Biyernes, Oktubre 14, 2016

THE PHILIPPINES UNDER FERDINAND MARCOS
Source: http://www.oocities.org/collegepark/pool/1644/marcosera.html

For more than 20 years (Dec. 30, 1965 – Feb. 25, 1986) Ferdinand Marcos ruled the Philippines. He promised to make the nation great again in his inaugural speech of December 30, 1965.

His political venture began with his election to the House of Representatives in 1949 as a Congressman from Ilocos. He became Senate President in 1963. He was married to Imelda Romualdez from Leyte.

He ran for President as Nacionalista in 1965 election and won over Macapagal. Elected with Marcos as Vice-President was his NP running mate Fernando Lopez.

THE FIRST MARCOS TERM (1965 – 1969)

In his first term Marcos tried to stabilize the financial position of the government through an intensified tax collection. He also borrowed heavily from international financing institutions to support a large-scale infrastructure works projects were built. He improved agricultural production to make the country self-sufficient in food, especially in rice.

Marcos also tried to strengthen the foreign relations of the Philippines. He hosted a seven-nation summit conference on the crisis in South Vietnam in October, 1966. In support for the U.S. military efforts in South Vietnam, he agreed to send Filipino troops to that war zone.

THE SECOND TERM OF MARCOS (1969 – 1972) In November 1969 Ferdinand Marcos and Fernando Lopez were re-elected. They defeated the Liberal Party ticket of Sergio Osmeña, Jr. and Senator Genaro Magsaysay. In winning the election, Marcos achieved the political distinction of being the first President of the Republic to be re-elected.

The most important developments during the second term of Marcos were the following:

The 1971 Constitutional Convention The Congress of the Philippines called for a Constitutional Convention on June 1, 1971 to review and rewrite the 1935 Constitution. Three-hundred twenty delegates were elected. The convention was headed first by former President Carlos P. Garcia and later by former President Diosdado Macapagal.

The Convention's image was tarnished by scandals which included the bribing of some delegates to make them "vote" against a proposal to prohibit Marcos from continuing in power under a new constitution. This scandal was exposed by Delegate Eduardo Quintero. For exposing the bribery attempt, Quintero found himself harassed by the government.

The first Papal Visit to the Philippines On November 27, 1970, Pope Paul VI visited the Philippines. It was the first time that the Pope had visited the only Catholic nation in Asia. Huge crowds met the Pope wherever he went in Metro Manila. The Pope left on November 29.

The Rise of Student Activism

Students protests on the prevailing conditions of the country saddled the second term of Marcos in office. Large throngs of students went out into the street of Manila and other urban centers to denounce the rampant graft and corruption, human rights violation, high tuition fees, militarization and abuses of the military, the presence of the U.S. Military bases and the subservience of the Marcos Administration to U.S. interests and policies.

The most violent student demonstration took place on January 1970 when thousands of student demonstrators tried to storm the gates of Malacañang. Six students were killed and many were wounded. This event came to be know as the "Battle of Mendiola".

The radical student groups during this period were the Kabataang Makabayan (KM) and the Samahang Demokratikong Kabataan (SDK). The communists took advantage of the situation and used the demonstrations in advancing its interests. The most prominent of the student leaders of this time were Nilo Tayag and Edgar Joson.

THE ESTABLISHMENT OF NEW PEOPLE'S ARMY (NPA)

Because of the perceived deplorable condition of the nation, the communist movement subdued by President Magsaysay in 1950's, revived their activities and clamor for reform. A more radical group, the Maoists, who believed in the principles of Mao-Tse-Tung (leader of China) took over the communist movement. They reorganized the Communist Party of the Philippines (CPP) and created a new communist guerilla army called the New People's Army (NPA).

The communists took advantage of the growing discontent with the Marcos. Administration to increase the number and strength. As a strategy, they actively supported a number of anti-Marcos groups. They infiltrated several student organizations, farmers, laborers and even professionals. The NPA gradually increased its ranks and spread to other parts of the country as far as Mindanao.

THE RISE IN ACTS OF VIOLENCE

In the early 1970's many of the acts of violence were inspired by the communists. Some, however, were believed to have been planned by pro-Marcos and other terrorist incidents rocked Metro Manila. The bloodiest was the Plaza Miranda Bombing on the night of August 1, 1971 where the Liberal Party had a political rally. Eight persons were killed and over 100 others were injure. Among the senatorial candidates injured were Eva Estrada Kalaw and several of its top officials.

Marcos blamed the communists for the tragic incident. He suspended the writ of habeas corpus to maintain peace and other. The suspension was lifted on January 11, 1972. Hundred of suspected subversives among the ranks of students, workers and professionals were picked up and detained by the government.

THE PROCLAMATION OF MARTIAL LAW

On September 21, 1972, Marcos declared Martial Law. This marked the beginning of the Marcos dictatorship. Proclamation 1081 placed the entire country under the military. It was signed on September 21, 1972 and announced to the nation in the evening of September 23, 1972. His main reason for declaring Martial Law as "to save the Republic" and "to reform society". He explained that the growing violence in the nation, caused by the leftists and the rightists elements had come to certain magnitude that required martial law.

It was believed that the true reason why Marcos declared martial was to perpetuate his rule over the Philippines. The 1935 Constitution limited the term of the President to no more than eight consecutive years in office.

The constitution did not say how long martial law should last. The constitution left much about martial law to the President's own judgment.

Marcos extended the period of Martial Law beyond the end of his term in 1973. He abolished the Congress of the Philippines and over its legislative powers. Thus, Marcos became a one-man ruler, a dictator. Marcos described his martial law government as a "constitutional authoritarianism".

Although the courts remained in the judiciary, the judges of all courts, from the Supreme Court down to the lowest courts, became "casuals". Their stay in office depended on the wishes of the dictator.

Under the martial law Marcos disregarded the constitution. For instance, he violated the provision which guaranteed the Bill of Rights (Article III). Upon his orders, the military picked up and detained thousands of Filipinos suspected of subversion. Among them were his critics and political opponents namely Senator Benigno S. Aquino, Jr., Francisco "Soc"Rodrigo, Jose W. Diokno and Jovita R. Salonga. Hundreds of detainees were tortured by their captors. Some disappeared and were never found again. Many were held in military detention camps for years without trial.

As a result of the foregoing measured, the crime rate in the country was reduced significantly. People became law-abiding. But these good gains did not last long. After a year of martial law, crime rates started to soar. By the time Marcos was removed from power, the peace and order situation in the country had become worse.

