You are on page 1of 51

Political Economy of the Philippines

under Marcos Administration

Submitted to:
Submitted by:
Prof. Ma. Editha B.
Enumerabellon James Ryan S. Penalosa

POLITICAL SCIENCE 85 - A AB Political Science III


“Millions stashed in a frozen Swiss bank account.
Dozens of crates of prized possessions shipped across
oceans. A man dying in exile in Hawaii. These
statements might bring to mind thoughts of James
Bond or the latest action film, but in reality they pertain
to the life of a real man: Ferdinand Marcos.”

"There are many things we do not want


about the world. Let us not just mourn
them. Let us change them." – Marcos, F.

"I have only ever dreamt of a small house with a


picket fence by the sea. But how can I stop what I
am doing? It becomes a romance not only to a
president and a husband but a romance of
principles and commitment. A romance for
humanity. This is perhaps what makes me so
controversial. I am beyond logic and rationality." –
Marcos, I.

"My economic theory is that money was made round to go round. Money was
made to encircle man so that he would blossom with many flowers. The whole
trouble is, the center is money. All the heads of people thinking about money. All
the hands of people reaching out for money. All their poor little bodies working for
money. They are running in all directions for money." -- November 1985,
Imelda to Sandra Burton, in Impossible Dream

“It is easier to run a revolution


than a government.” – Marcos, F.
TABLE OF CONTENTS

I. INTRODUCTION………………………………………………………………….3

A. What is Corruption?..............................................................................................3

II. CORRUPTION IN THE PHILIPPINE ILLUSTRATION…………………………7

III. THE RISE OF MARCOS

A. Who is Ferdinand Marcos?.................................................................................16

IV. MARCOS’ PHILIPPINE POLITICAL ECONOMY : THE SUCESSES &

FAILURES

A. The Philippines Under Marcos Regime………………………………………...23

B. Economic Transformations During Marcos Administration…………………...26

1. The Economic Acceleration………………………………………………...26

2. The Foreign Borrowing & Infrastructure Development……………………27

3. The Tourism Rate in the Philippines………………………………………..27

4. The international Remittances of Overseas Filipino Workers……………...28

5. The Unforeseen Pitfalls……………………………………………………..28

6. The Attempt………………………………………………………………...28

V. DEFINITION OF TERMS…………………………………………………………29

VI. APPENDICES……………………………………………………………………...31

VII. CONCLUSION……………………………………………………………………..41

VIII. BIBLIOGRAPHY…………………………………………………………………..46
I. Introduction

What is Corruption?

It is really ticklish to combat entities that are present ever since civilizations came into

existence. In all parts of the world, different countries, states & nation-states, aside from poverty,

economic degenerations and rigid social stratification suffered common cancer – corruption.

There are a lot of economists who draw lines regarding this “cancer” in many fields, but the focal

point of this paper would deal in the government scale.

There are several citations below regarding this prevalent culture of demagogueries and

manipulation. Corruption invades not only the political aspects of certain country but also

includes the economic affairs – the vague checks and balances among officials and the rise of

“mysterious” & “promising projects” of those people [mainly politicians] which is undeniably

germane to the conditions & needs of the people, the colossal debts of a country to a lending

institutions abroad; the welfare of the people resulting to poverty, unemployment, crimes, etc..

This cancer invades the ‘social tissues’ of the ‘political anatomy’ making things and phenomena

deteriorate.

With the culture of corruption, many people [most especially those who are in the grass

root level of the society] suffered from major set-backs – lacking of job opportunities, poor

recognition of health benefits, improvident educational facilities, and all that. In the other hand,

politicking, passing allegations, exhibiting issues and living in a high horse of life are some of

the many things the people [who maneuvers the machinery of the institution that is ought to

realize the needs, clamors and consensual validations] do for their satisfaction & comfort.
Before setting up issues and points, many political analysts, in cooperation of economist

in different parts of the globe tried to define the word and the act of corruption.

“There is increasing recognition that corruption has substantial, adverse effects on

economic growth. But if the costs of corruption are so high, why don't countries strive to improve

their institutions and root out corruption? Why do many countries appear to be stuck in a vicious

circle of widespread corruption and low economic growth, often accompanied by ever-changing

governments through revolutions and coups?” (Mauro, 2002).

Corruption is prevalently characterized as the exploitation of communal power for

clandestine advantage. The operation frequently consists of paying bribes to public officials by

private recipients as “reward” for the exploitation. Conversely, not all acts of corruption upshots

in the imbursement of bribes. A powerful minister can situate a new investment venture in his

home town inappropriate for that particular motion or he could manipulate the permissions of big

business loans to his associates and links and still not take any direct bribe.

Corruption, according to Rose-Ackerman (1996, p. 365), “occurs when officials use their

positions of public trust for private gain.” It is “an extralegal institution used by individuals or

groups to gain influence over the bureaucracy” (Leff, 1964, p. 8). That is, corruption engages

transactions, typically between private parties and public officials, designed to manipulate the

apparatus of government. It may be of the permission-seeking type (quotas, licenses, permits,


passports, and visas), the enforcement avoiding type (tax evasion, illegal pollution) or the

competition-harassing type.

Corruption is closely associated with bribery that has been recognized since the 15

century B.C. as “a gift that perverts judgment” (Noonan, 1984, p. 12). Most of the literature on

corruption and bribery is implicitly applied to lower level public officers (e.g. Mocan, 2008).

What Rose-Ackerman (1996, 1997) names “grand corruption” or kleptocracy, together with far

above the ground level treatment of policies and projects. We shall perceive that grand

corruption is analogous to rent-seeking at the uppermost levels of administration and may be

advantageously looked upon as fraction of the similar “third-best” theory of government (Dixit,

1996), also known as political economy.

This study and research don’t want to give typecast amongst the ‘drivers’ of the

government, instead, to look upon certain ideas what are some forms of corruption and how it

seriously & significantly affect different scales and aspects of the society.

In the Philippines, where the poems of Filipinos inspired by literature; the information &

news inspired by the mass media as ‘watch dogs’ of the government; and the recording of the

timelines & events inspired by history can never contradict or deny the harsh tutelage of the

Marcos administration. Along with the harshness of the Martial Law on September 21, 1972,

rampant corruption cannot just be covered with the silhouettes of denial & biases.
Our family was really a ‘Marcosian’ – we admire his ideals, we are inspired by his

words, promises and reforms to really bring the Philippines into a new & great society all over

Southeast Asia and of the whole world. But along with that are personal gains and questionable

wealth sprung into details.

My aim personally, is to exhibit the ‘notable corruption’ that this former president made

in the entire country and how it made an impact to the society during his rule, the things and

measures he performed to retain in the power in the middle of corruption and under the table and

illegitimate means. The best way of knowing Marcos as a president the former Philippines is not

pointing his good means [although he has a lot of good points], rather the awful and dark side of

his administration that is visible in all angles of criticism.

The desire is not to deprive the spirit of being political economist touch of the subject

matter. This study aims to go into the ‘two sides of the coin’ of Marcos’ Political Economy – as I

am conducting my study, there are a lot of ‘benefits’ of projects that former President Marcos

established and many benefitted; in some sources, they see no development and in fact, the

economy got worse under his dictatorship. Confusing, yet challenging. This research papers

would like to present political, sociological, economical and environmental factors under the

former president’s administration.

Of all the topics available under this field, this is the best visage that really interests me

and the dictatorship, corruption and machinations of Marcos administration is still embedded in

the hearts and minds of the Filipinos that still dot the entire country and of the whole world. Of
all the corrupt and controversial presidents that administered in the Philippines, Marcos really

tilted the country and the world upside down – his dictatorial procedures, political lordism, rigid

authority, hunger for power, scheming dealings in economics and political race. In other words,

his deeds that left a mark and scar [or inspiration to some] in the Philippine history and the

people who are still alive today, in actual fact, made Marcos well-known. At the end of the day,

whether we adore or despise Marcos, it’s still our ideology and belief that made us both rational

& radical beings… it’s a matter of loving, hating and respecting each other’s paradigms.

