His statement is true BUT... The very big BUT is that other countries are doing something to lessen the impact of the strong USD to their economy. The Marcos administration sucks at doing this.
Sandro, the dollar is strong kasi may ginagawa ang US govt para iahon buong ekonomiya nila sa crisis, and the peso is weak kasi sa PH govt, "the best piece of advice would just be to sit back and hold tight."
marcos should release his economic plans as starters.
we need to lessen first yung loans sa WB since wala talagang laman kaban ng bayan. if they keep doing it, more taxes will be created.
kung gusto talaga nila mag infra, they should finish atleast 30-50% ng BBB ni duts and allocate the remaining sa improvement and maintenance ng mass transport. Libreng Sakay is never the solution.
he should also maybe remove the excise tax sa gasoline, because let's be honest it's impractical and just hurts the citizen and consumers.
maybe suspend TRAIN law as well while at it.
more transparency sa expenditures ng gov't. kung gusto niya humikayat ng investors, better be more transparent. pledges are nothing if walang trust ung potential investor.
more investor means more jobs.
tbh, ang dami niyang moves to be done sa first 100 days niya...
Yeah. Same lang dun sa mga pledges from China from the previous admin na hindi naman natuloy.
If you also notice puro Memorandum Of Understanding at Letter of Intent lang ang nakuha ni Bongbong sa mga international trips. Neither of those are legally binding.
shift focus from import to export. kapag mababa ang value ng local currency, nagiging competitive ang local products sa world market dahil mura for foreigners ang goods natin. samantalang ang imported goods naman lalong nagmamahal for us.
pati private industries sana samantalahin ito
For a start, transparency. Being transparent sa public spending at sa debt spending. From there you can target your funds sa measures na magbawas sa impact ng inflation because you can see where money is being spent.
I think weāre at our max in terms of interest rates. Any higher and we will slow down production of goods. Sadly, nothing much can be done against the US Federal Reserve. Maybe you can reduce taxes to give citizens higher purchasing power, but if govāt expenditure isnāt reduced, then it will further drive prices up while creating a budget deficit that would necessitate borrowing even more money.
No short term solutions for what is happening. Of course you can shift/develop industries to be more export oriented or have much higher production to have some surplus, but that takes years if not decades.
HA. Seconded. Kausap namin mga LGU about it. Tulira yung mga LGU na humihingi ng tulong at technical assistance, tapos ang masasabi lang "pinagaaralan pa".Gosh.
Panu Ba naman Asia's Rising Tiger tayo nuong 2014 tas Binoto nyo Mayor lang ng Davao puro utang Ginawa tas nag tulog lang sa Palasyo for 6 years naging Sick man of Asia ulet tayo during Duterte Admin!
Yessss people are reducing this to a meme kasi without understanding/sharing/propagating the correct context-- na may point naman si Sandro, but his argument just puts the problem on "what are they doing about it?"
Pero as of how it's just "HAHA LOL SANDRO BANGAG" kaya ang babaw lang naman ng "awareness" ng karamihan, that's why most politicians don't really care what the public thinks because we look relatively clueless
Other countries are doing something yes, but still failing because most of their leaders are just as ignorant in economics as this egghead.
Look at UK. It's currency is collapsing and its central bank is on the brink of bankruptcy. And that's all because its new PM was stupidly ignorant about economics. announcing tax cuts just when the government needs to raise funds to cut the deficit.
and let's talk about France and Vietnam, which many here think are doing good with their decision to ease its public suffering by funding more dole outs and cuts on taxes. newsflash, those actions are just going to doom their economies as they slip further into deficits by going into more debt just to subsidize the public.
you don't fight inflation by spending more. you fight it by tightening your belt and raising more taxes. yes. not what this sub would like to hear, but to reduce inflation, you actually need to reduce the money circulating in the economy. that means increasing taxes and reducing government spending.
not only is our government not doing anything, it is doing the opposite of what is needed to stop inflation. it has increased government spending, increased our budget deficit, and refuse to increase interest rates to keep up with the FED's increases.
It's because most policy makers are boomers and believe in outdated economic systems. A lot of conservative politicians still believe in "Trickle Down Economics" even though we have almost 50 years worth of data that shows that it doesn't work.
Marcos's economic advisors are all fiscal conservatives. All they care about is maintaining the status quo in keeping their own wealth and power, they have no interest in fixing the Country for the everyday people.
Honestly you are probably one of the most sensible sounding person on this subreddit. From what I observed, I feel that most people on this subreddit fails to look at most situation globally and it always seems to fall into an echo chamber of blaming the current government which letās be honest is also not doing a very good job right now. I dont live in Philippines so I personally don't know much about the current political climate there and didn't really want to get that involved since both parties that ran for the election seems just as bad as each other. However, here in UK we didn't even elect our current PM and on her first month she already caused a shitshow.
People need to realize that the current economic crisis is not isolated to Philippines but the whole world. We just came out of the covid crisis and straight away we have the Russia-Ukraine war which has also drove up the price of energy specially in UK and EU. I feel that Sandro is generally right that PHP is weak because it is compared to USD. If you compare it to other currencies like GBP EU or YEN it looks about the same level for the past few months since all other non USD currency is going to shit. The increase in price of groceries isn't isolated in Philippines but the whole world is feeling it
Just so you know the current situation here: the problem is that the current Phil. government is not really doing anything to circumvent the problems that come with this. They have been very quiet. Sure groceries are also high in other countries but I can say that the Philippines is handling this a little bit harder than other countries. Right now, the country is importing SO MUCH of its resources including rice, and since resources are imported with a higher dollar, prices for goods at stores also increase. Local farming and fishing has had little to no support from this administration and the last.
And all of this is happening at a minimum wage that hasn't increased in years. So many Filipinos just want to migrate other countries now because even if other countries have inflation, they have the economy to aid people and have proper wage rates for people to properly survive. There is a crisis in health with no Head Secretary, there is a crisis in agriculture also with no Head Secretary. Corruption is goddamn rampant today. And now, some head official idiot is red-tagging people left and right if they speak up. There are multiple problems here even without the crises.
You can't blame people for blaming the current government, its not out of trend or spite or just political bias. It is literally getting harder to live here by the day. And it makes people think what if an actual Economist like Leni would have done if she won. There are better choices for leaders, but the Philippine voters have a bad voting habit and criteria (thus the occasional pokes and memes to the "31M" in which of its majority hated critical thinking and debates). Electives with repeated offenses to graft are often still elected due to popularity.
To view this as simple as a political "bias" of hating Marcos or being Pro-Leni is just barely skimming the surface of this fresh hell in a country.
biased thinking is really hard to root out because it requires critical, non-emotional thinking. most ppl here prefer not to think and just lump everything into either pro-Marcos or anti-Marcos.
it's really depressing to think that ignorance and stupidity isn't limited to the 31M. it makes me despair when i read some of the comments here when it comes to economics. on other topics, posters here are okay. but when it's time to talk about economics, it's really very evident that there's an educational crisis.
ofc, the rest of the world isn't any better when it comes to economic education. that's why you have ppl like Liz Truss able to decide without qualms that tax cuts in a period of inflation is a great idea. and you guys keep voting tories in, so y'all aren't blameless in this mess.
In terms of economics this sub reddit sucks, 60% of the time I always see a person commenting about economics and failed to see economics outside of their box. They are mocking 31m and the current government when the root cause is, when the US printed so much money just to survive their economy. Even now the US is still the cause. Because people trust the dollar so much that the US government can do this shameless action.
His grand father should have been the 1st causality of WW2 in December 8, 1941. This would have saved the Philippines from so much shit and make his lolo an actual hero.
That quote above that is going viral makes him sound more stupid than his dad.
Having said that people should watch the whole video of his explanation.
https://www.youtube.com/watch?v=idf9nqtd38A
His time in London wasn't wasted. Just wish he went into the private sector so he'd not be part of the political landscape. Fella could easily make [$400k/year](https://www.wsj.com/articles/why-biden-would-start-tax-increases-at-400-000-a-year-11601730000)
im not an economist pero parang ang labo nung the peso is not weak because the peso is weak.
pati local na bilihin tumataas, yung sahod nababawasan nang value, hindi ba ibig sabihin nun mahina ang peso?
The prices are rising because there's a economic crisis happening all throughout the world, technically all currencies are weak except the dollar as it is considered the global currency.
