Are economic forces and economic growth affected by people's mindsets?

I have been thinking of the rippling effect this past couple of days. When a droplet of water kisses the river, it creates several beautiful rings. For every action, there comes a reaction. Thus, everything that we do creates an effect or a series of effects. But in order to bring about any effect, one must have a reason to do a certain action. What would bring about this action?

There has to be an innate urge or intention to do a certain action. Nobody sane would suddenly punch someone for no reason. I'm sorry but I do not believe in, Trip ko lang! That's all bull seriously. There has to at least be a minimal pushing factor to execute something. If we do not fully intend to do something, it must have at least been put into execution by our subconscious.

This brings me to my point, are economic forces and growth affected by our mindsets? Are they actually affected by our dispositions or what we believe in? I have always been a believer that Filipinos are one of the most resilient people in the world. We have a very high adversity quotient. We do not simply give up to the challenges that we face. May it be flood, volcanic erruption, landslide, we easily cope with the tragedies and move on with our lives. It is amazing. I saw one of the episode of the apprentice way back and they showed successful people-turned-bums because of 9/11. No offense but Filipinos have experienced way more than that event. Way more and most of them are standing up with smiles on their faces (at least for now...).

If we are so good in handling adversity, why then do we lag behind in our economic output? Let us not undermine the fact that our GNP is growing but we have never actually experienced a BOOM. One of the premiere economist in the Philippines has been criticized for having a poor forecast about this economic boom. Our university founder, Dr. Bernardo Villegas was given the name Prophet of Boom. So, why then have we not seen such a boom?

In my opinion, I would attribute this sad event to three reasons:

1.) Our mindsets are directed towards what is bad. It is a pity that people actually visit this blog: www.cofibean.blogspot.com. It is a blog that criticizes the underprivileged Filipinos. This is writen by a Filipino himself. He refers to the unprivileged as native orcs. The bad part is, people have somehow found the comments as something to laugh about. Truth is, the blog could be funny in a way because the author is ridiculously stupid; couple it up with his bastardizing of the English and Filipino languages with a flavor of pure discrimination and mean people would find it a delight. This is however, really sad. I mean, Filipinos have always been famous of coining jokes and anecdotes regarding our being pasaway, our kababayans mispronouncing certain words and some people who are jologs. We laugh at it but we hate it. We hate the fact that these things exist and yet we find laughter in these things. It is really pathetic. I would admit I am guilty with some of these bad traits. A couple of days ago, my friend and I talked about this and she gave me a really interesting comment: We hate some parts of our culture but we are the ones who actually make it. It is also sad that we treat it as a joke. You would even hear these jokes in homilies or by people in authority. It is bad. This to me, is a big problem. You see, you tend to look at yourself the way you are treated. If you let people push you around, you accept your status as a loser. You are almost good-for-nothing. And you accept what the jocks do to you. If you wear some really nice suits and ties, You would really feel like you are a corporate worker and you find great esteem in this. It could be bad when you put others down to uplift your status. But the point is, you tend to act in the way you perceive yourself. Sadly, we accept our mediocrity and our pasaway so we tend to act like this. Ika nga nila, pasaway talaga tayo. So magpasaway na tayong lahat. We create horrible norms and we just laugh at them and perform them.

2.) As a corollary, we actually accept bads in our society and culture that we just get immuned to being treated in such a way. In high school, we came up with really offending nicknames and we hit each other jokingly. We got used to it and it sort of became a joke. Some people would be offended by it but to us, it's mundane; it's our norm. I would dare say that this is true in the real world. We get so used to the bad things around us. We satisfy ourselves with poorly maintained jeepneys, tricycles and buses. I ripped three of my shirts in the jeepney because there are hanging metals. My shirt sometimes get dirty because of the dust and a cockroach once flew to me inside the jeepney. It is disgusting and terrible but we're used to it. Get over it. Third World Country. That's what you pay for not using your car or not having one. We go to certain parts in Guadalupe or any poor area with gulubongs (gulong sa bubong to keep the roofs sturdy against typhoons).We see it as the way it is. Eh ganun talaga eh! Sino bang may hindi ganun sa area na yun? Makuntento ka na! Thus, we get to have sub par living conditions and we settle for it. It's terrible. We look at it as if we don't deserve better. Mind you! WE DO DESERVE BETTER! WE DESERVE THE BEST!