II. Corruption in the Philippine Illustration

“The Philippines is a rich country, with bountiful land, water and human resources. But the

Filipino people are poor and groveling in poverty, working, if possible, in great hardship,

raising their families in misery, sleeping in squalor and suffering state police oppression. The

elite of these murderous police were trained by the CIA!

For centuries, the social wealth created by the Filipino toiling people has been unjustly

appropriated, first by foreign colonizers and then by foreign capital and their local agents,

always through a combination of force and deceit, and with the collaboration and help of the P.

I. elite.

Those local elite are the rulers of the country now. They compromised in World War Two

with the Japanese, but McArthur forgave them after they pointed up the bribes for him. In the

Philippine Islands only money and bullets talk. Nothing else matters.”

(http://www.philippinecorruption.net/).
Corruption has been scrutinized as a “cultural and psychological phenomenon in a

country marked by incompatible legal and cultural norms” (Tapales 1995:407). The previous

highlights “rationality and universal principles of action” as against and in conflict with

“reliance and obligation toward kinship, friendship and primary groups” (Bautista 1982). This

clash is drawn attention into use of the defense of a gift giving way of life to give explanation for

inducement and extortion, or the Filipino look upon for the other (pakikipagkapwa-tao) to

validate giving reimbursement to ill-equipped but personally known beneficiaries. This is a

existent setback, but it can be magnified. For case in point, both culture and law in the same way

characterize cases of dishonesty and righteousness. One’s nearest and dearest may exclude a

bureaucrat who prefers to stay within the law.

The circumstances may, however, leave them unaided, provided they do not conciliate

their bureaucratic function. Another case is when an official involve him or herself in a

pronouncement concerning “nearest and dearest”, even if they take part in a ballot against that

person’s concentration, that official (under the Republic Act 3019) can still be charged with

corruption. For an official likewise positioned, but who curvatures over backwards to make sure

their kin gets an esteemed government bond fits into place in a so called “favor corruption”. This

is, without a doubt, the archetypal divergence between culture and law.

The thought of cultural recognition of corruption also requires to be reviewed in the

luminosity of a filament of public outlook census where Filipinos deprecate it as a foremost

crisis. The media, church pastoral letters and other culturally valued resources likewise condemn

this.
Definitely, the long list of laws ratified in opposition to them marked that graft and

corruption are not royally impositions but are much loved by Filipinos themselves.

Being part of the third world country, basing the World Systems theory in the fields of

Sociology and the classification of many lending institution & political geography, Philippines

has numerous cases of corruption may it be in the local office to the national offices.

This wordy illustration includes the present situation of the Philippines and tracing back the

devastating condition of ‘household management’ in the country brought by corruption. The aim

is really to go into the adverse effects of corruption even in the Pre & Post – Marcos era. With

the aid of historians and journalists cited in this study, this part would also include the historical

facts regarding this corruption and how it really affected & trembled the country into pieces of

futility.

“The prevailing graft and corruption in the Philippines should be blamed on World War

II hero, Gen. Douglas MacArthur, he of the ‘I shall Return’ fame. After the conquest of Japan,

the revered General gave the impetus and necessary assistance to the Japanese economy and

industry to restart and reach the success of what it is enjoying now. However, MacArthur did

one better. This act changed the face of Japan. After the surrender of Japan, Gen Douglas

MacArthur removed the power and influence of the ruling daimyos and influential hatamotos by

distributing their landholdings to the peasantry.


In the Philippines, the opposite happened. The hacienderos amassed more wealth by

getting compensated by the War Damage Commission created by the General to compensate for

the real and mostly imagined losses during the war through their political influence and

machinations. The ordinary Juan Dela Cruz meanwhile could not collect backpay because they

lacked grease money and or connections to pursue their claims. The hacienderos obtained more

guns and so were able to build some virtual armies. The moneyed hacienderos knew that in

order to perpetuate their influence and power, they had to hold political positions in the

government. When in office, most of them resort to evil, most foul but seemingly legal ways, to

commit graft and corruption from the lowest rank to the highest position if not by themselves but

by their kin and cronies.

It is true that MacArthur could not have done to the Philippine Hacienderos what he did

to the ruling elite daimyos and the hatamotos of postwar Japan due to the different political

situations of the two countries. Beside, the former was in the side of the victorious while the

latter was the defeated one. But at least, the General could have been more strict and stringent

on granting reward to the war damage claims of the hacienderos. He could have confiscated

from the hacienderos the weapons accumulated during the war and could have restricted their

buying of army surplus armament. Thus the power and influence of the hacienderos who are

actually holdover Spanish time encomenderos have been enhanced . F. Sionil Jose a famous

writer , has said “ colonialism is not dead but only took a different form “. The friars and

Spanish officials were only replaced by the mestizos and encomederos aka hacienderos and the

new moneyed class. Rizal family was not a true haciendero. They had a land to till which paid

for Jose Rizal schooling in the Philipines and abroad but the land was only under lease from the
corrupt Dominican friars who subjected his family to hardship, imprisonment and arbitrary

increase in rent. Corruption in the ruling class that been decried and fought wrote against in his

Noli and Fili books and eventually died for by our national hero Jose Rizal, is still a social

cancer pestering the Philippines. Rizal expressed some apprehension when he said “ What good

is independence if the slaves of today are the tyrants of tomorrow “

Putting the blame on someone for the sorry present state of things, persons or countries,

is frowned upon by most as a counterproductive exercise and rather too late for a solution to be

found. What is there to be done then? What then is the solution to the problem?

Firstly, acknowledge that there is a problem.

Secondly, know what the problem is and what the root cause is. The root cause of the

graft and corruption in the Philippines is the inappropriate and disproportional concentration of

wealth and power on the hands of the hacienderos just like the pre World War II Japan’s

daimyos and hatamotos. Their power and influence come from their ownership of lots of land.

The Philippine government can out Macarthur by LAND APPROPRIATION through a TRUE

LAND REFORM despite the opposition of the landed legislators ( as the likes of Claro M. Recto

and Lorenzo Tanada who torpedoed the Land Reform Act in their times ). A true land reform

entails provisions of helping any struggling new land owner farmer by way of easy to repay loan,

availability of cheap fertilizers, and a provision of prohibiting of selling and or buying

appropriated land in an unassailable form which cannot be skirted and fooled with by

unprincipled politicians and businessmen.

The government can enact this land reform but will surely face tough opposition from the
hacienderos among the legislators. This may lead the people to resort to PEOPLE

DEMONSTRATION No. 3 to emphasize that they are fed up with half measures and watered-

down land reform that favors and caters more to the rich and powerful rather than the poor,

vulnerable and downtrodden.” (Faundo, V. 2009).

Faundo tried to explain that corruption started ever since the Spanish era. He gave historical

explanations and approaches to really define and find out in what instance does corruption

started.

Aguilar, J. , a journalist of Samar News formulated ‘costs of corruption’ in the Philippines in

his article entitled, “Counting the Cost of Corruption in the Philippines”. In his article, he

summed up this ‘cancerous entity’ into nine (9) factors:

1. Loss of Government Revenues – he [Aguilar] considered this one as the first victim of

corruption and marked this factor as a devastating one.

2. Education – As every school opens ever year, the gap of number of classrooms, qualified

teachers, and educational materials is immeasurable. This is supposed to be the main

priority of the government in building a strong-standing Republic yet, this is taken for

granted.

3. Infrastructure – the main concern also of the journalist is regarding this aspect is also

devastating.
4. Environment – In order to bring about welfare to the people, the governing agencies are

ought to secure the health of its people in form of clean air, potable water and livable

community, but unfortunately, this was neglected. There are several laws and acts passed

in the congress and senate to maintain the balance of ecology but these written outputs

cannot be put into actions. There are just mere decorations and compilations of

hopelessness.

