Wednesday, March 14, 2007

GO's 10-point Economic Plan

The Genuine Opposition (GO) today unveiled their 10-point economic plan. Here's their plan (in italics), and my comments, in a nutshell:

1 - Generate more jobs through labor-intensive infrastructure projects in the rural areas.
I am not a civil engineer, but I think most infrastructure projects are already labour-intensive. Despite the use of cranes and cement mixers, current technology still needs people to actually do the building. What technology are they talking about here? The pounded-earth method to build walls and dikes? But in any case, infrastructure projects need money, so to do this they should either increase revenues or reallocate current revenues from other departments. See #5.

2 - Increase budgetary allocations for education at all levels.
No argument here; we do need more money for education. Again, this needs money, so to do this they should either increase revenues or reallocate current revenues from other departments. See #5.

3 - Substantially lower the cost of medicines.
How do they plan to do this? Parallel importing? Promoting alternative medicines? Imposing price caps? Nationalising pharmaceutical companies?

4 - Lower the costs of transportation and power through the development of domestic sources of renewable energy.
I hope they realise that "the development of domestic sources of renewable energy" will be quite costly in the short term. R&D of new technology is just the beginning; add to that the replacement and adaptation of current technology to the new technology. Again, this needs money, so to do this they should either increase revenues or reallocate current revenues from other departments. See #5. (Is it obvious I'm copying and pasting here?)

5 - Reject any new tax and improve tax administration.
Whoa! So they plan to do a lot of projects with a lot of spending without increasing taxes. So which department or budget item are they going to squeeze dry? And how do they plan to improve tax administration over and above what's being done now? How much additional income (net of additional administrative costs) do they expect to get after improving tax administration?

6 - Grant prosecutorial powers to the Commission on Human Rights and de-emphasize the heavily militarist approach in counter-insurgency.
Not really an economic plan, but fine. I don't see why the CHR can't file cases against human rights violators now, but if they think this will help then so be it.

7 - Contribute to the arrest of global warming.
How??? By doing #4? By pressing the US to ratify the Kyoto Protocol?

8 - Organize additional support programs for overseas Filipino workers.
Ok, fine. Again, this needs money, so to do this they should either increase revenues or reallocate current revenues from other departments. See #5.

9 - Reinforce the role of the press as watchdog against graft and corruption by decriminalizing libel and increasing penalties for harm done to news persons.
Wait, decriminalize libel??? This is a non sequitur. There is nothing that shows that the threat of libel causes journalists to abandon their watchdog role; rather, the threat of government persecution or censorship often leads to more courageous journalists. Cases in point: the Mosquito Press during Marcos and the PCIJ during Erap. What leads to the abandonment of the watchdog role is the presence of corruption in the media, a.k.a. "envelopmental journalism". The threat of libel does not muzzle the press; money does.

10 - Institute other meaningful economic reforms.
Like what?!? Talk about motherhood statements.

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