Wednesday, August 12, 2020

The insanity paradigm

“Pray as though everything depended on God; act as though everything depended on you.”

“Some people think this quote is authentic because paragraph 2834 of the Catechism attributes it to Ignatius. But the Catechism is not inerrant like Scripture is; even in its sections that describe infallible dogmas, the magisterial gift of infallibility extends only to divinely revealed matters of faith and morals. It does not ensure that scientific or historical assertions in the Catechism, including citations for quotations that support those dogmas or doctrines, are without error.

“In paragraph 2834, the Catechism cites Joseph Guibert’s nineteenth-century study of the Jesuits. But in a footnote on the page it cites, the editor of Guibert’s book (published after his death) says of the popular Ignatian quote, ‘In this precise formula, the thought isn’t in Ignatius’s writings nor any contemporary documents; nevertheless it does correspond to his ideas.’

“[And] in a letter he wrote to Francis Borgia in 1555, St. Ignatius provides a sound perspective on the relationship between human efforts and divine providence:

‘I consider it an error to trust and hope in any means or efforts in themselves alone; nor do I consider it a safe path to trust the whole matter to God our Lord without desiring to help myself by what he has given me; so that it seems in our Lord that I ought to make use of both parts, desiring in all things his greater praise and glory, and nothing else.’” [https://www.catholic.com/magazine/online-edition/st-ignatius-said-what]

After that, longish predicate, let’s get back to the title of the posting, “The insanity paradigm.”

We are in a rut, and it is beyond the global pandemic. What to do?

“I consider it an error to trust and hope in any means or efforts in themselves alone, nor do I consider it a safe path to trust the whole matter to God our Lord without desiring to help myself by what he has given me.”

Are Filipinos missing something?

Indeed, we must dig ourselves out of this pandemic hole, but that won’t suffice – because we’re in a perfect storm for the longest time. And it explains why the knee-jerk is our default fix.

As the blog argues, Philippine poverty is the effect of underdevelopment. And that is evident in our status as an underdeveloped nation measured by national income. We cannot romanticize this reality by opting to seek “happiness” instead and take development for granted.

We didn’t stay put as an adolescent. We don’t want our children either. Why do we want Juan de la Cruz to be Bondying?

Does this apparent dilemma explain why the world has left us behind?

Development and happiness aren’t an either/or choice.

What is the source of our static – or absolutist – impulses? Recall metacognition. Because of human development, humankind moves up to “relativism” – from “dualism or absolutism” – and why people can walk across the continuum that runs across “static” and “dynamic.”

Recall AmBisyon natin: 2040: “By 2040, Filipinos enjoy a strongly rooted, comfortable, and secure life. In 2040, we will all enjoy a stable and comfortable lifestyle, secure in the knowledge that we have enough for our daily needs and unexpected expenses.”

That probably explains why we seek “happiness” instead of development. Here is a quote from an earlier posting: “On the other hand, if we are outward- and forward-looking, we would have – years ago – benchmarked against our neighbors. For example, AmBisyon Natin 2040 could have been AmBisyon Natin: To be the next Asian Tiger.”

Beyond our families and a “clean, efficient, and fair government,” it must be innovative and globally competitive for a nation to thrive in the 21st century.

“Recall the 4Cs of 21st-century skills: (1) critical thinking, (2) creativity, (3) collaboration, (4) communication.

“Humankind – and its ever-changing needs – is at the core of “change” and why innovation is merely the expression of our world’s dynamism. Innovation is not a matter of choice but a response to the spirit of creation – as in human development.

“Creativity. It is the practice of thinking outside the box. While Creativity generally connotes either you-have-it-or-you-don’t quality, students can learn how to be creative by solving problems, creating systems, or just trying something they haven’t tried before. That doesn’t mean every student will become an artist or a writer. Instead, it means they’ll be able to look at a problem from multiple perspectives — including those that others may not see.”

Let’s get some examples:

Do we distinguish between an imperialist and a hegemon? Recall the elder from a village in Papua New Guinea that said to the writer, “The outside world still assumes we are cannibals. Just like others, we outlive our past.”

Are we stuck with our perspective of an imperialist America that we can’t figure out how to relate with Uncle Sam? 

