Filipino Free Market Blogs 4

How is the free market movement going in the Philippines?

There are several qualitative and anecdotal discussions and proof that shows it is alive and kicking. By how much?

Until now I can only think of one measurement, and that is the global traffic rank of Filipino free market blogs via www.alexa.com. As of today, here are the top five and their respective global ranks:

As there are several hundred million blogs and websites worldwide, to land in the first six million would be a privilege. Here are other free market-oriented Filipino blogs but have relatively low (above 20 million) or no rank assigned by alexa.

1. Carlos Tapang, http://ctapang.wordpress.com/
2. Joshua Lipana,  http://joshualipana.com/
3. Laisse Faire Filipino,  http://filipinofreedomfighter09.blogspot.com/
4. Minimal Government Thinkers, Inc. http://www.minimalgovernment.net/
5. Monkey Society, libertarian Buddhist blog,  http://monkeysocietyblog.blogspot.com/
6. New Commonwealth, http://libertadfilipinas.wordpress.com/

I think there are other free market-leaning blogs and websites by Filipinos, whether based here or abroad. I hope to find and read them someday.

Socialized Healthcare 6: Student Debates, Charity Beds and UHC

There is some positive twist in healthcare discussions in the country these days. And that is involving more non-healthcare students and professionals in various healthcare debates. Reiner Gloor of PHAP reports below that some 50 debate teams from different local universities will debate on various health issues, from no balance billing to corporatization of government hospitals and more, starting this month.

I am particularly interested how today's university student debaters would consider personal and parental/guardian responsibility in the overall healthcare discussions and public policy formulation. And how they would consider limiting government role in  dealing with infectious and communicable diseases like dengue. I just read today that for the first eight months of 2012 alone, some 74,784 people, mostly children, were hit by this mosquito-borne disease, with 448 deaths. This is 17.5 percent higher than last year's same months level.

A daughter of a friend who is a godfather to my second daughter, was admitted in a hospital the other day due to dengue. The son of another friend' also got that disease and was hospitalized for a week. These are middle class families who do not live in dirty places with many stagnant water. This disease which currently has no existing vaccine yet, is really nerve wracking for parents and other family members.

Anyway, former DOH Secretary Alberto Romualdez also discussed some of those health issues in his column. The three papers I am reposting below are:

1. Let's talk about health
2. The Secretary's Cup -- both by Reiner Gloor
3. Charity Beds and Universal Health Care -- by Alberto Romualdez

Enjoy.
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(1) Let’s talk about health

Posted on 05:53 PM, August 16, 2012
Medicine Cabinet -- Reiner Gloor

http://www.bworldonline.com/weekender/content.php?id=56923

Creating a forum where ideas are challenged and differences resolved through critical thinking and rational arguments, not force, is one of the goals of competitive debates.

Towards this goal, the International Debate Education Association (IDEA) was established and has recently named five Filipino universities in its top 100 debate societies in the world. They are the Ateneo de Manila University, the University of the Philippines (UP) Diliman, UP Manila, the Far Eastern University and De La Salle University.

Debates aim to raise discussions of opposing views to help the public in making informed decisions on critical issues. And one of the important issues involves health.

While significant milestones on health have been achieved, overall health outcomes and goals can be improved. In many cases, the fundamental problem lies with the broader health system and its ability to deliver interventions to those who need them, observed the World Health Organization (WHO). The same is true for the country and thus, health system strengthening is very much in order.

Beginning this month, 50 teams from various schools will be competing in a nationwide inter-collegiate debate on the so-called building blocks of a health system. Each month, the debate topic will be based on a specific building block namely governance, regulation, service delivery, human resources, information, and financing.

The debates are part of the Secretary’s Cup initiative being led by the Department of Health (DoH) and the Universal Health Care Study Group of the UP-National Institutes of Health, along with partners including the Pharmaceutical and Healthcare Association of the Philippines. The series of health debates will be examining the state of health of Filipinos while at the same time seeking to explain the role of universal healthcare as the more comprehensive path to attaining health for all.

For August, the participants are gearing to debate on governance issues. Former health secretary Alberto Romualdez will open governance month while Department of Local and Interior Government Secretary Jesus Robredo will join in public discussions.