5. Government Debt & Poverty – The main reason for this factor has something to do with

the financial deficit of the government, but still, the government borrows money to

lending institutions adding up the financial liabilities of the country. Projects that are

supposed to be for the poor and needy of this nation-state are not being pursued or not

being given into action because of budget constraints.

6. Political Patronage – “Corruption doesn’t prosper without protection.” (Aguilar, J.

2004). A person in power does its best not to be ousted from this power, instead, he do

manipulative ways and means to retain on such state – bribing in form of small or

“simple gifts”.

In the other hand, election is compared as a sponge, which sucks up all the money, most

of it from corruption. Election in the Philippines is not a matter of showing dedication in


serving the public [by doing such you win the hearts of the people] & charisma, rather

patronage in politics.

The political candidates in the other hand cannot thoroughly explain where and how they

obtain large sum of money in doing their campaign projects, considering that a public

servant only earns thousands of Philippine Peso yet, his spending in a campaign would

amount to millions of Philippine Peso.

7. Crime – in lieu with the machinations and manipulations from those who are in seat,

desperation comes into picture – the aim for protection means transacting with criminal

syndicates to achieve its goals, tolerating the criminal acts for as long as protection is

being met.

The point of desperation to accumulate more money and power by means of killing,

swindling, trafficking, smuggling and bribing.

The other group of people in the other hand, who is not part of the socialites commit

heinous crimes out of influence of drugs, lack of job opportunities that made those people

depressed and seek illegitimate ways in acquiring money and power to suffice their needs

and wants for their family and their self.

8. High Costs of Doing Business – There are a lot of red tapes and exorbitant amount of

money asked by some government sectors in acquisition of legal papers and licenses
without really seeing the nature of the business, the need, the length and the consumption

& usage of these legal documents.

Aside from the higher house, the subordinate part of the government, mainly the different

agencies do also technical corruptions, bribery and the like in order also to gain money

and benefits to make their own pockets full.

9. Loss of Investor Confidence – Trust is the hardest things to make up once it is broken. It

is quite a challenge, a ticklish thing to and a very discouraging issue and reality to face.

Philippines, being a corrupt country that relies mostly on foreign firms discourage foreign

investors to do business in the country.

The point is, all businesses firm even local firms aims to have more gains than loses. And

one thing they are worried to make more losses is because of corruption. Being labeled a

corrupt country doesn’t bring any goodwill to all of us [well, it is, really].

Aguliar presented the chain reactions of political corruption and how it really affects

various factors present in this society. Corruption can be the agent to turn the country into

pieces.
III. The Rise of Marcos

a. Who is Ferdinand Marcos?

Sixth President of the Philippine Republic. Scholar, soldier, lawyer and politician who served as

President of the Philippines from 1966 to 1986, Ferdinand E. Marcos was born on September

11, 1917 in Sarrat, Ilocos Norte, the eldest son of Mariano Marcos and Josefa Edralin, both

teachers. He had to study in several elementary schools as his parents’ assignments changed

constantly. From 1923 to 1929, he attended the Sarrat Central School, then the Shamrock

Elementary School in Laoag and, finally, the Ermita Elementary School in Manila.

He went into the high school department of the University of the Philippines and in 1934,

enrolled in a liberal arts course at the same university. While still a student, he was

commissioned as third lieutenant (apprentice officer) in the Philippine Constabulary Reserve

after having been an ROTC battalion commander, with the rank of cadet major, and team

captain of the UP rifle and pistol team. He later took up law at the university.

In 1935, Assemblyman Julio Nalundasan, a political rival of his father, was shot dead.

Suspicion for the crime fell on the Marcoses. Ferdinand Marcos was arrested on a charge of

conspiracy to murder, was tried, and found guilty in 1939. He argued his case on appeal to the

Supreme Court, luckily winning an acquittal a year later.


At the UP College of Law, he joined the Upsilon Sigma Phi Fraternity, which specialized

in political heckling of Manuel Quezon’s Commonwealth government. In the summer of 1939, he

received his bachelor of law degree, cum laude. He would have been class valedictorian and

magna cum laude had not imprisonment for the Nalundasan murder case prevented him from

attending several weeks of classes. He appraised for the bar examination while in prison. He

bailed himself out in order to take the examination, where he emerged topnotch in November of

the same year. He became a trial lawyer in Manila.

During World War II, he served as an officer in the Armed Forces of the Philippines.

Captured by the Japanese, he survived the Death March from Bataan to Capas, Tarlac, and

escaped. His subsequent claims of being an important leader in the Filipino guerilla resistance

movement was a central factor in his later political success.

Marcos was a technical assistant to President Manuel Roxas (1946-47); member of the

House of Representatives (1949-59); member of the Senate (1959-65); and Senate President

(1963-65). In 1965, Marcos, who had been a prominent member of the Liberal Party founded by

Roxas, broke with it after failing to get the party’s nomination for President.

He then ran as the Nacionalista Party candidate for President against the LP’s standard

bearer, reelectionist President Diosdado Macapagal. Marcos won and was inaugurated as

President on December 30, 1965.

In 1969, he was reelected, the first Philippine president to serve a second term.
During his first term, he made progress in agriculture, industry and education. However,

his administration was troubled by increasing student demonstrations and violent urban guerilla

activities.

On September 21, 1972, Marcos imposed martial law. Holding that communists and

other subversive forces had precipitated the crisis, he acted swiftly. He jailed opposition

politicians and made the armed forces an arm of the regime. Apart from political leaders,

notably Senator Benigno Aquino, Jr., whom he had arrested and held in detention for almost

eight years, Marcos also met some opposition from church leaders and others. In the provinces,

the New People’s Army and Muslim separatists undertook guerilla activities intended to bring

down the central government. In 1973, Marcos promulgated a new constitution that established

a parliamentary government, with him as Prime Minister. He announced the end of martial law

on January 17, 1981.

In April, various constitutional changes were approved by plebiscite, resulting in the

reversion of the government to the presidential system. Marcos won election for the new post of

President, but against only one token opposition, on June 16. He began a new six-year term as

President on June 30, 1981. Marcos’ wife Imelda Romualdez, a former beauty queen, became a

powerful figure in her own right after her husband instituted martial law in 1972. She held the

posts of governor of Metropolitan Manila (1975-1986) and minister of Human settlements and

Ecology (1979-1986).

In 1983, Marcos’ health was beginning to fail, and opposition to his rule was growing.
Hoping to present an alternative to both Marcos and the increasingly powerful New People’s

Army, Senator Aquino, after three years of exile in Boston, Massachusetts, returned to Manila

on August 21, 1983 only to be shot dead as he stepped off the plane.

An independent commission, the Agrava Fact-Finding Board, appointed by Marcos,

concluded in 1984 that high-ranking military officials were responsible for Aquino’s

assassination. To reassert his mandate, Marcos called for a so-called “snap” presidential

election to be held in February 1986. But a formidable political opponent soon emerged in

Aquino’s widow, Corazon Cojuangco Aquino, who became the presidential candidate of the

united opposition.

It was widely asserted that Marcos managed to defeat Aquino and retain the presidency

in the election of February 7, 1986 through massive voting frauds on the part of his supporters.

Widely discredited abroad by his dubious electoral victory, Marcos held fast to his presidency as

the military split between supporters of his and of Aquino’s legitimate right to the presidency, as

dramatized by the now historic four-day “People Power” revolution at EDSA.

A tense standoff that ensued between the two sides ended only when Marcos left the

country post-hastens on February 25, 1986 and went into exile in Hawaii.

Marcos died of cardiac arrest on September 28, 1989 in Honolulu, Hawaii. He left

behind his wife, Imelda and their three children: Maria Imelda Josefa Trinidad (Imee),

Ferdinand, Jr. (Bongbong), and Irene Victoria. (Peterson, J. 1998).


