Topic: PH Economy Goes Up: Who felt PH's 7.8% GDP surprise?

[cute_boyz]

MANILA, Philippines - The government says the country grew at the better-than-expected rate of 7.8% in the first quarter, the highest so far in Asia.
[youtube]http://www.youtube.com/watch?feature=player_embedded&v=QFwkihyK8KQ[/youtube]
It’s a massive surprise.


The Philippines overtakes China, Thailand, Indonesia, Malaysia and Vietnam.


Economists and analysts expected the country to grow at a phenomenal rate, but not more than 6% in the first quarter.

Something is changing in the Philippine economy and those who still have doubts must take notice.

While money sent home by Filipinos abroad and electronic products assembly are still drivers, the industry sector is coming back to life.

High electricity prices and a restive labor once drove investors away, but manufacturing is now attracting investors who are putting up factories.

The reasons are beyond us, such as higher wages in China, economic concerns in Vietnam, and leadership issues in Thailand and Indonesia.

The Philippine political arena is relatively stable, the government is fiscally healthy, and its anti-corruption efforts make the country look good in the eyes of investors.

But a question nags: Who felt the better-than-expected GDP growth?

Numbers show construction grew the fastest in January to March.

The government did not hold back as it did in 2012, spending on roads, bridges, ports and other infrastructure that businesses need to move around.

Taking the cue, real estate companies build more condominiums and office. Small developers and store owners expand nationwide.

That created more jobs for construction workers.

Hot money from abroad and bullish local investors energize the banking and financial services sector.

But the rest of the 100 million Filipinos who are not in real estate and the financial markets will not feel the change.

The Philippines has the highest jobless rate of about over 7% in Southeast Asia.

The government says the best is yet come, saying economic growth will trickle down. They just need time.

"We are in a new growth trajectory. If we continue growing at this stage in the next 10 or 15 years, we will be in a situation where Thailand is," Socioeconomic Planning Secretary Arsenio Balisacan says.

Per capita income in the Philippines is now around half of Thailand and about quarter that of Malaysia. A few more years of growth above 6% and the Philippines can catch up and lift more out of poverty.

Growing 7.8% in the first 3 months does not make the Philippines a one-year wonder.

But with last year’s 6.8 growth, it means the momentum can be sustained. - Rappler.com

 by Lala Rimando
Posted on 05/30/2013 10:15 PM  | Updated 05/31/2013 6:03 PM

============================================================================
Share lang mga ka-espiya. Please lock if posted

[berting_02]

kawawa mahihirap nito. hahahaha

[leightot]

kaya di maramdaman ng mamayan? simple lang yan becayse Philippines population growth would never outrun the Economy growth.

[spanky_al]

i agree with the article... i recently met a swiss economist/venture capitalist who's planning to put up an assembly line for e-trike in negros oriental funded by asian development bank and he really pointed out the regained confidence from foreign investors in our government and our country's potential.

para sa mga nag kokomplain lagi. isipin nyo naman kalagayan ng pinas bago pa si pnoy. di ganun kadali iahon ang bayan natin. kailangan talaga natin magtulungan.  

[MasterChief63]

Corrupt Government Officials Funded by Billionaires and Millionaires in exchange for Political favors Elected by the People so poor they will (Popularly) VOTE (which can also be bought) anyone who says they will "Help" the poor who are children of the poor promised to be helped decades ago

bright future Philippines  (ironic emoticon,Big Tobacco has one of the largest Political Agendas)

[clickaway]

drive ka end to end ng edsa.. ma fefeel mo yung 7.8% growth

[Smitty Werben Man Jensen]

Binay - Erap - Bong

2016 LOL growth rate WUT?

[Idiot]

ha ha haah ah ahha ha aha hah

tyak mga mayayaman e makokoment na naman nito na umunlad ang PInas at matagal lang maramdaman

this is the real reality basic GDP explanations

GDP is the newly produce Goods and services of the country when we say services kasama dito kasambahay, utility, driver, elevator operator anything that provided services 

3 approaches paano sila nag-iinterpret kala kasi natin product or good na galing sa manufacturing hindi po tatlo po yan