PAGASA Bureaucracy 3: On Giving Local Names to Storms with International Names

I have been wondering before, so I asked PAGASA via twitter, why do they have to give local names to storms with international names already? It only creates some confusion for people here who track the storms'  movement from the SCS/WPS or Pacific Ocean to the Philippines to Hong Kong or Taiwan, Vietnam, China, Korea, or Japan.

I asked PAGASA about it, zero reply. See here,
PAGASA Bureaucracy 1: On Temperature Data, July 14, 2011.

Today, I saw Dr. Mahar Lagmay's tweets and since he's a friend in UP and he seems to be working for PAGASA's NOAH project, I asked him the same question. Here is our conversation between 8:30 to 9:45am today. A friend also from UP, Leo Venezuela, joined the conversation.
---------

Mahar Lagmay ‏@nababaha
Latest satellite image in the Project NOAH website. http://pic.twitter.com/ytxRVgrc

Nonoy Oplas ‏@Noysky
@nababaha Can PAGASA stop giving local names to storms w/ intl name already? It adds confusion to people who track d storm across countries

Leo Venezuela™ ‏@levenezu
@Noysky - is this all in the name of misplaced nationalism?

Nonoy Oplas ‏@Noysky
@levenezu @nababaha Not abt nationalism, I think PAGASA guys put names of thr kids frnds as storms local name. Old practice, shd discontinue

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha - That's such crapola if indeed true. Terrible.

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha - Even worse actually if true. The local meteorologists will be the laughing stock of their foreign peers.

Mahar Lagmay ‏@nababaha
@Noysky @levenezu Nonoy and Leo, please stop.

Nonoy Oplas ‏@Noysky
@levenezu @nababaha I see no reason why PAGASA give local names except nepotism. Intl media & meteorological agencies only use intl names.

Leo Venezuela™ ‏@levenezu
@nababaha @Noysky -But what is indeed PAGASA's rationale for giving local names?

Nonoy Oplas ‏@Noysky
@nababaha @levenezu I asked PAGASA about it before several times, they give zero answer. Perhaps you can, but you want us to stop asking?

Leo Venezuela™ ‏@levenezu
@nababaha @Noysky -Mahar, that is very unfair for you to ask us to stop when what we ask are legitimate questions.

Nonoy Oplas ‏@Noysky
@levenezu @nababaha PAGASA and Mahar napipikon? Not good. We are asking a legitimate Q, give a good answer. Gobyerno gusto pat d back lang?

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha -There's a new tropical storm with IGME as the local name. What process went into giving it that name?

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha -That shouldn't be a national security concern naman 'di ba? Also, we are taxpayers.

Nonoy Oplas ‏@Noysky
@levenezu @nababaha When my friend in HK talked abt big typhoon coming, I had to search d web if "Helen" & "Kai tak" were d same. They were.

Mahar Lagmay ‏@nababaha
You are entitled to your opinions but please exclude my name from your conversation.

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha - Mahar, we taxpayers are waiting for your answer. Ok nga dito sa Twitter, your answer will reach a large audience.

Leo Venezuela™ ‏@levenezu
@nababaha @noysky - They are legitimate questions. They involve your agency.

Nonoy Oplas ‏@Noysky
@nababaha @levenezu Only asking a valid Q that PAGASA itself does not answer. Is it nepotism or what? If you cant give an answer just say it

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha - Do you want us to ask now or in #Congress when we ask our representatives to ask you themselves?

Leo Venezuela™ ‏@levenezu
@nababaha @noysky -It's the process and not the name. So why not simplify things and just adopt the int'l name for tropical storms?

Mahar Lagmay ‏@nababaha
The answer is there are a lot more important concerns now than wanting to change a name from Filipino to English.

Leo Venezuela™ ‏@levenezu
@nababaha @noysky -You don't need to come up with a name in English. All you need to do is use the int'l name. Simplifies everything.

Nonoy Oplas ‏@Noysky
@nababaha @levenezu At least Mahar answered, PAGASA never. You don't need to create any Filipino name, just use existing storms' intl names.

Nonoy Oplas ‏@Noysky
@nababaha @levenezu My hypothesis confirmed. PAGASA giving local name to storms w intl name only for nepotism purpose. But add pub confusion

Leo Venezuela™ ‏@levenezu
@Noysky @nababaha - Good luck then in PAGASA's next budget hearing.

