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4. Interviews The researchers also plan to conduct interviews to be able to truly see the
effects of poverty from the perspective of those experiencing it firsthand.
PRESENTATION OF DATA
Interview:
1. Interviewee: Mario Lacaste
1.
-200 pesos
2.
-3 kids
3.
Is the money you earn enough for you and your family?
-We have to be thrifty and sometimes ask for help from relatives.
-250 pesos
2.
-4
3.
-No
4.
-We have to loan from friends and neighbors to be able to make ends meet.
-4
3.
-No
4.
-I, being the eldest, had to stop school and work to support my siblings
-7
3.
-No
4.
I and two other siblings had to stop school and work as maids to support the others.
-5
3.
-No
4.
- One of my children no longer goes to school to help the family and we usually make loans
just to make ends meet.
POVERTY is both more widespread and more persistent in the Philippines than in
neighbouring ASEAN (Association of South East Asian Nations) countries. Poverty incidence
among households increased from 24.4% in 2003 to 26.9% in 2006 and the number of poor
families increased from 4.0 million in 2003 to 4.7 million in 2006. The headcount index
increased from 30.0% in 2003 to 32.9% in 2006 and the number of poor people increased
from 23.8 million in 2003 to 27.6 million in 2006.
Causes
Income distribution/ Inequality:
In 1994, the richest 20 percent of the population received 52 percent of the countrys total
income, nearly 11 times the share of the poorest 20 percent. These figures had changed
little since the 1980s and had even become slightly worse: in 1985, the richest 20 percent
of the population received the same share of national income as in 1994 and their average
income was about 10 times that of the poorest 20 percent. The distribution of assets has
also shown little improvement over the last few decades.
Lack of quality education
The 1995 higher education task force showed generally poor performance of college
graduates in the various professional board examinations. The task force only found
Natural Calamities
Natural calamities are very dangerous and cause millions worth of damage to property. An
example of which is typhoon Ondoy. This damaged P108.9 million worth of infrastructure
and affected about 90,000 families. The Department of Agriculture also said that crop losses
have reached P3.2 billion.
Over Population
The Philippines population growth rate is 2.36% per year. A rapidly growing population also
makes it difficult for the Government to keep up with the delivery of what are already
deficient public services in health, education, water supply and sanitation, and so on. The
empirical record shows conclusively that larger families are more likely to be poor. Many
poor families have many children because of poor family planning and religion. This is a big
problem because these families only earn very little and they have to use this to feed so
many mouths.
Effects
Malnutrition
The hunger situation is alarming. The National Statistical Coordination Board stated that
more than 11 million Filipinos were considered food-poor or living below subsistence level in
2003.
The Food and Agricultural Organization in 2005 reported that there were more than 17
million undernourished Filipinos.
Food insecurity is blamed for the fact that many preschool children are underweight and
malnourished. An economist pointed out that "inadequate food can adversely influence
workers' productivity." The World Bank in 1996 estimated that the total annual economic
loss due to malnutrition was about US$8 billion.
The main reason why hunger is worsening is the people's lack of income to buy food. A
government-sponsored survey in 2001 revealed that 8 out of 10 households experienced
financial difficulty in purchasing food. The National Statistics Office also noted that Filipino
families are spending less on food items. In 1994 about 48 percent of household
expenditures were allotted for food. A decade later, the share of food expenditures went
down to 42 percent.
Rice used to be the staple food of Filipinos. Now it is quickly being replaced by instant
noodles which are cheaper but less nutritious. Politicians are even giving out instant noodles
in urban poor communities and evacuation centers in calamity-stricken provinces.
Food supplies are stable but they are available mostly in areas where people have enough
income for food expenditures. The unequal distribution of income in the country explains the
seemingly low demand for food in low-income places.
An analyst also noted that the prices of some basic commodities are getting higher. The
higher cost of these basic commodities will force more Filipinos to spend less on food.
Poor Economic growth
The poor remain poor because they cannot borrow against future earnings to invest in
education, skills, new crops, and entrepreneurial activities; they are cut off from economic
activity because many collective goods (such as property rights, public safety, and
infrastructure) are under-provided, and they lack information about market opportunities.
Investment Capacity Constraints Investment is critical to economic growth and for the poor
to escape from poverty. Very low income levels are a fundamental reason why the poor
cannot save enough money to finance productive investments.
Child Labor
According to the National Statistics Office, 3.6 million Filipino children, aged 5-17, are child
laborers. When the parents just don't have enough money to make ends meet they usually
force their children out of school and send them to work out on the streets, haciendas or
factories. Earning money for their food and shelter became their sole purpose, no longer the
education that should have served to bring them a better future.