This communist insurgency problem did not stop when Marcos declared Martial law. A government report in 1986 showed that the NPAs already numbered over 16,000 heavily-armed guerillas. The NPAs waged a vigorous war against government forces They staged ambuscades and engaged in terrorist activities such as assassination of local officials who were known to be engaged in corrupt activities. The NPA killer squads were called Sparrow Units. They were feared in the areas under their control. They also imposed taxed in their territories.

To fight the growing NPA threat, Marcos increased the armed forces to over 200,000 men. He also organized Civilian Home Defense Forces in the rural areas threatened by the NPAs . Several NPA leaders were captured like Jose Ma. Sison, alleged founder of the communist Party in the Philippines; Bernabe Buscayno, the NPA chief, and Victor Corpus, a renegade PC lieutenant.

The rampant violation of human rights of the people in the rural areas suspected of being NPA sympathizers, the injustices committed by some government officials and powerful and influential persons, and the continuing poverty of the people were used as propaganda of the NPA in attracting idealistic young people. Even priests and nuns who were witnesses to the oppression of the Marcos dictatorship join the NPAs. One of the priests who joined the NPA was Father Conrado Balweg of the Society of the Divine Word (SVD). He became a rebel folk hero to the ethnic tribes in the Cordilleras in Northern Luzon. As of July 1993, Balweg claimed to reports: "I am still in charge".

POLITICAL PARTIES DURING THE MARCOS REGIME

In the early years of martial law, political parties were suspended. Political parties resumed only with the election for the Interim Batasang Pambansa on April 7, 1978. It was the first national election under Martial law.

The second electoral exercise was the election of local officials held on January 30, 1980. As expected, political parties resurfaced. Those who supported President Marcos formed the Kilusang Bagong Lipunan (KBL) which became in fact anew political party. Its members were from the ranks of the Liberal and Nacionalist parties. The KBL dominated all the elections held during the Marcos era.

New political parties emerged to fight the KBL. One such group was the Lakas ng Bayan (LABAN) founded in 1978 by the opposition group headed by former Senator Benigno S. Aquino, Jr. LABAN had a 21-man ticket in Metro Manila for the 1978 IBP elections. The KBL candidates headed by Imelda R. Marcos prevailed in the elections.

Aside from LABAN, the other partied organized were the Mindanao Alliance, the Partido Demokratiko ng Pilipinas (PDP), Bicol Saro, Pusyon Bisaya and Pinaghiusa in Cebu. Later on these small political parties united themselved into one umbrella organization that came to be known as the United Nationalist Democratic Organization (UNIDO) headed by former Senator Salvador H. Laurel. The UNIDO had its first electoral exercise in the 1984 Batasan elections. The great majority of the 60 or so opposition lawmakers who were elected in 1984 were UNIDO candidates.

ECONOMIC CHANGES UNDER MARCOS

To hasten the economic development, President Marcos implemented a number of economic programs. These programs helped the country to enjoy the period of economic growth I the mid-1970's up to the early 1980's.

The farmers were given technical and financial aid and other incentives such as "price support". With the incentives given to the farmers, the country's agricultural sector grew. As a result, the Philippines became self-sufficient in rice in 1976 and even became a rice exporter.

To help finance a number of economic development projects such as soil exploration, the establishment of geothermal power plants, the Bataan Nuclear Plant, hydro-electric dams, the construction of more roads, bridges, irrigation systems and other expensive infrastructure projects, the government engaged in foreign borrowings.

Foreign capital was invited to invest in certain industrial projects. They were offered incentives including tax exemption privileges and the privilege of bringing out their profits in foreign currencies. One of the most important economic programs in the 1980's was the Kilusang Kabuhayan at Kaunlaran (KKK). This program was started in September 1981. Its aim was to promote the economic development of the barangays by encouraging the barangay residents to engage in their own livelihood projects.

The government's efforts resulted in the increase of the nation's economic growth rate to an average of six percent to seven percent from 1970 to 1980. The rate was only less than 5 percent in the previous decade. The Gross National Product of the country (GNP) rose from P55 billion in 1972 to P193 billion in 1980.

Another major contributor to the economic growth of the country was the tourism industry. The number of tourists visiting the Philippine rose to one million by 1980 from less than 200,000 in previous years. The country earned at $500 million a year from tourism. A big portion of the tourist group was composed of Filipino balikbayans under the Ministry of Tourism's Balikbayan Program which was launched in 1973.

Another major source of economic growth of the country was the remittances of overseas Filipino workers. Thousands of Filipino workers found employment in the Middle East and in Singapore and Hongkong. These overseas Filipino workers not only helped ease the country's unemployment problem but also earned much-needed foreign exchange for the Philippines.

FOREIGN-RELATIONS POLICY UNDER MARCOS REGIME

In 1976 President Marcos announced to the Filipino people his policy of establishing relations with communist countries such as the People's Republic of Chine (june 9, 1975) and the Soviet Union (June 2, 1976).

Relations with the United States was modified. It was no longer based on the "sentemental ties" but on mutual respect for each other's national interest. Thus, the military and economic agreements between U.S. and the Philippines were amended to reflect this new relationship. In the amendments to the RP-U.S. Military Bases Agreement of 1947, the U.S. acknowledged the sovereignty of the Philippines over the American military bases in the country (Subic and Clark). These bases would have a Filipino commander and would fly the Philippine flag. IN addition, the U.S agreed to pay rentals to the Philippines for the use of the bases.

Marcos established closer ties with the Asian countries. The Philippines became a leading member of the Third-World – the collective name for the developing countries at that time. The Philippines actively participated in such world conferences as the United Nations Conference on Trade and Development (UNCTAD) meeting held in Nairobi, Kenya, in 1976 and in the International Meeting on "Cooperation and Development held by the heads of 21 nations in Cancun, Mexico, in 1981.

Marcos took his oath of office on June 30, 1981 at the Luneta Park for a six-year term ending in 1987. On that occasion Marcos announced the establishment of a "New Republic of the Philippines".

The lifting of Martial Law

After implementing the program of development, Pres. Marcos issued Proclamation NO. 2045 on January 17, 1981, lifting Martial Law. Martial Law lasted for eight years, 3 months and 26 days. Mr. Marcos lifted Martial law to show to the Filipinos and the world that the situation in the Philippines was already back to normal. The government had already been functioning smoothly under the 1973 Constitution. Despited the lifting of Martial law, however, Marcos remained powerful and practised authoritarian rule.