Nonoy Oplas ‏@Noysky
@levenezu @nababaha Maybe some Congressmen kids' names were used as storms' local names by PAGASA, and the latter get their budget request?
-----------

No further tweets and conversation after that. I was just wondering why Mahar could be pikon when asked that simple question, although he answered later.

See also: PAGASA Bureaucracy 2: Deregulate Weather Forecasting, Privatize PAGASA, December 20, 2011.

Fat-Free Econ 21: Jesse Robredo and Government

* This is my article last night in TV5's news portal,
http://www.interaksyon.com/business/40886/fat-free-economics-jesse-robredo-and-good-government
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When government corruption and inefficiency is high, the public is looking for an exception. A few public officials are seen to be doing their job with little fanfare in furtherance of their personal and political interests.

The Secretary of the Department of Interior and Local Government, Jesse Robredo, is one of those few high officials in the current administration whom many people think belongs to that exceptional breed.

Unfortunately, his plane crashed yesterday afternoon off the waters of Masbate. As of this writing (2 p.m.), he and the two plane pilots remain missing, almost 24 hours since the sad incident. I am one of the millions of Filipinos who are saddened by this event.

I have heard a number of good stories about the man, although I did not really read much on him. My mountaineering buddy in the mid-1990s, Jun Velasco, who hails from Naga City, would tell us that when there was flooding in the city after a strong typhoon, among the first persons they see on the streets when they wake up was then mayor Jesse Robredo. Wearing shorts and boots, holding a shovel and among those in actual action, and not just giving orders in clean shirts and pants.

On July 26, there was a big conference titled "The Role of SMEs in Fighting Corruption" held at Mandarin Hotel in Makati and sponsored by the Hills Governance Center of the Asian Institute of Management and a few other partners. Among the high government officials who were invited and had confirmed attendance were Trade Secretary Gregory Domingo, Sen. Edgardo Angara, Internal Revenue Commissioner Kim Henares, and Robredo.

Most did not show up except for Robredo. And he arrived on time, gave his talk, answered many questions during the open forum, gave media interviews after, before leaving the conference. That act alone made me admire him. I also liked his talk.

As DILG secretary, Robredo was concerned about limiting the unnecessary bureaucracies in local government units that can lead to corruption and economic inefficiency. When he became Naga City mayor, the normal period to approve a building permit was something like a month. So he talked to the business and building permit officials of City Hall, and they said it could be brought down to something like eight working days. Then he pressed further, and they settled at a nice number: three, assuming of course that all requirements were complete.

As DILG secretary, the hotels in Makati came to him to help them talk the Makati City LGU and the Bureau of Fire Protection out of a plan requiring all rooms in a hotel to have a fire extinguisher. Idiotic, right?

A hotel, especially modern ones, normally has multiple systems to detect and hence, stamp out fire, including a smoke detector and a water sprinkler system in each room. Besides, having a fire extinguisher is an ugly sight in a hotel room. It can be an unnecessary reminder to guests and visitors that the hotel guest themselves must learn to put out a fire if there is one in their room, or the hotel is lousy that it has no system of its own to stamp out fire that can break out in any part of its building. One can quickly surmise that such a measure would invite extortion.

Anyway, Robredo talked to the BFP and Makati City LGU about this and the planned measure was not pushed.

A shop - big, medium or small - must have the above permits prominently displayed in its premises. Not all of them are from LGUs, about half perhaps is from national government agencies like the BIR, DTI, SEC, SSS, etc. The other half is from LGUs, such as barangay permit, health and sanitation permit, electrical permit, mayor's permit, etc.

Anyway, Robredo's talk was among the highlights of the conference that day. His desire to reduce unnecessary bureaucracies, to control corruption, seemed very honest to me. But then again, he had no power to stop local legislation that will impose new taxes, mandatory fees, inspections and regulations. There are more than 1,500 cities and municipalities around the country, plus more than 80 provinces, and more than 42,000 barangays. Each LGU has the fiscal autonomy and political power to introduce new regulations and prohibitions.

If Robredo were gone, then it will be a big loss for the Philippine bureaucracy. I am not aware of other politicians who have the LGU experience and credibility as this man to take his place.

