Monday, April 06, 2015

Ipagbawal ang GDP Growth, Part 3

Here is the latest macro data from The Economist magazine, April 4th 2015 issue. I omitted the data on industrial production growth and consumer prices (inflation rates), as well as other economies in the original table, i chose only GDP growth and unemployment rates.

PH GDP, as well as those of China, India and  Vietnam, are expected to grow by 6 to 7 percent this year. These numbers are somehow the envy of many industrialized economies who, for many years, were trapped in low growth, high unemployment rate situation. Like France, Italy, Netherlands, Spain and Greece.

Rigid labor laws, labor that is expensive to hire and difficult to fire policies, are likely to stifle job creation. Small and medium size entrepreneurs would hire as few workers as possible, if at all, and do the job themselves, assisted by their family members. less government  intervention and regulations of labor and job creation is necessary. Employment is a private contract between workers/managers and enterprise owners; the terms of labor  contract vary from one enterprise to  another as people and enterprises have varying needs, skills requirements, financial condition, and so on. The main role of government is only to make sure that such private contracts are enforced and followed, and in cases of labor-management disputes, penalize the violator/s. This way, entrepreneurs will be encouraged to hire as many people as necessary, or workers would be encouraged to become entrepreneurs and job creators themselves.

Over at Dr. Bong Mendoza's fb post on the Bloomberg report dated January 30, 2015. I was engaged in a civilized, no personal attacks debate. Just focus on the issues, the arguments and charts if that Bloomberg article  makes sense or  not. 

Then this person hijacked the discussion and turned his fingers on  me.

He did not reply after that. See the problem?

The message or issue was that the PH economy was SE Asia's "strongman" in recent years. The messenger was Bloomberg, not me. I just joined the  discussion and argued that the article makes sense while other people say otherwise.

Two lessons from that thread:

1. Whether the PH economy will grow 6 (and higher) or only 0.1 percent, there will always be whines and complaints. Ipagbawal ang GDP growth!

2. Some people have that lousy itch to hijack the discussion away from issues and move towards attacking people they dislike, inventing lies ("you campaigned for...") to exacerbate their personal attacks.

See also:
Fat Free Econ 43: On the Philippines' Fast Economic Growth, June 04, 2013 
Economic Growth and Whiners, Ipagbawal ang GDP Growth! March 18, 2015 

Ipagbawal ang GDP Growth, Part 2, March 30, 2015

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