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The Philippine Society:

Post EDSA Until the Current Era

An Undergraduate Research Paper Presented

To

Prof. Rimando Escultura Felicia

In Partial Fulfillment of Requirements

For SOCI 1013 – Sosyolohiya, Cultura, at Pagpapamilya

By

BS Psychology 3-2

Cervantes, Stephanie V.
Estocapio, Mary Rose V.
Morin, Michael Angelo
Paloma, Brianne Jilmer B.
Pelueta, Michelle Anne V.

October 2018
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I. Introduction

As George Bernard Shaw said, “Progress is impossible without change, and those who

cannot change their minds cannot change anything.” During the martial law, also known as the

dark chapter of our country, effectively putting the entire power of one man. The declaration had

suspended the civil rights of man and imposed military authority in the country, he aims to quell

the rising number of violations caused by communists, to protect the welfare of every Filipino

from the rebellion of Muslims that threatens their lives. He wanted everyone to follow the law

implemented in the country but ended up, people feeling being held up and violated.

It was supported by many Filipinos since they saw it as a change and as a solution to the

growing corruption in the country.

When they realized the effects of the proclamation, the minds of people awaken, stepped

up and organized a peaceful revolution, a people power revolution during the year 1986 at the

Epifanio de los Santos Avenue (EDSA), with only their prayers and courage as their armor and

weapon. This inspired the world on how to effect change without any bloodshed, through a

peaceful revolution that begets freedom from an oppressor.

Subsequently, post EDSA up until to this day, the Philippines is strongly determined to rise

its economy and its society.

The hope of change was achieved. The effects of the former administration, the

proclamation of martial law and its effects on the Philippine economy and society is in the process

of transition, development, and reconstruction. Enlightenment brought change in the society by

thinking and reflecting on the wrong doings of the former administration.

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Change and reflection on the past mistakes made is itself a work in progress. The data and

information in this report will be helpful to figure out the social system that prevails by utilizing

the economic status of the country during the post EDSA from every administration by

determining the forces and relations of production that exists upon.

II. Statement of the Problem

This study is centered in knowing what kind of social system exists during the post EDSA

era up until the today. What is the forces of production; the people involved, their primary means

or tools of production, and the technology and level of work cooperation is aimed to be determined.

What is the relations of production; the owner, the person involved in the production, and their

sharing. These secondary questions is aimed to be determined to conclude the kind of social system

prevailing during the post EDSA until this present time.

III. Review of Related Literature

Economics studies how man properly allocates scarce resources to satisfy his unlimited

wants and needs within a society or community. It deals with people and society that performs a

variety of tasks and activities to survive. In relation to sociology in economics, the collective

actions of people, mainly, their culture and beliefs affects the activities of the economy in the

society. Therefore, the state of a country’s economy greatly affects the living conditions in a

society. By looking at the economic state of every administration of presidents during the post

EDSA until this current era can give us insights about the living conditions of the society.

Under the Corazon Aquino administration her contributions were major pieces of

legislation affecting the economy were passed. These include the Foreign Investments Act of 1990,

the Consumer Code, the Comprehensive Agrarian Reform Law, and the Local Government Code.
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Major economic reforms were also undertaken to liberalize trade, banking and foreign exchange.

While the economy registered modest growth rates during the first three years of President

Corazon C. Aquino’s term, a combination of natural calamities, seven military coup attempts, and

a strict stabilization program took its toll on the economy. In the last year of Aquino, the economy

had a negative growth rate. It was very hard for the Aquino administration to recover from the

different economic problems and issues from the past administration. Economic successes

generated their own problems. The trade deficit rose rapidly, as both consumers and investors

attempted to regain what had been lost in the political crisis of the 1983-1985 period. Industrial

growth fell from 6.9 percent in 1989 to 1.9 percent in 1990; growth investment in 1990 in both

fixed capital and durable equipment declined by half when compared with the previous year.

Privatization and the dismantling of monopolies would best describe President Aquino’s

administration. With the establishment of the Asset Privatization Program mandated to sell

government corporations, Aquino had substantially reduced the number of government owned and

controlled corporations.

The Philippines was recovering from economic difficulties that arose from the lack of

foreign investors during the Aquino administration. Because of the Coup attempts, foreign

investors felt it was risky for them to invest in the Philippines, thus, economy wasn’t booming.

(Aquino Administration) During the Ramos administration however, the Philippines took pleasure

from economic growth and stability. Though the Asian Financial Crisis of 1997 struck, the

Philippines wasn’t as badly affected as other Asian Nations. During this crisis, the Philippine Peso

devaluated and dropped because of a fiscal deficit.