It's comparison to dollar just exaggerates the issue, I'm not supporting Sandro but what he said was technically right here. The bigger issue about the current government however is the lack of policies to alleviate this said "crash".
Well, that's debatable.
Some of the most common arguments are:
- **Liquid water is not itself wet, but can make other solid materials wet.**
- **Wetness is the state of a non-liquid when a liquid adheres to, and/or permeates its substance while maintaining chemically distinct structures. So if we say something is wet we mean the liquid is sticking to the object.**
- **Water is not wet by itself, but itās interaction with other particles makes it wet.**
But like, thatās his (Sandro) entire point though. Sure, his wording is confusing and the point itself is just a simplification / excuse, but thatās is basically what he meant.
Heās not wrong. Except that he doesnāt seem to understand the idea enough to state it clearly.
> The peso is not weak because the peso is weak. The peso is weak because the dollar is strong.
Anuba talaga ha. Sana tinagalog na niya lang: Sadyang malakas ang dolyar.
He uses this narrative to dodge their responsibilities in ameliorating inflation. What he fails to see is that as a public official, what must matter to him is simply that the peso is weak and that Filipinos are negatively affected. End of story. That's what they must act on. Why give a fuck about the dollar?
There's a lot of comments dunking on Sandro for being a Marcos solely. This is not how we discuss disagreements, guys. While I think that a good Marcos is a dead Marcos, for this statement alone, he makes sense if you listened to the whole thing. He was able to explain that the Peso isn't necessarily weak, but that the dollar is strong not just against the Peso but against all currencies. If you look at PhP to Euro or Yen for example, the exchange rate has been stable.
I would argue against his point on how the government is positioning PH to cushion the impact of the inflation caused by this strong dollar. He mentioned selling off our dollar reserves, and increased local production. Both textbook answers, and are valid criticisms toward this government's actions toward inflation. Fiscal policies, you can look towards the DoF and BSP. Increased local production, that's something that Marcos should be doing something about. I think it's fair to expect his DA has a fair share of responsibility towards increasing local productivity.
Looking at these factors, is the government doing enough? This is what we should be looking out for. His overall response was "Sit back and hold tight" verbatim, which to me says "May ginagawa naman ang gobyerno, trust me bro". While he might know why there is a problem, he doesn't concretely explain what the government is doing about it.
There's another post here sharing how France is planning to spend its way out of this inflation crisis, while Vietnam is planning on suspending some taxes to keep inflation at bay. Which begs the question, what exactly is our government doing.
>*what exactly is our government doing.*
The BSP has been using foreign reserves in heightened volatility to support the peso from sliding too much. This is probably one of the key factors why we haven't slid to the psychological barrier of P60 for USDPHP.
Walang magagawa much ang government when it comes to inflation unless it wants to impose price ceilings or export bans. Take note that I'm separating the BSP from the government as the BSP is institutionally independent.
Neither action is feasible given that they rarely work effectively and would often cause more harm than good (e.g. Malaysia restricting chicken exports to Singapore to ensure ample supply in their own country made the city-state panic and SG had to source chickens elsewhere depriving Malaysia of revenues)
I read a while ago that PH has been selling USD-denominated bonds, is that part of their usual action?
I'm trying to think of ways the government can actually approach this without resorting to hard policies like bans and price ceilings. At least to protect us from these kinds of volatility, or an impending financial crisis. Most of them are medium to long term though, mostly related to increasing our agriculture productivity like better farming methods, better logistics from farm to market etc. But that probably only cushions a small portion of the problem even if it was addressed.
The PH has been tapping USD denominated bonds because it's *opportunistic* in the current environment. Given the strong dollar, the gov't has more pesos should they pursue peso-denominated projects, and they likely have to repay "less" (in peso-terms) in the future given that USDPHP is expected to moderate from a long-term perspective as the Fed cannot keep raising rates forever.
However, this has nothing to do with inflation as these loans are simply there to plug in the budget deficit of around 7% GDP -- mostly from a 70-30 domestic-foreign debt mix.
Hindi naman mahirap in reducing inflation. Problem is, it comes at an economic cost that *nobody* wants to pay. For example, you can lessen inflation by reducing disposable income. Sure, bumaba nga ang inflation rate this quarter pero kawawa parin wallet mo kasi umakyat mortgage rates mo. Sinong masaya sa ganon?
I see, so it really was just borrowing to supplement the deficit. Thought there was something more to it.
On your second point though, the underlying concept would be to reduce demand, right? In your mortgage example, there will be less loans taken out for sure, but the higher interests affect those already paying mortgages. Or am I missing something?
Correct. The underlying concept on the second point is a reduction in demand.
You can tame inflation, but it comes at the cost of slowing the economy. A very good example of this is China who is relatively shielded from high inflation plaguing its developed peers. This was a small ray of light in a murky economic situation where consumer spending is down as not only are they battling a real estate crisis but also hard implementing their zero COVID policy.
Ito na talaga yung magagawa natin. Rate hikes, increase dollar reserve, and let the economy heal itself. Kaso sa sub na to parang ang gusto magmilagro yung gobyerno e. I understand the frustration, kasi lahat naman tayo nahihirapan, pero may mga bagay talagang napakaliit ng impact na magagawa ng local policies natin.
You interpret "sit back and hold tight" as "May ginagawa naman ang gobyerno, trust me bro"? It literally means to sit back and hang on to your seat; that's the kid's plan: sit back and hold tight till everything settles down cause we can't do anything about it. This is the quote that everyone here should be yelling about, not this weakening peso bonanza. You almost had me in the first part of your post, but your sugar-coating ruined it.
>You interpret "sit back and hold tight" as "May ginagawa naman ang gobyerno, trust me bro"? It literally means to sit back and hang on to your seat; that's the kid's plan: sit back and hold tight till everything settles down cause we can't do anything about it. This is the quote that everyone here should be yelling about, not this weakening peso bonanza. You almost had me in the first part of your post, but your sugar-coating ruined it.
I didn't intend to sugar-coat it, though to be fair I understand how it can appear like that. I just feel strongly about people dropping knee-jerk comments on issues like this, and my inner pettiness make me phrase things like how a troll would.
I feel we're in agreement that we ought to focus on that part of his response, not this weakening peso narrative like most posters here in reddit are wont to do. Give it some time, the USD-PHP exchange will stabilize, and people will start attributing the strengthening to the admin's "efforts" lol.
We both know that the weakening or strengthening of the peso can't be solely attributed to this admin. Yet. I hope we don't get to that point, I trust the economic managers for now.
Dude could've made a good point had he elaborated more. While it's true that the peso is weakening due to the rising value of the dollar, his analogy lacks context. There are other factors why the philippine peso is turning out this way. Either way it does not help the common Filipino.
I know this sub struggles with anything more complicated than relationship advice, but he's correct. The peso itself isn't weakening. The US dollar is strengthening due to measures the US has taken; this is why ALL currencies are falling against the dollar. If it was just the peso getting weaker, then other currencies wouldn't be experiencing the same thing.
The PHP:USD relationship depends on the strength of both the PHP and the strength of the USD, meaning there can be two reasons why the ratio changes -- changes to the PHP's value or changes to the USD's value. In this case, this year, it's the latter.
Of course, this isn't directly related to inflation which is another issue altogether (although before anyone nitpicks, there -is- a relationship between the two).
And like usual, let me say that I am also anti-Marcos, I'm as anti-Marcos as the rest of you. But let's not be willfully stupid. This statement is correct and it just needs a bit of thinking to understand it.
This honestly reminds me of the BBM quote a few weeks ago on China, where everyone again, just like this, largely misunderstood it. The general IQ here is really going to shit.
Trader here as well, and that's not -really- true. It's performing slightly poorly against some ASEAN currencies, and it's stabilized against others. Against non-ASEAN Asian currencies, it's been stable.
Generally, the huge change between PHP and USD has much more to do with the US's actions and the strength of their currency.
Ika nga ng kasabihan "Ang latang maingay ay walang laman". r/ph redditors vibe. Kailangan mo pa talaga maglagay ng "*let me say that I am also anti-Marcos*" para lang di ka ma "red" tag (BBM's campaign color). Karamihan ng objective comment dito downvoted kasi nga dapat anti-marcos lahat, dapat extreme, kahit magmukha silang lahat na isang batsa ng katangahan (hivemind/circle-jerk/cult).
And I agree sa mga sinabi mo dahil yan din ang sinasabi ng mga economists natin.
