Economic System of the Philippines

After browsing the third chapter of Ludwig von Mises’ Bureaucracy, I could not avoid thinking about the kind of economic system that we have in the Philippines. Capitalism is the popular perception. Others would consider our system as oligarchy, that is, not much different from feudalism. However, after reading the third chapter and checking some news and files, I am now more inclined to think that our economic system is still under experiment between socialism and capitalism. In fact, in the past, we were more inclined to socialism due to big number of GOCCs (Government Owned and Controlled Corporations)/SOEs (State Owned Enterprises). Nonoy Oplas, the owner of this blog shared that as of 1984, we had “303 GOCCs including subsidiaries.” However, as I browsed the web, I stumbled with two lists. One list gave a total of 67 GOCCs, and another list gave 133 as of 2004. So if the data is correct, it means that there is a reduction in number of GOCCs, which I personally consider as good sign. In fact, one news said that our President  is aiming to reduce its number to less than 100.

You can read the third chapter of Bureaucracy here.

By the way, these are the previous articles:

Preface

Introduction First Draft

Revised Introduction 1

Revised Introduction 2

Chapter 1

Chapter 2

Reintroducing the Forgotten Man

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Understanding an old lecture such as the Forgotten Man is so important in an age when most people find it difficult to distinguish between erroneous and solid economic ideas. William Graham Sumner aims to expose “one of the most subtle and widespread social fallacies” (p. 465). This is because the Forgotten Man is the unseen victim in all clamors for social reform. In this article, I want to divide my topic into four parts to help you understand the misery of the Forgotten Man: preliminary considerations, situations where the Forgotten Man has been totally ignored, his identity, and suggestions to relieve his burden. 

Read the article here. 

The Death of Political Capitalism

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Photo Credit

We also notice based on Weber’s statement that the more religious the people became, the lesser was their inclination to political capitalism and the greater was their tendency to embrace market capitalism. In today’s debate, libertarians commonly understand political capitalism as related to statism in the forms of interventionism or crony-capitalism. So following Weber’s line of thought, we could say that the greater the commitment of the people to faith communities, the less statist they become and the more they are inclined to free market.

Read the article here.