President Fidel Ramos (1992-1998) was given high marks for handling the economy. By

breaking apart monopolies, liberalizing foreign investment laws and privatizing business and
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industries by controlled powerful families, Ramos was crediting with transforming the Philippines

from a country with a history of poverty, corruption, rebellion, foreign ineptness and tax evasion

into an economic powerhouse that was not yet an Asian tiger but was sometimes referred to as

Asian tiger cub. The growth rate during the Ramos years was a robust 5 percent a year and inflation

was in the single digits, down from 25 percent in 1990. Under his leadership, fiber optic lines were

installed, property values soared, five star hotels and condominiums were built, the stock market

showed big gains, overseas workers began returning home and the former American military bases

at Subic and Clark became thriving trade and industrial centers. Foreign investment increased.

Companies like Acer (a Taiwanese company) and Intel moved into the Philippines Much of the

prosperity was linked to investments from Hong Kong by tycoons like Gordon Wu, who shipped

their money to Manila before the reunification with China. In the early 1990s, the Philippines was

regarded as an economic rival of Thailand and Malaysia now it lags far behind them.

The economy under the administration of President Joseph Estrada became one of the major

setback to the economy of the Philippines in his times. According to the data that we have gathered,

Estrada favored the companies in which were owned by Filipinos, and because of this, foreign

investors were turned off also due to his cronyism and scandals. The country's peso, the stock

market and confidence as a place to invest dropped did also with his approval ratings. In addition

of this, Foreign companies as such as Philips Electronics and Johnson & Johnson pulled out of the

country.

Estrada failed to prove in his actions that he was a friend of the poor due to failure to launch

a strong anti-poverty programs. And at the end, Estrada demonstrated that he's a friend of big

businesses. Alongside to it is the revival of corruption and cronyism charges to him. Which were

followed by inconsistent monetary policy, slow economic growth and uncertainties brought by
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terrorist and insurgencies. Furthermore, Estrada didn't gave much effort to collect taxes as such

for road pavements, setting up irrigation projects and building schools.

Following his ouster in 2001, he left the government with a huge budget deficit and debt

payments which are double of what the country is spending on the health, education and agriculture

sector combined.

Presidency of Gloria Macapagal Arroyo, the 14th President of the Philippines. An

Economist, a Filipino professor of economics at Ateneo de Manila University where eventual

President Benigno Aquino III was one of her students and she’s also a politician, a 10th Vice

President of the Philippines from 1998 to 2001, a deputy speaker of the 7th Congress from 2016

to 2017, also a member of the House of Representatives representing the 2nd District of Pampanga

since 2010. Arroyo was first duly elected female Vice President of the Philippines and second

female President. Gloria Macapagal Arroyo served remainder of her predecessor Joseph Estrada's

term from January 2001 up until the last term, and Arroyo was elected to a full second term in

2004. She delivered a good economic result on her first year.

The presidency of Gloria Macapagal Arroyo was not just about on how the country will

built. In fact, she also focused on giving the country a better education by giving a budget of 40

million pesos for new school buildings, her best shot was unfortunately boost when it comes to

education. Her concern turns to prioritizing the printing of 10 million copies of textbooks for

19,000 public schools especially the students who's in Grade 1 and Grade 4. To assure that the

student’s perspective will be more knowledgeable when it comes in education. The Arroyo's

administration believes that the more educated people in the Philippines can bring a bigger chance

of economic growth. She improved the Teacher Welfare, and there's an additional hiring of 15,000

new teachers for the schools and students to be able to prevent lacking in education and knowledge.
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Health of the Filipinos, “Ang kalusugan ay karapatan ng bawat Pilipino”, its objective is to ensure

consumers get value for money by providing them better access to branded medicines of high

quality at lower prices. About Inadequate Budget Starving the Country's Health System, Sean

Velchez(HEAD national staff) said, “The grossly inadequate budget allotted for health services

has forced many health professionals to work abroad, while those who opted to stay are stuck in

unfair labor practices and low wages.”

During her term the growth of gross domestic product (GDP) fall down into 3.4 percent ,

some said that her term is said to be the “ Darkest Legacy”. The economy under Arroyo

administration having the longest period in our country's history of jobless and unemployed

Filipinos happened in Arroyo's term. Arroyo's term also has the reported GDP of about 4.5% unlike

to Ramos of 3.4%, Estrada of 2.4 %, and Aquino of 3.9%. At the top of Arroyo’s agenda, she has

put poverty reduction, more than 31 million Filipinos, lived on less than P40 a day. The Arroyo

administration plays up the economic growth over its time. During her term probably the jobless

and poverty rises. The quality of jobs created is very poor: 3.8 million are “unpaid family workers”,

12.1 million are “own account workers”, and around 12.6 million are “wage and salary workers”

but without written contracts. The number of poor Filipinos increased by 530,642 or 13% since

2000 to reach 4.7 million in 2006. The economic legacy of the Arroyo administration will be the

biggest obstacle on any effort improve the welfare of the people.