1. Product approach - creation of new product and services
2. Income approach - income salary
3. Expenditure approach - gastos

madami din economic schools na magkakaiba ng theory ginagamit so porke't nag-aral ng economics si GMA e tama ang aproach na gagamitin nya pwede mali sa ibang school

may 2 theories na naglalaban
1. keynesian focus more on expenditures
2. MOnetarist economic theory -flow of money
3. Austrian Economic theory - savings

naglalalaban po sila yung classical (monetarist at Austrian) versus Keynesian

ang keynesian focus more on gastos while classical focus more on savings 

 balik tayo sa aproach sa GDP
1. Product approach creation of new goods and services mga new produce di kasama ang mga dating na-produce sabi nila ng mga analyst  dito nagkakaroon ng illusion na tumataas ang  GDP. you don't feel na okay ang economy  but tumataas kase

dati wala naman masyadong utility, wala naman masyadong bagger, wala naman masyadong sales clerk, kasambahay, elevator operator at 5 months ang contract  ngayon lumitaw sila therefore kasali sila sa Pagbilang ng GDP yan ang dahilan po kaya tumataas ang GDP di dahil productive ang bansa bagkus madaming services ang na open sa isang year 2-3 times silang magkakaroon ng new contract so mabibilang sila na additional sa GDP

especially ngayon election 300-500 percent increase sa number of employees sa mga city hall at munisipyo dahil nagbibigay sila ng services na di naman effective dahil sobrang dami nila counted pa rin sila sa GDP   this is the reason sudden increase ng GDP natin di dahil marami tayong na-produce na goods bagkus madami tayong na-open na services na ineffective
   
this is the real reason at explanation kaya kahit tumataas ng tumaas yan di natin nararamdaman kase imbalance yung goods and services kase wala na tayong masyadong na proroduce na goods puro services na lang kaya di natin nararamdamam

[warak2006]

How the fuck at you supposed to feel GDP? That's just a common albeit senseless question from people who want people's sympathy. Do you feel investor confidence? Do you feel lower interest rates? Those things must not be real then.

[Kanuts]

Simple lang yan mga ka espiya. Siguro nga hindi masyadong ramdam. Pero pag nagdeep dive tayo, mapapnsin natin na yung stability nh dofferent industries natin nandyan. Most probably kung bumababa din yan. Most of us mawawalan ng work, malululigi negosyono what so ever. Guys we're stable

[ninjasipato]

Ang GPD, indicator lang yan. Hindi purket tumaas GDP ng Pinas, mararamdaman agad ng mga Pinoy yan. Dami pamanding tamad na pinoy, masaya na sila sa kung ano meron sila

[-=Kurabo=-]

especially ngayon election 300-500 percent increase sa number of employees sa mga city hall at munisipyo dahil nagbibigay sila ng services na di naman effective dahil sobrang dami nila counted pa rin sila sa GDP   this is the reason sudden increase ng GDP natin di dahil marami tayong na-produce na goods bagkus madami tayong na-open na services na ineffective
   
this is the real reason at explanation kaya kahit tumataas ng tumaas yan di natin nararamdaman kase imbalance yung goods and services kase wala na tayong masyadong na proroduce na goods puro services na lang kaya di natin nararamdamam

sabi ng mga analyst dahil ito sa epekto ng eleksyon kasi malaki talaga ang burst ng labas ng pera which is galing rin sa mga pera ng taong bayan, kumbaga ginisa sa sariling mantika pero kahit bubble lang ito meron pa rin magandang epekto to sa mga investors pero yun ay kung mattake advantage natin like ng pagbabago ng batas para mapadali ang pagtayo ng negosyo, dito kasi sa atin kalkaran na na kapag magtatayo ka ng negosyo dito lalo na yung malaki automatic na may 10% share ang politiko

[reycute123]

mga mayayaman xempre..

[john]

Only OLIGARCHS feel this!!

[poohqueh]

  "After the unprecedented open vote-buying and pre-election spending that made the country look like one giant cash-production and distribution machine from late last year to middle of this year, should anyone be surprised that the government should claim a 7.8-percent economic “growth” for first quarter this year?" 