Every nation is a subset of our universe, and we will have friends and otherwise, and they are subsets too. If we value the respect of humankind, we must reconcile our world view accordingly. We must cherish the rule of law. It is not about choosing between world powers but being true to what we profess. Where do we put the Western nations and China, for example?

Trump and Putin are not the models. Why? Like Juan de la Cruz, they’re parochial and insular. And why is Juan de la Cruz the regional laggard?

Think personal responsibility; it is what self-government is. Recall the banishment of Adam and Eve from the garden. Yet, they were equipped and given the same gift as Ignatius to help themselves.

We are in a dilemma on the VFA. Is it coming from our static tendencies? Isn’t it why Rizal created the character of Padre Damaso? Or why would wealthy nations like Japan, Germany, and South Korea think differently?

The writer, like students in his time, demonstrated against MNCs. Yet, he had a career with one. And he has lived and worked with Eastern European friends that today live the life of an MNC. Not that long ago, they were socialists under Soviet rule.

Why do we recognize MNCs as best practice models? Their dynamism is at the heart of the ecosystem. They are continually seeking to mirror a virtuous circle. They acknowledge that the universe is a 24/7, dynamic phenomenon.

We Pinoys, including the writer when he was a student, saw MNCs as evil. Tell that to Lee, Mahathir, Deng, and the Vietnamese. 

Why did we not heed Lee and Mahathir’s advice to Deng, to beg for Western money and technology?

Yet, it never is too late given the dynamism of our universe. Recall the blog raised these two challenges:

(1) For Messrs. Dominguez and Ang to figure out and lead the effort to replicate the Samsung Vietnam wonder. Our top exports are in the same product category. And the exercise should consider a top global brand and enterprise that we can attract to the Philippines as the Vietnamese did with Samsung.

But it must be of a similar scale so that we leapfrog Philippine exports and be a quarter of the way to generating incremental receipts of $200 billion (to beat the hell out of Malaysia, Thailand, and Vietnam.)

(2) Likewise, to pursue the initiative of replicating the Pearl River Delta Economic Zone right in Central Luzon. Instead of pulling our top industrialists to build a bigger NAIA, we can think outside the box and elevate our perspective beyond our wildest dreams. Beyond the Philippine version of an export processing zone as we know it.

And in both cases, our economic managers can revisit our approach to fiscal and monetary interventions. They must be a product of (1) forward-thinking; (2) prioritizing; and (3) leveraging Pareto. 

Recall that the exercise is to create an ecosystem that is a virtuous circle. Think of the photosynthesis phenomenon.

In other words, we can pick and choose the best practices of Communist Vietnam and Communist China. As the blog argues, problem-solving is not about an ism but dynamism.

But then again, can Juan de la Cruz think outside the box like the Vietnamese? For example, we’re still into GVC or global value chain, which explains why we’re in computer chips and wire harness. Those are pretty narrow boxes – and can only make our neighbors feel grateful that we’re no competition.

If we can’t see the way forward, the Vietnamese, on the other hand, appears well poised in their view of the future. We must read this article to get a sense of their world view: “ASEAN at 53: Transition and recovery,” Võ Trí Thành, Philippine Daily Inquirer, 8th Aug 2020.

“From a less-developed region, ASEAN has become much more prosperous and dynamic. [W]e have a firm foundation to believe that its central role and position in shaping the wider region’s future would be maintained.”

Can we, in the chattering classes, get Juan de la Cruz to stop and ponder? Can we think outside the box? How do we overcome our bunker mentality – aka the caste system?

Do we see democracy and socialism as an either/or proposition? 

China and Vietnam are communists, but both showed the world how capitalism could lead to foreign trade. But because of the trade war with the US, China’s draw as the world’s manufacturing hub hit a bad patch. And Vietnam is picking up a lot of the spoils.

Those are mixed systems. And one can find them even in the Nordic model. Social democratic parties played a more significant role in Sweden and Norway, while in Iceland and Finland, right-wing political parties did.

What about federalism? Do we see it as a fix for the problems of the Philippines? But we never had the heritage of self-government as the Germans did in their different states. Or even in the US.

What are Filipinos missing? Think personal responsibility – beyond self and family – including community and the common good. And the common good, as we see from the above examples, is not driven by an ism. Nor by static impulses, but dynamism.