By reading the article, a World Bank official said, that the economic prospects of the

Philippines have improved a year after Gloria Macapagal Arroyo became president, by giving tens

of millions of her countrymen a chance at a better life. But according to the stated and reported

percentage, the poverty and jobless people is continuing to rise.

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The presidency of Benigno Aquino III, famously known as PNoy began on June 30, 2010.

He is the fifteenth president of our country, succeeding Gloria Macapagal Arroyo, and is first to

be one to have no wife as he sat on his position. During his administration our economy boomed,

as he is a graduate of economics in Ateneo de Manila University. Utilizing the knowledge, he got

our country economic system grew, leading to a better life. Through this we were named as the

“Rising Tiger of Asia”. Through his outstanding governance as the president, what were his

contributions to our society and its system? The following factors improved the quality of life of

the people by the boom and growth of our economy during his term, beyond the numbers.

According to Sicat, to assess the administration we must look and judge the economy by

its performance and its impact to the Filipinos. One way to judge is to look at the growth.

According to statistics, our GDP grew in average of 6.5 percent until 2015. This record is

outstanding. What does the 6.5 percent GDP mean? Where did it came from. Sicat says, the drivers

of growth will be our eye to judge and to prove the growth of our country. The drivers of growth

that placed our country at its peak is through the businesses and opportunities available for the

people or the workers. The main or the leading drivers of growth are the expanding OFW

remittances and BPO (business process outsourcing) earnings internationally. These have

strengthened and serve to sustain our growth domestic product (GDP).

The expansion of the BPO in our country is the leading work provider for the people. They

are high users of labor. Employing many young, newly, and skilled graduated students. This

industry may not be new in our country and from past administration, but under the term of PNoy

it led our country to its peak in terms of economy. During his term the rate of inflation is controlled.

Financial pressures were also controlled and stabilized.

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International trade exists. Our overseas Filipino workers (OFW) are our top exporter and

their remittances entering the country is our top import for the country to generate wealth.

Regarding the abundance of BPO companies here in our country, we promote free trade and private

entrepreneurship, yet the government restricts by imposing high tariffs.

he first year term of the Duterte Administration's Gross Domestic Products fluorished by

6.4 to 6.5 percent throughout the whole year. With the contributing factors in the sector of

Manufacturing and trade Industries, real estate renting, and business activities.

Alongside the progress of the GDP, the Philippine Stock Exchange index (PSEi) upsurges

almost every day reaching a new peak of 8,400-point level in the last update in October 12, 2017,

and the Board of Investments projects reached 268 with the total value of 294-8 Billion in the first

half of 2017,

Total exports according to the data of the PCOO in Aug. 2017, rose by 9.6 percent to

US$5.5-billion. The boost in the exports at the restoration of the Asia-Pacific region contribute to

the third of the GDP

Moreover, in the first half of 2017, employment gain, creation of new jobs and the

employment rate has been enhanced. The country achieved a 57% employment gain with the

estimation of 58,758 new jobs. The employment rate at the start of the 2nd half were estimated

within 94.4% which were accounted by the service sector at 55.6% of the total employed, 25.2%

were in the agricultural sector and 19.2% at the industrial sector. This is mostly due to abolishing

contractualization and improving the regularization of most workers.

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At the first half 2018, the country accomplished quite considerable economic feats.

According to the report of the Philippine Statistics Authority in April 12, 2018, the country's GDP

increases by 6.7% in the whole year of 2017, still in the lead of the economic growth race. In

accordance with the Department of Finance (DOF) in its report in March 2018, tax collection

revenues reached P2.251 trillion.

As stated by the BOI in the month of January to April 2018, they have transcribed P195.7

billion worth of approval for investments, a 28% increase compared to the P153.1 billion

investment approvals at the same period of last year.

IV. Research Methodology

The viewpoint used in this research is the theory of Emile Durkheim, the structural

functionalism. Elements of society are understood by their role and/ or function in maintaining

order and how the institutions function to integrate the people. This research is focused mainly on

the economic structure of every president during post EDSA until this time. The method utilized

in data gathering is qualitative. Analyzing the content of related literature helped the researchers

to determine the problems stated above. Analyzing the economic status of each administration

during post EDSA up until the current administration we have determined the necessary answer to

problems stated above.

The work was divided equally and fairly. Everyone has his/her part to contribute to the

value and content of the paper. Cooperation and work were built within the group. Due to the lack

of resources such as a stable internet, the main communication of the researchers, contact is the

primary problem. Time management was poorly developed due to other requirements to be

submitted prior to the submission of this paper. The problems were addressed through the
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determination of the researchers in achieving a common goal, which to present a valuable paper

and to share knowledge unto their classmates.