The Presidential Election of 1981

Marcos called for a presidential election to be held on June 16, 1981. In this election he had Alejo Santos of the Nacionalista Party as opponent. Former Senator Benigno Aquino, Jr. was then living in exile abroad and could not run for presidency. The Liberal Party did not take part in the election. It was a runaway victory for Marcos who obtained 88% of the total votes cast. It was believed that Marcos won in the 1981 election because he was in full control of the situation.

Marcos took his oath of office on June 30, 1981 at the luneta Park for a six-year term ending in 1987. On that occasion Marcos announced the establishment of a "new" Republic of the Philippines.

THE RETURN AND ASSASINATION OF BENIGNO S. AQUINO, JR.

When martial law was proclaimed, the first politician to be arrested by the military on order of Ferdinand Marcos was Benigno S. Aquino, Jr. Aquino, a popular political leader, spent nearly eight years in a military detention cell at Fort Bonifacio.

In 1980, Marcos allowed Aquino to leave the country to enable him to undergo an emergency heart bypass operation in the United States. When Aquino decided to come home in 1983, the government tried to stop him, claiming that there were some people who wanted to kill him. He was asked to postpone his return. But Aquino persisted, and by using fake travel documents, he was able to fly back to the Philippines.

When the China Air Lines jetliner carrying him landed at the Manila International Airport at about 10:00 p.m., on August 21, 1983, soldiers boarded the plane and took him away. As Aquino and his military escorts were going down a stairway, a shot was heard, followed later by more shots. After a while, Aquino laid dead on the airport tarmac. Nearby laid the body of Rolando Galman. Galman was pointed as Aquino's "assassin."

The assassination of Aquino was reported to have awakened the Filipinos to the evils of Marcos as a dictator. Millions of Filipinos who sympathized with Aquino bereaved family, joined the funeral march to mourn for the death of an intelligent leader and to express their feelings against Marcos.

The assassination transformed Ninoy Aquino into an "idol". The battlecry "Ituloy ang laban ni Ninoy!" and "Ninoy, hindi ka nag-iisa" were heard from anti-Marcos demonstrators that erupted in Metro Manila and other urban center in the country.

The demonstrations were participated by different sectores, namely students, workers, farmers, businessmen, professionals and religious (nuns, priests and seminarians).

Many militant and cause-oriented groups were the August Twenty-One Movement (ATOM), Justice for Aquino, Justice for All (JAJA), Bagong Alyansang Makabayan (BAYAN).

The Aquino assassination gave Marcos a bad image abroad, Public opinion in the United States went against Marcos. President Reagan of the United States cancelled his state visit to the Philippines.

On October 14, 1983, President Marcos issued PD 1886 creating a five-man independent body to investigate the Aquino assassination. Headed by Mrs. Corazon Juliano Agrava, a retired Court of Appeals Justice, the investigation body came to be known as the Agrava-Fact-Finding Board (AFFB). The other members of the board were businessman Dante Santos, labor leader Ernesto Herrera, lawyer Luciano Salazar, and educator Amado Dizon.

The members of the AFFB, however, identified 25 military men and a civilian as participants in the plot. Those identified include AFP Chief of Staff General Fabian C. Ver, Jam. General Prospero Olivas of the PC Metropolitan Command (METROCOM) and Gen. Custodio.

President Marcos referred the two reports to the Sandiganbayan for trial. The trial began in Feb. 1985, and was presided over by Sandiganbayan Presiding Justice Manuel Pamaran. This trial became known as "Trial of the Century".

On December 2, 1985, the Sandiganbayan handed down its decision. The tribunal ruled that the 26 accused were innocent and that it was Galman who was hired by the communist who killed Aquino.

THE DECLINE OF THE ECONOMY

As the investigation and trial of the Aquino Assassination was going on, the Philippine economy was having hard times. There was a slow down of economic activities caused largely by high price of oil. The Philippine traditional exports such as sugar and cocunut oil were experiencing a price decline in the world market. The government was forced to borrow more money from the International Monetary Fund to help keep the economy going. The foreign debt of the Philippines reached $26 billion. A big portion of the annual earning of the country was allocated to the payment of annual interest on loans.

The tourism industry suffered a great decline after the Aquino Assassination. The wave of anti-Marcos demonstrations in the country that followed drove the tourists away. In addition, the political troubles hindered the entry of foreign investments. Foreign banks also stopped granting loans to the Philippine government. Foreign creditors started demanding payment of the debts which were already past due.

Without an adequate supply of foreign exchange, the industry sector could no longer import raw materials needed in production. Many factories had to close shop of cut their production because of the difficulty of obtaining raw materials. Many workers were laid off.

Marcos tried to launch a national economic recovery program. He nogotiated with foreign creditors including the International Bank for reconstruction and Development, World Bank, and the International Monetary Fund (IMF), for a restructing of the country's foreign debts – to give the Philippines more time to pay the loans. Marcos launched the Sariling Sikap, a livelihood program, in 1984. He ordered the cut in government expenditure to be able to save money for financing the livelihood program.

Despite the recrovery program, the economy continued to decline. A negative economic growth was experienced in the country beginning in 1984. The failure of the recovery program was due to the lack of credibility of Marcos and the rampant graft and corruption in the government. Many officials went on stealing the people's money by millions through anomalous transactions. Marcos himself spent large sums of government funds to help the candidates of the KBL to win.

THE SNAP ELECTION OF 1986 As the economy continued to decline, the IMF, World Bank, the United States and the country's foreign creditors pressured Marcos to institute reforms as a condition for the grant of additional economic and financial help. Rumors then spread about the possibility of a snap presidential election.

The rumors turned to be true because in November 1985, Marcos announced that there would be a snap presidential election. Marcos said that he needed a new mandate from the people to carry out a national economic recovery program successfully. The Batasang Pambansa enacted a law scheduling the election on February 7, 1986.

The divided opposition had the problem of choosing a candidate to fight Marcos. There were several opposition leaders who aspired to run for president, one of them being former Senator Salvador "Doy" H. Laurel who was nominated in June 1985 by the UNIDO to be its presidential candidate in any future presidential election. But none of them could unite the opposition.

A majority of the opposition and other anti-Marcos groups proposed instead that Mrs. Corazon C. Aquino be made the common opposition candidate for president. Due to a growing nationwide clamor for her to lead the opposition, Aquino agreed to run if Marcos would call for an election and at least one million people would sign a petition urging her to run for president. After the announcement of snap election by Marcos, the Cory Aquino for President Movement (CAPM), organized by Joaquin "Chino" Roces, was able to solicit more than one million signatures nationwide asking Mrs. Aquino to run against Marcos.