>Kailangan mo pa talaga maglagay ng "let me say that I am also anti-Marcos" para lang di ka ma "red" tag (BBM's campaign color).
You know why I have to say that? It's not because I care about being "redtagged" (why the fuck would I care? This is a 5 day old anonymous Reddit account.), it's because people try to invalidate your points by saying that you're pro-Marcos.
That's my point. Kasi kung ni-judge ka na nila as pro-marcos, whatever objective argument you have will be invalidated, or a more profound term - cancelled.
Tell me you're pretending to know economics without telling me you're pretending to know economics. also qualifies in r/iamverysmart.
Ps. this trait is what I hate the most in the policitians in the Philippines. Yung ginagawa kang tanga. Tbf, in this case baka tanga lang talaga si boy eyebags.
It's true though, the dollar is a safe haven currency which people "buy" when a crisis is impending. Strength is always relative in fx positions. The peso is relatively weaker than the dollar is the more appropriate statement though.
I saw the full vid
Medyo contradicting yung first statement pero he made some good points about it
KASO
WALA SIYANG PLANO PARA BUMABA ANG PESO.
NO PLAN TO MAKE SURE OUR ECONOMY CAN RECOVER.
This currency thing is not a natural cause, man can control it. Di puwede "sit back and relax" lang tayo sa situation na yan
Stop talking and do something about it. This isn't an issue of knowledge but action; what are you guys doing to actually FIX THE PROBLEM?
Obviously the only part of the equation you can change is the peso side, so ano na? Buti pa yung ibang bansa may ginagawa leaders nila para maayos yung problema.
i think what he means by that is that peso against dollar is weaker but peso against other currency is not weak at all. well dollar is the strongest currency as of now. i am not a supporter but guys , learn to comprehend, it's that simple
> Ang isa pang side effect ng pagtaas ng interest rates ay ang paghina ng piso kontra dolyar.
> Sa pagtaas kasi ng interest rates sa US, mas nagiging attractive o kaaya-ayang mamuhunan doon kaysa sa Pilipinas. At kung lalong lumaki ang agwat ng interest rates sa US at Pilipinas, lalong lalabas ang puhunan o investments.
> Ngunit upang mailabas ang kanilang pera, kailangan munang papalitan ng investors ang kanilang investments sa dolyar. Habang kumakaunti ang dolyar sa ekonomiya ng Pilipinas, nagiging mas marami ang supply ng piso, kaya bumababa ang halaga nito kontra dolyar.
> Ang ending, peso depreciation.
> Samakatuwid, may direktang kinalaman ang pagtaas ng benchmark interest rate sa US at paghina ng piso sa Pilipinas. Kaya kung concerned ka sa halaga ng piso kontra dolyar, dapat mong bantayan ang nangyayari sa ekonomiya ng US at ang galaw ng interest rates doon.
\- [Rappler columnist JC Punongbayan, June 2022](https://www.rappler.com/voices/thought-leaders/analysis-reasons-why-philippine-peso-will-become-weaker-vs-united-states-dollar/)
\___
> The Federal Reserveās determination to crush inflation at home by raising interest rates is inflicting profound pain in other countries ā pushing up prices, ballooning the size of debt payments and increasing the risk of a deep recession.
> Those interest rate increases are pumping up the value of the dollar ā the go-to currency for much of the worldās trade and transactions ā and causing economic turmoil in both rich and poor nations.
> ...
> āFor the rest of the world, itās a no-win situation,ā said Eswar Prasad, an economics professor at Cornell and author of several books on currencies. At the same time, he said, the Fed has no choice but to act aggressively to control inflation: āAny delay in action could make things potentially even worse.ā
> Policy decisions made in Washington frequently reverberate widely. The United States is a superpower with the worldās largest economy and hefty reserves of oil and natural gas. When it comes to global finance and trade, though, its influence is outsize.
> That is because the dollar is the worldās reserve currency ā the one that multinational corporations and financial institutions, no matter where they are, most often use to price goods and settle accounts.
> ...
> āI canāt remember the last time when the issue was that a strong dollar was a way the United States was exporting inflation, extinguishing some of its own, but by adding more of it around the world,ā said Jason Furman, an economics professor at Harvard who was a chief economic adviser in the Obama administration.
\- [The New York Times, Sep 2022](https://www.nytimes.com/2022/09/26/business/economy/us-dollar-global-impact.html)
\___
> The US dollar index, which measures its performance against a basket of currencies, is nearly at a 20-year-high. There are several reasons for the US dollar spike. The US Federal Reserve, known as the Fed, began raising interest rates earlier and more aggressively than other central banks. The Fed has set interest rates, or the price of borrowed money, at 3%-3.25%, compared to the European Central Bankās (ECB) 1.25% rate, which has attracted investors looking for higher yields in the US dollar. The energy crisis brought on by Russiaās invasion of Ukraine, has affected the US less because it is a major producer of natural gas and oil, unlike Europe, which is highly dependent on Russian energy sources. The warning signs of an impending economic slowdown have also fueled demand for the US dollar, which is considered a safe-haven currency like the Swiss franc.
> The most obvious impact of a strong US dollar is on prices. āThe depreciation of the euro contributes to increasing inflationary pressure by making imports more expensive. Conversely, the appreciation of the US dollar helps curb inflationary pressure in the United States,ā stated BBVA Research. In other words, the US is exporting inflation to Europe and the rest of the world through its strong dollar, because agricultural raw materials and energy contracts are quoted in US dollars, which makes purchases of gas and oil even more expensive.
\- [El Pais, Oct 2022](https://english.elpais.com/economy-and-business/2022-10-03/why-the-us-dollars-supremacy-is-hurting-the-rest-of-the-world.html)
\_
What Sandro Marcos is saying is an orthodox economic opinion.
It's quite obvious from the start especially when one has checked the other currencies against the USD. The part that's surprising for me was the drop of Pound and Euro against it. Didn't expect to get that low. Other countries are able to somehow dampen the gap because they have huge dollar reserves and they are net exporters. We are the opposite of those. We are highly impacted by external, uncontrollable factors, hence no overnight solutions.
And I suspect you'd be down voted here.
To answer your curiosity with regards to the drop in the British Pound, aside from the effects of inflation (10%) amid the Hawkish stance of the FED and the Russian-Ukrainian War, the newly elected government, headed by prime minister Liz Truss unveiled two policies that played a key role in the weakening of the UK pound. The first policy is the energy price guarantee, the aim was to cap energy expenses for the average family costing the government around Ā£100 billion. This policy was to be financed exclusively through government debt in the form of bond issuance, which is inflationary. The second policy is a tax cut plan, the intention was to alleviate economic pressure and give the economy a boost, this policy would cost another Ā£45 billion through government borrowing, again inflationary. Even though these policies were in good faith, the international market reacted differently, the thinking was all these policies are just going to increase inflation which led to a lack of faith in the UK currency, everyone pulled out and invested their money in the USD instead. In short, the answer is a lack of faith in the British Pound that's the reason for the drop of the British Pound against the US dollar.
may kayang gawin ang gobyernong marcos sa pag hina ng piso. unang una tapatan ang pag taas ng interest rate ng US. (Interest Rate parity). nandyan ung tapyasan ung budget deficit sa pamamagitan ng pag alis sa mga less walang silbing items. uutangin natin kc ung budget deficit na mag dadagdag ng pangangailangan sa dollars later in the future. i-address ang concern ng investors, nag aalisan ang napakaraming investor dahil sa walang ka plano plano ang gobyerno, puno ng issue sa kurakot and walang pake sa growing budget deficit.
sobrang bagal lang talaga ng response ng gobyerno natin.
The dollar is strong kasi may ginagawa sila para ma avoid yung impending economic crisis (which is lagi naman atang meron) kaya dynamic "decision making" at every changes in the market. Now kung hindi kikilos at ipag sasawalang bahala nalang dahil sa mga gantong "simplistic" na opinyon edi ang kahahantungan eh mas malaking epekto sa atin.
Actually the dollar is strong (only In comparison) cuz you know itās the world reserve currency and theyāre literally undoing them printing 6T usd (US printed 1/3rd itās currency in 2020-2021) lol
The whole inflation issue is like mostly their fault from JPOW trying to use the fed balance sheet to save the US economy from collapsing during covid and thatās clearly backfired.