3.) Lastly, whenever we surpass any adversary, we tend to be all optimistic and cheerful. We take pride in surviving tragedies and look at ourselves as if we are omnipotent and we can survive everything. Wake up! We barely make it. We should not be complacent. The fact that thousands die every year because of typhoons indicate that we are not at all omnipotent. Please lang! Let us all seek to actually prevent deaths instead of relying on luck and graces to save ourselves. When we survive typhoons, it does not mean we are strong. It only means the typhoon affected a different region. The problem is, we are victims of poor path dependence. We experience the same bad, shitty things because we don't do anything to fight the problem. We allow people to die and we give them donations to rebuild their houses and stop from there. We report on charitable institutions donating to victims only to find out that those who survived will be affected again next year. I think there is a foundation who is starting to resolve this but the fact is, the majority are still sitting on their asses. Scratching their heads and saying, Sus! Ganyan talaga ang buhay!

Do I think economic forces and economic growth are affected by people's mindsets? Hell yeah! The numbers do not lie. And the numbers are reflections of what are being done. If we do mediocre things, we shouldn't be shocked with mediocre results.

something is really bothering me...

I have been flat out irritated more than thrice this week. Being a civil person that I am, I tend to hide my negative feelings and simply smile or at least hold my temper to a manageable level. However, there is this person that is being too much and it irritates the crap out of me. Couple this up with some of the things that people unintentionally do and I almost reach my tipping point. I do not want to reach my tipping point.

It bothers me that I am feeling this because I have managed my temper well ever since I got to college. I have been very patient but this sort of thing just ignites my temper.... GRRRRR!!!

I need help!!!

I think I am actually growing up...

I made one of the biggest mistake a friend could do today. It was terrible! I absolutely failed. It is a good thing that my friend was able to forgive me and I was able to keep the damage at its minimum. Truth be told, I am very grateful to have a friend like him. He never gave me any stereotype or forced me to change or anything. We are just the way we are and we accept things as they are.

Even though I failed miserably today; I think I handled the situation the way a mature individual would handle it. I actually feel like I am becoming a better individual. I have always thought that I should minimize my frivolous acts and start to act like a man but this is not the case. I am 19 turning 20! I am not really expected to act like a super adult. I should simply act in accordance to whatever the situation calls for. I failed miserably but I would like to believe I made up for it.

Now that my life is getting more and more complicated, I actually think it is very important to go back to the basics.


Go back to SIMPLE PRINCIPLES that we learned we were young.
- Do not betray your family and friends.
- Treat others with respect.
- Behave properly.
- etc...

At the end of the day, these are all that matter right?

some thoughts about oil and sin taxes

I recently read from the newspaper that the Bill and Melinda Gates Foundation donated a lump sum amount of 500,000 USD to the victims of Bagyong Frank. Utmost focus will be given to the affected areas in Ilo-ilo and another province I can't recall. They gave the money to the Bishop Conference I think so I guess it is sure to reach the poor. The distribution will vary according to the severity of the typhoon's effect in the families involved. Thanks Bill! I hope you help out more by funding preventive measures so we could avoid accidents like these. Also, I hope Microsoft starts giving various price schemes so students could purchase your software cheaper than the workers. I'm almost graduating so I could not take advantage of this but I think it will help solve or minimize piracy and computer illiteracy. Your man Steve Balmer could do this... =)

Off to the economic side of things. I saw in TV a proposal given by several UA&P (my school) professors about lifting the VAT from oil and imposing one in cigarettes. I heard this proposal is being rejected by the legislative branch. I do not know the full details and I would research on it but I want to voice out my take on the subject. The imposition of VAT on cigarettes would generate more than 50B pesos. The VAT imposed on gas generates more than 70B pesos. Even if the numbers may be overestimates, the VAT on cigarettes would still be big. Isn't it simple enough to understand? In addition, gas has an inelastic demand from the retail market and public transportation. It is very much in use to deliver goods and to transport something to somewhere. It therefore affects a whole lot of markets that are needed by everyone. If you ride the MRT, you'd really feel the effect too! There are too many people riding it. I won't be shocked if they raise the rates too! The MRT uses electricity but oil and coal are needed for electricity. Oil has high multiplicative effects on other goods and services. Cigarettes however would only affect a considerable amount of people since not all of us are smokers. It is also a hard vice to break so chances are, people would still consume a lot of the product. It would work! I have actually wanted higher taxes on alcohol too! I drink alcohol as well but I mean, it would still be good to pass on the taxes here so people who could barely eat three meals a day would have more purchasing power to leave a more decent life. Occasional drinkers would barely feel the effect and the party-goers don't really drink that much. Now, the alcoholics who are different from the party drinkers would still drink a lot. Promise! They would still get more money. Why do I say this? PEOPLE DO NOT STOP DRINKING OR SMOKING BECAUSE PRICES ARE HIGH AND THEY CANNOT AFFORD THE PRODUCT. THEY STOP DRINKING FOR HEALTH, FAMILY AND FRIENDS.