Born in 1917 to a Mariano Marcos, a politician, and Josefa Edralin, a teacher, Marcos

crossed the world in the south Asian islands of the Philippines. During that period, the islands

had been ruled by the American government for no more than two decades in view of the fact

that the Spanish-American War and the political configuration were still being established.

Subsequent after his father, Marcos registered to study at the University of the Philippines to

study law after completing his foundational schooling, but his finishing year at the university

was broken up. The court summoned him to be undertaken for a murder which he had carried out

three years previously. The injured party was the political opponent of his father, who had

defeated his father in a political race. A strapping case affirmed that Marcos had shot the man the

day after the race as the man celebrated in his home. Marcos was found culpable, yet he pleads

the set of circumstances to a higher court, the Philippine Supreme Court. He came to a decision

to put his comprehension of the law to a test by representing himself in court, and while being in

custody for six months wrote his own 830 page petition. After defending his side, the case was

reversed, acquitting him to come back to court the next day in order to be certified as he had

passed the bar exam. He became a trial lawyer in Manila, until commencing his service as an

officer in the Philippine armed forces during World War II.

Marcos materialized from the war asserting to have led a revolutionary unit against the

Japanese and to have been highly ornamented by the American forces for his good turn, all of

which proved to be fabrications. In fact, he had spent much of the time during the war

tormenting in hospitals and causing commotion which approximately led to his capital

punishment at the finale of the war. The close of the war also acted as the closing stages of

America’s rule over the Philippines, setting up the country as self-governing. At that instant,

Marcos readdressed his vocation to politics, becoming the subordinate to the first president of the
new republic, Manuel Roxas. More than a few years later, in 1949, Marcos won a seat in the

House of Representatives, becoming the youngest affiliate. He quickly began establishing

himself as a affiliate of the Philippine cream of the crops, using his private persuades for

immense and virtually on the spot self achievement. Marcos happened as expected in keep hold

of his seat for two reelections, and suspended from entering the 1961 presidential candidacy

under the understanding that the following election he would be given the spot. Backstabbed,

Marcos was deprived of his cast iron presidential recommendation and straight away substituted

parties in the subsequent election, astonishingly wining by a complete success. Promising

enhanced living conditions and land reorganization under his management, Marcos’ true private

main concern of self gain sooner or later became unmistakable. President Marcos promoted good

dealings with America, by heartening the growth of American military bases on the Philippine

archipelago.

These apparently altruistic acts in point of fact allowed for billions of dollars to make

their way into the economy of the Philippines, and for his wife, Imelda, to head up cachet

projects which constructed pleasing to the eye hotels and museums. The economy flourished,

and Marcos was elected again for another term in the year 1969. Marcos’ second term

demonstrated to be less effortless and suave than his first, as the communist party began causing

upset and citizens began to frown on the American presence in the Philippines and Marcos’

support of American’s postured towards Vietnam.

As the law states, Marcos period in office was limited to two terms, yet at the end of his

second term he announced publicly the Martial law to carry on his rule, asserting that

Communist rebel groups were causing distress on the entire archipelagic terrains of the
Philippines. This act melted Congress and the constitution, establishing Marcos as the solitary

decisive authority.

He became a tyrant, putting off freedom of speech and suppressing any political faction

that is against his rule right away. By the succeeding years, Marcos and his wife collected huge

quantities of money and riches, sucking them from the Philippine economy in the course of

controlled industry monopolies and banking.

He instructs and orders for military forces to be augmented, making it triple in size

between 1971 and 1983. Coercion amplified as living principles misshapen and turbulence

among the people grew. In the point of 1981, Marcos effort to recuperate his people’s support by

coming the martial law into an end and accomplishing a manipulated election in which he won

by a landslide, but this only results in bigger disagreement. Endeavoring to put on favor again in

1986, Marcos holds another election, but this time the deception flickered revolts & uprisings.

Ferdinand Marcos and his family are enforced to sprint in casting out to Hawaii, bringing

with them innumerable expensive special possessions, jewels and gold, all pilfered from Marcos’

people. The retaining government of the Philippines retrieved several millions from the

president’s Swiss bank accounts, but only after noteworthy examination, analysis and aid from

the Swiss government.

The former president remained in exile in Hawaii, notwithstanding gossips of

premeditated attempts to recuperate command & administration in the Philippines by means of

incursion. By the year 1987 former President Marcos was impeached by an American federal
panel of judges for fraud and obstruction of justice, but he passed away in Honolulu the

subsequent year before his trial was held.

Even though the former president’s life may seem like an out of the ordinary account of

voyage, Marcos’ actions warranted gruesome results. The kingdom Marcos claimed to regulated

and administer was torn into pieces and was left in the middle of economic disaster, filled with

individuals [who has his compatriots] who were starved of their freedoms and ample living

principles. Ferdinand Marcos’ life is a legend of obliteration; egoistical and self-seeking desires

which injured the olden times of the Filipino nation.

IV. Marcos ‘ Philippine Political Economy : The Successes & Failures

A. The Philippines under Marcos Regime

By the great year of 1965, Marcos triumph the presidential election, running as the

nominee of the Nacionalista party in a bi-party electoral system. A few months earlier, he had

been president of the opposing Liberal Party.

Upon acquiring the domination in the Philippine governmental seat, he employed

political whereabouts and rent reassignments to an unparalleled scale to merge bureaucratic,

military, and “cream of the crop” political support, and was able to wane the judicial branch by

means of reappointment timing.


Marcos immensely lingered the bureaucracy, much of which became functionally

superfluous, to form an outsized cluster of public servants reliant on him for benefaction and

their source of revenue. Ferdinand Marcos also lengthened both the range and function of the

armed forces, permitting it to slot in an extensive series of trade and industry doings, individually

profiting leaders and bureaucrats devoted to Ferdinand Marcos.

The president also approved economic dominations to neighboring elite whom he chosen

as local political influential, that made them dependent on Marcos for their prosperity and way of

life.

By the first phase of his administration, it was the point in time for six out of nine

Supreme Court justices positions to be reappointed. It has been bickered that that he [Marcos]

had deferred running for president to bring into line the good phase of time of his presidential

power with the reappointments, and he allotted justices faithful to himself. The scheme of

judicial branch from then on constantly administrate in goodwill of his administration rulings &

diktats in opposition to antagonists.

It was on the year 1969, in the segment of presidential election; Marcos used enormous

quantities of the government resources to safe votes by manner of backing, vote buying, and

prearranged aggression and deceptions. The constitution narrowed Marcos’ presidential power to

two terms; furthermore, by the year 1972, a year ahead of the closing stages of Marcos’

subsequent term, Marcos stated and declared martial law. He quoted the must for dictatorial rule
to look after economic intensification and thwart communist uprisings, and was extensively

shored up both in the entire country and in abroad.

In the midst of martial law, Marcos pushed back then refurbished the constitution,

censored the mass media; depriving the right of being the watch dogs of the government, and

brought into play cruelty and tyranny in contrast political opposition. He publicly owned and

corners the market of growing fractions of manufacturing and added bigger expenditure on

patronage.

All the way through that time, the US and global institutes such as the World Bank and

IMF bigheartedly sustained the Marcos administration with assistance and finances. Marcos in

return, did not failed to exchange unadulterated commitment to the Philippine-US coalition with

significant US aid, due to US Cold War interests of having military bases deliberately located in

the Philippines. It is often disputed that a huge percentage Marcos’ patronage was financed by

US aid. The World Bank and IMF looked upon Marcos as imitating tactics of Lee Kwan Yew’s

victorious dictatorial administration in Singapore, making the Philippines a “special focus” area

to target funding.