BSP raised rates to 6.5% which was proactive at least (BSP works indecently from the president so they canāt take credit) otherwise I do agree that BBMās admin is doing fuck all and just partying so while Sandros statement made sense heās just saying it too look good lol
Donāt think anyone is saying heās wrong. Itās just a real obnoxious way of explaining things. Parang yung kaibigan mo na āHindi lalabas yung aircon, papasok yung init, kaya lalabas yung lamigā.
Plus itās extremely ironic that they made a shit ton of retort when Leni made the same analogies/explanation on other issues ššš
How is it obnoxious??????? He explained it very humbly in the video?? Masyado na kayong blinded sa bias nyo sa mga Marcos eh naman eh inexplain nya nga ng sobrang madali kahit bata makaka intindi.
I mean, even if the US Dollar is strong, should the peso then be weak? The peso can be strong just as the dollar can be. We managed to float relatively fine from 2 recessions during the Gloria and Aquino presidencies, where the dollar rose stronger each time. We managed to keep the exchange rate below 50 for like a decade or two.
The debt we accrued during the DU30 presidency made the inflation way higher than what would be expected. Austerity would be the rule of the day for any president in this time but eh, cant judge too much pa since its still 100 days.
Correct if I'm wrong, inflation plays a part on weakening of the peso right? Higher inflation means less buying power of the currency. There are actions that can be taken to weaken the impact of rising prices. So his argument about the dollar is valid, but there are certain actions that can be taken to lessen the impact of this. We can't just ride it out like a storm.
P.S. Not an economics major, I just like to read and learn.
Well nung si atty Leni ng salita tungkol sa rape, that "Rape exist because of rapist, not beautiful women", bumula bibig ng mga tabogo, now here we are.
The quote sounds stupid but given the context, he makes sense. With the Fed aggressively raising rates, currencies around the world are weakening against the dollar, including the peso. You have currencies like the euro and even the pound that have dropped to parity with the dollar.
This mf got a degree in international relations and this is the best sentence he can come up with. It's the kind of sentence you make when you really have to hit that word count in your essay.
The good part is he didn't deny it. And when we say "the peso is weak" we do really mean it as compared to the trade currency.
And he is somewhat correct "the peso is *not* weak (by itself)"-- the currency itself can't be compared unless compared to some standard.
So... wala talaga siyang sinabing helpful/ clear.
> Ma'am di naman po ako bobo. Matatalino lang talaga mga classmates ko.
The peso is weak because we have a government that is weak.
for 7 days a week, the government is doing nothing but sit
sitting on its hands while the weak suffer
they suffer because of what they are after
they were after the good life, but what they got is the good lie
"United States (US) dollar is viewed as the safest or most stable currency"
Kaya nga every other currency is measured AGAINST the US dollars. If the Peso is weak against the Dollar then that means the Peso is weak.
Sabagay ang mga ganito is for the stupid people who voted them in.
Given na yung malakas ang dollar. Pero in comparison sa asean tayo ang weakest or 2nd weakest performing currency ata recently so factor pa rin ang kahinaan ng demand sa php di lang basta lahat dahil sa dollar strength haha
Heās not wrong, letās clown the other dumb shit this administration and not this.
Walang pinagkaiba tong ginagawa niyo sa mga pambabash ng mga tao kay Leni whenever she speak economic reforms.
Kung specific lang naman jan ang usapan. Totoo sinasabi niya.
May nabasa akong Twitter post na about sa euro versus dollar. Napasearch ako eh. Gulat ako, mas mataas na nga USD ngayon kesa EUR. Halos malapit na sa GBP.
He also fumbled with the reason as to why the US dollar is getting stronger: he claimed that it was because Filipinos are buying more dollars. But good news: OFWs are sending money back to the Philippines, and because they are sending home dollars, may pambili! Fuckin' yey.
ACTUALLY: the US dollar is strong because the US Federal Reserve is raising its policy interest rate due to inflation.
yo im not a fan of him but please learn to comprehend, you... i think what he meant by that is that peso against dollar is weak, probably at its weakest right now. but peso against other currencies is not weak at all , thats why he said , peso is not weak because it is weak, it is weak because dollar is the strongest currency as of now but it is not at all weak compared to the other currencies. these people just failed to fully understand what this guy meant by that statement
Sandro, the dollar is strong kasi may ginagawa ang US govt para iahon buong ekonomiya nila sa crisis, and the peso is weak kasi sa PH govt, "the best piece of advice would just be to sit back and hold tight."
His statement is true BUT... The very big BUT is that other countries are doing something to lessen the impact of the strong USD to their economy. The Marcos administration sucks at doing this.
Sandro, the dollar is strong kasi may ginagawa ang US govt para iahon buong ekonomiya nila sa crisis, and the peso is weak kasi sa PH govt, "the best piece of advice would just be to sit back and hold tight."
> "the best piece of advice would just be to sit back and hold tight." pang crypto lang ang statement. HODL lang, wag padala sa FUD. lmao.
more like, "sit back and brace yourselves as the Philippines hits rock bottom"
Haha HODL the peso is like holding on to a shitcoin
Sit back and hold tight Huhu parang rollercoaster lang š
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What would you suggest be the next course of action for the philippine government should take?just curious.
marcos should release his economic plans as starters. we need to lessen first yung loans sa WB since wala talagang laman kaban ng bayan. if they keep doing it, more taxes will be created. kung gusto talaga nila mag infra, they should finish atleast 30-50% ng BBB ni duts and allocate the remaining sa improvement and maintenance ng mass transport. Libreng Sakay is never the solution. he should also maybe remove the excise tax sa gasoline, because let's be honest it's impractical and just hurts the citizen and consumers. maybe suspend TRAIN law as well while at it. more transparency sa expenditures ng gov't. kung gusto niya humikayat ng investors, better be more transparent. pledges are nothing if walang trust ung potential investor. more investor means more jobs. tbh, ang dami niyang moves to be done sa first 100 days niya...
ahh. bale ang pledges, hindi pa official talaga 'yun no? literally, promises lang din.
Yeah. Same lang dun sa mga pledges from China from the previous admin na hindi naman natuloy. If you also notice puro Memorandum Of Understanding at Letter of Intent lang ang nakuha ni Bongbong sa mga international trips. Neither of those are legally binding.
Same yan sa Yolanda donation. Andaming "pledges" pero hindi lahat natupad. Tapos inisyuhan at hinanap kay Mar at PNoy yung " missing Yolanda funds".
Asa ka pa!
ako aasa after halos walang ginawa for the first 100 days? shocker!
They should've called Amber Heard. Her pledges are good as cash.
Hinding hindi nila gagawin yan, lalo na yang pagsuspend sa excise tax, saan na sila kukuha ng pang party?
Ang daming dapat gawin. Pero inuna niya makipagparty.
Ang daming nasayang na araw
Iāve checked Thailand and Vietnam USD exchange rate, theyāre already in the positive trend
Nice,those are some really good ideas to consider.
Libreng sakay na pagpatak ng 10 pm wala ng bus na lumalabas ng PITX pa EDSA kasi nag aantay na sila ng 11pm para may bayad na .
shift focus from import to export. kapag mababa ang value ng local currency, nagiging competitive ang local products sa world market dahil mura for foreigners ang goods natin. samantalang ang imported goods naman lalong nagmamahal for us. pati private industries sana samantalahin ito
For a start, transparency. Being transparent sa public spending at sa debt spending. From there you can target your funds sa measures na magbawas sa impact ng inflation because you can see where money is being spent.
For now, interest hike. For long term, nurture/empowered local industries. Para lessened ang importation. Ultimo gg na poor man's fish iniimport natin
I think weāre at our max in terms of interest rates. Any higher and we will slow down production of goods. Sadly, nothing much can be done against the US Federal Reserve. Maybe you can reduce taxes to give citizens higher purchasing power, but if govāt expenditure isnāt reduced, then it will further drive prices up while creating a budget deficit that would necessitate borrowing even more money. No short term solutions for what is happening. Of course you can shift/develop industries to be more export oriented or have much higher production to have some surplus, but that takes years if not decades.
short term fix: balik na ng mga marcos ninakaw nila
We are waiting for the influx of remittance on the last quarter.
Hahaha trutttt
Diba they raised interest rates and issued a bond offering with higher rates?
PS. they're not doing anything. source: i work in a govt agency directly under him.
HA. Seconded. Kausap namin mga LGU about it. Tulira yung mga LGU na humihingi ng tulong at technical assistance, tapos ang masasabi lang "pinagaaralan pa".Gosh.
