useful. Unfortunately, teenagers in today’s society misuse social networks- causing social.
eliminating, the possible harmful effects to the environment. The current framework, one that has been 2. Danilo C. Israel, “National industrialization in Philippine mining: Review and suggestions,” i From negative annual growth in the s.
That’s what they were doing there, now what were the effects of it? Well, the Filipino people do have similar values to that of American people, their government is set up in a similar way. This is the lasting impact of of American colonialism.