[Idiot]

Simple lang yan mga ka espiya. Siguro nga hindi masyadong ramdam. Pero pag nagdeep dive tayo, mapapnsin natin na yung stability nh dofferent industries natin nandyan. Most probably kung bumababa din yan. Most of us mawawalan ng work, malululigi negosyono what so ever. Guys we're stable

problema ang work puro services how can a security guards produce goods
how can a elevator operator produce goods nada puro services
how can a bagger produce goods nada
how can a team member produce goods nada

kapag nag-open ang mall like SM  puro service economy
even sa goverment agencies 

honestly malalaman mo kung gaano kataas ang production ng goods ay thru "umento sa sahod" wondering bakit laging konti ang umento dahil kakunti ang production ng Pinas in terms of Goods

dependent ang Salary sa Production

Insert Quote
Ang GPD, indicator lang yan. Hindi purket tumaas GDP ng Pinas, mararamdaman agad ng mga Pinoy yan. Dami pamanding tamad na pinoy, masaya na sila sa kung ano meron sila

paano mo nalaman tamad sila
nakapunta kana ba sa Job fair kapag may job fair umaabot ng 500-1k ang mga applicants sa 10 company na kailangan lang isa or tatlo

paano nalaman tamad sila some manufacturing plants at mall single contract lang sila ibig sabihin sa isang taon 5 months lang ang contract nila at hindi sila pwedeng mag-apply ulit therefore yung sasahurin nilang 5 months e gagamitin nilang pang-hanap ng trabaho para sa 7 months na bakante. swerte sila kung makaka-renew sila may malls or manufacturing plant na they will let you renew 5 times

yung tinatamad ng maghanap ng trabaho tawag sa economics ay Discourage workers

definition ng discourage workers ay - a worker who apply for a job again and again and again and again but she/he cannot find a job
even sa states at United Kingdom dami nilang discourage workers at sustentado pa sila ng gobyerno

sabi ng mga analyst dahil ito sa epekto ng eleksyon kasi malaki talaga ang burst ng labas ng pera which is galing rin sa mga pera ng taong bayan, kumbaga ginisa sa sariling mantika pero kahit bubble lang ito meron pa rin magandang epekto to sa mga investors pero yun ay kung mattake advantage natin like ng pagbabago ng batas para mapadali ang pagtayo ng negosyo, dito kasi sa atin kalkaran na na kapag magtatayo ka ng negosyo dito lalo na yung malaki automatic na may 10% share ang politiko

maganda yan vietnam, china at taiwan do this
problema lang dyan saan sila kukuha ng capital
kung sa atin sila kukuha ng capital - tataas ang Interest rate ng bansa especially mga long term debt at bababa ang I.R ng short term debts it is good para sa mga microentrepreneurship
like vietnam few years back mataas ang I.R. Nila

kung magpapasok sila ng capital - bababa ang Interest rate ng long term debt and tataas ang interest rate ng short term debt ng bansa

scapegoat ng US noon recession sabi nila nag-pasok ng malaking capital ang china kaya nagkaroon ng inverted sloping ng I.R bumaba ang Long term I.R nila versus sa Short term I.R na where in fact nagkamali lang sila ng economic plan ha ha ha haha kaya ginawa nila ang OPERATION TWIST ng mga economic planner nila na where in fact kaya pa nilang gawin yun noon kasagsagan ng recession

[cannibus]

Ang gagaling ng mga ka-Espiya naten..   

[dweizz]

ewan ko sa inyo... basta masaya na ako sa plus 7% kaysa minus

[melecee]

masaya kayo? tingnan nyo yung pera nyo sa bangko kung magkano nalang ang tubo.
halimbawa, meron akong kalahating milyon na dati ay 6k ang tubo.
ngayun dahil umuunlad ang pilipinas ang tubo ng kalahating milyun ay 1700 nalang. halimbawa lang ito ha wala akong perang ganito ha. totoo nga yung ekonomiks na libro na kapag umunlad ang bansa nasa labas ang pera (umiikot).
kapag taghirap ang bansa ang pera ay nakatago lang sa bangko.