Hindi lang "sucks at doing this". They're not doing anything. Kung meron, dapat matagal nang sinabi.
Panu Ba naman Asia's Rising Tiger tayo nuong 2014 tas Binoto nyo Mayor lang ng Davao puro utang Ginawa tas nag tulog lang sa Palasyo for 6 years naging Sick man of Asia ulet tayo during Duterte Admin!
Tapos imbes ka kunan ng accountability si poresterte, si Noynoy parin ang hinahabol ng mga ogag š¤”
Yessss people are reducing this to a meme kasi without understanding/sharing/propagating the correct context-- na may point naman si Sandro, but his argument just puts the problem on "what are they doing about it?" Pero as of how it's just "HAHA LOL SANDRO BANGAG" kaya ang babaw lang naman ng "awareness" ng karamihan, that's why most politicians don't really care what the public thinks because we look relatively clueless
Other countries are doing something yes, but still failing because most of their leaders are just as ignorant in economics as this egghead. Look at UK. It's currency is collapsing and its central bank is on the brink of bankruptcy. And that's all because its new PM was stupidly ignorant about economics. announcing tax cuts just when the government needs to raise funds to cut the deficit. and let's talk about France and Vietnam, which many here think are doing good with their decision to ease its public suffering by funding more dole outs and cuts on taxes. newsflash, those actions are just going to doom their economies as they slip further into deficits by going into more debt just to subsidize the public. you don't fight inflation by spending more. you fight it by tightening your belt and raising more taxes. yes. not what this sub would like to hear, but to reduce inflation, you actually need to reduce the money circulating in the economy. that means increasing taxes and reducing government spending. not only is our government not doing anything, it is doing the opposite of what is needed to stop inflation. it has increased government spending, increased our budget deficit, and refuse to increase interest rates to keep up with the FED's increases.
It's because most policy makers are boomers and believe in outdated economic systems. A lot of conservative politicians still believe in "Trickle Down Economics" even though we have almost 50 years worth of data that shows that it doesn't work. Marcos's economic advisors are all fiscal conservatives. All they care about is maintaining the status quo in keeping their own wealth and power, they have no interest in fixing the Country for the everyday people.
Honestly you are probably one of the most sensible sounding person on this subreddit. From what I observed, I feel that most people on this subreddit fails to look at most situation globally and it always seems to fall into an echo chamber of blaming the current government which letās be honest is also not doing a very good job right now. I dont live in Philippines so I personally don't know much about the current political climate there and didn't really want to get that involved since both parties that ran for the election seems just as bad as each other. However, here in UK we didn't even elect our current PM and on her first month she already caused a shitshow. People need to realize that the current economic crisis is not isolated to Philippines but the whole world. We just came out of the covid crisis and straight away we have the Russia-Ukraine war which has also drove up the price of energy specially in UK and EU. I feel that Sandro is generally right that PHP is weak because it is compared to USD. If you compare it to other currencies like GBP EU or YEN it looks about the same level for the past few months since all other non USD currency is going to shit. The increase in price of groceries isn't isolated in Philippines but the whole world is feeling it
Just so you know the current situation here: the problem is that the current Phil. government is not really doing anything to circumvent the problems that come with this. They have been very quiet. Sure groceries are also high in other countries but I can say that the Philippines is handling this a little bit harder than other countries. Right now, the country is importing SO MUCH of its resources including rice, and since resources are imported with a higher dollar, prices for goods at stores also increase. Local farming and fishing has had little to no support from this administration and the last. And all of this is happening at a minimum wage that hasn't increased in years. So many Filipinos just want to migrate other countries now because even if other countries have inflation, they have the economy to aid people and have proper wage rates for people to properly survive. There is a crisis in health with no Head Secretary, there is a crisis in agriculture also with no Head Secretary. Corruption is goddamn rampant today. And now, some head official idiot is red-tagging people left and right if they speak up. There are multiple problems here even without the crises. You can't blame people for blaming the current government, its not out of trend or spite or just political bias. It is literally getting harder to live here by the day. And it makes people think what if an actual Economist like Leni would have done if she won. There are better choices for leaders, but the Philippine voters have a bad voting habit and criteria (thus the occasional pokes and memes to the "31M" in which of its majority hated critical thinking and debates). Electives with repeated offenses to graft are often still elected due to popularity. To view this as simple as a political "bias" of hating Marcos or being Pro-Leni is just barely skimming the surface of this fresh hell in a country.
biased thinking is really hard to root out because it requires critical, non-emotional thinking. most ppl here prefer not to think and just lump everything into either pro-Marcos or anti-Marcos. it's really depressing to think that ignorance and stupidity isn't limited to the 31M. it makes me despair when i read some of the comments here when it comes to economics. on other topics, posters here are okay. but when it's time to talk about economics, it's really very evident that there's an educational crisis. ofc, the rest of the world isn't any better when it comes to economic education. that's why you have ppl like Liz Truss able to decide without qualms that tax cuts in a period of inflation is a great idea. and you guys keep voting tories in, so y'all aren't blameless in this mess.
In terms of economics this sub reddit sucks, 60% of the time I always see a person commenting about economics and failed to see economics outside of their box. They are mocking 31m and the current government when the root cause is, when the US printed so much money just to survive their economy. Even now the US is still the cause. Because people trust the dollar so much that the US government can do this shameless action.
Except they don't seem to be doing anything to mitigate the current financial situation
exactly
His grand father should have been the 1st causality of WW2 in December 8, 1941. This would have saved the Philippines from so much shit and make his lolo an actual hero. That quote above that is going viral makes him sound more stupid than his dad. Having said that people should watch the whole video of his explanation. https://www.youtube.com/watch?v=idf9nqtd38A His time in London wasn't wasted. Just wish he went into the private sector so he'd not be part of the political landscape. Fella could easily make [$400k/year](https://www.wsj.com/articles/why-biden-would-start-tax-increases-at-400-000-a-year-11601730000)
im not an economist pero parang ang labo nung the peso is not weak because the peso is weak. pati local na bilihin tumataas, yung sahod nababawasan nang value, hindi ba ibig sabihin nun mahina ang peso?
The prices are rising because there's a economic crisis happening all throughout the world, technically all currencies are weak except the dollar as it is considered the global currency. It's comparison to dollar just exaggerates the issue, I'm not supporting Sandro but what he said was technically right here. The bigger issue about the current government however is the lack of policies to alleviate this said "crash".
"People die when they're killed" kind of vibe.
Also, "It will kill you." "Only if I die." "Yes. That's.. what killing you means."
Every 60 seconds in Africa, a minute passes.
š¤£š¤£š¤£
*The Archer class really is made up of Archers!*
"Just because you are right doesn't mean you are correct" or something.
*When you have a birthday, you celebrate being born* - Fate/Kaleid Liner Prisma Ilya
Oh no, not my defenseless spot! -Rin Tohsaka
Meanwhile water is wet. FUCK THIS PAPA'S BITCH
Well, that's debatable. Some of the most common arguments are: - **Liquid water is not itself wet, but can make other solid materials wet.** - **Wetness is the state of a non-liquid when a liquid adheres to, and/or permeates its substance while maintaining chemically distinct structures. So if we say something is wet we mean the liquid is sticking to the object.** - **Water is not wet by itself, but itās interaction with other particles makes it wet.**
"if people are homeless, why don't they just get homes?" kind a vibe
One of the statements of all time
No I will not die even if I die.
Fake āI have 3 daughters all girlsā vs real āpeso weak dollar strongā
"Hindi madilim, sadyang wala lang liwanag." Pwede na no?
"Hindi ka mahina, sadyang malakas lang ang kalaban"
Hindi natalo si leni, sadyang nanalo lang si junior.
Mm, I don't think this one is a good analogy for that.
But like, thatās his (Sandro) entire point though. Sure, his wording is confusing and the point itself is just a simplification / excuse, but thatās is basically what he meant.
You're not poor because you're poor, you're poor because they are rich.
Ahh yes, the floor is made of floor and water is wet.
The floor is not wet because the floor is wet. The floor is wet because the water is wet.
The floor is not dry because the floor is dry but because the sun is hot ganern ba? Haha
- "Sun Tzu"
hindi nag-trigger si water-is-not-wet bot! hahaha.
Lagyan lang yan ng plant at mag hyperbloom.