Nonetheless, big government is wrong. It will be a pointless effort to find honest and non-corrupt, non-abusive officials to manage government when the systems and bureaucracies allow or invite corruption and abuse. Like when a government office and bureaucrat has the power to say yes or no to someone who only wishes to put up a simple bread shop or internet shop or restaurant.
---------

Meanwhile, here's a testimony from a friend and fellow columnist in www.thelobbyist.biz, Luie Montemar:

‎"Jesse Robredo once agreed to talk before a development studies batch that I handled at DLSU. The students organized the talk and were very concerned about approaching the then Citizen Robredo who, they then thought, might be like some political personalities who would demand so much from event organizers. Sec Robredo arrived in simple smart casual attire. Made a wonderful, inspiring presentation and left after answering questions from the students. He came without fanfare, didn't require anything special; he even refused to be fetched from the gate. A soul whose mission was to share. We continue to hope..."

** See also:

Fat-Free Econ 16: Coal, Climate and Government, July 17, 2012

Fat-Free Econ 17: SONA, the Budget and Debt, July 22, 2012

Fat-Free Econ 18: Healthcare Corruption and Physician Entanglement, July 30, 2012
Fat-Free Econ 19: Population Decontrol, Not RH Bill, August 06, 2012
Fat-Free Econ 20: Flooding and Global Cooling, August 13, 2012

Election Watch 2: On Celebrities as Politicians

For many people, politics and government is a serious topic that only those academically and politically trained enough should enter politics. The showbiz guys, sports superstars, should keep out of politics and running for political offices because they are less trained or less prepared for the rigor of legislation and political-economic debates.

My former organization when I was still an undergrad student at the UP School of Economics in the mid-80s, will hold a round table discussion on this subject next week, on Wednesday afternoon. Early this week, they invited me as one of the speakers, I said Yes. It is free and open to the public, no need for pre-registration.

Depending on the flow of the discussion, especially if I will be among the last speakers, these will be my main messages.

1. We have made the government -- national and local -- BIG and interventionist enough. So many people want to become bleeding heart central planners to regulate and tell people how they should behave and run their own lives. For instance: you cannot drive your car on this day, you cannot smoke there, you cannot put up a shop unless..., you cannot drive your motorcycle unless..., you cannot pedal your trisikad for passengers unless... The list of regulations and prohibitions by government, local and national, is getting longer.

2. The showbiz guys, the comedians and action stars, the songbirds and drama queens, the sports superstars, are just like any ordinary mortals among us who have been enamored into politics, and into believing that they can indeed change the world by regulating if not controlling how people should manage their own lives.

3. The democratic or republican form of government allows anyone who passes the minimum qualifications like age limit, a Philippine national, has no pending criminal records, etc. to for public office. This makes the government and its coercive powers be open for capture by anyone, from serious to comedians, from democrats to despots, so long as they get the majority of those who cast their votes.

4.  Since the list of prohibitions by government is getting longer, we should endeavor to reduce this list, or at least stop this long list from becoming even longer.  So that whoever will sit in government, showbiz or not, lawyers or not, their capacity to over-regulate or over-prohibit our lives will be limited.

5. From my initial observations, my hypothesis is that the showbiz guys tend to be less interventionist and less prohibitionist, than the non-showbiz legislators and politicians. Partly because the showbiz guys are more timid in introducing more legislative proposals that will subject them to possibly intense committee and plenary debates and questions.. Whereas the lawyers, the NGO guys who went to government, tend to have oodles of new regulations and "reform" measures to introduce, and they are not timid or ashamed to create more regulations, more prohibitions.

I have to dig data to see if the above hypothesis holds water or not.

* See also Election Watch 1: Anti Epal Photos, June 29, 2012

Population Control 12: RH Bill will Become a Law

Last Wednesday, August 15, I posted this in my facebook wall:

I think the RH bill will become a law. So many people always think that for most issues, more government is the solution. Education, govt. Healthcare, govt. Housing, govt. Irrigation, govt. Cash transfer, govt. Condoms, govt. It's a culture of govt dependency and a culture of coercion. To force everyone to finance a "bright" idea, whether they support it or not.

As expected, some friends picked it up, so another round of debate, but very civil, no name calling or insults. I like it. See below. The second thread though, is different. It's clearly personal attack or insult to people who for whatever reason/s, do not support the bright idea called RH bill. Photos below are just for fun, I never used or posted any of them in my facebook wall.