Upon the advice of Jaime Cardinal Sin, the Archbishop of Manila, former Senator Salvador Laurel of the UNIDO Party decided to sacrifice his presidential ambition for the sake of unity of the opposition by agreeing to run as Corazon Aquino's vice-presidential candidate.

The campaign period was from Dec. 11, 1995 to Feb. 5, 1986. The two rival political camps had their slogans and symbols. The LABAN Party of Cory Aquino had yellow as the symbolic color while the KBL of Marcos had red. The Aquino'' campaign slogan was "Tama na, Sobra na, palitan na!" The Marcos slogan was "Marcos pa rin!" Aquino had her "L" sign while Marcos had his "V" sign.

Corazon Aquino campaigned on the issue of ending the Marcos dictatorship and the restoration of freedom, justice and democracy. She charged Marcos with impoverishing the nation by allowing his family and cronies to rob the Filipinos of their wealth though illegal transactions. She also denounced the gross violations of human rights of the Marcos regime. She promised to give justice to the victims of harassment and abuses by the government officials.

President Marcos accused Mrs. Corazon Aquino of being a communist herself and said that her husband, Ninoy Aquino, was one of the founders of the Communist Party of the Philippines. He warned that an Aquino victory would pave the way for communist rule in the Philippines. Marcos also criticized Aquino for her lack of experience in government.

IN the election campaign, Marcos said that he favored the retention of the U.S. Military Bases. On the other hand, Mrs. Aquino said whe would let the U.S. Military stay until 1991 when the Military Bases Agreement (MBA) expired.

Mrs. Aquino also accused Marcos of being responsible for her husband's assassination. She also disclosed that Marcos was a fake World War II hero.

THE PRESIDENTIAL ELECTION OF 1986

On February 7, 1986, election day, about 20 million registered voters cast their votes in som 86,000 election precincts throughout the country. It was the most historic in the history of the 3rd republic. It was reported to be the "most controversial and confusing election" ever held in the Philippines, the "most internationally publicized election", and the "most fraudulent election" in the Philippine history.

Marcos resorted to massive vote buying to ensure his victory. KBL leaders in many areas used armed goons to terrorize the voters. There were instances of ballot box snatching. Flying voters were used. Election returns were falsified or altered.

So widespread was the cheating that the Catholic Bishops Conference of the Philippines (CBCP) in a statement issued a week after election, strongly condemned the conduct of the election. The CBCP described the election as "unparalleled in its fraudulence".

The Batasang Pambansa convened itself to make an official canvass of the election returns and to proclaim the winners. Based on the certificates of the canvass submitted to it by the Comelec registrars of 143 provinces, cities, and election districts, the Batasan on Feb. 15, 1986 proclaimed Ferdinand Marcos and Arturo Tolentino as the duly elected president and vice-president , respectively. The official Batasan tabulation showed that Marcos obtained 10,807,197 votes as against Aquino's 9,291,715 votes.

The Batasang Pambansa, which was controlled by the KNL, went on with the canvassing amidst the objections of the opposition members. The opposition MPs pointed out that there were irregularities in most of the certificates of canvass.

The fraudulent election Feb. 7, 1986 destroyed the image of President Marcos and his government abroad. Based on the reports of foreign newsmen and on what they saw on television, many people in the Philippines and abroad felt that Marcos was not the legitimated President of the Philippines. They believed that it was Corazon Aquino who won the presidency. As a result, except for the Soviet Union, not one foreign country congratulated Marcos.

The fraudulent election weakened American support for the Marcos Regime. After receiving the report of Senator Lugar who headed the U.S. election observer team in the Philippines, President Reagan said that "the fraudulent election casts doubts on the legitimacy of Marcos' re-election.

Mrs. Corazon Aquino, believing that she won, refused to accept the election of Marcos. So did the Catholic Church and many other groups which issued strong statements condemning the fraudulent election. On Feb. 16, 1986, Corazon Aquino launched a civil disobedience nationwide at Luneta.

The Philippines on the Eve of the EDSA Revolution

On the eve of the revolution, President Marcos was already a demoralized and beleaguered dictator. The international community of nations was convinced that there was fraud in the February 7 snap election and that he was a president who no longer had the mandate of the people. At that moment, influential members of the U.S. Congress were already urging Marcos to step down and over the presidency to Mrs. Corazon Cojuanco Aquino.

In the country, particularly in Metro Manila, political tension was rising to new heights. The Aquino civil disobedience movement rapidly gained heights and strengths. Students and teachers in many colleges and universities boycotted their classes to protest the fraudulent. February 7 election. Worker's groups planned for a general labor strike throughout the nation.

In the face of these events which threatened his dictatorial regime, Marcos began to issue warnings. He threatened to use his extra-ordinary powers to crush the strike movement. And he gave indications to impose martial law again. In fact he had already prepared a plan code named "Everlasting". The plan called for sending out soldiers loyal to his regime into the streets of Metro Manila to spread terror and violence. They would be in civilian clothes and would pretend to be Aquino followers. This would be used by Marcos as an excuse to impose martial law again in the country. Like what he did in 1972, Marcos would have the military arrest and detain the leaders of the opposition, including those among the clergy and in the armed forces who opposed him. But before he could carry out his plan, the EDSA Revolution of 1986 broke out.

Plans for a Military Coup De'etat

While the anti-Marcos sentiment in the country was growing, a group of young officers in the Armed Forces of the Philippines were making their own plans to overthrow the Marcos dictatorship. These officers were the leading organizers and members of a group known as the Reform the AFP Movement (RAM)

This movement was started in March 1985 by a group of officers who were graduated of the Philippine Military Academy. Its main aim was to work for reform in the armed forces. Just like the other branches of the government, the AFP was riddles with graft and corruption, favoritism and other anomalies that demoralized the decent members of the military. RAM wanted the restoration of professionalism in the military so that the AFP could regain its honor and pride. A reformed AFP, the movement's organizers believed, would be able to fight more effectively the growing communist threat in the Philippines. Minister of Defense Juan Ponce Enrile secretly sympathized with RAM. The members of the RAM came to be know as reformists.

The RAM.s pleadings for reforms were ignored by Marcos and the AFP Chief of Staff, General Fabian Ver. They were harassed by the dictator and the military. Because of this the Reformists decided to force a coup de'etat was made by the organizers who were close to Juan Ponce Enrile. It was headed by Col. Gregorio Honasan, the chief security officer of Enrile. But the Coup attempt did not take off because it was discovered by Ferdinand Marcos. Several plotters were arrested. Marcos then announced that the military rebels planned to attack Malacañang and to take over the government.