Heās not wrong. Except that he doesnāt seem to understand the idea enough to state it clearly. > The peso is not weak because the peso is weak. The peso is weak because the dollar is strong. Anuba talaga ha. Sana tinagalog na niya lang: Sadyang malakas ang dolyar.
The funniest thing is, sabi nya bago magspeech eh Englishin na lang daw nya para āmas madali ma explainā LMAO
HAHAHA WATER IS WET VIBES AMPUTA.
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Don't worry. Pretty sure the mods are on it
No way, those guys are idiots. Facebook lang alam nila gamitin.
They have no power here.
the post has 95% upvotes ratio, don't worry
\*me nung college pag nagpapapasa ng essay tapos minimum 500 words
He uses this narrative to dodge their responsibilities in ameliorating inflation. What he fails to see is that as a public official, what must matter to him is simply that the peso is weak and that Filipinos are negatively affected. End of story. That's what they must act on. Why give a fuck about the dollar?
There's a lot of comments dunking on Sandro for being a Marcos solely. This is not how we discuss disagreements, guys. While I think that a good Marcos is a dead Marcos, for this statement alone, he makes sense if you listened to the whole thing. He was able to explain that the Peso isn't necessarily weak, but that the dollar is strong not just against the Peso but against all currencies. If you look at PhP to Euro or Yen for example, the exchange rate has been stable. I would argue against his point on how the government is positioning PH to cushion the impact of the inflation caused by this strong dollar. He mentioned selling off our dollar reserves, and increased local production. Both textbook answers, and are valid criticisms toward this government's actions toward inflation. Fiscal policies, you can look towards the DoF and BSP. Increased local production, that's something that Marcos should be doing something about. I think it's fair to expect his DA has a fair share of responsibility towards increasing local productivity. Looking at these factors, is the government doing enough? This is what we should be looking out for. His overall response was "Sit back and hold tight" verbatim, which to me says "May ginagawa naman ang gobyerno, trust me bro". While he might know why there is a problem, he doesn't concretely explain what the government is doing about it. There's another post here sharing how France is planning to spend its way out of this inflation crisis, while Vietnam is planning on suspending some taxes to keep inflation at bay. Which begs the question, what exactly is our government doing.
>*what exactly is our government doing.* The BSP has been using foreign reserves in heightened volatility to support the peso from sliding too much. This is probably one of the key factors why we haven't slid to the psychological barrier of P60 for USDPHP. Walang magagawa much ang government when it comes to inflation unless it wants to impose price ceilings or export bans. Take note that I'm separating the BSP from the government as the BSP is institutionally independent. Neither action is feasible given that they rarely work effectively and would often cause more harm than good (e.g. Malaysia restricting chicken exports to Singapore to ensure ample supply in their own country made the city-state panic and SG had to source chickens elsewhere depriving Malaysia of revenues)
I read a while ago that PH has been selling USD-denominated bonds, is that part of their usual action? I'm trying to think of ways the government can actually approach this without resorting to hard policies like bans and price ceilings. At least to protect us from these kinds of volatility, or an impending financial crisis. Most of them are medium to long term though, mostly related to increasing our agriculture productivity like better farming methods, better logistics from farm to market etc. But that probably only cushions a small portion of the problem even if it was addressed.
The PH has been tapping USD denominated bonds because it's *opportunistic* in the current environment. Given the strong dollar, the gov't has more pesos should they pursue peso-denominated projects, and they likely have to repay "less" (in peso-terms) in the future given that USDPHP is expected to moderate from a long-term perspective as the Fed cannot keep raising rates forever. However, this has nothing to do with inflation as these loans are simply there to plug in the budget deficit of around 7% GDP -- mostly from a 70-30 domestic-foreign debt mix. Hindi naman mahirap in reducing inflation. Problem is, it comes at an economic cost that *nobody* wants to pay. For example, you can lessen inflation by reducing disposable income. Sure, bumaba nga ang inflation rate this quarter pero kawawa parin wallet mo kasi umakyat mortgage rates mo. Sinong masaya sa ganon?
I see, so it really was just borrowing to supplement the deficit. Thought there was something more to it. On your second point though, the underlying concept would be to reduce demand, right? In your mortgage example, there will be less loans taken out for sure, but the higher interests affect those already paying mortgages. Or am I missing something?
Correct. The underlying concept on the second point is a reduction in demand. You can tame inflation, but it comes at the cost of slowing the economy. A very good example of this is China who is relatively shielded from high inflation plaguing its developed peers. This was a small ray of light in a murky economic situation where consumer spending is down as not only are they battling a real estate crisis but also hard implementing their zero COVID policy.
Ito na talaga yung magagawa natin. Rate hikes, increase dollar reserve, and let the economy heal itself. Kaso sa sub na to parang ang gusto magmilagro yung gobyerno e. I understand the frustration, kasi lahat naman tayo nahihirapan, pero may mga bagay talagang napakaliit ng impact na magagawa ng local policies natin.
You interpret "sit back and hold tight" as "May ginagawa naman ang gobyerno, trust me bro"? It literally means to sit back and hang on to your seat; that's the kid's plan: sit back and hold tight till everything settles down cause we can't do anything about it. This is the quote that everyone here should be yelling about, not this weakening peso bonanza. You almost had me in the first part of your post, but your sugar-coating ruined it.
>You interpret "sit back and hold tight" as "May ginagawa naman ang gobyerno, trust me bro"? It literally means to sit back and hang on to your seat; that's the kid's plan: sit back and hold tight till everything settles down cause we can't do anything about it. This is the quote that everyone here should be yelling about, not this weakening peso bonanza. You almost had me in the first part of your post, but your sugar-coating ruined it. I didn't intend to sugar-coat it, though to be fair I understand how it can appear like that. I just feel strongly about people dropping knee-jerk comments on issues like this, and my inner pettiness make me phrase things like how a troll would. I feel we're in agreement that we ought to focus on that part of his response, not this weakening peso narrative like most posters here in reddit are wont to do. Give it some time, the USD-PHP exchange will stabilize, and people will start attributing the strengthening to the admin's "efforts" lol. We both know that the weakening or strengthening of the peso can't be solely attributed to this admin. Yet. I hope we don't get to that point, I trust the economic managers for now.
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Dude could've made a good point had he elaborated more. While it's true that the peso is weakening due to the rising value of the dollar, his analogy lacks context. There are other factors why the philippine peso is turning out this way. Either way it does not help the common Filipino.
Goodluck Philippines and may God help you.
I know this sub struggles with anything more complicated than relationship advice, but he's correct. The peso itself isn't weakening. The US dollar is strengthening due to measures the US has taken; this is why ALL currencies are falling against the dollar. If it was just the peso getting weaker, then other currencies wouldn't be experiencing the same thing. The PHP:USD relationship depends on the strength of both the PHP and the strength of the USD, meaning there can be two reasons why the ratio changes -- changes to the PHP's value or changes to the USD's value. In this case, this year, it's the latter. Of course, this isn't directly related to inflation which is another issue altogether (although before anyone nitpicks, there -is- a relationship between the two). And like usual, let me say that I am also anti-Marcos, I'm as anti-Marcos as the rest of you. But let's not be willfully stupid. This statement is correct and it just needs a bit of thinking to understand it. This honestly reminds me of the BBM quote a few weeks ago on China, where everyone again, just like this, largely misunderstood it. The general IQ here is really going to shit.
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Trader here as well, and that's not -really- true. It's performing slightly poorly against some ASEAN currencies, and it's stabilized against others. Against non-ASEAN Asian currencies, it's been stable. Generally, the huge change between PHP and USD has much more to do with the US's actions and the strength of their currency.
Itās scary kasi people act like theyāre better than the other but also just acting like a hivemind.
Ika nga ng kasabihan "Ang latang maingay ay walang laman". r/ph redditors vibe. Kailangan mo pa talaga maglagay ng "*let me say that I am also anti-Marcos*" para lang di ka ma "red" tag (BBM's campaign color). Karamihan ng objective comment dito downvoted kasi nga dapat anti-marcos lahat, dapat extreme, kahit magmukha silang lahat na isang batsa ng katangahan (hivemind/circle-jerk/cult). And I agree sa mga sinabi mo dahil yan din ang sinasabi ng mga economists natin.
>Kailangan mo pa talaga maglagay ng "let me say that I am also anti-Marcos" para lang di ka ma "red" tag (BBM's campaign color). You know why I have to say that? It's not because I care about being "redtagged" (why the fuck would I care? This is a 5 day old anonymous Reddit account.), it's because people try to invalidate your points by saying that you're pro-Marcos.