Ferdinand Marcos came into view from this crooked milieu. He realized the political deal

from his father's prewar crusades for the National Assembly. His first political existence was as a

defendant changed with assassinating his father's rival, and his wartime experience included

noteworthy black marketeering and deceits. It's not shocking that he brought the cruelty-oriented

viewpoint of the local politician to the national echelon.


The former president, obviously, took dishonesty to unparalleled altitudes in a manner of

methodical marauding of the Philippine financial system. The Marcos family and key associate’s

accumulated fabulous riches from bribe-taking and rewards from chum monopolies. These group

of socialites also sidetracked administrative dealings & loans into their own ‘royal receptacle’,

made riches from proceeds from exorbitant-priced commodities and building ventures, and

unswervingly glided from the public ditch.

B. Economic Transformations during Marcos Administration

1. The Economic Acceleration

With the desire of the administration to accelerate economic growth and development,

President Marcos executed a numerous of economic agenda and goals. These programs assisted

the country to take pleasure in the interlude of economic expansion from the mid-1970s until the

near the beginning of 1980s. In the fields of agriculture, the farmers were given technological

and monetary support and other inducements such as "price support". With the incentives agreed

to the farmers, the country's farming sector nurtured & grew. Consequently, the country became

self-reliant in rice by the year 1976 and even became one of top exporters of rice. The economy

during the decade was robust, with budgetary and trade surpluses. The Gross National Product

rose from P55 billion in 1972 to P193 billion in 1980.


2. The Foreign Borrowing & Infrastructure Developments

To help finance a number of economic development projects, such as infrastructure, the

government engaged in borrowing money. Foreign capital was requested to put in certain

industrial projects. They were offered inducements plus tax exemption privileges and the

dispensation of bringing out their profits in overseas legal tenders. One of the mainly significant

economic programs in the 1980s was the Kilusang Kabuhayan at Kaunlaran (Movement for

Livelihood and Progress). This program was ongoing in September 1981. Its aspiration was to

prop up the trade and industry expansion of the barangays by heartening the barangay residents

to employ in their own source of revenue projects. The government's hard work resulted in the

augmentation of the nation's economic intensification rate to standard of six percent to seven

percent from 1970 to 1980. The rate was only less than 5 percent in the preceding decade.

3. The Tourism Rate in the Philippines

The Gross National Product increased from P55 billion in 1972 to P193 billion in 1980.

Tourism rose, causative to the economy's escalation. The number of tourists visiting the

Philippine rose to one million by 1980 from less than 200,000 in preceding years. The country

earned 26 billion pesos. A large fraction of the tourist group consists of Filipino balikbayans

(returnees) under the Ministry of Tourism's Balikbayan Program which was launched in 1973.
4. The International Remittances of Overseas Filipino Workers

Another chief resource of economic growth of the country was the transfer of funds of

abroad Filipino workers. Thousands of Filipino workers found employment in the Middle East,

Singapore and Hong Kong. These overseas Filipino workers not only helped relieve the

country's joblessness crisis but also produced much-needed foreign exchange for the Philippines.

A big share of the annual earning of the country was owed to the payment of twelve-monthly in

gain on loans.

5. The Unforeseen Pitfalls

The Philippine economy underwent a grand decline after the Aquino killing in August 21,

1983. The wave of anti-Marcos demonstrations in the country that followed discouraged and

alarmed the tourists. The political quandaries also hindered the entry of foreign investments, and

foreign banks stopped giving way loans to the Philippine government.

6. The Attempt

In the pursuit to launch a national economic recovery program, Marcos discussed with

foreign creditors including the International Bank for Reconstruction and Development,

World Bank, and the International Monetary Fund (IMF), for a reorganizing and reshuffling

of the country's foreign debts – to give the Philippines to have a longer time allotment for the

country to pay its debts. Marcos ordered a cut in government spending and used a piece of the

savings to finance the Sariling Sikap (Self-Reliance), a livelihood program Marcos created in the

year 1984.
On the other hand, the economy came into contact with downbeat economic growth

beginning in 1984 and persisted to decline in spite of the government's recuperation efforts. The

recovery program's breakdown was caused by out of control graft and corruption within the

government and by Marcos' lack of trustworthiness. Marcos himself abstracted large sums of

government money to the Kilusang Bagong Lipunans campaign funds.

DEFINITION OF TERMS

 Economic degenerations – the fall and weakening of the economy

 Ticklish - difficult

 Cancer / Cancerous entity – a destructive unit in politics – may it be an action or

phenomena (i.e. corruption).

 Demagogueries - A leader who obtains power by means of impassioned appeals to the

emotions and prejudices of the populace.

 Mysterious – unexplainable projects of the administration

 Promising projects – projects that shows potential and benefits

 Germane – relevant projects that can really meet the needs of the majority.

 Social tissues - political, economic or social aspects that the cancer invades; the target

of the cancer to weaken.

 Political anatomy – the integral part of the dealings of the government, with its economy

and relations.

 Grass root level of the society – group of people who belong in the lower class of the

society, including the ordinary fellows.


 Setbacks – the impediments and the hindering forces of development in attaining

political stability and economic development.

 Consensual validation – the rule of the majority is being honored, followed and

respected.

 Clandestine – secretive nature. Under the table transactions.

 Kleptocracy – grand corruption.

 Tutelage – mode of protection and ruling.

 Marcosian – a person or group of people who is an advocate of former president,

Ferdinand Marcos.

 Notable corruption – the corruption of the former administration that was made known

and shook the entire Philippines.

 Political lordism – way of recognizing political figure, befriending them and ask for aids

and subsidies in form of money or cash bond; a sort of idolatry to political figure.

 Paradigms – personal model, outlook, the side of people whether, anti Marcos or pro

Marcos.

 Republic Act of the Philippines 3019 - ANTI-GRAFT AND CORRUPT PRACTICES

ACT

 Kin – refers to family members, relatives, loved-ones.

 Favor corruption – an act that was tolerated by a certain administration because this

act was done by his or her kin.

 World Systems theory – focuses more on classifying countries – whether a core

country, semi – industrialized country, balanced type of country, or an agricultural

intensive country, reflecting their status in the world scale.


 Cream of the crop – referred to a person or group of people who belong to the socialite

class.

 Special focus – an act done to pay attention in the developments and impacts of the

country.

 Royal receptacle – simply refers to personal pockets of those who are the cream of the

crop of the society, especially those who belong to the kin of the administration &

loyalists.

 Unforeseen pitfalls – the unexpected results or events [particularly down falls &

undesirable phenomena] took place in pursuance of economic development.

APPENDICES

I. About the Author:

Full name is Venancio Del Pilar Faundo. Went to Hagonoy Elementary School, to San Jose

Seminary for high school. Graduated with Bachelor of Science in Electrical engineering from

Mapua in 1965 and passed board the same year.

Taught in Hagonoy Institue HighSchool and worked at US Naval Base in Design Div from 1967

till immigration to Canada in1976. Retired from Bombardier Aerospace in 2006.

Married to Winnie Pedagat and have three children. Hobby is bowling, golf and mahjong.

Present residence is Scarborough, Ontario, Canada.


II. Full Article of: Counting the Cost of Corruption in the Philippines can also be

found @ http://www.samarnews.com/Insight/insight5.htm

By JUN S. AGUILAR - March 12, 2004.

Among the very first lessons in business is that "THERE IS NO SUCH THING AS A FREE

LUNCH". Somebody is bound to pay, Always. Especially when it comes to corruption. So how

does corruption get to us? Let's count the ways.

1. Loss of Government Revenue

The first victim of corruption is government revenue. In a developing economy like the

Philippines, this can be extremely debilitating. The continuing budgetary deficit of the

government results into cutbacks in expenditures for much needed social services.

2. Education

The gap of classrooms in public elementary schools is estimated to be about 40,000 this

coming school year. The case is even more pathetic, as the lack of qualified teachers further

confound the problems. While student population keeps on growing year after year, these gaps in

classroom, books and teachers is widening. What do these lead to? Poor quality education of the

future citizens of the Republic further undermining their prospects of contributing to nation

building. THAT IS A VERY HIGH PRICE TO PAY FOR CORRUPTION.