When the RAM realized that Marcos had discovered their plot they sought refuse at the Ministry of National Defense building at Camp Aguinaldo in Quezon City. Enrile took command of the military rebellion. General Fidel Valdez Ramos, the AFP vice-chief of staff and PC chief, sided with Enrile and the reformists and took over control of the Philippine Constabulary Headquarters in Camp Crame which is located across Epifanio delos Santos Avenue (EDSA) from Camp Aguinaldo.

OUTBREAK OF THE 1986 REVOLUTION

Enrile and Ramos announced to the nation in a press conference in Camp Aguinaldo that they were breaking away from the fold of the Marcos Dictatorship and that they supported Corazon Cojuangco Aquino. This announcement was made in the early evening of February 22, 1986.

They said that the Marcos did not win the February 7 snap Presidential election and therefore did not have the mandate of the people.

When Marcos learned about the defection of Enrile and Ramos, he immediately went on nationwide radio and TV to announce that he had discovered and failed the RAM's plot to overthrow the government. He demanded that Ramos and Enrile surrendered. He then promised to look into the grievances of the Reformists. But Enrile and Ramos defied Marcos' orders. The two rebel leaders said that the issue was no longer the reforms but the legitimacy of Marcos' rule. They called on Marcos to resign and warned him not to order any attack on Camp Crame and Aguinaldo for they were prepared to defend the camp. Marcos ordered General Fabian Ver to subdue the rebellion and recapture the two camps.
1

A brief history of Philippine martial law


Source: https://feudart.com/2009/08/01/a-brief-history-of-philippine-martial-law/

Proclamation 1081 and Martial Law

On September 21, 1972, Marcos issued Proclamation 1081, declaring martial law over the entire country , claiming that it was the last defense against the rising disorder caused by increasingly violent student demonstrations, the alleged threats of communist insurgency by the new Communist Party of the Philippines (CPP), and the Muslim separatist movement of the Moro National Liberation Front (MNLF). One of his first actions was to arrest opposition politicians in Congress and the Constitutional Convention. Initial public reaction to martial law was mostly favourable except in Muslim areas of the south, where a separatist rebellion, led by the MNLF, broke out in 1973. Despite halfhearted attempts to negotiate a cease-fire, the rebellion continued to claim thousands of military and civilian casualties. Communist insurgency expanded with the creation of the National Democratic Front (NDF), an organization embracing the CPP and other communist groups.
Under martial law the regime was able to reduce violent urban crime, collect unregistered firearms, and suppress communist insurgency in some areas. At the same time, a series of important new concessions were given to foreign investors, including a prohibition on strikes by organized labour, and a land-reform program was launched. In January 1973 Marcos proclaimed the ratification of a new constitution based on the parliamentary system, with himself as both president and prime minister. He did not, however, convene the interim legislature that was called for in that document.
Under the president’s command, the military arrested opposition figures, including Benigno Aquino, journalists, student and labor activists, and criminal elements. A total of about 30,000 detainees were kept at military compounds run by the army and the Philippine Constabulary. Weapons were confiscated, and “private armies” connected with prominent politicians and other figures were broken up. Newspapers were shut down, and the mass media were brought under tight control. With the stroke of a pen, Marcos closed the Philippine Congress and assumed its legislative responsibilities. During the 1972-81 martial law period, Marcos, invested with dictatorial powers, issued hundreds of presidential decrees, many of which were never published.
Like much else connected with Marcos, the declaration of martial law had a theatrical, smoke-and-mirrors quality. The incident that precipitated Proclamation 1081 was an attempt, allegedly by communists, to assassinate Minister of National Defense Enrile. As Enrile himself admitted after Marcos’s downfall in 1986, his unoccupied car had been riddled by machinegun bullets fired by his own men on the night that Proclamation 1081 was signed.
Most Filipinos–or at least those well positioned within the economic and social elites–initially supported the imposition of martial law. The rising tide of violence and lawlessness was apparent to everyone. Although still modest in comparison with the Huk insurgency of the early 1950s, the New People’s Army was expanding, and the Muslim secessionist movement continued in the south with foreign support. Well-worn themes of communist conspiracy–Marcos claimed that a network of “front organizations” was operating “among our peasants, laborers, professionals, intellectuals, students, and mass media personnel”–found a ready audience in the United States, which did not protest the demise of Philippine democracy.

The New Society

Marcos claimed that martial law was the prelude to creating a “New Society” based on new social and political values. He argued that certain aspects of personal behavior, attributed to a colonial mentality, were obstacles to effective modernization. These included the primacy of personal connections, as reflected in the ethic of utang na loob, and the importance of maintaining in-group harmony and coherence, even at the cost to the national community. A new spirit of self-sacrifice for the national welfare was necessary if the country were to equal the accomplishments of its Asian neighbors, such as Taiwan and the Republic of Korea (South Korea). Despite Marcos’s often perceptive criticisms of the old society, Marcos, his wife, and a small circle of close associates, the crony group, now felt free to practice corruption on an awe-inspiring scale.
Political, economic, and social policies were designed to neutralize Marcos’s rivals within the elite. The old political system, with its parties, rough-and-tumble election campaigns, and a press so uninhibited in its vituperative and libelous nature that it was called “the freest in the world,” had been boss-ridden and dominated by the elite since early American colonial days, if not before. The elite, however, composed of local political dynasties, had never been a homogeneous group. Its feuds and tensions, fueled as often by assaults on amor proprio (self-esteem) as by disagreement on ideology or issues, made for a pluralistic system.
Marcos’s self-proclaimed “revolution from the top” deprived significant portions of the old elite of power and patronage. For example, the powerful Lopez family, who had fallen out of Marcos’s favor (Fernando Lopez had served as Marcos’s first vice president), was stripped of most of its political and economic assets. Although always influential, during the martial law years, Imelda Marcos built her own power base, with her husband’s support. Concurrently the governor of Metro Manila and minister of human settlements (a post created for her), she exercised significant powers.