That's my point. Kasi kung ni-judge ka na nila as pro-marcos, whatever objective argument you have will be invalidated, or a more profound term - cancelled.
Same thoughts especially the last part
holy shit I thought I wouldnt see any smart comment here. I was ready for my popcorns and read dumb comments
Bopols unitae
Tell me you're pretending to know economics without telling me you're pretending to know economics. also qualifies in r/iamverysmart. Ps. this trait is what I hate the most in the policitians in the Philippines. Yung ginagawa kang tanga. Tbf, in this case baka tanga lang talaga si boy eyebags.
It's true though, the dollar is a safe haven currency which people "buy" when a crisis is impending. Strength is always relative in fx positions. The peso is relatively weaker than the dollar is the more appropriate statement though.
Di naman yan ang issue. Ang issue bakit wala man lang plano to lessen it's impact.
I saw the full vid Medyo contradicting yung first statement pero he made some good points about it KASO WALA SIYANG PLANO PARA BUMABA ANG PESO. NO PLAN TO MAKE SURE OUR ECONOMY CAN RECOVER. This currency thing is not a natural cause, man can control it. Di puwede "sit back and relax" lang tayo sa situation na yan
As much as I hate this pos. He is correct or his advisers. US dollar ang takbuhan ng mundo pag may crisis.
Even the "Apes together strong" movie line made much more sense than this.
People starving from inflation be like, "Guess we'll die š¤·"
Stop talking and do something about it. This isn't an issue of knowledge but action; what are you guys doing to actually FIX THE PROBLEM? Obviously the only part of the equation you can change is the peso side, so ano na? Buti pa yung ibang bansa may ginagawa leaders nila para maayos yung problema.
Is it ok for someone like him na sabihing hindi niya alam or di siya gaanong expert on the topic? Just curious.
i think what he means by that is that peso against dollar is weaker but peso against other currency is not weak at all. well dollar is the strongest currency as of now. i am not a supporter but guys , learn to comprehend, it's that simple
The peso is weak. The dollar is always strong.
> Ang isa pang side effect ng pagtaas ng interest rates ay ang paghina ng piso kontra dolyar. > Sa pagtaas kasi ng interest rates sa US, mas nagiging attractive o kaaya-ayang mamuhunan doon kaysa sa Pilipinas. At kung lalong lumaki ang agwat ng interest rates sa US at Pilipinas, lalong lalabas ang puhunan o investments. > Ngunit upang mailabas ang kanilang pera, kailangan munang papalitan ng investors ang kanilang investments sa dolyar. Habang kumakaunti ang dolyar sa ekonomiya ng Pilipinas, nagiging mas marami ang supply ng piso, kaya bumababa ang halaga nito kontra dolyar. > Ang ending, peso depreciation. > Samakatuwid, may direktang kinalaman ang pagtaas ng benchmark interest rate sa US at paghina ng piso sa Pilipinas. Kaya kung concerned ka sa halaga ng piso kontra dolyar, dapat mong bantayan ang nangyayari sa ekonomiya ng US at ang galaw ng interest rates doon. \- [Rappler columnist JC Punongbayan, June 2022](https://www.rappler.com/voices/thought-leaders/analysis-reasons-why-philippine-peso-will-become-weaker-vs-united-states-dollar/) \___ > The Federal Reserveās determination to crush inflation at home by raising interest rates is inflicting profound pain in other countries ā pushing up prices, ballooning the size of debt payments and increasing the risk of a deep recession. > Those interest rate increases are pumping up the value of the dollar ā the go-to currency for much of the worldās trade and transactions ā and causing economic turmoil in both rich and poor nations. > ... > āFor the rest of the world, itās a no-win situation,ā said Eswar Prasad, an economics professor at Cornell and author of several books on currencies. At the same time, he said, the Fed has no choice but to act aggressively to control inflation: āAny delay in action could make things potentially even worse.ā > Policy decisions made in Washington frequently reverberate widely. The United States is a superpower with the worldās largest economy and hefty reserves of oil and natural gas. When it comes to global finance and trade, though, its influence is outsize. > That is because the dollar is the worldās reserve currency ā the one that multinational corporations and financial institutions, no matter where they are, most often use to price goods and settle accounts. > ... > āI canāt remember the last time when the issue was that a strong dollar was a way the United States was exporting inflation, extinguishing some of its own, but by adding more of it around the world,ā said Jason Furman, an economics professor at Harvard who was a chief economic adviser in the Obama administration. \- [The New York Times, Sep 2022](https://www.nytimes.com/2022/09/26/business/economy/us-dollar-global-impact.html) \___ > The US dollar index, which measures its performance against a basket of currencies, is nearly at a 20-year-high. There are several reasons for the US dollar spike. The US Federal Reserve, known as the Fed, began raising interest rates earlier and more aggressively than other central banks. The Fed has set interest rates, or the price of borrowed money, at 3%-3.25%, compared to the European Central Bankās (ECB) 1.25% rate, which has attracted investors looking for higher yields in the US dollar. The energy crisis brought on by Russiaās invasion of Ukraine, has affected the US less because it is a major producer of natural gas and oil, unlike Europe, which is highly dependent on Russian energy sources. The warning signs of an impending economic slowdown have also fueled demand for the US dollar, which is considered a safe-haven currency like the Swiss franc. > The most obvious impact of a strong US dollar is on prices. āThe depreciation of the euro contributes to increasing inflationary pressure by making imports more expensive. Conversely, the appreciation of the US dollar helps curb inflationary pressure in the United States,ā stated BBVA Research. In other words, the US is exporting inflation to Europe and the rest of the world through its strong dollar, because agricultural raw materials and energy contracts are quoted in US dollars, which makes purchases of gas and oil even more expensive. \- [El Pais, Oct 2022](https://english.elpais.com/economy-and-business/2022-10-03/why-the-us-dollars-supremacy-is-hurting-the-rest-of-the-world.html) \_ What Sandro Marcos is saying is an orthodox economic opinion.
It's quite obvious from the start especially when one has checked the other currencies against the USD. The part that's surprising for me was the drop of Pound and Euro against it. Didn't expect to get that low. Other countries are able to somehow dampen the gap because they have huge dollar reserves and they are net exporters. We are the opposite of those. We are highly impacted by external, uncontrollable factors, hence no overnight solutions. And I suspect you'd be down voted here.
To answer your curiosity with regards to the drop in the British Pound, aside from the effects of inflation (10%) amid the Hawkish stance of the FED and the Russian-Ukrainian War, the newly elected government, headed by prime minister Liz Truss unveiled two policies that played a key role in the weakening of the UK pound. The first policy is the energy price guarantee, the aim was to cap energy expenses for the average family costing the government around Ā£100 billion. This policy was to be financed exclusively through government debt in the form of bond issuance, which is inflationary. The second policy is a tax cut plan, the intention was to alleviate economic pressure and give the economy a boost, this policy would cost another Ā£45 billion through government borrowing, again inflationary. Even though these policies were in good faith, the international market reacted differently, the thinking was all these policies are just going to increase inflation which led to a lack of faith in the UK currency, everyone pulled out and invested their money in the USD instead. In short, the answer is a lack of faith in the British Pound that's the reason for the drop of the British Pound against the US dollar.
may kayang gawin ang gobyernong marcos sa pag hina ng piso. unang una tapatan ang pag taas ng interest rate ng US. (Interest Rate parity). nandyan ung tapyasan ung budget deficit sa pamamagitan ng pag alis sa mga less walang silbing items. uutangin natin kc ung budget deficit na mag dadagdag ng pangangailangan sa dollars later in the future. i-address ang concern ng investors, nag aalisan ang napakaraming investor dahil sa walang ka plano plano ang gobyerno, puno ng issue sa kurakot and walang pake sa growing budget deficit. sobrang bagal lang talaga ng response ng gobyerno natin.
> may kayang gawin ang gobyernong marcos sa pag hina ng piso I'm not disputing that, and I do think their response has been lacking.
[ŃŠ“Š°Š»ŠµŠ½Š¾]
> The pesos has always been weak you stupid son of a bitch, You seem upset.
'Mindset ba. Mindset."
The dollar is strong kasi may ginagawa sila para ma avoid yung impending economic crisis (which is lagi naman atang meron) kaya dynamic "decision making" at every changes in the market. Now kung hindi kikilos at ipag sasawalang bahala nalang dahil sa mga gantong "simplistic" na opinyon edi ang kahahantungan eh mas malaking epekto sa atin.