Josef Garcia The sytem provides that if you dont want your tax money being spent on policies and laws you dont support, you put up a party, run for elections, and push for your own policies. Failing that, you lobby. That simple Noy, you cannot prevent the operation of government just because you dont like how it spent for a nut or bolt in the govt machinery. PARTY LIST ka na Noy, but I bet you also disagree govt spending on the party list system of representation.

Nonoy Oplas Right Jo. That is why I focus on the culture of dependency on the state, and a culture of coercion. Most politicians and political parties behave the way they do because the public themselves want that kind of culture. The framing of debate to church vs. state angle is boring, at least for me. Could have been more interesting if it's individual liberty vs. state coercion angle. Even buying condoms is government responsibility? Lousy.

On party list, I wish that system to be abolished, instead of joining it. And here's why, http://funwithgovernment.blogspot.com/2011/08/political-ideology-6-party-list-system.html

Josef  Garcia Haha, sabi na nga ba eh. But RH is not coercion if it precisely supports information dissemination in aid of the exercise of individual liberty to choose your own method of contraception. Parang tourism campaign lang sya Noy, like, saan mas magandang pumunta, Boracay or El Nido. Government supports the tourism because society earns from it. The same way with RH. Government points out to options to families, kung anu mas maganda for couples, because eventualy society will benefit from the reduction on the strain on resources society has to expend on a runaway population majority of which is impoverished, and who will simply continue to die like flies without government help. So Noy, I think RH will actualy support minimal government as soon as it takes effect and lesser resources are spent on an expanding poor population.

Nonoy Oplas Eh, why is Gawad Kalinga building houses for the poor with zero legislation, zero taxation, zero coercion? The same for private/charity medical missions, solidarity during flooding, zero politics, zero legislation, and welfare programs for the poor are done. If RH is so nice, it should have been done many years ago via volunteerism, like GK, Rotary/Mason/Lions/JCI etc. projects. All programs via legislation and coercion gives taxpayers zero choice.

Josef Garcia RH is so nice every middle class up family is already doing it by themselves, without government coercion, because they already have the information by which to exercise their freedom of choice. Actually, its the most popular form of voluntary, non coercive undertaking in private setting. I buy my own condoms, mind you, and not a single centavo of your tax money is spent on my condom, except the incidental social infrastructure necessary for me to buy it from the market, like roads and the legal tender i use to buy it from the gas station. It just has to be made popular to those below the middle class by extending the information already available to us. Its part of civilized activity Noy, sharing information and propagating science, so our impoverished majority do not get stuck in the stone age.

Julius Patrick If it's just spreading information, why not just let those passionate pro-RH groups do it with their own time, effort and money? No new law is needed.

Josef Garcia They already are, they just cant reach the other 50 million of the population with their resources. Eventually they wont need government resources, as the privilege gradually extends to the majority. Until then, your money can save lives, unless of course, that is one of the form of government expenditures you oppose, saving lives. Oh, we can leave the business of saving lives to volunteerism, why didnt I think of that.

Julius Patrick Don't we already have existing laws that do what the RH bill seeks to do?

Nonoy Oplas Actually I like some goals of the RH proposal, like reducing maternal deaths and teen pregnancy. But there are provisions that are non-tax related and are simply coercive, like forcing OB Gyne and related health professionals to do pro bono services at least 48 hours a year, requiring companies to do RH services after requiring them to provide their workers various privileges like vacation leave, sick leave and maternity leave with pay, high employer contribution to SSS, PhilHealth, Pag-IBIG, complying with min wage law and other labor laws.

It is good that people buy condoms and pills on their own for their own use, as well as for free distribution to other poor people. That is the spirit of volunteerism and charity, people help others with zero coercion and threats of penalties if they won't do it. But extending it far out as additional government responsibility, on top of education for the poor, healthcare for the poor, housing for the poor, tractors and AR for the poor, train fare subsidy for the poor, cash transfer for the poor, all the way to condoms and IUD for the poor. This is extending state dependency even further. And extending coercion even further.

A better compromise is if government must create new subsidies and bleeding heart program for the poor, it should also discontinue some existing program that obviously did not work because the PH government has been there to help the poor since more than a century ago. After repeated failures to improve the lot of the poor, now government and RH supporters will blame the poor why they expand too fast, so the solution is to control the population of the poor. But I am deeply skeptical if the government and the pro-RH camp will agree to such compromise. It's all more government, more government for them. Hope I am wrong?