So there! I think it takes a whole lot of effort from the government and the civil society because oil might reach 200USD a barrel!

GRRRRRRRRRR!!!!!!!..........

Like an idiot...

Earlier today, our professor scolded our class and gave us two zeroes for our academic requirements. This is the third zero that I got for something that is not even my fault. Afterwards, our next professor scolded us for being too submissive or rather, passive in recitation. This gave her the feeling that we copied each others' homework-which is not entirely true. We did the homework in groups. Well, okay. We should do it independently next time. In other words, I had a very tough school morning. It does not even include my conflict with my dad. I cannot understand why we can't get along well. It' not like I'm not trying. It was a difficult morning for me particularly because I had a bad night last night and everything just piled up. Why can't I just be happy? Why does something always have to go wrong?

If it is for any consolation, I had a rather smooth afternoon. I think I performed at 85% of what I could offer. I could have performed better but I was and still am disturbed by everything that's happening... Man! I hope things could just go perfectly... even once! Please!

My moment of relief and fulfillment however would be cut short come dismissal. I went to 7/11 for a quick bite. I needed to have something cause it is going to be a long ride home. When I got out of the store. Rain started to pour. Out of fear of being stuck in school, I ran to the MRT station. What took me 20 minutes, took me 8! Improvement of 60%! The cost however, is a haggard looking Bien whose shirt is soaked in rain..... and sweat.... To make things worse, the MRT is full so I had to wait for trains to pass until I got one that is at the very least fitting for humans. (This would never happen in the morning. I force the issue because I do not want to be late... I can't afford to be late!!!)

When I reached my stop, I took a jeepney home. The jeepney happens to be owned by our neighbour and the driver used to be our driver. He refused to accept my payment but I insisted because times are hard and service is service. He must get his due. I was sitting there, thinking of the homework that I have to submit tomorrow; thinking of a way to study the Agricultural Revolution; thinking and thinking and thinking of how I could survive MathStat when two people rode the jeepney. I am one of those people who minds his own business. I do not like looking at people or checking what they are doing because I find it disrespectful but when I looked to my right when I was thinking of something, I thought I saw someone I knew... Someone close to me but I went back to what I was thinking......

......

......

......

I decided to give a second glance and our eyes met. She really is the person I thought I saw. She looked down when I was about to say 'Hi!'. She was with a guy. And the guy was close to her. My heart beat twice as fast if not thrice. Adrenaline rushed over my head. I wanted to confront the guy and ask him of his intentions, his name, how they met but she would never look at me to even acknowledge me. I can't believe she would not even look at me after all we've been through. Truth is, she is the only girl I cared for in High School. Everyone else did not matter. She is the only girl I took seriously in High School. She is the only girl I wanted to take to the prom... but she left and I didn't want anyone else... She was my High School Sweetheart. I just can't believe she is with someone now...



Boy! Did I look like an idiot or what!?


Thus, I have the worst night in my life. I wanted to finish off my Kahluah when I got home but I have class tomorrow. I wanted to look for an outlet to ease my pain. I just avoided going to my parents' house because my dad might have unkindly words in store for me. I feel like shit right now... I know I said I'd stop swearing but it is what it is...


She is the first girl I first genuinely cared for. I can't believe she would not even look at me. I talked to her a couple of months ago and we parted in good terms. Now, it's just PLAIN KICK-ME-IN-THE-CROTCH!!!


What makes all of these hard is I have been thnking of the girl that followed her. A girl that I cannot take away from my heart. How I wish I met her later. How I wish I met her when I'm done with all my stuff. I just can't move on. Why did I have to find the girl I wanted to marry for the rest of my life at such a young age? I could have had some fun times with other girls. I could have gotten to know other people. Worse is, I cannot even go out with sure things just because I can't forget about her. I'm not blaming her for anything but come on! This simply isn't the best situation for me or anybody else!

Thus, I have a problem with moving on and looking for other options. I do not know why. It's not like Iwanna get married in my twenties or anything. I actually plan to delay marriage for as long as I can. But why do I have to meet the right girl so early??? Also, why did I have to screw it up??? WHY??? Why can't I have the things that I need at the right time? At first, my parents, friends and the elders are all like: "You'll get over it. That's just infatuation. You'll find other girls..." Nobody took my feelings seriously. Four years later, the very same girl is in my heart.