But where do we start to square the circle? Is it with Rizal who said, “We submit to tyranny because we love it”?

Let’s pause right there.

Does it go without saying that the ethos of “personal responsibility” is missing in Juan de la Cruz and why he submits to tyranny?

When we hear a pronouncement from big brother, we ask: “how high do we jump”? Recall the war on drugs. We’re active on social media. How come we didn’t figure out that no one country has won the war on drugs? Google can quickly tell us that only Portugal had a successful initiative. It took drug dependency as a health care challenge, not a crime. And then it created a robust ecosystem to defy the odds.

But now the table is turning. Some of us in the chattering classes are questioning big brother. What took us so long? 

The pandemic unmasked the world. Now we see its actual color. Enter: Personal responsibility and speak truth to power.

The world doesn’t have the knowledge base to deal with the pandemic. But as with challenges in general, there are best practice models. For instance, leadership is always imperative. And forward-thinking and disciplined execution is a must. That is why even those that followed that commonsense model suffered a resurgence after putting their guards down. 

Consider: The New York metro or Tri-state area (of over 20 million people) was the epicenter of the pandemic in the US. And it did not come from China, but Europe. Specifically, Italy, France, and Spain. Think of the metro’s international airports and Americans visiting Europe and then rushing to come home to beat the announced travel restrictions. COVID-19 was already in the area by the time the lockdown came.

But the leadership and coordination of the three governors flattened the curve, and the epicenter shifted to other states, while the Tri-state is now on track with its choreographed stages in reopening the area.

Let’s get back to personal responsibility and speaking truth to power.

Duterte has two more years. How can he deliver on ridding corruption from the face of this nation and the drug menace, to name just two of his promises?

What about our oligarchy? Our eight top companies can’t even match one Vietnam enterprise. Does Bondying come to mind?

Recall our instincts. We are parochial and insular. We value hierarchy and paternalism that we rely on political patronage and oligarchy that ours is a culture of impunity.

In other words, our reliance on the hierarchy is misplaced. And Juan de la Cruz is paying the price.

Yet, because of our insanity paradigm, we are not about to reinvent Juan de la  Cruz. Tradition matters; however, human development shows us that even “cannibals” outlive the past. Tradition matters to the scribes and Pharisees. And we know what happened.

“Pray as though everything depended on God; act as though everything depended on you.”

Gising bayan!

“Here is a land in which a few are spectacularly rich while the masses remain abjectly poor. And where freedom and its blessings are a reality for a minority and an illusion for the many. Here is a land consecrated to democracy but run by an entrenched plutocracy, dedicated to equality but mired in an archaic system of caste. 

“But the fault was chiefly their own. Filipinos profess the love of country, but love themselves – individually – more.” [Ninoy Aquino, Foreign Affairs magazine, July 1968; Stanley Karnow, New York Times Magazine, “Cory Aquino’s Downhill Slide,” 19th Aug 1990.]

“Why independence, if the slaves of today will be the tyrants of tomorrow? Moreover, that they will be such is not to be doubted, for he who submits to tyranny loves it.” [We are ruled by Rizal’s ‘tyrants of tomorrow,’ Editorial, The Manila Times, 29th Dec 2015]

“True social reform has little to do with politics. To unmoor ourselves from the burdens of the past, we must be engaged in the act of continual and conscious self-renewal. All men are partially buried in the grave of custom. Even virtue is no longer such if it is stagnant.

“Change begins when we finally choose to examine critically and then recalibrate the ill-serving codes and conventions handed down to us, often unquestioned, by the past and its power structures. It is essentially an act of imagination first.” [David Henry Thoreau; American essayist, poet, and philosopher; 1817-1862]

“National prosperity is created, not inherited. It does not grow out of a country’s natural endowments, its labor pool, its interest rates, or its currency’s value, as classical economics insists. [A] nation’s competitiveness depends on the capacity of its industry to innovate and upgrade.” [The Competitive Advantage of Nations, Michael E. Porter, Harvard Business Review, March–April 1990]

“You have to have a dream, whether big or small. Then plan, focus, work hard, and be very determined to achieve your goals.” [Henry Sy Sr., Chairman Emeritus and Founder, SM Group (1924 - 2019)]

“Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow.” [William Pollard, 1911-1989, physicist-priest, Manhattan Project]

“Development is informed by a people’s worldview, cognitive capacity, values, moral development, self-identity, spirituality, and leadership . . .” [Frederic Laloux, Reinventing organizations, Nelson Parker, 2014]

“Now I know why Paul dared to speak of ‘the curse of the law’ (Galatians 3:13). Law reigns and discernment is unnecessary, which means there is little growth or change in such people. When you do not grow, you remain an infant.” [Faith and Science, Open to Change, Richard Rohr’s Daily Meditation, 23rd Oct 2017]

“As a major component for the education and reorientation of our people, mainstream media – their reporters, writers, photographers, columnists, and editors – have an obligation to this country . . .” [Era of documented irrelevance: Mainstream media, critics and protesters, Homobono A. Adaza, The Manila Times, 25th Nov 2015]

Sunday, August 9, 2020

“What are we doing in this god-forsaken place?”

The wife would express the lament during the early days they were coming to Eastern Europe. They were brought to their knees after decades under Soviet rule, became the most impoverished country in Europe. The writer’s friends kept saying, “The mentality of our people needs to change. They can’t see the way forward.”

The words came back from reading the following about the Philippines: (1) ‘My world stopped spinning’: Life on hold for millions of overseas Filipino workers; Reuters, inquirer.net, 23rd Jul 2020; (2) Lost momentum, Cielito F. Habito, NO FREE LUNCH, Philippine Daily Inquirer, 28th Jul 2020; (3) ‘Optimism and hope’(?) Editorial, Philippine Daily Inquirer, 29th Jul 2020.

“He had a visa and just the job – six months of work at sea and thousands in pay to send home. Then the virus struck. And like millions of other migrant workers who leave the Philippines to work abroad and send their earnings back, a whole family saw its lifeline cut.

‘I was broke. Things were not easy for my family and me. I badly needed to go back to work at that time, so I was looking forward to that trip. My world stopped spinning,’ Carlos Salvador Jr., 33, who has been a sailor for nine years, told the Thomson Reuters Foundation by phone from the Iloilo province.

“His cousin, a deck officer on another ship, was similarly caught up in the lockdown and grounded.

“Remittances by overseas Filipino workers reached a record high of $33.5 billion last year. But as global coronavirus cases keep climbing, up to 400,000 OFWs were projected to lose their jobs or take a pay cut this year.

‘This year’s projected remittance totals may be the steepest decline in Philippine, 45-year migration history.’

“The Philippines needs these remittances more than ever.”  [Reuters, op. cit.]

“We have also been seeing significant and accelerating declines in our foreign direct investment (FDI) inflows for three years now, since peaking at $10.3 billion in 2017. That was a year when we outpaced Malaysia and Thailand owing to their political troubles then. Indonesia had twice, Singapore had nine times, and Vietnam had $4 billion more than we got.

“Since then, these comparable neighbors, except for still troubled Thailand, have seen their FDI inflows increase, cashing in on the reported exodus out of China induced by the trade war. But our FDI record shows a disheartening -4.1 percent decline in 2018, a much steeper drop (-23.1 percent) in 2019, and an even more precipitous drop of -36.2 percent as of first quarter of this year.

“Meanwhile, Thailand’s FDI jumped more than five-fold in the same quarter. If you’ve seen their promotional video explaining what they’ve done to reopen their economy, you’d understand why. Our FDI slide, then, is an internally inflicted problem, not externally driven.

“For decades, we’ve known what’s wrong in our country and with the people who lead and live in it, and perennially hope for change that must start within us. We discuss our woes endlessly, but in the end, do nothing to change it.” [Habito, op. cit.]

In the meantime, where is Philippine leadership?

“Threats and a full-frontal attack marked President Duterte’s fifth State of the Nation Address on Monday. But there was nothing to chew on what was most awaited:

There was no straightforward presentation of where the nation stands in the fight against COVID-19.

And the administration’s strategy to address the pandemic.

And the massive unemployment – particularly the poor – that is now choking the economy.

“In the meantime, the Department of Health’s daily bulletin registered an uptrend while Mr. Duterte delivered his speech. That updated count served as a damper on his opening lines — ‘Let us not despair, a vaccine is around the corner’— and on his assurance that the Philippines was now in ‘a better position to weather’ the public health crisis.