Crony Capitalism

During the first years of martial law, the economy benefited from increased stability, and business confidence was bolstered by Marcos’s appointment of talented technocrats to economic planning posts. Despite the 1973 oil price rise shock, the growth of the gross national product (GNP) was respectable, and the oil-pushed inflation rate, reaching 40 percent in 1974, was trimmed back to 10 percent the following year. Between 1973 and the early 1980s, dependence on imported oil was reduced by domestic finds and successful energy substitution measures, including one of the world’s most ambitious geothermal energy programs. Claiming that “if land reform fails, there is no New Society,” Marcos launched highly publicized new initiatives that resulted in the formal transfer of land to some 184,000 farming families by late 1975. The law was filled with loopholes, however, and had little impact on local landowning elites or landless peasants, who remained desperately poor.
The largest, most productive, and technically most advanced manufacturing enterprises were gradually brought under the control of Marcos’s cronies. For example, the huge business conglomerate owned by the Lopez family, which included major newspapers, a broadcast network, and the country’s largest electric power company, was broken up and distributed to Marcos loyalists including Imelda Marcos’s brother, Benjamin “Kokoy” Romualdez, and another loyal crony, Roberto Benedicto. Huge monopolies and semimonopolies were established in manufacturing, construction, and financial services. When these giants proved unprofitable, the government subsidized them with allocations amounting to hundreds of millions of pesos. Philippine Airlines, the nation’s international and domestic air carrier, was nationalized and turned into what one author has called a “virtual private commuter line” for Imelda Marcos and her friends on shopping excursions to New York and Europe.
Probably the most negative impact of crony capitalism, however, was felt in the traditional cash-crop sector, which employed millions of ordinary Filipinos in the rural areas. (The coconut industry alone brought income to an estimated 15 million to 18 million people.) Under Benedicto and Eduardo Cojuangco, distribution and marketing monopolies for sugar and coconuts were established. Farmers on the local level were obliged to sell only to the monopolies and received less than world prices for their crops; they also were the first to suffer when world commodity prices dropped. Millions of dollars in profits from these monopolies were diverted overseas into Swiss bank accounts, real estate deals, and purchases of art, jewelry, and antiques. On the island of Negros in the Visayas, the region developed by Nicholas Loney for the sugar industry in the nineteenth century, sugar barons continued to live lives of luxury, but the farming community suffered from degrees of malnutrition rare in other parts of Southeast Asia.
Ferdinand Marcos was responsible for making the previously nonpolitical, professional Armed Forces of the Philippines, which since American colonial times had been modeled on the United States military, a major actor in the political process. This subversion occurred done in two ways. First, Marcos appointed officers from the Ilocos region, his home province, to its highest ranks. Regional background and loyalty to Marcos rather than talent or a distinguished service record were the major factors in promotion. Fabian Ver, for example, had been a childhood friend of Marcos and later his chauffeur, rose to become chief of staff of the armed forces and head of the internal security network. Secondly, both officers and the rank and file became beneficiaries of generous budget allocations. Officers and enlisted personnel received generous salary increases. Armed forces personnel increased from about 58,000 in 1971 to 142,000 in 1983. Top-ranking military officers, including Ver, played an important policy-making role. On the local level, commanders had opportunities to exploit the economy and establish personal patronage networks, as Marcos and the military establishment evolved a symbiotic relationship under martial law.
A military whose commanders, with some exceptions, were rewarded for loyalty rather than competence proved both brutal and ineffective in dealing with the rapidly growing communist insurgency and Muslim separatist movement. Treatment of civilians in rural areas was often harsh, causing rural people, as a measure of self-protection rather than ideological commitment, to cooperate with the insurgents. The communist insurgency, after some reverses in the 1970s, grew quickly in the early 1980s, particularly in some of the poorest regions of the country. The Muslim separatist movement reached a violent peak in the mid1970s and then declined greatly, because of divisions in the leadership of the movement and reduced external support brought about by the diplomatic activity of the Marcos government.
Relations with the United States remained most important for the Philippines in the 1970s, although the special relationship between the former and its ex-colony was greatly modified as trade, investment, and defense ties were redefined. The Laurel-Langley Agreement defining preferential United States tariffs for Philippine exports and parity privileges for United States investors expired on July 4, 1974, and trade relations were governed thereafter by the international General Agreement on Tariffs and Trade (GATT). During the martial law period, foreign investment terms were substantially liberalized, despite official rhetoric about foreign “exploitation” of the economy. A policy promoting “nontraditional” exports such as textiles, footwear, electronic components, and fresh and processed foods was initiated with some success. Japan increasingly challenged the United States as a major foreign participant in the Philippine economy.
The status of United States military bases was redefined when a major amendment to the Military Bases Agreement of 1947 was signed on January 6, 1979, reaffirming Philippine sovereignty over the bases and reducing their total area. At the same time, the United States administration promised to make its “best effort” to obtain congressional appropriations for military and economic aid amounting to US$400 million between 1979 to 1983. The amendment called for future reviews of the bases agreement every fifth year. Although the administration of President Jimmy Carter emphasized promoting human rights worldwide, only limited pressure was exerted on Marcos to improve the behavior of the military in rural areas and to end the death-squad murder of opponents. (Pressure from the United States, however, did play a role in gaining the release of Benigno Aquino in May 1980, and he was allowed to go to the United States for medical treatment after spending almost eight years in prison, including long stretches of time in solitary confinement.)
On January 17, 1981, Marcos issued Proclamation 2045, formally ending martial law. Some controls were loosened, but the ensuing New Republic proved to be a superficially liberalized version of the crony-dominated New Society. Predictably, Marcos won an overwhelming victory in the June 1981 presidential election, boycotted by the main opposition groups, in which his opponents were nonentities.
SOURCES:
US Library of Congress

Martial law: costly lessons in economic development

Source: http://www.gmanetwork.com/news/story/172779/money/martial-law-costly-lessons-in-economic-development

Two major economic crises flanked the martial law era that was presided over by the late president Ferdinand Marcos. Both of those crises were caused by a combination of misguided policies and profligate spending related to elections on which Marcos had staked his grip on the nation. 

The first crisis spawned violent spasms from a restive citizenry, giving Marcos an excuse to impose martial law and silence opposition to his rule. After his reelection in 1969 that was characterized by record-high government spending, the Marcos government was confronted by a sharp devaluation of the peso in 1970 that required tight monetary and fiscal policies to stabilize but at the cost of popular disenchantment. 


Martial law became a moral and political necessity under the peculiar circumstances my country found itself in.
 President Ferdinand Marcos
Rattled by the series of student-led demonstrations and the prospect of the political opposition taking away power from him at the end of his second and last term in 1973, Marcos put the entire nation under martial law in September 1972. 

As fate would have it, another major economic crisis, in the early 1980s, virtually drove the Philippine economy into a standstill, crippling businesses and sending millions of Filipinos out of their jobs and into the streets. That crisis—unique at a time when the rest of Southeast Asia was roaring ahead economically—was the result of a crippling impact of the economy’s dependence on foreign debt which it could no longer afford to repay and the political instability caused by the popular outrage from the assassination of Benigno Aquino Jr. in August 1983. Private investors either moved out or froze operations. 