[Idiot]

I forgot to tell

the sudden increase of GDP may kakambal yan ito ang sudden increase of prices - yung masaya sa GDP ang mga businessman lang

there a two types of inflation

price inflation at monetary inflation

price inflation will happen if many people will start receiving stable or constant salary like security guard or utility dahil madami ng nagkakaroon ng trabaho ma disrupt and supply at demand therefore leading to prices increases

monetary inflation is where the government will print more money and circulate it the result will be a short economic boom and leads to increase sa GDP but because the government print more money the purchasing power of money decreases thus resulting to higher prices of commodities  like election time madaming nailabas na pera therefore resulting to a short economic boom but the problems is many people will have jobs on a short period of time then they will receive a some purchasing power to enjoy resulting to increase GDP the other effect will result to price increases

this is the reason kahit tumaas yan ng 20 percent GDP di yan mararamdam ng isang padyak driver, jeepney driver, balut vendor kase di constant ang salary tapos my inflation pa the one enjoys GDP growth are the bigtime businessman or oligarchs

this is the reason mataas ang cost of living sa NCR kaysa sa province

kapag taghirap ang bansa ang pera ay nakatago lang sa bangko

the classical economic theory they advice to save because they believe that saving is a solution for recession and it will help the long term economic growth of the country

unlike sa USA noon recession wala silang saving because keynesian economic thoery ang ginagamit nila which spend and spend at credit economy sila gastos sila ng gastos using credit

at madaming saving sa Asia is China and yet hindi sila mahirap

[bakekong12345678]

cguro para maramdaman ito, taasan ang minimum wage ng sa ganun, direkta na mararamdman ng mga mamamayan.

kano na nga ba minimum wage sa Metro Manila

[Idiot]

cguro para maramdaman ito, taasan ang minimum wage ng sa ganun, direkta na mararamdman ng mga mamamayan.

kano na nga ba minimum wage sa Metro Manila /quote]

as i said before "umento sa sahod" is dependent to the productivity of the nation
kung service economy tayo therefore walang productivity don't expect a raise of salary this is the reason why the wage commission will tell the people the umento sa sahod is just 5 petot or 15 petot and they need a year to assess it this the reason every year lang ang umento sa sahod

AFAIK it is 400+ while in province it is 336

mararamdamam yan kung constant ang salary and month  but looking the economy and jobs

madami pa din ang mga PUJ, padyak, tricycle, Bus drivers, balut vendor, tinapa vendor, meat vendor, rolling stores these people don't have a constant salary it is very difficult for them to feel the booming economy
1. some drivers pay so called boundaries
2. some goverment policy affect them imposing higher taxes
3. seasonal reason like third quarter depression of poultry meats

with the prices go up or so called inflation with the effect of GDP increases these people have difficulty to adjust because their salary is not constant one will say nalugi ako other say bumili ako ng pyesa then additional payment for bounderies

like example a BPO employee will have a constant salary of 12k sometimes with commission and free meals versus a vendor will only profit 6-9k a month no free meals overworked for 12 months officers sometimes extort them they need to pay business permits, store rent, bir, electricity for their stores, electricity in their houses, water for their houses, allowances, food, transportation and many more

so how can a simple self-employed feel the rising GDP   

the criteria to feel it is you need a constant salary and a constant jobs not 5 months contractual

[spikespeigel]

  Andami dito half full empty palagi ang tingin sa baso  Palawakin kaya natin ang search sa internet for opinions from other subject matter experts:http://opinion.inquirer.net/53929/where-did-our-growth-come-from

Now it’s official: the Philippines is the fastest-growing economy in Asia. Beating China’s first quarter growth (7.7 percent) by a hair, our 7.8-percent growth in gross domestic product (GDP) was proudly homegrown, achieved in the face of a hefty drop (-7 percent) in exports. This implies that domestic demand for our economy’s goods and services grew at such a rapid pace that not only did it offset the export decline; it even pushed overall growth to what many see as an unusually high rate.

There is something both usual and unusual about our first quarter growth. On one hand, such extraordinary growth is not so unusual for an election year. Recently, I noted how election years have seen growth exceed the average for nonelection years by 2-3 percentage points (“Elections and the economy,” Inquirer, 5/14/13). This is because massive election spending by both candidates and government has a strong stimulative effect on the economy. In fact, our economy actually grew by an even faster 8.4 percent in the first quarter (and 8.9 percent in the second quarter) in the previous election year of 2010. With this, one would think that our recent growth was not such a mean feat after all.