Drug Price Control 29: MRP Attempt Over Anti-Leptospirosis Drug

Today, the drug price regulation or control policy in the Philippines is exactly three years old. It was implemented August 16, 2009. No cake nor cigar for this wrong policy.

Yesterday, I attended an emergency meeting of the Advisory Council for RA 9502 (Cheaper Medicines Law) at the DOH. There were some proposals to impose a maximum retail price (MRP) on doxycycline, a drug against leptospirosis, a common disease during heavy flooding that submerge thousands of houses for hours or even days.

Here is the background as I gathered during the meeting and in small talk after. During typhoon Ondoy (see  Climate stupidity 18: Warming causes more storms and less storms, Typhoon Ondoy Photos) three years ago, and in other severe flooding after that, several people died due to leptospirosis, an infectious disease coming from animals, especially rats' urine that mix up with dirty water and enter the human body via the mucous or wound or infected drinking water.

Once untreated, the virus can cause first flu-like symptoms (fever, chills, headache, etc.) later on meningitis, damage of the liver or other internal organs, and later, can result in death. The DOH was peppered with questions if not blame, during the leptospirosis outbreak then. So this time, before any outbreak would show, the DOH wanted to be ready.

So during the heavy flooding last week caused by southwest monsoon or "Habagat", then another heavy flooding early this week due to typhoon Kai-tak (local name "Helen"), many people tried to stock up on doxycycline as a precaution. A friend of President Aquino was said to have complained to him why the price of the drug was high, more than P50 or even more than P70 a tablet, when it should be cheap. The President asked the DOH about it.

Then the Director of DOH NCPAM, Dir. Virginia Ala herself got a call from a physician in Marikina, a city that often gets heavily flooded, why the price of doxycycline in Mercury Drugstore was more than P50 when it should be around P10 only. People began to wonder if there was a sudden jack up in the price of doxycycline from around P10 to P50+ or P70+, or even P160+. If that was so, some people suggested to put the drug under price control or MRP.

The DOH wanted to explore other proposals aside from imposing a new round of MRP, hence the need for that emergency meeting. Well, I got the notice of meeting only one day before the meeting, that's how urgent the meeting was for the DOH. I admire the DOH, especially Assistant Sec. (ASec) Madeleine "Madz" Valera for her trust in the inputs of members of the Advisory Council, as well as the consensual nature of the Council.

The meeting was initially chaired by former DTI UnderSec. and now PITC President, Ma. Lourdes Baua. DTI is the co-chair of DOH in the Advisory Council. PITC is an attached agency of the DTI. Then ASec Madz came to preside as Ms. Baua went to another meeting. She just came from a meeting with DOH Sec. Enrique Ona, and was later called out again for another meeting with the Secretary.

I noted during the meeting that the date was rather good as it was (almost) the 3rd year anniversary of MRP implementation. Dr. Rustico Jimenez, the President of the Private Hospitals Association of the Philippines, Inc. (PHAPI) noted that it was the DOH or other government agencies themselves that alarmed the public about leptospirosis and hence, alarmed the need for doxycycline. In his observation, more people died of pneumonia, gastro enteritis, other diseases during and after flooding than lepto. ASec Madz said that it might be true, but many people are at risk of lepto due to the rather high number of casualty from the disease in previous flooding.

There were several suggestions that came out on what the DOH should do to limit public alarm over lepto and other water-borne diseases. The DOH observed that many individuals and civil society groups were distributing medicines to flood victims especially in evacuation centers. The DOH suggested that since non-rational use of medicines (RUM) is becoming common, like not all people can take a particular medicine for a specific disease, medicines donation should as much as possible be coursed through its central office, its provincial offices and attached hospitals.

I suggested during the meeting that since many people would give their donations to civil society and charity organizations than to government, call it distrust of government in one way or another, medicines donation should be done with the presence of health professionals for proper dispensing to patients. Doxycycline for instance should not be given to pregnant women and children, especially those below eight years old.

Reiner Gloor suggested that in times of emergencies, if it is possible that drugstores can give the doxycycline and PhilHealth will reimburse later. I don't remember what the guy from PhiliHealth said in reaction to this. But  for members who are qualified for the out-patient benefit package, I think this is possible and a good proposal. If a member is kept out of hospital, takes medication and recovers at home, PhilHealth spending will be lower and hence, it will benefit.

