Philippine Inflation is Getting Worse
I was inspired by this tweet and it adds another dimension to how I view the monthly inflation data report in the Philippines.
https://twitter.com/MyLordBebo/status/1799525065169551751
We're trending upwards on the inflation count:
I'm going to highlight how things started on 2020, that's when the pandemic came to be.
Stimulus packages are one way of labeling money printing. The cash the government prints introduces more money into circulation to prevent the collapse of the economy from struggling business and providing more relief efforts to address covid-19 concerns. If one was paying attention to their class in basic economics, more money printed contributes to inflation.
Well duh, this is so obvious except it isn't. When I made this post, I am expecting folks from my country would be readers and part of me wants to believe that our financial literacy levels are good enough to comprehend how macroeconomics work. But nope, whenever some economic news makes headlines in this country and I happen to pass by on twitter or Facebook, I see random folks making stupid commentaries about the economy. I'm no economist but the news being presented is simple enough to comprehend and it's baffles me how some would miss the plot.
This has less to do with which political party you're supporting and more along the lines of dealing with the after effects of the stimulus packages. In 2020, the Duterte administration released stimulus packages and this influx of new money into circulation would have effects visible months to years.
What we're seeing now is a piece of the aftermath from that decision. In hindsight and just my own opinion, I would'nt really call it a bad move as the decision was brought by unforeseen circumstances and government being backed in a corner. No administration was prepared to deal with a pandemic and everything was new. If those stimulus packages weren't handed out, things could've been much worse than it is now.
Now dealing with inflation isn't a straightforward answer to a problem that is caused by multifactorial reasons. But the Philippines has one of the best central bankers so that's something to be confident about when it comes to our monetary policies. What I'm not confident about is how the average person sees things instead of the broader view.
What they'll only notice is how inflation is affecting their daily living, yet what they are unlikely appreciate is the cause and effect it has over their future. I look at the graphs and tables and couldn't help but be pessimistic about the future.
Going back to the tweet that inspired me to write this piece, what the report above shows what is currently being measured on recent data but what actually happens is the cost of living has been compounding against us at a rapid rate relative to what we were used to.
Source:
Philippines: Philippine economic stimulus law now in effect
House approves P1.3-trillion economic stimulus package vs pandemic
Philippines' Duterte signs $3.4 billion pandemic stimulus package into law
Thanks for your time.
This is happening in Nigeria too and a lot of people are making it feel like the ones who voted the president in are the cause of the problem
We keep blaming one another instead of finding a solution to the problem
There are problems even chosen political leaders have no or little control over but if people want to have some scapegoats, the default is always hating the government as the cause of the inconveniences people don't understand.
Yeah, tapos isasama na daw sa 4Ps ang mga buntis. Nabasa ko lang but never checked if it's true. 😁
What I mean is, malala na nga ang ekonomiya nagpopromote pa ng teenage pregnancy.
We're actually at 1.9 in terms of fertility rate, we need 2.1 levels to breakeven and this is the replacement level of the population. The trend has been a decreasing birth rate since 2019 and this will impact the economy decades from now. As much as people think overpopulation is a problem, Philippines is heading towards being underpopulated as we proceed to become an aging population.
Oh.. I don't feel this.😁 Every year tumataas ang population ng mga students. ☺️
Hindi mag-woworry ang government about underpopulated , Gen Z ang sagot. Hayzt. Every year 2 or 3 learners ang buntis.
Kaya napakalaking tulong talaga ng ating mga kababayan na OFW's dahil kahit papaano napapababa ang inflation rate. Ang problema lamang nito nagkukulangan tayo ng skilled workers sa ating bansa. I salute you mga boss mam sa ibang bansa MABUHAY kayo!
Maiadd ko lang comparison Sauce Capt'n Venezuela - PH
Ginagawan naman ng paraan ng ating gobyerno lahat ng makakaya nila.
OFW's remit their money to the Philippines, and let's assume it's in US Dollars which has a higher purchasing power compared to the peso. Now more people can afford stuff thanks to their families abroad and because people can now spend more, these habits can further drive the prices up along with the concurrent demands. Those remittances made by OFWs help increase this country's dollar reserve.
Mahina ako sa Economics hindi ko alam ang dynamic ng OFW money to PH tapos spending it here sa PH. Does it help does it not? Mahirap kasi magrely lang sa news sources. So far nakikita ko ang malaking value ng Pinoy ay marami silang available time kaya nga lagi nasa social media. If may time ako para maka research galing sa birds eye view or outside ng PH. Reply ako ulit boss para kahit papaano may sagot tayo what is really happening sa inflation rate ng PH. Also salamat dito sa article very informative!
It helps but not in the sense of making inflation any better.
You can get the information straight from the source from Philippine Statistics Authority and BSP website, they published these data publicly.
Found one bossing kaya lang pdf wala ako time rest day ngayon at Father's Day. Sauce Capt'n binasa ko lang headline niya. It's not on my priority list malay natin mabigyan ng time sa tamang panahon ika nga ni yayadub. 😀 God bless you!
Congratulations @adamada! You have completed the following achievement on the Hive blockchain And have been rewarded with New badge(s)
Your next target is to reach 7500 replies.
You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word
STOPCheck out our last posts:
"No Comment!" sana ako pero ito lang masasabi mo. May inverse proportion yata ang quality of leaders natin at ang inflation rate. Ang mahal na sa Pilipinas kong mahal🇵🇭
Part of it has to do with politics but to pin it on politics alone is a narrow view of things. There's a global economy out there and what you see in the US markets also gets mirrored in the PH markets. See how PH stock markets behave and Peso vs Dollar trend. Politics plays a role but there are also commodities like oil, geopolitics, and global economic trends.
Quality of world leaders then? 😁🤩 !LOLZ
lolztoken.com
I said oh god not that as well!
Credit: reddit
@adamada, I sent you an $LOLZ on behalf of mdasein
(1/4)
NEW: Join LOLZ's Daily Earn and Burn Contest and win $LOLZ
I was always one to sleep off in economy class so I try to avoid all economic discussions.
From the chart, 2022 December to 2023 January must have been a crazy perio
It's revenge spending or just the after effect of injecting much cash into the system.