But it is. Even with the above observations, there is still something unusual and impressive about our first quarter growth. Consider this: the Q1-2010 growth of 8.4 percent followed Q1-2009 growth of a mere 0.5 percent. This means that growth in Q1-2010 was built on a relatively low base, making it easier to post a higher percentage growth at the time. This is the so-called “base effect,” which can go the other way around when the past year’s growth is strong. Note, however, that we achieved 7.8-percent growth in Q1-2013 even as growth in Q1-2012 was a brisk 6.5 percent. This makes our recent growth even more impressive as it was built on a normal if not relatively higher base. Economic Planning Secretary Arsenio Balisacan was thus justifiably proud in dismissing doubts on the past year’s already impressive growth rates as “being due to base effects only.” The numbers clearly suggest otherwise, and that the economy is sustaining robust growth with vigor coming from within, at least so far.

It is constantly said that overseas remittances have propped up our economy’s growth, as they put huge amounts of money in people’s pockets to spend on their consumption requirements. Thus, ours has largely been a consumption-driven growth especially prior to 2010, whereas an investment-driven growth would have been more desirable inasmuch as investment, by its very nature, builds even greater capacity for growth in the future.

Well, not this time. Household consumption had actually slowed down to 5.1 percent in the first quarter, after averaging 6.6 percent over the previous four quarters in 2012. But it was investment spending (“capital formation” in the GDP accounts) that zoomed, growing at a whopping 47.7 percent in the first quarter. Construction was the major driver: government construction grew by 45.6 percent over the past year, while growth in private construction was no less impressive at 30.7 percent. Meanwhile, investment in durable equipment and intellectual property products grew at 9.4 and 10.4 percent, respectively. What all this tells us is that growth was not primarily government-induced, as private investment was rather strong as well, reflecting continued high level of confidence in the business and general economic environment.

What did people invest in? Apart from new buildings and structures, the data show investments in durable equipment—growing most in tractors, mining and construction machinery, other specialized industrial machinery, air conditioning and refrigeration equipment, and other general industrial machinery. These data suggest that farms, mines and factories are being built or expanded, even as government has been building more roads, bridges and other public infrastructure to help generate more business.

What production activities pushed our economy’s growth? This time, industry, particularly construction and manufacturing, posted the fastest growth at 10.9 percent, while services and agriculture grew by 7.0 and 3.3 percent respectively. I am particularly heartened that manufacturing accelerated further to 9.7 percent from an average annual growth of 7.5 percent since 2010, especially after writing last week of how we now appear to be resuming our erstwhile aborted industrialization. Food manufacturing provided the primary boost (12.2 percent) along with radio/TV equipment, chemicals/chemical products, basic metal industries, machinery and equipment, all of which grew at double-digit growth rates. But mining took a beating, contracting by 17 percent overall with steep drops in the production of gold (-43.3 percent), nickel (-19.5 percent) and nonmetallic mining (-81.2 percent).

Banking and insurance led the growth in services, followed by government services and real estate. As expected, broadcast media, awash with campaign ads, boosted recreational services to a 21.3-percent growth. But agriculture has remained sluggish with a 2.8-percent growth, although fishing did better with 5.5 percent.

Overall, the good news lies in the brisk growth in the industrial sector, as it tends to bring better quality jobs. But we need to do much more work on agriculture. As we try to broaden the sectoral composition of our growth, we need to ask not just where the growth is coming from, but more importantly, who benefits from that growth

No Free Lunch
Where did our growth come from?
By Cielito F. Habito
Philippine Daily Inquirer
9:55 pm | Monday, June 3rd, 2013

[Idiot]

galing ng article combine yung Product approach at Expenditure approach para ipakita ang increase ng GDP very deceiving at di din sinabi ang side effects ng GDP yung ang price or monetary inflation

half ng article is Expenditure

half ng article is Production

in economics these two are separate for computation of GDP but both of them are equal result and yet the author combine them to show a positive outlook and he forgot to mention inflation unless i'm wrong

he forgot the reason why gold production suddenly decrease because most small time miners have an issue with Bangko Central correct me if I'm wrong they impose large tax  in selling gold

so small time miners result to black market and black market are called underground economy and underground economy is not counted in the GDP

he also forgot that why nickel suddenly decrease production one in Zambales is a rich nickel mine and yet there are lots of illegal mining in Zambales

[Idiot]

update kulang

as a said before the increase of GDP will result of price increase

now the price of cooking oil increase from 630/17 kilos, as of today it is 680/17 kilos and it is still increasing after cooking oil the price of Diesel will increase or the price of margarine will increase

some people will not notice it because they are happy businessman but the common folks like the padyak driver or balut vendor or the takatak boys  will not experience it because their profit is not constant