“He didn’t say what constituted that better position. The promised optimism and hope didn’t come.” [Editorial, op. cit.]

Wasting no time, “Senate Minority Leader Franklin Drilon rebuked President Rodrigo Duterte after he accused him of defending the owners of shuttered media giant ABS-CBN.

‘I was defending the freedom of the press, not the Lopezes. The closure of the ABS-CBN sent a chilling effect,’ Drilon said in a statement.

‘As I said before, for democracy to thrive, we need a free press and allow journalists to exercise complete freedom to do their mandate of reporting facts without fear,’ Drilon went on.

“He said he was also defending the 11,000 ABS-CBN employees who are in danger of losing their jobs in the middle of a pandemic and not the Lopezes. ‘In the face of a pandemic, we need more access to information,’ Drilon said.” [“Drilon rebukes Duterte: I was defending press freedom, not the Lopezes,” Christia Marie Ramos, Inquirer.net, 27th Jul 2020]

What to do? Our challenges are not new. Why haven’t we learned from experience instead of confirming Einstein’s definition of insanity?

We can’t get off the insanity paradigm because of what we call our values. We wanted to address rural poverty and assumed the comprehensive agrarian reform was the answer. Instead, we undermined economies of scale and ceded competitiveness. We championed overseas employment instead of pushing industrialization. Worse, we didn’t break the back of poverty as our neighbors did. And families are paying the massive social costs with the breadwinners based overseas.

In the meantime, we kept bragging about the economy when OFW remittances and BPO revenues principally drive it.

They reveal where we are in human development, unable to move up to “relativism” – from “absolutism or dualism.” But then again, it is a function of the lack of experience in progress and development. [And we continue to struggle with “experience being the best teacher”? Look at Singapore and Vietnam. The former is more competitive than the US, while Vietnam is outpacing Singapore. The science of metacognition supports that given.]

“For decades, we’ve known what’s wrong in our country and with the people who lead and live in it, and perennially hope for change that must start within us. We discuss our woes endlessly, but in the end, do nothing to change it.” [Habito, op. cit.]

With due respect to Ciel, if we knew what’s wrong, how did we celebrate our GDP growth rate of 6%-6.5%, counting several years? We know what’s driving the economy and that we’re stuck as a service-consumption economy. But we chose to brag about our fiscal and monetary efforts.

Consider this news item seven years ago: “BPOs should work to move up the value chain, says tech investor,” ABS-CBN News, 13th Feb 2013.

In other words, one of the economic drivers suffers from suboptimization as well.

And with OFW remittances to contract, it confirms that we have been living on borrowed time with our two-income streams. But we never lifted a finger. To add insult to injury, we celebrated them when they were meant as stopgaps until we attained industrialization.

So, where are we? Or can we even figure out where we are? 

Consider this perspective: “The role of profits, Elfren S. Cruz,” BREAKTHROUGH, The Philippine Star, 30th Jul 2020.

“If a business is ready to transform its corporate purpose from stockholders to stakeholders, it must ask three questions. First, for whose benefit does the enterprise exist? To what extent are the expectations of each stakeholder met? What is the priority among stakeholders?

“If there is a conflict among each stakeholder's priorities, does one prevail over the other? Only when the stakeholders' priorities have equal weight can we say that the business is now socially responsible.”

Let’s hold it right there. Recall why the blog presented the challenge of replicating what Vietnam did to be poised to overtake Singapore. 

Vietnam attracted two of the most notable global brands, businesses with a track record in global competition, Samsung smartphones, and Apple AirPods. Global players, with their history, create and sustain a dynamic business model. In the Philippines, our perspective is otherwise, especially in a worldwide economic slowdown. It boils down to our inexperience in foreign trade and relations.

Samsung Vietnam generates more revenues than the combined output of our eight biggest companies. And the aggregate of their exports is roughly four times ours.

Even more damming, they are high-value manufactured electronic devices and yield much higher margins than our computer chips. Who is in a position to pay higher wages? 

Does it surprise us then that Vietnam has broken the back of poverty? What to do? That we must pay higher wages? This dilemma we face should haunt us for celebrating our 6%-6.5% GDP growth rate.