V. Findings

In reading through related literature, we, researchers present the following findings. By

looking at the economic system of the different administrations under the post EDSA until today,

we, researchers can say that it affects how the people live at that time. Based on the economic state

our country on different administration we have determined the forces and relations of production

prevailing in our country.

In the rural areas in our country, the prevailing people in production are the landlords and

serfs or the farmers, where their primary means of production is through the use of land. The

production technology is through fragmented production. The production in the rural areas in our

country is still from agriculture. According to John Pennington, in the Philippines, many farmers

do not own the land they work. Instead, landlords own the land, and the farmers work for them.

This hacienda culture is one that the Philippines inherited from the Spanish. Despite attempts to

reform the system, poverty in the Philippines is rife. Farmers and rights activists fought for the

land they believe is theirs. They occupied and seized the property of leading Filipino families.

In the urban area, however, there is an abundance of businesses where people can get a job

at. Through the communication and partnership of our country from different countries we have

financial inflows to cause us to generate wealth. The people in the production are the bourgeoise

or what we call now businessmen and the proletariat or the workers are the ones who work and

sustain the living businesses, where their primary tools or the means of production is through the

use of capital. The socialized and collective labor that is based on the organized, modern and
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massive production is the production technology used in the urban area in our country. The Filipino

and foreign businessmen has the total ownership of the capital, supervising their workers and in

return from the labor our service they are paid wages.

VI. Conclusion

Based on the findings of the study, the following conclusions are drawn. The prevailing

social system in the Philippines during the post EDSA until this present day is a feudal-merchant

social system. The divine right principle is still rampant; rich Filipino families owning land and

farmers working to maintain. This social system can be seen largely in our provinces, especially

provinces with large haciendas.

Consequently, mercantilism also prevails in our country, the Philippines business

transaction is improving here in our country. Business process outsourcing companies trades with

our Filipinos’ skills and abilities paying them back with wages. Overseas Filipino workers work

for other countries, giving our country remittances to sustain is gross domestic product. There is

free trade and free entrepreneurship, yet still the government gives tariffs, giving restriction to

these transactions.

We conclude that our country has a mixed social system. Feudalism still exists in our rural

areas. While in the urban business transaction and trade prevails thus, we can say that the

Philippines is also have a mercantilist social system, where we generate wealth by the import and

export, in and outside our country.

The vision of change and development is still in our mind or heart. We may be a feudal-

mercantilist society but our country is in the process of stepping into being a capitalistic country

wherein perfect competition exists.

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BIBLIOGRAPHY AND WORKS CITED

Books:

1. Tullao, T.S. (2015) Understanding Economics In The Philippine Setting. Quezon City, Phoenix
Publishing House, Inc
2. Antonio, E.D., Dallo, E.M., Imperial, C.M., Samson, M.C.B., & Soriano, C.D. (2011) Turning
Points IV. Manila City, Rex Bookstore Inc.

Articles from the Internet:

1. Dark Legacies: The Philippine Economy Under Arroyo Carlos Conde -

https://asiancorrespondent.com/2010/06/dark-legacies-the-philippine-economy-under-arroyo/
2. Duterte's Economic Performance : Real Numbers – Presidential Communications Operations
Office https://pcoo.gov.ph/news_releases/dutertes-economic-performance-real-numbers/
3. Edsa After 25 Years, Its Relevance For Social Change (pr) Press Releases- Tweets that mention
Edsa After 25 Years. http://bulatlat.com/main/2011/02/25/edsa-after-25-years-its-relevance-for-
social-change-pr/
4. Gloria Macapagal Arroyo (2001-present) https://bloomspresidents.wordpress.com/gloria-
macapagal-arroyo-2001-present/
5. Mercantilism: European National Policy http://people.upei.ca/rneill/canechist/topic_1.html
6. Milestones After Edsa 1: Events That Shaped the Philippines and the World ABS-CBN News.
https://news.abs-cbn.com/-depth/02/24/11/post-edsa-i-milestones-1
7. Ramos Administration
http://www.seasite.niu.edu/tagalog/tagalog_default_files/philippine_culture/ramos_administration
.htm
8. The Philippine Economy and Benigno Aquino III's Presidency, 2010-2016
https://www.philstar.com/business/2016/01/05/1539645/philippine-economy-and-benigno-
aquino-iiis-presidency-2010-2016
9. Why the Philippines' Feudal Agricultural System Is Here To Stay
https://www.aseantoday.com/2018/01/why-the-philippines-feudal-agricultural-system-is-here-to-
stay/