One good outcome of the meeting was that no one suggested that doxycycline be put under MRP. No one suggested to expand drug price control policy. Here's one reason, from some of the materials distributed during the meeting.

Doxycycline, Pesos per 100 mg capsule, Muntinlupa:

Brand Name	Drugstore Name	Price
1. Vibramycin	Watsons Mercury	169.75 168.75
2. Doxin	Asian Hospital Medical Center Muntinlupa Watsons, Mercury, South Star, Rose	145.25 103.62   74.25
3. Doxicon	Rose Pharmacy Shopwise Pharmacy Watsons	58.10   56.00   49.25
4. Dyna-doxicycline	Mercury, South Star	53.00
5. Drugmakers	Middle Town	5.00
6. Mydoxy	The Generics Pharmacy	2.00

source: DOH.

So if people will suggest imposing drug price control, they would most likely be targeting Vibramycin. But why would people insist on vibramycin with its almost P170 price per capsule, when other brands at a much lower price, P49 or P5 or even P2 are available. Although I think that the P2 drug would have been snapped up by some hoarders, to be sold at a higher price via black market in still submerged towns and villages in Laguna or Cavite, Bulacan, Pampanga, Bataan, etc.

A note on groups that oppose and support the MRP policy...
As far as I can recall in previous Advisory Council meetings, those who are explicitly against government drug price regulation or control are:

1. PCPI, Philippine Chamber of Pharmaceutical Industry, local generic manufacturers and distributors, drugstores,
2. PHAP, Pharmaceutical and Healthcare Association of the Pilippines, mostly multinational innovator companies, big drugstore chains like Mercury,
3. PPhA, Philippine Pharmacists Association,
4. PHAPI, Priv. Hospitals Association of the Philippines, Inc.
5. DSAP, Drug Store Association of the Philippines, small and non-chain pharmacies and drugstores,
6. AGAP, Ayos na Gamot sa Abot-kayang Presyo coaltion
7. MGT, Minimal Government Thinkers.

Those with soft or implicit opposition are
8. PMA, Philippine Medical Assocation,
9. Mercury, Watsons, The Generics
10. MeTA, Medicines Transparency Alliance, Philippines.

Those who explicitly support price control
1. CWF, Cancer Warriors Foundation.

Those who have no explicit position but only follow their mother agencies:
1. PITC Pharma, DTI
2. PhilHealth, DOH
3. FDA, DOH
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See also:
Drug Price Control 23: Greece's Pharmacy Nightmares, January 13, 2011
Drug Price Control 24: Forcing Drug Firms to Report Payment to Doctors, January 24, 2012
Drug Price Control 25: Top 10 Articles on Google Search, April 03, 2012
Drug Price Control 26: Conflict of Interest in Drug Price Regulation Legislation, May 13, 2012
Drug Price Control 27: Letter to Sen. Pia Cayetano, May 15, 2012
Drug Price Control 28: On Cong. Biron and Sen. Villar Bills, July 14, 2012

RUM 7: Leptospirosis and Doxycycline, August 12, 2012
Warming Hysteria: Typhoon Ondoy Flooding, September 28, 2009

Rule of Law 15: RoL and Government Failure

* This is my article today in the online magazine,
http://www.thelobbyist.biz/perspectives/less-gorvernment/1342-on-rule-of-law-and-government-failure
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“Let anyone do anything he pleases, so long as it is peaceful; the role of government then, is to keep the peace.” – Leonard E. Read, Founder, Foundation for Economic Education (FEE).

I agree with the above statement so I posted it in my facebook wall with the following intro, “The main role of government is to promulgate the rule of law, protect property rights.”

A friend way back in the late 80s when I was still a believer of Karl Marx and socialism commented, “Property rights? How about those who have nothing and those who have own a lot? In my view, the role of government is to redistribute income and property, take away from those who own a lot and give to those who have nothing. If government will not do this, what is its purpose? Why do we need government if the law of ‘might is right’ and ‘survival of the fittest’ will prevail?”

My friend was simply advocating a socialist society where the main function of the government is to have forced equality among the people in society. And this is something that I do not agree, that is why I stopped being a Marxist and a socialist since the 90s.

Why allow and respect private property rights and not state or collective property ownership? Many people work hard abroad, sacrifice not seeing their family for several years, or they may be working here but they work long hours. After some sufficient savings, they buy a house and lot, and/or a farm, or a private resort. And government will come in to confiscate any “excess” property in this case, to be given away to those who have nothing, without asking carefully why some people have nothing. That is not right.