3. Infrastructure

With tightening sources of funding for infrastructure development, government has to

resort to partnership with the private sector. A public good like roads, bridges, ports and

airports will necessarily be charging user fees to be able to earn profit and recover capital.

Nothing wrong with because he who benefits should share the cost. But a lot of these projects

require performance undertaking from the government to be financeable to lenders. This results

into the contingent liabilities of the national government burgeoning the levels no one wants to

even find out. Remember the NAIA III Terminal? An edifice that can't be operated until now. The

MACAPAGAL BOULEVARD which can easily enter the Guiness Book as the world's most

expensive boulevard? THE SMOKEY MOUNTAIN PROJECT where almost a billion of OFW's

money was invested and has not been repaid until now? Last count in 2003, it stood to over P500

Billion. That’s about over 30,000 pesos per household. THAT IS NO LOOSE CHANGE TO PAY

FOR CORRUPTION.

4. Environment

Because government resources are constrained, environment protection programs are

neglected. We passed the Clean Air Act and yet we cannot put our acts together in ensuring

clean air. The law is toothless because the government has no money to invest in monitoring

equipment. Even garbage it cannot collect. Remember the PAYATAS TRAGEDY? Meanwhile, to

be able to generate power and run our heavy industries, less desirable Plants are allowed to be

established. ASK THE PEOPLE from CALACA, BATANGAS, PAGBILAO QUEZON, and SUAL
PANGASINAN, all sites of COAL FIRED POWER PLANTS that contribute to withdrawals from

our deposit of breathable air, potable water and liveable communities. The resource balance of

our children's future is rapidly depleting, A COST OF CORRUPTION THAT WE MAY NEVER

BE ABLE TO ACCOUNT FOR.

5. Government Debt and Poverty

Again due to budget deficit, government keeps on accumulating debt, which at end of

2003 stood at over 2.4 trillion pesos. That’s over 30,000 pesos for every Filipino man, woman

and child. At an average interest cost of 10% per year for both short and long term loans, that is

equivalent to a staggering P240 Billion in interest payment alone every year. That’s the amount

of money taken away from the mouth of the poor, who account to more than half of the

Philippine population. TURNING OUR BACKS FROM OUR MARGINALIZED CITIZEN IS A

STEEP PRICE TO PAY FOR CORRUPTION.

6. Political Patronage

Corruption doesn’t prosper without protection. Those who practice realize that to keep

themselves in their lucrative posts, somebody politically powerful should be able to stop any

attempts to cut him from illicit money flow. In return, he lavishes his patrons with gifts. Gifts in

no small terms, which further corrupt him and his patron. His patron, in order to accumulate

more gifts has to increase his influence. To increase his influence, he needs to milk his corrupt

benefactors. And it goes on deeper and deeper.

Elections are like a sponge, it sucks up all the money, most of it from corruption. Election

in the Philippines are nothing but patronage politics. How else does one explain the millions
spent in a campaign in exchange for a few measly thousand pesos in the salary of a public

servant? There is only one explanation I have, THERE IS NO SUCH THING AS A FREE

LUNCH, SOMEONE IS BOUND TO PAY FOR IT.

How do campaign contributors expect to recover their investments? In the form of

political protection to allow them to continue with their illegal activities. In the form of rigged

government contracts. In the form of economic rents taxpayers eventually pay for.

7. Crime

Corruption corrupts and the deeper one gets into the mire, the more desperate one

becomes in defending the well from where he draws his booty. He will be prepared to use trick,

treat and threats to keep his business. And since corruption, like stale food attract flies and

worms, criminal syndicates are not very far from them. So do their violent means of doing

business.

The problem with the proliferation of illegal drugs can be linked solidly to corruption.

How else do drug lords and pushers do their business under the noses of law enforcers and local

government officials except that they pay-off this public servants or work in cahoots with them.

Remember Mayor Mitra of Quezon Province? He was caught red handed transporting a ton of

shabu using the town ambulance.

This social ill has led to the commission of many a heinous crime is prospering and

multiplying in every Barangay of this country because of corruption. RAPES, MURDERS, and

KIDNAPPING FOR RANSOM ARE TOO MUCH TO PAY FOR CORRUPTION.


8. High Cost of Doing Business

It is sometimes beyond our imagination for a businessman to spend three full days in the

crowded city hall of a highly urbanized city trying to get a business license. And he was just

going to buy and sell eggs. How much more if he wants to operate a industrial project. If there

are 20 government offices he needs to go through for various permits, licenses, certificates,

approvals and signatures, he needs an entire army of fixers to handle them. Precious hours are

lost among senior officers of the firm who have to wine and dine to the whims and caprices of

government officials. Remember the stinking IMPSA and PIATCO deals?

Those companies whose code of conduct does not permit them to provide bribes and

pseudo-bribes end up spending tons of money just to end up deciding to leave the country in

exasperation.

On the other hand, many of those who stay to do business have gotten used to

government people scratching their heads as they show up in their offices asking for all sorts of

gifts for every known relatives of a mayor, congressman, senator, department secretary, bureau

director or chief of police. What does the businessman do? He just passes on to his customers

this extra cost incurred in doing business in the Philippines. Remember the Power Purchase

Adjustment (PPA)? This is one bloody scheme that sucks us dry!!!

9. Loss of Investor Confidence

As Judge W.H. Heath said, if we cannot manage our money and assets, how can we be

expected to manage other people’s money? Investors demand that there be a reasonable level of
assurance that they will get their investment back. That their investment will in fact make money.

And that it will not be taken over by political forces.

It becomes extremely challenging to attract investors to do business in a country where a

fugitive from the FBI and convicted pedophile gets elected in Congress. Or where tax evasion

case with very clear outcomes is lost to technicalities.

Multilateral donors find it hard to give us loans and technical assistance grants when

they know that a large portion of their money will be used to line up the stomachs of politicians.

They will have to invest in additional personnel, incur additional costs just to watch us spend

their money. Every time we submit receipts they spend thrice the time just verifying whether they

are genuine or not. This is the only country in the world whose AUTHENTIC DOCUMENTS (as

declared and sealed from Malacanang) has one year expiry date. Believe me it can be tiring to

do these things.

When many in the International community considers your country as corrupt, it does not

feel good. It does not buy you goodwill. Jeers and sneers YES. But respect? NO!!! Just look at

how we PINOYS are treated in foreign airports. Who would forget Senate President DRILON

being forced to remove his shoes in a US airport despite showing his Diplomatic Passport. I

myself had a very disgusting experience in SCHIPOL airport in the Netherlands (CARLO

BUTALID & GRACE CABACTULAN MAY NOT AGREE WITH ME) and at Charles de Gaulle

in France. But can we blame them? Of course not. There's simply too much Pinoys who are

going out of the country with spurious documents, escorted and facilitated by no less than BID

personnel from NAIA. THAT IS WHAT WIDESPREAD CORRUPTION IS COSTING US.


We have only just begun counting the cost of corruption. It cost us the prostitution of our

political institutions. We have now hoodlums in uniforms and hoodlums in robes. It costs us

many lives and honor lost to crime. It costs us our self respect. And it costs us lost opportunities

for a better future of our children.

If you ask me, THAT'S TOO MUCH TO PAY FOR FREE LUNCH!!!

III. Six Acts of Defiance by Sen. Joker P. Arroyo

In 1972, Ferdinand Marcos contemptuously imposed martial law on the entire country and

ordered the arrest and incarceration of Ninoy Aquino. The most expedient for Ninoy was simply

to collaborate with the dictator as many leaders did. Marcos was just waiting. But Ninoy, the

most prominent among the arrested oppositionists, flatly refused. So Marcos ordered him tried

on false charges of rebellion, murder, and illegal possession of firearms before a military

commission. That started Ninoy’s defiance and a war of attrition between the tormentor and

tormented, a battle of wills all the way.