Children from the ages 5 to about 17 are usually the ones found laboring under the hot sun
or behind machines for small companies or syndicates. This figure alone comprises roughly
15.9% of the total Philippine population or one out of six children. In a breakdown, 216,000
are within 5-9 years old, 1.6 million for the 10-14 group and 1.8 million are 15-17 years old.
Observations: Effects
Bad living conditions
Because of poverty, many families are forced to occupy public and private lands without the
right to do so. And, because this land is not theirs, it tends to overcrowd. Because of
overcrowding, the environment usually becomes unsanitary and heightens the chances that
disease will spread. Also, their houses are close together/connected to each other, this
makes it easy for fire to spread and giving fire fighters a hard time to extinguish the flames
due to the small roads between these houses.
Crime/ Theft
Due to the hardships in life caused by poverty, many people cant even get enough money
to live. This causes them to do whatever it takes to be able to sustain their and their
familys need even when it involves stealing. The researchers observed that the major
reason for theft is poverty. Because of poverty, the thieves need to steal to be able to live.
2. Reforming institutions that coordinate poverty policy and implement poverty programs to
enhance coordination, improve efficiency and monitoring, and reduce corruption by
renewing the memorandum of agreement between the NAPC and NEDA to clarify the
coordination roles of each agency; the new poverty strategy and plan of action should
incorporate the specific roles of agencies and key stakeholders at various levels of
intervention;
continuing to reform the educational system (through the Basic Education Sector
Reform Agenda), the health system through (FOURmula One), and the social welfare
system;
accessing more NGOs and civil society sectors to monitor the delivery of poverty
programs and social services;
mapping key stakeholders and their roles in poverty alleviation at all levels of
governance;
and strengthening safeguard mechanisms (e.g., civil society watchdogs such as the
textbook watch of the DepEd) against leakages and corruption in large poverty programs.
3. Considering regional and local characteristics more specifically (e.g., prone to disaster or
conflict) in poverty program interventions. Interventions should also take into account
factors affecting intraregional inequality, which would imply equalizing access to quality
health, education, and infrastructure service within regions (Balisacan 2003).
4. Improving coordination and complementary action among government agencies and key
stakeholders such as NGOs and corporations in clearly targeted localities and communities
(from targeting to actual implementation of programs to monitoring and evaluation).
5. Allocating more funds from the budget and raising money from other sources (civil
society, religious, business, bilateral and multilateral agencies) for the fight against poverty,
vulnerability, and inequality. A fund-raising mechanism for a national poverty fund with clear
government counterpart and accountability can be setup for this purpose. The government
can also set a distinct budget line for poverty reduction, especially for LGUs.
6. Improving poverty targeting, monitoring, and evaluation, especially at the local
government level; there should also be increased funds for data collection, processing, and
management. Specific activities may include the following:
The national government should assist in increasing local governments capacity for
targeting and monitoring (e.g., a community-based monitoring system) through funding and
training schemes designed for poor localities already identified by nationwide household
surveys.
Funding for the National Statistical Coordination Board and the National Statistics
Office must be sufficiently increased to provide a more regularly updated database for
targeting (e.g., the small area estimates determining poverty incidence at the municipal
levels).
Medium and Long Term: Sustain Efforts for Economic and Institutional Reforms
Governance of poverty reduction must be strengthened through sustained economic and
institutional reforms.
1. Government should continue to pursue the following key economic reforms for sustained
and inclusive growth:
increasing available resources for social services, poverty reduction, and
infrastructure through fiscal reforms;
maintaining price stability to protect the poor from the negative impact of increasing
food prices;
and scrutinizing proposed budgets in term of their pro-poor bias (NAPC can lead this
effort).
2. Local government resources and capacity for fighting poverty should be enhanced,
including improvements in national agencylocal government coordination. Such activities
may include
continuing advocacy for more democratic and people-centered processes at the local
levels;
reviewing the 14 core poverty indicators, reviewing available local poverty indicators,
and simplifying local data collection systems; and
making provinces focal points for coordinating poverty-related programs and projects
for local implementation (Panadero 2009).
3. Conducting more multidisciplinary research on the process, factors, and dynamics of
moving in and out of poverty and household poverty traps to inform policies and
programs targeting chronic poverty (similar to Narayan and Petesh 2007) and helping
people escape them. This research may include
In-depth studies of how chronic poverty and persistent poverty negatively impact
economic growth, especially, the deterioration of human and social capital;
And reviving the NAPC database of poverty studies in the country and networking
with academics and experts to share findings of their various studies.