The reality is that we remain the regional laggard with over 50 million impoverished Filipinos. That while on paper, we are a fast-growing economy, our per capita income has not lifted us above a third-world country. We need a much bigger pie or GDP from an industrial-investment economy to generate high-value products and services, beyond our consumption-service economy, driven principally by OFW remittances and BPO revenues.

If we can’t internalize that, expect the Philippines to be the laughingstock of the region, if not the world.

Recall that the blog argues that undertakings must answer these simple questions: Where are we? Where do we want to be? How do we get there? The object of the exercise is to create an ecosystem that is a virtuous circle.

We readily see the obvious and the present but can’t visualize a virtuous circle. Recall the photosynthesis phenomenon and Maslow’s hierarchy of human needs. They are tools to facilitate forward-thinking. They are great examples to explain creativity and introduce innovation and lateral thinking.

Sadly, while neuroscience tells us that the chamber of the brain that does creative thinking is untapped in most people, we in the elite class – because of our bunker mentality, aka caste system – take it as unfounded.

But then again, why are we the regional laggard? Because our efforts continue to yield suboptimization.

Benchmark. Benchmark. Benchmark.

If we can’t overcome a static world view and instead accept that there is one system that matters, we won’t gain new insights.

Conflating our problems with the world – especially the wealthy nations in the West that are today going through post-industrialization, while we in the Philippines are yet to industrialize – can take our eye away from the ball. And we will mix apples and oranges.

It is similar to employing monetary and fiscal interventions that well-developed economies do as a matter, of course. We keep forgetting how our neighbors – once third-world like us – became wealthy nations. They did more than what classical economics preaches; they begged for Western money and technology. [And we can’t figure that out? We need lots of practice in forward-thinking, prioritizing, and leveraging Pareto – and overcome the crab mentality, as in teeing up all of 42 industry road maps.]

Unsurprisingly, our neighbors leapfrogged development. In contrast, we assumed that we could prosper by staying a service-consumption economy and adhering to monetary and fiscal cures.

If New York because of Wall Street can claim to be the center of the universe as a service-consumption economy, why not us?

We are an underdeveloped nation and are yet to create the ecosystem of an economy that is a virtuous circle. If we are to be serious about benchmarking, we must focus on our neighbors. That is comparing apples and apples, not apples and oranges.

Consider: The New York metro area (aka the Tri-state area) is home to over 20 million, with a GDP per capita of $85,000 – even much more than Singapore – producing goods and services to the tune of $1.718 trillion.

It is one of the most expensive places to live and do business. Real estate prices are way above average that shuts out even native New Yorkers from owning their homes.

Like any universe, there are the marginalized sections of the economy. That is why it is a blue state where social programs are more generous than those in red states, including subsidized housing and rents, unemployment insurance, and food stamps. Visitors will notice how public transportation caters to PWD.

Is everyone happy? Not following the financial crisis of 2008 and the Global Recession it yielded. 

Because the human condition we call greed is beyond any system – even in Eden. Any system? Recall what the Romanians did to Ceausescu? Romania did not suffer from an unfettered free market.

It is not an ism that is the answer to the challenges nations – rich or poor – face. As the wife expressed during the early days, they were coming to Eastern Europe, “What are we doing in this god-forsaken place?”

Let’s get back to “dynamism.”

Here’s a quote from a prior posting. “Why is our status as members of different political parties seem more potent than our shared love for America, our many areas of agreement, and our shared responsibility to solve problems and get results? Why are we more often opponents than colleagues? Why are we collectively allergic to the compromise and teamwork required to do what Americans expect of their Congress? Why can’t we get big things done for the American people?

“Because the system will tear us apart as it were. In American politics, winning isn’t winning unless the other side is losing and losing badly. That shouldn’t be – and it doesn’t have to be. This book proves it.

“Katherine and Michael argue that ‘it’s the system.’ Most important, they propose specifics on how we can fix it together. Their prescription is powerful. It is nonpartisan. What’s more, it’s doable.” [“The Politics Industry: How Political Innovation Can Break Partisan Gridlock and Save our Democracy,” Katherine M. Gehl, Michael E. Porter; Harvard Business Review Press, 2020.

“And the prescription by the authors of the above-referenced book is for the US to innovate again.”