Act I

Ninoy challenged the jurisdiction and independence of Military Commission No. 2, composed of

generals and colonels appointed by Marcos. So he refused to participate in the trials – “Convict

me if you must,” he told them, “but I will not dignify your illegal trials with my participation.”

The Military Commission responded by having him dragged from his prison cell where he was

held in solitary confinement to the Fort Bonifacio gymnasium, the venue of his trial.
Act II

He went on hunger strike. On May 13, 1975, the 40th day of his protest fast, Ninoy’s condition

became critical. Marcos would not have the blood of a political martyr on his hands. Ninoy was

forcibly rushed to the V. Luna General Hospital to be medically revived. Marcos knew that

anointing Ninoy as a hero would be sheer folly. History would later prove him right.

Act III

Military Commission No. 2 resumed its proceedings after Ninoy regained his health. He

challenged the individual competence and impartiality of each and every member of the

commission.

On November 25, 1977, two days before Ninoy’s birthday, the Commission, in a supreme act of

sadism, sentenced him to die by musketry. The international outcry that followed prevented

Marcos from confirming the death order.

Act IV

In 1978, Marcos allowed the election of the members of the Interim Batasan Pambansa. Ninoy

led the opposition slate Laban, launching his campaign from solitary confinement. The

unprecedented success of a noise barrage on the eve of the elections forced Marcos to proclaim

all his KBL candidates as winners with only 25 percent of the votes canvassed.
In 1980, Ninoy was afflicted with a heart problem while in stockade. Believing that he would be

rid of his most potent rival, Marcos allowed Ninoy to go to the United States for a heart bypass.

After his operation, Ninoy energetically barnstormed the United States and other countries to

denounce the Marcos regime.

Act V

In 1983, he felt that he had to go home; his place was in the Philippines. Despite the strong

certainty of his being liquidated, Ninoy, in his fifth act of defiance, came home. He paid for the

act with his own life. Filipinos responded by showing up by the millions at his wake and funeral.

Act VI

In 1985 or two years after Ninoy’s death, Marcos called for snap elections. Ninoy’s widow took

up what could be called his sixth act of defiance by running against Marcos. Marcos cheated as

he did in the 1978 elections. The people responded resoundingly and trooped to EDSA, in a final

defiance that jolted the world. * Sen. Joker P. Arroyo stood by Benigno ‘Ninoy’ Aquino Jr

throughout his incarceration and struggle until his assassination, as lawyer, fraternity brother

and kindred spirit.


CONCLUSION

Corruption is ubiquitously present... in the interior our homes, simple sari-sari stores,

markets, corporations, government… Exasperating, isn't it? Unvarying to the poorest of the poor

are becoming victims of this acts. And the sad fact is, the ones doing this are their fellow

Filipinos. Municipal Social Welfare and Development offices are built to help those who are

really in need for free, but what are they doing - feeding their own pockets? Now let's talk about

the higher government officials. Instead of focusing their time and attention to the real problems

of their country, they're spending their whole time arguing each other for power. They always

accuse their co-officials of corruption, but what are they doing? Are they really doing something

to eliminate the main problem? I don't think so. They're just dragging their names for the next

election! After the election, I'm sure, same thing would happen and the real problems of the

country would be neglected again.

Going back to corruption, what can we do to eliminate, or at least, avoid it especially now

that we cannot just trust these officials? The only thing we can do (if you or someone you know

becomes a victim) is speak up, report these monsters immediately to the media. Why media?

Because it is the only thing that these monsters are afraid of... getting busted in front of the

camera! Let's not tolerate them. It's about time to put things in their right places. If you help a

monster, then you are a monster too!

But the big questions are... Will we let ourselves be victims of corruption? Can we just let

our hard-earned money be placed on the wrong hands?


Corruption transpires globally and in every single one chronological era. By the 18th

century in a European country called England, the urban political machines of the 19th century

America (Boss Tweed and Tammany Hall), the caciques of Hispanic & Latin rule and states, or

the chaopho (godfathers) in the country nicknamed as, “Land of the Free”, Thailand .

Conversely, in particular given the Asian trade and industrial crisis and ever-increasing and

actually irrevocable globalization, crony capitalism must one way or another, give way to more

free-thinking forms of authority and governance if budding economies are to budge onward.

The Philippine state stayed behind as weak, and the constant power of well-established

elites makes it thorny for the central government to endow with unified and fraud free local

management. Splinter groups still contrive for their pieces of the government percentages, tax

collections and customs collections are highly centralized, and the Philippines in the midst of

bureaucracy’s long convention of corruption still untouchable & intact. In addition, the President

and other national officials remain reliant on local politicians to deliver the votes on demand - all

in all, a formula for continuous corruption.

In a nutshell, the predicaments are both structure and institution-based. Along with the

rudiments for a feasible democratic system are an unwavering middle class, educational

attainment and chances for social mobility, and open access to the political procedures. The

omnipresent & rigid schism or division sandwiched between wealthy and underprivileged in the

country remains a foremost hindrance to significant and momentous reform. And as long as civil

service salaries stay very badly low, it will be enormously complex to eradicate (or even

diminish) dishonesty in the fields of public administration.


Several groups sprung up and were established in the country, such as: National Citizens

Movement for Free Elections, also known as NAMFREL; the CER, Consortium for Electoral

Reform, the PCIIJ otherwise known as the, Philippine Center for Investigative Journalism, as

well as Akbayan (Citizens' Action Party). One can look forward to that young professionals,

people who are engaged in business & commerce, and the (at a snail's pace) emerging middle

class are getting drained of politicking.

More significantly, however, the force for genuine reform must be derived and

commence from an effective political will & leadership. Even though all results & upshots are

unpredictable as far as I observe in the news and making this study, it appears obvious that an

absolutely fresh vision will be necessary if corruption is to (lastly) control this cancer of this

society.

With no recounts on the transgressions of the administration, the crony-related

occurrences in addition to enveloping corruption now under examination & investigative efforts

are fraction and package of the cancer thrashed out all through this research. The present

catastrophe echoes a major predicament of the whole system. No matter what form the future

decree may take, the nation's boss and intellectuals must gravely attend to the grounds of the

tribulations and build up approaches & lines of attack to prevail over the deep-rooted tradition of

corruption. By not doing this, the long-standing predictions for this nation state in the

international economy will be much put at risk.

I have been reading about Ferdinand Marcos for quite sometime and for the benefit of the

success of this research paper including Marcos’ rule over the Philippines. Allow me to quote

the last thing I encountered in my readings.


"Ferdinand Marcos had the intellect, the leadership skills, and the opportunity to be the greatest

president of the Philippines in the 20th century. Instead, his impact was ruinous for the economy,

the society, and the political institutions of his country. The lost opportunity of economic growth

and social prosperity stunted an entire generation and left the Philippines far less competitive

than many of its neighbors in Southeast Asia, where economic growth during the same period

was spectacular."

My question to you is, would the Philippines be as successful as other Asian countries China,

Japan, Korea, Singapore, had they not been so corrupt during the Marcos regime? Or would the

country just be the same?

Also, where do you think the Philippines would be if Marcos was never president?

I know that it has been years since Marcos was in power and that it’s time to move on.

But my question is, what would the Philippines have been if it wasn't for the corruption of the

Marcos regime?

Let’s face it we had lots of advantages that other Asian countries did not have: the people

spoke better English than other Asian countries; Philippines was one of the few Asian countries

that was not swayed by Communism; the country had the United States on its side as allies and

for economic support.

Could there be possibilities that the Philippines be an Economic Powerhouse in Asia, if

the different tides of events in the country didn’t happened at all?