ANALYSIS OF DATA
Interview:
From the data we have gathered by asking some of the people facing poverty right now, we
can say that poverty is a rampant issue that causes many Filipinos to suffer. From the
interview the researchers have done, we can say that education has greatly suffered due to
poverty by forcing people who should be studying to work instead.
From this data we can see that poverty incidence is increasing as time goes by. This means
that the state of the Philippines is just getting worse. This is a big problem because if the
poverty incidence keeps getting worse, the Philippines will have a problem developing its
economy.
Causes
Income Distribution/ Inequality
This data further stresses the degree of poverty the Philippines is experiencing. This is also
evidence that the rich get richer and the poor get poorer. Here we see that the upper 20%
of the population received more than half of the total income of the country. Here, we also
see that the rate of inequality at 1994 was even worse than that during the 1980s. This
being the case, we can expect that at present, the inequality is worse and will be in the
future. Unequal income distribution will cause the rich and their families to get richer and
the poor to only get poorer to the point of not being able to acquire basic necessities. This
will then result in poverty being more widespread because the small businesses will no
longer have an opportunity of growing and leaving the rich business tycoons to monopolize
the industry.
Here, we also see that 24% of the children are uneducated. We can expect that these 24%
will, in the future, not have a good job. These 24% will probably only earn minimum wage
or be unemployed. This will be a big problem because unemployment will cause poverty
which is already a big problem in the Philippines.
From this set of data we can also see that the allotted funds per pupil for education in the
Philippines is much less compared to the amount allotted by other countries. This further
proves that the quality of our education is inferior compared to other countries.
Lack of Jobs
This data shows the great number of people among the adult work force who are
unemployed. Unemployed individuals will not be able to earn a living and thus need to
depend on others who are employed for basic needs. These unemployed individuals may
also have people depending on them and because they do not have a source of income,
these dependents will also not be able to purchase basic necessities. Also, unemployment
causes the country to be less productive because it will not be able to fully utilize their labor
force.
This data also tells us that many people are losing their jobs both here and abroad. Because
of this, we can expect there to be a drop in the economic growth in the Philippines and if the
economy drops, naturally, poverty will be more rampant and wide spread. Also, if there are
less OFWs, there will be less foreign remittance further affecting our economy.
Corruption
Corruption, as the data states, is very prevalent and robs the people of the money that they
paid to improve the country. This money instead, ends up in the pockets of some unjust
politicians who rob even the poor of the money they have worked very hard for.
The NBN-ZTE deal is a good example of corruption in the Philippines. This deal caused the
Philippines more that 300 million dollars which could have been spent in the development of
the country and on services for the people. Evidenced by this case, there are many
government officials who are willing to rob the poor just to get richer than they already are.
If the services of the government are not delivered, the Philippines will not be able to get rid
the problem of poverty. The tax implemented by the government makes the life of the
people, especially the poor very difficult as it raises the prices of basic needs like food. If
these taxes do not go to the people not get back what they paid for and our country will not
be able to progress due to rampant and widespread poverty. This should encourage the
people to make good decisions when choosing people who run for office to make sure that
the people who are in the government are honest and are truly willing to serve.
Natural Calamities
From this data we see that these natural calamities cost the country a lot of money. The
money that the government could possibly be putting on funds to help relieve poverty is
now being spent on relief operations after these natural calamities. Many families will also
lose a lot of their possessions and maybe even their source of livelihood. Because of this, it
will be harder for others to rise from poverty.
Over Population
This data tells us that the population growth rate of the Philippines is very high. With a
rapidly growing population, it will be hard to accommodate all the people in the labor force.
It will be hard to ensure that each and every Filipino will be able to get a job and earn a
living. The more people that is unemployed, the more people will also suffer from poverty
and have trouble accommodating their basic needs. It will also make it hard for the
Government to deliver the basic services to the people. If the government is not able to
properly delver these basic services, the ones in need of these services, particularly the
poor, will have a harder time coping with their already difficult situation and may just lead to
a worsening of their current situation.
This data also shows that most large families are poor. This is a big problem because, as the
poor have low income, they will also not be able to buy as much food and, since there are
many of them, will lead to hunger and malnourishment. They will also have a tendency of
making debts because of their dire need of food and, as they cannot pay back for these,
they just get poorer and poorer.
Effects:
Malnutrition
From this data we can conclude that many people in the Philippines are malnourished.
