21 July 2013

Altering Economic Objective to "Growing Through Employment"

Reference to Rappler's post
"Snapshot: Economy under Aquino"

What should we expect from PNoy's fourth State of the Nation Address (SONA) tomorrow?

The President will surely report about the administration's good governance, anti-corruption achievements over the last years, as well as the economy's high GDP growth. He will also tell us his agenda for the remaining three years of his presidency. I do hope that it should, among others, include strategies for the environment (sustainable development) and law & order (especially, safety and security of good citizens in the streets and in day-to-day lives!).

Now, on this snapshot of the Philippine economy under Aquino, the figures should tell us that there is a need to change the economic objective of PNoy: from growing through investments (GDP) to growing through employment. This sounds stupid to orthodox economics because of the assumption that growth derived from investments automatically create jobs. But the reality — as shown in this statistics where there's not just 'jobless growth' but also the coexistence between increasing GDP and high under-/un-employment — is that in economic policy, there's really a trade-off between growing through GDP and growing through employment. 

Source: Rappler
I propose that PNoy should alter the country's economic objective to grow through employment, and moderate its obsession to GDP growth. This alternative strategy can and should be poverty eliminating, politically feasible, and environmentally sustainable — thus potently addressing the country's socio-economic-ecological ills.

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