President Marcos had a vision of a "New Society" or the "Bagong Lipunan". Projects

were made to put the Philippines in the world map like the Cultural Center of the Philippines. Its

first major event was hosting the Miss Universe pagent back in the 1970's. Also there was a drive

towards a Filipino identity. Filipino languange or Tagalog was promoted. Government

agencies/positions used Filipino names like Kabataang Barangay (the predecessor of

Sangguniang Kabataan) including government sponsored events like Palarong Pambansa

(National Games). The name of Congress was changed to Batasang Pambansa (National

Assembly or Parliament). The name Barrio was changed to Barangay. Architects were

encouraged to use Filipino designs hence the Coconut Palace in Manila was built and including

other Marcos era buildings.

Unfolding stages of the administration are quite good, then, unfortunately something

happened while on the way to different phases of economic development and growth of the

country and Marcos became corrupt. If Marcos only followed Singapore’s Prime Minister Lee

Kuan Yews leadership style, the Philippines would have been in a far better state even until now.

We should be aware that Singapore was ruled by Prime Minister Lee by means of dictatorship

(in such a way that there is no press freedom and under martial law) hitherto Singapore grew as

an built-up country. Marcos had his chance but he blew it. The former president had all the

individualities of a grand leader but he basically took the road that is hard and long to travel (an

opposite to Robert Frost’s poem, The Road Not Taken) that made his administration crumbled

into pieces.
Asking question like, if Marcos didn’t became the president of the Philippines, I guess

the Philippines would be slightly better off today. The country would still have bi-political

parties (Nacionalista and Liberal) alike to the US and corruption would probably be manageable.

However I qualm the Muslim insurgency would have been avoided since Mindanao has always

been neglected since the start of the Philippine Republic.

The Philippines was corrupt under the Marcos regime, but the corruption has continued

under every regime since then.

The people of the Philippines need to change their way of thinking. The "come what

may" attitude [ ‘bahala na si bathala’, ‘devil may care’] is a stumbling chunk in the road of

success for all of us who comprises the Philippine archipelago, particularly, the Filipino people.

We need to try and work together for change in our beloved country, but I do know that

it's easier said than done, especially with extreme poverty, earthquakes, volcano eruptions, flash

floods, excessive pollution, typhoons, brownouts, kidnappings, traffic, and other problems that

most of our compatriots encounter on a daily basis. Things are very slowly getting better in the

Philippines, but it’s going to take many years to get out of the hole that corruption pushed them

into.

BIBLIOGRAPHY:

 Grossman, G. & E. Helpman. 1994. “Protection for Sale,” The American Economic

Review. 84(4):833-850.
 Graeff, P. and G. Mehlkop. 2003. ‘‘The Impact of Economic Freedom on Corruption:

Different Patterns for Rich and Poor Countries,’’ European Journal of Political Economy,

19(2):605–20.

 Pangalangan, R.C. (ed.) 2002. Law and Newly Restored Democracies: The Philippines

Experience in Restoring Political Participation and Accountability, IDE Asian Law Series

No. 13. Japan: Institute Of Developing Economies. Available online at

<http://www.ide.go.jp/English/Publish/Download/Als/pdf/13.pdf > (accessed on August

31, 2009).

 Persson, T. and G. Tabellini. 2005. The Economic Effects of Constitutions (Munich

Lectures).Cambridge: MIT Press.

 “The Wit and Wisdom of Imelda Marcos.”

<http://www.thewilyfilipino.com/imelda.htm > Accessed on August 24, 2009.

 Wolmuth, R. 1986. “The Imelda Marcos Shopping Guide: a Cache 'n' Carry Way to

Spend the Fortunes of a Nation,” People, April 07, 25(14)

http://www.people.com/people/archive/article/0,,20093327,00.html

1. What is corruption?

 Leff, N. (1964). “Economic Development through Bureaucratic Corruption,” The

American Behavioral Scientist, 8(3):8-14.

 Noonan, Jr., J.T. (1984). Bribes: The Intellectual History of a Moral Idea. New York:

Macmillan Publishing Company.

 Mocan, N. (2008). “What determines corruption? International Evidence from

Microdata,”. Economic Inquiry. Published online Jan 16, 2008

http://www3.interscience.wiley.com/journal/120121491/issue
 Dixit, A. (1996). The making of economic policy: A transaction-cost politics perspective.

Cambridge: MIT Press.

 Tapales, A (1995). Wounds of Corruption. 49 (2): 189.

 Rose-Ackerman, S. (1996). “Democracy and “Grand” Corruption,” International Social

Science Journal, 48(3): 365-380.

 Rose-Ackerman, S. 1997 “The Political Economy of Corruption,” in K. A. Elliot ed.

Corruption and the Global Economy. Washington D.C.: Peterson Institute for

International Economics. Also available online

http://www.petersoninstitute.org/publications/chapters_preview/12/2iie2334.pdf

(Accessed on August 25, 2009).

 Mauro, P. (1995). “Corruption and Growth,” Quarterly Journal of Economics,

110(3):681-712.

2. Philippines Under Marcos Regime

 Albert F. Celoza, Ferdinand Marcos and the Philippines: The Political Economy of

Authoritarianism (Connecticut: Praeger Publishers, 1997), 23.

 Philippine Politics and Corruption: A Sociopolitical Digression. (2000). <

http://www.apmforum.com/columns/orientseas22.htm> accessed on August 21, 2009.

 Celoza, F. (1998). Marcos on the go.p.28. Unlad Publishing House.

 Steinberg, D. The Philippines: A Singular and a Plural Place (San Francisco: Westview

Press, 1994), 120.

 Hutchison, J. (1997). “Pressure on Policy in the Philippines,” The Political Economy of

South-East Asia: an Introduction (Melbourne: Oxford University Press, 1997), 81.


 Boyce, J. (1993). The Philippines: The political Economy of Growth and Impoverishment

in the Marcos Era, (London: Macmillan Press, 1993), 255.

 Vos, R. & Yap, J.. The Philippine Economy: East Asia’s Stray Cat? (New York: St.

Martin’s Press, 1996), 24.

3. ‘Who is Marcos?’ & “Marcos‘ Philippine Political Economy : The Successes &

Failures”

 Cortez, Rosario ed. Philippine Presidents: 100 Years. Quezon City: New Day

Publishers, 1999.

 Garcia, L. Mga Pangulo ng Pilipinas. Pasig City: Anvil Publishing, 1994.

 Paterson, J. America's boy :the Marcoses and the Philippines . Manila: Anvil Publishing,

1998.

 Tatad, F. Marcos of the Philippines. Manila: Department of Public Information, 1975.

 Velasco, R. The Presidents Republic of the Philippines: Biographies and Pictures.

Loacan Publishing House, 1996.

 Philippine History – Marcos Administration (2006).

http://www.philippinecountry.com/philippine_history/marcos_time.html retrieved on

August 25, 2009.

 Du Vall, P. (2001), A force more powerful: a century of nonviolent conflict, Macmillan,

p. 384.

 Philippines Timeline (2005). http://www.philippines-timeline.com/second-

independence.htm retrieved on September 5, 2009.


 “Ferdinand Marcos,” Encyclopedia of World Biography. ©2005-2006 Thomson Gale, a

part of the Thomson Corporation. http://www.bookrags.com/biography/ferdinand-

marcos/ All rights reserved. May 20, 2008.

 Faundo, V. (2009). Philippine graft & corruption.

http://www.mnnetherlands.com/directory/delpilarfaundoven/100/100_graftandcorruptioni

ntheph.php retrieved on August 25, 2009.

 Heroes and Killers of the 20th century. November 24, 2007.

<http://www.moreorless.au.com/killers/marcos.html> May 20, 2008.

 "Ferdinand Marcos," Microsoft® Encarta® Online Encyclopedia 2008

http://encarta.msn.com © 1997-2008 Microsoft Corporation. All Rights Reserved. May

20, 2008.

You might also like