Note they are not prescribing another “ism” for America but for the US to innovate again, aka dynamism.

For example, there is a movement comprising billionaires that are lobbying to simplify the tax code and eliminate the tax breaks that give the wealthy and corporations undue advantage. As Buffett says, he is paying lower taxes than his secretary.

Separately, there is the effort led by Buffett and Gates for billionaires to give away half if not more of their wealth. 

But let’s get back to the challenge we’re facing in the Philippines.

It is easy to prescribe a cure, especially an “ism.” But that reveals our static impulses – given that we value hierarchy and paternalism but not personal responsibility – even when no human-made system is perfect. For example, we cannot just pull something out of a shelf and plant it in the Philippines.

The Scandinavian countries’ systems can’t be transplanted – say to the Philippines – and operate as though in a vacuum. Recall how the German ambassador to the Philippines explained their federal system. That individual states had a heritage – and history – of self-government. Germany did not impose Federalism on a people that valued hierarchy and paternalism. Nor did they rely on political patronage and oligarchy.

Let’s pause once more. If Filipinos can’t embrace the ethos of “personal responsibility,” given our instincts, either Juan Tamad or Bondying will be our namesake, not Juan de la Cruz.

Benchmark. Benchmark. Benchmark.

Instead of an ism, we better learn how to adapt to other nations’ best practices. See above; the socialism of Romania ended up as a failure. And the much bigger folly was the Soviet empire.

Russia, for example, remains a developing country dominated by the oligarchy. If the Philippines is yet to industrialize, so is Russia. It is dependent on oil. It remains a communist that supposedly embraced the free market, but it can’t show its spoils as China or Vietnam are doing.

In other words, isms aren’t as universal as people assume. People can undo Eden as Adam and Eve did.

Unsurprisingly, the US system is likewise imperfect. But we must comprehend the ethos of “personal responsibility” if we want to dissect it. We cannot measure it armed with our instincts of parochialism and insularity. And our values of hierarchy and paternalism. And reliance on political patronage and oligarchy. And with a culture of impunity.

With due respect to Elfren, even with Bernie Sanders and AOC in the socialist school, it doesn’t follow that the average Joe is. The choice of a middle of the road guy like Biden to go up against Trump says it all.

On a personal note, the writer has spent most of the last 17 years living and working with people born and raised as socialists under Soviet rule. Today, these people live the life of an MNC with Romania, Bulgaria, and Ukraine as their most important markets, while New York, Germany, and the UK are the fastest-growing ones.

How deep do Sanders and AOC understand the ism they are preaching? They can’t even explain how America can pay for the social programs they offer, given they come from assumed knowledge and zero experience. 

Recall the US spends $700 billion for defense. That is how the US navy can patrol the South China Sea, among others. Despots won’t disappear anytime soon, and so the world needs a hegemon. Despite Trump’s attempt at a quid pro quo, Congress continued to fund the needs of Ukraine.

The wife and writer had an intimate dinner with the ex-president of Bulgaria and another Bulgarian couple. Given their background – under and after Soviet rule – can distinguish the realities between an ism and dynamism.

Problem-solving is not about adopting an ism. It is about dynamism. The object of the exercise is to create an ecosystem that is a virtuous circle. The effort is ceaseless, given the universe is a 24/7, dynamic phenomenon.

There is no free lunch. Otherwise, we can only be lamenting, “What are we doing in a god-forsaken place like this?”

Gising bayan!

“Here is a land in which a few are spectacularly rich while the masses remain abjectly poor. And where freedom and its blessings are a reality for a minority and an illusion for the many. Here is a land consecrated to democracy but run by an entrenched plutocracy, dedicated to equality but mired in an archaic system of caste. 

“But the fault was chiefly their own. Filipinos profess the love of country, but love themselves – individually – more.” [Ninoy Aquino, Foreign Affairs magazine, July 1968; Stanley Karnow, New York Times Magazine, “Cory Aquino’s Downhill Slide,” 19th Aug 1990.]