Marcos was left with no option but to call a “snap" election to validate his mandate. The strongman regime’s move to steal the ballot in the February 1986 election that many believe was won by the slain leader’s widow, Corazon Aquino, triggered a “people power" revolt that drove Marcos out of power and into exile and thrust Mrs. Aquino into the presidency. (Although Marcos “lifted" martial law in 1981 ahead of a visit by Pope John Paul II, he retained extraordinary powers as a dictator until his ouster.) 

Why Marcos did it 


On the industrial front, the regime moved toward export orientation through the establishment of enclaves, export-processing zones and bonded warehouses which later created minimal linkages and benefits for the rest of the economy.

Marcos had called his martial law regime a “democratic revolution." He said in a 1977 book that “martial law became a moral and political necessity under the peculiar circumstances my country found itself in," adding that the “New Society" that he had sought to establish then was “a reform government under martial law." 

Among the objectives he set out for was a restructuring of the national economy through the “active government participation and management" in economic planning and implementation. He initiated what he called “a free flow" policy in which foreign investments may be “repatriated at any time, profits remitted, and ‘frozen’ dollars allowed to be withdrawn." A four-year development plan his government adopted for 1974-77 called for “the establishment of a balanced agro-industrial economy" where agricultural products would be processed into semi-processed goods through the establishment of more factories and industries. He also set aside land for export processing zones where investors could set up operations with exemptions from payment of duties and income taxes. 

In trying to make the local business environment attractive to investments, Marcos clamped down on labor dissent that had percolated in the latter part of the1960s and early 1970s owing to a steady decline in the purchasing power of workers’ earnings despite overall economic growth. In fact, it was these low wage rates that also partly lured foreign investors into setting up shop in the Philippines during the early martial law years. 


The first few years of martial law were also “blessed" with dramatic increases in prices of commodities on the world markets.

The first few years of martial law were also “blessed" with dramatic increases in prices of commodities on the world markets. Being a big producer of such commodities as coconut, sugar, minerals and forest products, the Philippines was able to earn higher revenues that helped it cope with the increased cost of imported crude oil. The country’s net terms of trade, a measure of an economy’s exports relative to the cost of its imports, grew steadily by double-digit rates on the strength of a tripling of sugar and coconut prices and a doubling of log and copper prices until the mid-1970s. 

That helped domestic output, as measured by gross national product (GNP, the overall value of all goods and services produced in an economy), leap to a growth of 9.3 percent in 1973, nearly double the annual average rate it posted in the previous eight years. Although the GNP growth rate eased to 5.6 percent in 1974, it steadily gained pace again for the rest of the decade, registering an average “cruising speed" of over 6.4 percent from 1975 to 1979. 

Moving forward 

Emboldened by all these, the Marcos administration initiated massive spending sprees on infrastructure projects (roads, bridges, irrigation, dams, and communications) and on the development of indigenous energy resources as an alternative to costlier crude oil that had been absorbing huge portions of export revenues since the oil shocks of the early 1970s. Financing for these programs, as well as for the regime’s 11 so-called major industrial projects (MIPs) designed to push the economy towards industrialization, was secured from the international capital markets, which were then overflowing with petrodollars, surplus revenues of oil-producing countries that were looking for investment havens. 



Thus arose the term “crony capitalism," referring to associates of Marcos who gained monopolistic control of such key industries...
On the industrial front, the regime moved toward export orientation through the establishment of enclaves, export-processing zones and bonded warehouses which later created minimal linkages and benefits for the rest of the economy. While this strategy did lead to a surge in non-traditional exports, such as garments and electronics, local value-added in these products remained low because of their high import content. The MIPs, however, never took off owing to lackluster interest from investors and to their astronomically high costs. 

Under the cover of martial law, the government also took an increasingly interventionist stance on the economy. Marcos, through decrees that he issued in the absence of a legislative institution that he had abolished after imposing martial law rule, was dispensing monopoly privileges and power to individuals closely associated with him, including business friends and golfing cronies. 

Business empires were built by these associates, mainly with the aid of exemptions from tariffs and other taxes, liberal credit from state financial institutions or exclusive grants to certain operations. Thus arose the term “crony capitalism," referring to associates of Marcos who gained monopolistic control of such key industries as sugar and coconuts and acquired substantial interests in a wide range of others, such as public works contracting, banking, casinos, low-cost television production, nuclear power plant construction, and car manufacturing. 

This new era spawned a new set of aberrations whose adverse impact on the economy would continue to be felt for a long time. Because they subsisted on easy foreign financing and domestic credit, particularly on guarantees extended by the government, the “crony" industries not only grew into large but inefficient operations, they also contributed to a drain on the current account. From only $2.1 billion in 1970, the Philippines’ foreign debt rose to $3.8 billion in 1975 and to $12.7 billion by 1980. 

Costly rescue 


In the end, martial law gained notoriety for having been reduced to a scheme for Marcos to cling to political power with the help of political associates, relatives and other allies who were regularly granted economic largesse that most likely came from foreign debt.
When the availability of foreign funding started to dry up towards the end of the 1970s, many of these crony companies required massive rescue operations by the government. In the end, the pouring of surplus petrodollars into the Philippine economy yielded mainly negative effects. In late 1983, when the country encountered a serious foreign exchange crisis that forced it to declare a moratorium on payments, the official total of foreign borrowings was nearly $25 billion. 

The agricultural monopolies of the Marcos era also failed to correct the terms of trade in the rural sector, blocking moves into more serious, outward-looking modernization of the economy. Food production managed to grow during part of his incumbency but price controls kept investors away from the farms. At the start of the 1980s, the economy crumpled under the debilitating effects of a worsening external environment manifested by a new oil crisis that sent import costs soaring, by sharp increases in interest rates, and by protectionism in the major markets. 

In the end, martial law gained notoriety for having been reduced to a scheme for Marcos to cling to political power with the help of political associates, relatives and other allies who were regularly granted economic largesse that most likely came from foreign debt. The cost of failed development projects of Marcos’s martial law era, from financing granted by foreign governments and commercial banks in response to “admirable" GNP reports, continues to be a burden on the Philippines to this day. 

It’s a pity that despite the clarity of the lessons from that era, some of the country’s leaders at present continue to consider that disastrous path. 

Ping Galang, a veteran business and economics journalist, was with Business Day when martial law was declared in 1972. He later joined the Far Eastern Economic Review in Hong Kong and covered the final years of the Marcos regime. He is an occasional contributor for gmanews.tv.