These people have a hard time buying enough food to feed themselves and their family
because they lack the money to do so. With many people undernourished, it can cause
many people getting sick and even death. This will cause the country to be less productive
because the government will have to allot more money to healthcare and food instead of
putting this money on things that can help the economy. The people in the Philippines will
also be less productive because these people that are malnourished will not be as efficient
as healthy people. This hunger problem is truly becoming worse and will lead to bigger
money loss.
From this data, we can see that 80% or majority of the Filipinos experience financial
difficulty in purchasing food. We can see how severe this problem is because food is a basic
necessity. From this we can also see that some people prioritize food less compared to other
expenses. This can be a big mistake on the consumers part because they may end up
needing to spend even more money on medical care if they get sick due to malnourishment.
This data also shows that that Filipinos are now settling for cheaper but less nutritious food.
Even relief centers give out these cheap but unhealthy alternatives. This is a cause of
malnutrition because even is these people are able to eat, these foods will not be able to
give them enough nourishment.
This data also shows that the distribution of food around the Philippines is very uneven.
Food is available in area where people have enough money to buy and not where the people
dont have money and desperately need food. As the prices of goods get higher it will surely
make poverty worse and further make malnourishment more widespread.
were not able to study. If these children grow up, they would probably still be doing the
same low-paying job and this will cause them to be poor.
Working is the job of the parents and children are supposed to go to school and study. But,
there are times that the money the Parents get is not enough so even the children must
work. This shows how intense the poverty here in the Philippines is because even children
must work. And, in the Philippines, we are not just talking about thousands of children but
millions. In fact, one out of every six children are out of school and in the streets working.
Observation: Effects
Bad living conditions
This data gives us a picture of the living conditions of the poor Filipinos now. Overcrowding
is one major problem because it can lead t the spread of disease. Due to overcrowding, the
area usually becomes unsanitary and thus disease will grow, and since it is very crowded,
there will be a big chance that it will spread. The people living in these areas are also in the
risk of having uncontrollable fire because the fire will easily spread from the houses that are
right beside each other and the fire fighters will have a hard time extinguishing these flames
because of the small roads.
Crime/Theft
From this, we can see that poverty disrupts the peace and order in our country. Poverty
causes people who are desperate for money to rob and do crimes for easy cash. This is a big
problem because it victimizes many people and many innocent lives are lost due to crimes.
3. It is said that we should address poverty specifically per area. So that each place receives
the care it needs. Each place is different and treating each place special may allow us to get
rid of poverty more easily by going to the cause of poverty in those places.
4. We should improve coordination between the involved agencies and key stakeholders as
this will improve efficiency between them. Improving efficiency between agencies and key
stakeholders will allow them to work together and help each other.
5. The data tells us that we should allocate and raise more money to fight against poverty.
The government may also set a budget line. This will give us more help to fight against
poverty. More money to help the poor will give better help of course.
6. We should improve poverty targeting, monitoring and evaluation. There should also be
increased funds for data collection, processing and management. This will help us learn
more about poverty and help us prepare more for it. Studying poverty will give us a better
chance of avoiding it.
Solution: Medium and Long Term
1. The government should increase available resources for social services, poverty
reduction, and infrastructure. They should also maintain price stability to shield the poor
from high food prices and they should lessen corruption and develop infrastructure in order
to boost investor confidence. This will enable more money to go into the country while the
poor are being shielded from high prices. Giving more money and allowing more money into
the country will allow the poor to get more help, and the boost in the economy will give
them jobs as well.
2. The resources of the local government should be enhanced and their coordination with
the national government should be improved. This will allow them to be able to work better
and help more in poverty. Again, more coordination will allow less effort and money to be
wasted.
3. We should conduct more research regarding poverty. This will enable us to learn more
about it and help people escape poverty.
Big Ideas
1. Poverty is a very serious problem that must immediately be dealt with in order to
minimize its effects.
2. The Philippines, its government and its agencies have to undergo major reform to fight
poverty.
3. Poverty takes a great toll not only on the poor but also the country as a whole.
4. Although difficult, poverty may still be solved and thus we must act quickly to solve this
problem.
Bibliography:
Print:
1. Baliscan, A.M., Fujisaki, S.(1998). Growth, Poverty and Income Inequality in the
Philippines.Institute of Developing Economies
Online:
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from:http://www.imf.org/external/pubs/ft/fandd/1998/09/pdf/gerson.pdf.
2. Pastrana, D. Rising unemployment and poverty in the Philippines. (6 April
2009) Retrieved from:http://www.wsws.org/articles/2009/apr2009/phil-a06.shtml.
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opportunities. Retrieved from http://www.adb.org/Documents/Books/Poverty-PhilippinesCauses-Constraints-Opportunities/
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