My feelings towards the girls I have been with gradually became better. At first, I just followed what everone else was doing. It was kinda cool to have a girlfriend. Then, I actually wanted to have one. Then I started to care for a girl in high school and I actually loved a girl in college. Problem is, why did I have to meet and screw my chances with the one I really wanted for the rest of my life??? And why can't I move on and forget about her? There are lots of times when I would plan something with another girl but I would always change my mnd simply because I have not forgotten about her and to be honest with you, my feelings have not changed one bit. I would still do everything for her. Too bad everything else is not the same. The only thing constant is my love for her...

I actually planned to share something economical today. I had a lot of great ideas but my attention really had to be diverted to this relationship thing. I do not understand it! Hypothetically I could not move on from the first firl I ever loved, will I ever be with another girl? Will I be a bachelor? Worst is, will I ever be happy? Lastly, will shebe happy with all of these? Does she even know this problem? Has she moved on with her life? Will I see her with another guy and look like an idiot AGAIN!?!?!?!?

I hope my situation does not create a path dependence. I don't wanna live my life this way! This is just plain TERRIBLE! WAAAAAAAAAAAAAAAAAAAHHHHHHHHHHHHHHHH!!!!!!!!!!!!!!!!!

Please give me some time to sort things out! You're always part of my plans! What am I saying?

------------------------------- (33 y/o)----------------------------------------->>
MARRY HER

If you find this unfavorable,

-----------------------------ANYWHERE--------------------------------------->>
ANYTHING
ANYTIME
YOUR TERMS!!!!!!!

Just tell me, you know I'll do everything for you... Because if I get to spend the rest of my life with you, I can't wish for more happiness. I'll give up my dreams. I'll give up my goals. I'll give up everything! BECAUSE ALL THE HAPPINESS THOSE COULD BRING ME IS FAR LESS THAN THE HAPPINESS I GET WHEN I'M WITH YOU... I miss the old days! The times I actually wished I already had a significant fortune and I could support a family. You just ain't no fling...

The writer of the article I talked about...

The writer of the article I talked about is Mary Grace Alcala. It is entitled It Depends...

Let's give credit where it is due.

Path Dependence and Character Formation...

I have been reading a lot of articles from the Breakonomics PDF files that our professor gave us and I chanced upon an article written by a girl who graduated probably two years ago, Sorry, I forgot the name. I only read the title and the contents. I'm bad with names also. Anyway, the writers of the magazine pretty much focus on basic economic concepts such as sunk costs, budget constraints, opportunity costs and trade-offs. Much like me! But this girl provided me with a term I have rarely encountered.

It was only a couple of minutes ago that I realized I read it from my Business Statistics book. Anyway, there is an economic/mathematical concept called path dependence. This concept helps you predict the future outcome/result of an action or event based on historical data or past events that already occurred. This is very interesting.

Put the case of a 90% free-throw shooter! Whenever he shoots the ball, the probability of the ball going in the basket is 50-50. He either misses it or makes it. Those are the only two outcomes. But since he has a record of making 9 free throws out of ten, people would of course expect him to make the free throw.

Another case, let's say a student loves to cram. Every time he fails a test however, he says he's going to stop cramming. Let's say it's new year and his resolution is to stop cramming. You think he'll really stop cramming? According to past events, there is a high chance that he would continue to cram.

This makes me reflect on what I learned from my mentor. Commitment to a schedule and strengthening one's will to do what one has to is very important because it forges character. Put it simply, having a good historical data of one's ventures and life in general, would increase the chances of building a good character and a happy life.

I like increasing my odds!

I leave you with this quote:
Bad habits are like a comfortable bed, easy to get into, but hard to get out of. - Anonymous

I am so confused right now...

I have been having this urge to study abroad for the last two years. It was a defining moment. From the time I went to the EHEF-Manila Symposium in Makati Shang, I knew I wanted to study in France. Problem is, it's 6,000 USD excluding day-to-day expenses. I could choose a 2,000 USD school, which is way below than what I pay here but I didn't like their programs that much. I also wanted to consider IESE but it's really, really expensive. They're the best business school in Europe though... Another set of schools that I drool for are the Ivy League schools in the US. If you go to those schools, you are good to go! Seriously!

But my main obsession is Columbia Business School, which is not an Ivy League School. Problem is, I do not know how I will be able to support myself when I'm studying there already. I mean, tuition fee is one thing but the daily expenses? I dunno... sighs... Anyway, I'll ask my mentor for advice.

Quote from our Dean, Dr. U who also studied abroad (Purdue):

"Usually, universities would pride themselves of their graduates or their Nobel Prize winner faculty professors but at the end of the day, it's up to the student to fully utilize the education he receives. And even if you study in a great school but the faculty could not teach you well, you're better off in an average school with a faculty who could teach you well."

The message was something like that. hehe... Any advice?