Philippine Economy Top 20?

[ekimswish]

http://businessmirror.com.ph/home/opinion/21980-philippine-economy-risingMaybe I shouldn't lose hope on living and working in the Philippines just yet. One of the interesting things they mentioned is something I brought up in another thread, that the population growth in the Philippines could ACTUALLY help it. Edited January 16, 2012 by ekimswish

[FlyAway]

I have been watching different economic news in the Philippines for a while. Some things about the economy just do not make sense to me. Is this real money coming in or is it all just on paper?This article in the Philippine Inquirer had an interesting paragraph.http://business.inqu...nvestments-seenIn the consumer sector, for instance, Braden said that at least once a week, a new investor would touch base to scout for domestic opportunities. She said these prospective investors would like to ride on the country’s resilient consumer market, which continued to be supported by overseas remittances and business process outsourcing revenue.Bond markets and banking services seem to be the biggest pull next to the energy business. We all know energy prices in the Philippines are the highest in Asia.Still sounds like they are counting a lot on OFW and remittance funds.

[Bruce]

This is basically 'feel good' journalism. Has limited value and by 2050 the author and the paper will both be gone or retired, so who cares from their stand point.The biggest issues I see is that if the Philippines impliments a welfare system, similar to the US, regardless of what you name it. It WILL bankrupt the country the same way the US is loosing billions a year on worthless people that scam the system. Further, if there are massive wage increases, even if done in stages, the Philippines will lose a lot of business to lower wagwe countries. In the US, the unions are the # 1 reason that jobs have left the US. keep in mind that the union itself is a 'business' and the union cares little about the workers, but uses them as a vehicle to hold onto their own high paying jobs.Further, are medical costs. 30 years ago, the average doctor in Isreal made $14,000 a year. Same for Germany. Now, 30 years later, following the US profit at all costs model, the doctor incomes are similar to the US doctors. And, who suffers, both the patients as individuals and the tax paying population at large.The ONE thing that has made the Philippines with it is today is high labor force and a low cost. For all you guys out there that have a cook, maid and nanny.... costing you $50 a month each or more / less depending on if you are in the city or the province, if you had to pay US wages..... for each employee, well, how far would your retirement check go then? Another member JJR is floating around a retirement home plan for US citizens to go to the Philippines for living and receiving care. A good well thought out business plan in today's Philippines. All based on the average nursing home employee making less than $10 a day, which is GOOD money today in the Philippines. BUT if the Philippines follows the US / UK / Australia labor models and forces wage increases and unions come in, then the entire business model crashes.So I think the article has no real bearing except PR related use and perhaps written to push for more international investment. I mean since it is an article in e news paper... it must be correct... right??? Right???

[ekimswish]

This is basically 'feel good' journalism. Has limited value and by 2050 the author and the paper will both be gone or retired, so who cares from their stand point.The biggest issues I see is that if the Philippines impliments a welfare system, similar to the US, regardless of what you name it. It WILL bankrupt the country the same way the US is loosing billions a year on worthless people that scam the system. Further, if there are massive wage increases, even if done in stages, the Philippines will lose a lot of business to lower wagwe countries. In the US, the unions are the # 1 reason that jobs have left the US. keep in mind that the union itself is a 'business' and the union cares little about the workers, but uses them as a vehicle to hold onto their own high paying jobs.Further, are medical costs. 30 years ago, the average doctor in Isreal made $14,000 a year. Same for Germany. Now, 30 years later, following the US profit at all costs model, the doctor incomes are similar to the US doctors. And, who suffers, both the patients as individuals and the tax paying population at large.The ONE thing that has made the Philippines with it is today is high labor force and a low cost. For all you guys out there that have a cook, maid and nanny.... costing you $50 a month each or more / less depending on if you are in the city or the province, if you had to pay US wages..... for each employee, well, how far would your retirement check go then? Another member JJR is floating around a retirement home plan for US citizens to go to the Philippines for living and receiving care. A good well thought out business plan in today's Philippines. All based on the average nursing home employee making less than $10 a day, which is GOOD money today in the Philippines. BUT if the Philippines follows the US / UK / Australia labor models and forces wage increases and unions come in, then the entire business model crashes.So I think the article has no real bearing except PR related use and perhaps written to push for more international investment. I mean since it is an article in e news paper... it must be correct... right??? Right???

Actually, it's about a report by HSBC.... not saying they can't be wrong..... but IT'S NOT A NEWSPAPER ARTICLE itself. There's a newspaper article about the report, which focused on the world (not just the Philippines), and they were more than happy to write about it. But, yes, it's the HSBC. Maybe a different bank would give a different report. It's just nice to know there's hope.

[FlyAway]

I think western style banking might go over well in Philippines. At least the customer service end of it perhaps. Service and attitudes of bank employee's needs a serious makeover there.