The main purpose of promulgating the rule of law is to enforce the law against killing and murder, the law against stealing and carnapping, the law against rape and kidnapping, the law against extortion and terrorism, etc.

One may be rich because of inheritance from hard working parents, or due to own hard work. then some criminals will come in to steal the car and other properties, to kidnap the kids for ransom, to abduct and rape a sister or daughter, or murder a friend or other family member for some flimsy reason. And government cannot solve many of such crimes because it is busy looking around who have improved their lives and how to confiscate more of their income and properties for redistribution first to its wide and expanded bureaucracies, then to those who have few or nothing.

This is clear example of government failure. The protection of citizens’ right to life and dignity, the citizens right to private property, and the citizens’ right to liberty and freedom of expression, is a basic, fundamental function of government. It is not to force equality in condition among people.

Many developed countries like the US, Canada, Japan, and many European economies are actually limping from too much forced redistribution, forced equality and expensive welfare programs. The huge public debt, both actual and contingent debt, is clear proof of the inefficiency of this policy. Many of the social programs are simply driven by envy. One is a demon because he is very efficient and hardworking and has become very rich, so government will get more and more from that demon.

But the redeeming action why those rich economies still do not collapse yet, is their promulgation of the rule of law. People pay high premium for the peace and order and low crime in their communities, killers and thieves are more easily apprehended, contracts are respected, policies are predictable and generally stable. Many businessmen and job creators still prefer this arrangement despite the huge and multiple taxes and fees slapped on their businesses, personal income and property ownership.

On another note, another friend way back in UP in the mid-80s, Maricris Valte, recently made this observation:

“The tragedy of the urban poor, particularly informal settlers, is that the poverty they confront invites repulsion rather than compassion. Much of society sees them as thieves, living off the sweat and property of others…. Sure, there are low-lifes and criminals in these informal settlements, but you have worse criminals driving around in armored vehicles. living in gated subdivisions and occupying powerful positions. The fact of informal settlement is an issue of social inequality. The proliferation of informal settlements is also a result of politicians cultivating electoral bases and making money out of deprivation. Government response must address both, if we want a sustainable solution. Oh, and that solution should include higher property taxes on idle private lands and residential properties that exceed 200 square meters. When a household of three occupies a house good for 12, that's criminal.”

I commented that the above observation that we have "worse criminals driving around in armored vehicles. living in gated subdivisions and occupying powerful positions" is one clear example of government failure. When the criminals that the government should go after and enforce the rule of law are sitting in government itself.

About the informal settlers or “squatters”, they should live in medium or high rise condos to save land space. The sky is the limit for vertical structures. So contrary to Maricris’ proposal, the government should instead drastically cut if not abolish real property tax (RPT) for condos, at least for low-cost and small unit condos, instead of raising that tax. All government taxes and regulatory fees are ultimately passed on to consumers and buyers, and this makes the prices of houses, medicines, etc. go higher and less affordable to the poor.

One solution by the government is that its own agency itself, the National Housing Authority (NHA) will build housing for the poor. One problem with this is that with the current bad governance culture, the tendency of the government implementing agencies is to jack up project cost instead of reducing it, so that there is some commission for them. The alternative scheme is to invite private developers in a competitive bidding. Connivance between the winning bidders and the government implementing agencies will remain a possibility, so the process of bidding should be made as transparently as possible.

But government taxes like the RPT by LGUs should be drastically cut if not abolished, for low-cost condo projects and condo units. When the poor move out as informal settlers and become formal settlers with clear private property rights to their house, that takes off certain spending program off the back of government and hence, reduces the need for more revenues.

Helping people to become self-reliant, to depend less on government welfare, is one offshoot of promulgating the rule of law and protecting property rights.
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See also:
Rule of Law 9: Laws, Prohibitions and Corruption, June 30, 2010
Rule of Law 10: On Wang-wang and Government Laws, July 04, 2010
Rule of Law 11: RoL Index, October 15, 2010
Rule of Law 12: Gloria Arroyo, Travel Abroad and the SC, November 16, 2011
Rule of Law 13: Freedom Barometer 2011, March 23, 2012
Rule of Law 14: Appointing the New CJ of the Supreme Court, June 17, 2012