Marcos years marked 'golden age' of PH economy? Look at the data

Source: http://www.rappler.com/views/imho/124682-marcos-economy-golden-age-philippines

Thirty years after the first EDSA Revolution, many myths about the Marcos era are being deliberately floated around especially among today’s youth.
Particularly alarming is the mistaken notion that the Marcos era ushered in the “golden age” for Philippine society, including the economy.
We thought we might contribute to the ongoing discussion by looking at the data and allowing them to speak for themselves.
Indeed, for the newer generations with virtually no means of recalling the brutal martial law era and the economic hardships that it brought, perhaps one of the best ways of reliving the Marcos economy is by revisiting the data and opening yourselves to the story these data show.
To do so, we picked the top 5 graphs which, to our mind, best illustrate the ill outcomes of the Marcos era on the economy.
1) We lost two decades of development
Original graphic by Punongbayan & Mandrilla (2016); basic data from PSA

Original graphic by Punongbayan & Mandrilla (2016); basic data from PSA
What the graph shows: A continuous increase in GDP per capita (or income per person) is usually understood as an overall improvement in economic welfare. Figure 1 shows that Philippine GDP per capita declined after 1982 and did not reach the same level until 2003, or 21 years later.
What it means: This severe retrogression of Filipinos’ income per person – called “lost decades of development” – testifies to a truly dark era in our economic history. It took the country an entire generation to recover from the bad outcomes of the Marcos regime’s economic policies and management. Even with this data alone, it is difficult to understand why many people cling to the idea that the Marcos regime, taken as a whole, brought about the Philippine economy’s “golden age”.
2) We became the “sick man” of Asia
Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI

Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI
What the graph shows: The decline of income per person after 1982 was not seen in our neighboring countries; in fact their incomes went on to soar since then. By the time we recovered our 1982 income levels, their incomes had already grown between two to 4 times.
What it means: The economic setback due to the Marcos regime cemented our title as the “sick man of Asia” for the good part of the past 3 decades, and prevented us from partaking of the so-called “East Asian miracle”. Although we have enjoyed high annual growth rates of 5-7% in recent years, Figure 2 shows that we lost so much ground compared to our neighbors and catching up remains a huge challenge.
3) The regime borrowed too much too quickly
The country’s stock of debts grew exponentially in the late 1970s, and this imprudent debt management burst into a full-blown crisis by 1983.
Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI

Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI
What the graph shows: Figure 3 shows the unsustainability of debt during the Marcos regime. From 1977 to 1982 (or in just 5 years) the country’s total external debt grew from $8.2 billion in 1977 to $24.4 billion. As a result, interest payments as a share of national income (in gray) increased eightfold in the same period, a trend closely mirrored by the debt-exports ratio (in orange).
What it means: For the country as a whole, borrowing per se is not a problem; it fact it can even spur growth. Borrowing is problematic only when it becomes unsustainable, or when the debtor fails to meet its obligations.
This is exactly what happened during the Marcos regime, whose many “successes” were built on “debt-driven growth”. While it is true that the regime embarked on an infrastructure spending spree, this was pursued largely to justify its existence and at the exorbitant cost of the ballooning of the country’s external debt. The situation was exacerbated by a confluence of external factors, including the Latin American debt crisis.
The 1983 debt crisis is a painful reminder of the long-run importance of sound and prudent macroeconomic management. Contrary to the Marcosian economic view, borrowing alone cannot induce growth. Instead, it requires deep, structural reforms that transform the economy fundamentally and promote growth through innovation and enterprise.
4) Manufacturing was neglected
The crony capitalism espoused by the Marcos regime disincentivized enterprise and growth in favor of cronies’ interests, leading to the inimical stagnation of the manufacturing sector.
Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI. Note: data spans from 1965 to 2004.

Original graphic by Punongbayan & Mandrilla (2016); basic data from WDI. Note: data spans from 1965 to 2004.
What the graph shows: The graph plots income per person (horizontal) versus the share of manufacturing to total output (vertical). The two variables usually go together, as experienced by our regional neighbors (notably South Korea); that is, income growth is usually accompanied by manufacturing growth. This would become the typical pattern of East Asian success that the Philippines, unfortunately, failed to replicate.
What it means: Although the Marcos era is remembered by many as an age of industrialization, it was characterized by “crony capitalism” where Marcos’ closest allies were awarded industries (e.g., TV and car manufacturing) and ambitious industrial projects (e.g., the Bataan Nuclear Power Plant), many of which ended up being inefficient or bankrupt. Such an economic environment led to the neglect and stagnation of the vital manufacturing sector, which, in turn, slackened the pace of the country’s structural transformation.
5) Work conditions deteriorated rapidly
Finally, the martial law regime resulted in poor work conditions as testified by the sharp rise in underemployment, which at one point afflicted a third of the employed.
Original graphic by Punongbayan & Mandrilla (2016); basic data from PSA.
Note: underemployment rate refers to percent employed

Original graphic by Punongbayan & Mandrilla (2016); basic data from PSA. Note: underemployment rate refers to percent employed
What the graph shows: Martial law coincided with a gradual rise in unemployment and more importantly, a precipitous rise in underemployment (from around 10% to 33% of the employed). Some scholars (including Prof Noel de Dios of UP) argue that for a developing country like the Philippines it may be underemployment (or the inadequacy of one’s work) that matters more than unemployment. After all, unemployment tends to be a middle-class phenomenon: most of the poor are employed, and most of the unemployed (e.g., college graduates) are nonpoor.
What it means: Since underemployment contributes to poverty, the severe underemployment brought by the martial law era gives a glimpse of the deterioration of welfare for Filipino households during that time. This dissatisfaction in the labor force (especially among skilled workers) would later give rise to the widespread growth of the OFW phenomenon after 1986.
Conclusion
The notion of a “golden age” of the Philippine economy under the Marcos regime, especially during its latter years, is a big, fat lie especially when pitted against the data during that time. It’s quite amazing (and disturbing) that a single man with absolute power could bring down an entire economy to a lower growth trajectory and set back the march of the country’s economic development by decades.
National Scientist Raul V. Fabella once said, “The annals of underdevelopment are filled with chapters on failures due to wasted opportunities”.
As we go to the polling booths on May 9, let us all heed the lessons of history and data, and choose leaders who will lead us to rapid, inclusive, and sustainable development by not repeating the mistakes of the Marcos regime (or even daring to kindle among the people its false, illusory glory). – Rappler.com
JC Punongbayan is a PhD student at the UP School of Economics. Kevin Mandrilla is an MA student at the UP Asian Center. The views expressed here do not necessarily reflect the views of the authors’ affiliations.