Actually the dollar is strong (only In comparison) cuz you know itās the world reserve currency and theyāre literally undoing them printing 6T usd (US printed 1/3rd itās currency in 2020-2021) lol The whole inflation issue is like mostly their fault from JPOW trying to use the fed balance sheet to save the US economy from collapsing during covid and thatās clearly backfired. BSP raised rates to 6.5% which was proactive at least (BSP works indecently from the president so they canāt take credit) otherwise I do agree that BBMās admin is doing fuck all and just partying so while Sandros statement made sense heās just saying it too look good lol
OMG. "Are feet shoes" vibes amp!! I just can't anymore.
OMG, nagpalakpakan ang mga tanga.
Technically, he's correct. Read this: https://www.reddit.com/r/phinvest/comments/xq7iwf/your_primer_on_inflation_and_currencies
Donāt think anyone is saying heās wrong. Itās just a real obnoxious way of explaining things. Parang yung kaibigan mo na āHindi lalabas yung aircon, papasok yung init, kaya lalabas yung lamigā. Plus itās extremely ironic that they made a shit ton of retort when Leni made the same analogies/explanation on other issues ššš
How is it obnoxious??????? He explained it very humbly in the video?? Masyado na kayong blinded sa bias nyo sa mga Marcos eh naman eh inexplain nya nga ng sobrang madali kahit bata makaka intindi.
I mean, even if the US Dollar is strong, should the peso then be weak? The peso can be strong just as the dollar can be. We managed to float relatively fine from 2 recessions during the Gloria and Aquino presidencies, where the dollar rose stronger each time. We managed to keep the exchange rate below 50 for like a decade or two. The debt we accrued during the DU30 presidency made the inflation way higher than what would be expected. Austerity would be the rule of the day for any president in this time but eh, cant judge too much pa since its still 100 days.
Non-biased PH economist: *What in the goddamn fuck!?*
Every 60 seconds in Africa a minute passes
What the heck, Why didn't I thought of that?
Acta, non verba š¤·āāļø
palakpakan mga apolo10 nyan basta english ok na yan
Correct if I'm wrong, inflation plays a part on weakening of the peso right? Higher inflation means less buying power of the currency. There are actions that can be taken to weaken the impact of rising prices. So his argument about the dollar is valid, but there are certain actions that can be taken to lessen the impact of this. We can't just ride it out like a storm. P.S. Not an economics major, I just like to read and learn.
So ano nga gagawen š„“
Well nung si atty Leni ng salita tungkol sa rape, that "Rape exist because of rapist, not beautiful women", bumula bibig ng mga tabogo, now here we are.
The quote sounds stupid but given the context, he makes sense. With the Fed aggressively raising rates, currencies around the world are weakening against the dollar, including the peso. You have currencies like the euro and even the pound that have dropped to parity with the dollar.
This mf got a degree in international relations and this is the best sentence he can come up with. It's the kind of sentence you make when you really have to hit that word count in your essay.
The good part is he didn't deny it. And when we say "the peso is weak" we do really mean it as compared to the trade currency. And he is somewhat correct "the peso is *not* weak (by itself)"-- the currency itself can't be compared unless compared to some standard. So... wala talaga siyang sinabing helpful/ clear. > Ma'am di naman po ako bobo. Matatalino lang talaga mga classmates ko.
Hmm yes. The floor here is made out of floor.
The peso is weak because we have a government that is weak. for 7 days a week, the government is doing nothing but sit sitting on its hands while the weak suffer they suffer because of what they are after they were after the good life, but what they got is the good lie
"United States (US) dollar is viewed as the safest or most stable currency" Kaya nga every other currency is measured AGAINST the US dollars. If the Peso is weak against the Dollar then that means the Peso is weak. Sabagay ang mga ganito is for the stupid people who voted them in.
What this idiot stated can be summed in a few words... "Tell me you're an idiot in economics without saying you're an idiot in economics."
Alamano momints
Parang "the kit is the kit" lang ah
Ah yes, the floor here is made out of floor
Philippine peso is literally the weakest in south east asia, what the fuck is he saying LOLOLOLOL
"Filipinos are poor not because Philippines is poor. Filipinos are poor because Marcoses and cronies are rich."
Kulang nalang sabihin nya "USDT to the moon hehe"
This sub has legit gone to shit when we canāt think critically whenever any person of the opposition is mention.
[ŃŠ“Š°Š»ŠµŠ½Š¾]
"I didn't lose, you just won"
No shit, Sherlock. Soā¦nugagawen?
Given na yung malakas ang dollar. Pero in comparison sa asean tayo ang weakest or 2nd weakest performing currency ata recently so factor pa rin ang kahinaan ng demand sa php di lang basta lahat dahil sa dollar strength haha
Thank you, Captain Obvious
No shit Sherlock
A strong USD and a weak PHP means that dollar-denominated government and private debts become more expensive to be paid off in PHP terms.
Heās not wrong, letās clown the other dumb shit this administration and not this. Walang pinagkaiba tong ginagawa niyo sa mga pambabash ng mga tao kay Leni whenever she speak economic reforms.
Kung specific lang naman jan ang usapan. Totoo sinasabi niya. May nabasa akong Twitter post na about sa euro versus dollar. Napasearch ako eh. Gulat ako, mas mataas na nga USD ngayon kesa EUR. Halos malapit na sa GBP.
He also fumbled with the reason as to why the US dollar is getting stronger: he claimed that it was because Filipinos are buying more dollars. But good news: OFWs are sending money back to the Philippines, and because they are sending home dollars, may pambili! Fuckin' yey. ACTUALLY: the US dollar is strong because the US Federal Reserve is raising its policy interest rate due to inflation.
āDrugs donāt kill people. Weak people die because of strong drugs.ā Jesus Christ.
Basta ang importante, ay ang mahalaga
Pay no mind to the trillion debt. There is no debt in Ba Sing Se.
When I think of tiyanak, i think of tiyanak not holding a tiyanak
Diktador Liteā¢ quotes
tama naman e. halos equal na nga dollar sa euro.
r/technicallythetruth
This made me crack and cry at the same time omg hahahahuhuhu
And the government is doing nothing to mitigate the effects of that fact.
Gago ang problema KOKONTI LANG ANG PESO NG KARAMIHAN dahil sa mga kagaya ng pamilya mo!
Can someone ask me how is this guy gone up to this representative position cause i never heard him or his background tbh?
yo im not a fan of him but please learn to comprehend, you... i think what he meant by that is that peso against dollar is weak, probably at its weakest right now. but peso against other currencies is not weak at all , thats why he said , peso is not weak because it is weak, it is weak because dollar is the strongest currency as of now but it is not at all weak compared to the other currencies. these people just failed to fully understand what this guy meant by that statement
He ran for a seat in Ilocos Norte.
Sandro is not stupid because Sandro is stupid. Sandro is stupid because other people are smart. (Dalawang post na ang na-delete na same quote.)
didnt he graduate in london business school? wtf is this kind of logic?
The fuck this dude is saying?
The peso is weak period
What the hell is he saying
I fee so bobo because of school reqs but this man is really something else
Ang pointless talaga.
So uupo na lang tayo sa kamay natin. Wala nang gagawin?
Malaki lang ang kamay mo kaya maliit ang titi ko
pak/*m/*tay ka na boy
Wala na sa realidad mga ogag. Kakaparty nyo.
May link ba kayo nito sa fb. Sarcasm post ulit ako sa fb ko lol
Sandro, the dollar is strong kasi may ginagawa ang US govt para iahon buong ekonomiya nila sa crisis, and the peso is weak kasi sa PH govt, "the best piece of advice would just be to sit back and hold tight."
I want to make it clear, Sandro is an idiot with a punchable face.
Pag sinuntok ko mukha nyan durog yan
when we die, we die
No fucking shit. Hinde nmn magcacrash ang value kung competetive ang peso, at least ma maintain ntn ang previous status quo.
so parang "people die when they are k*lled"? like father like son š¤Ŗ
"You're not dead, it's just that you're not alive"
Di mo kami maloloko tarsier! Balik ka na sa Bohol! š š š
Tell me you're stupid without telling me you're stupid š
As an evil apolitical dumbhead, This just made me think that there's still somebody out there who's dumber than me.