The old saying “if it’s not broken, don’t fix it” is a good one. Trying to improve something that does not necessarily need any alterations can result in negative “unintended consequences.” Politicians are notorious for ignoring this rule.
However, we can look back on past legislative sessions and see that Filipino senators and representatives do pretty good at leaving well enough alone and not making things worse. But it is the job of government to fix situations and conditions that are broken.
We talk about the “administration” and name it after whoever is the president. It is convenient to mark time that way but does not reflect reality. The Aquino administration does not belong to the president but to all departments and agencies of the Executive branch and is equally shared with the Senate and the House of Representatives.
During the Ramos administration, there were many things that need to be fixed and that is reflected in the number of major laws that were passed and policies that were put in place. Many of the economic successes of today are a result of what happened back then.
The monopolies of Philippine Airlines and Philippine Long Distance Telephone Co. were dismantled. Reforms in the tax system included an increase in the value-added tax (VAT) rate from 4 percent to 10 percent to help government finances. The Philippines became a pioneer in the use of build-operate-transfer scheme, which is now the enhanced Public-Private Partnership Program. The Philippine Economic Zone Authority zones were established under the Ramos administration, which laid the foundation of the outsourcing boom.
The Arroyo administration did just about everything possible to first pay off and then reduce government dependence on foreign borrowing while also reducing the budget deficit. An expanded VAT law was significant part of the plan to create a sound financial position for the government.
Under the watch of President Aquino, there have been some notable and successful changes. The Executive branch went through an important organizational reorganization. The Philippine Atmospheric, Geophysical and Astronomical Services Administration has been improved. Philippine Health Insurance Corp. membership has been significantly expanded. The K to 12 expansion—while far from ideal—attempts to increase schooling for Filipino students. Tourism-promotion efforts have been very successful.
However, there have not been major laws passed to address problems that now must be tackled in the next administration. Some things are broken that need to be fixed.
The taxation system for the mining industry has been ignored for six years, costing the country billions in foreign and domestic investment. Tax reform for all taxpayers has also been ignored and must now be a priority. Rationalization and rethinking of fiscal incentives to attract foreign and domestic investment must be done now. Our tourism is reaching a tipping point in that infrastructure and facilities have reached “peak tourism” capacities. Sea, air and road transportation throughout the nation is an economic disaster.
It is time for all parts of the government to go back to work. The last years have been relatively easy. Those times are now over.