“Why independence, if the slaves of today will be the tyrants of tomorrow? Moreover, that they will be such is not to be doubted, for he who submits to tyranny loves it.” [We are ruled by Rizal’s ‘tyrants of tomorrow,’ Editorial, The Manila Times, 29th Dec 2015]

“True social reform has little to do with politics. To unmoor ourselves from the burdens of the past, we must be engaged in the act of continual and conscious self-renewal. All men are partially buried in the grave of custom. Even virtue is no longer such if it is stagnant.

“Change begins when we finally choose to examine critically and then recalibrate the ill-serving codes and conventions handed down to us, often unquestioned, by the past and its power structures. It is essentially an act of imagination first.” [David Henry Thoreau; American essayist, poet, and philosopher; 1817-1862]

“National prosperity is created, not inherited. It does not grow out of a country’s natural endowments, its labor pool, its interest rates, or its currency’s value, as classical economics insists. [A] nation’s competitiveness depends on the capacity of its industry to innovate and upgrade.” [The Competitive Advantage of Nations, Michael E. Porter, Harvard Business Review, March–April 1990]

“You have to have a dream, whether big or small. Then plan, focus, work hard, and be very determined to achieve your goals.” [Henry Sy Sr., Chairman Emeritus and Founder, SM Group (1924 - 2019)]

“Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow.” [William Pollard, 1911-1989, physicist-priest, Manhattan Project]

“Development is informed by a people’s worldview, cognitive capacity, values, moral development, self-identity, spirituality, and leadership . . .” [Frederic Laloux, Reinventing organizations, Nelson Parker, 2014]

“Now I know why Paul dared to speak of ‘the curse of the law’ (Galatians 3:13). Law reigns and discernment is unnecessary, which means there is little growth or change in such people. When you do not grow, you remain an infant.” [Faith and Science, Open to Change, Richard Rohr’s Daily Meditation, 23rd Oct 2017]

“As a major component for the education and reorientation of our people, mainstream media – their reporters, writers, photographers, columnists, and editors – have an obligation to this country . . .” [Era of documented irrelevance: Mainstream media, critics and protesters, Homobono A. Adaza, The Manila Times, 25th Nov 2015]

Tuesday, August 4, 2020

There are no “rules” only principles.

When the writer first arrived in Eastern Europe, his new friends were pumping him for “the rules” of the free market. “We are new to the game, and it will help us if we learn the rules. We have not made a profit in 8 years.”

It was a carryover of decades under Soviet rule, where the commissars imposed the rules.

If you are going to compete against the Western giants that are now in your country, it is not “rules” but “innovation” that you must learn. And innovation is about thinking outside the box – breaking the “rules.” But there are principles to guide you.

And if you want me around, there is one “rule” you must commit to; otherwise, I am out the door. And that is transparency. This company must be like no other in this part of the world where the culture of impunity is accepted. [Today, the company’s intranet gives managers access to practically everything that matters in an enterprise. And folks hired from Western industry leaders recognized this access far exceeded that from their former companies.]

And to their surprise, when the writer held the first innovation workshop, Maslow’s hierarchy of human needs was introduced. “Innovation” is not for innovation’s sake; it must address a social need and raise a person’s well-being. The good news is “innovation” is limitless.

Humankind adapted to its universe since first walking on the earth. Darwin codified that.

What about Juan de la Cruz? Thinking outside the box – but guided by principles –  can be a tall order because in a continuum that runs across “static” and “dynamic,” we are closer to static.

Let’s hold it right there.

Different dimensions require connecting the dots – if we are to dissect the implications of being static in a dynamic universe.

Recall the concept of sets and subsets in modern math. For example, the universe is a set with an infinite array of subsets (and the galaxies come to mind.) And that is why Steve Jobs defined creativity merely as connecting the dots.

For example, recall human development and metacognition. There is a reason why the “age of reason” is akin to a rite of passage. And why humans move up from dualism or absolutism to relativism. Sadly, when we hear relativism, we automatically equate it to morals.

As Catholics, we grew up acknowledging Christ’s battles with the scribes and Pharisees – that took upon themselves the arbitration of truth. And why we don’t hold Padre Damaso in high esteem. He didn’t mirror the Great Commandments – which in pop culture is The Golden Rule. It is not even a rule but a principle.

Another element of human development is civilization. And the writer is always reminded of the elder he met in a village in Papua New Guinea. “The outside world still suspects that we are cannibals. But like everyone else, we outgrow our past.”

There are also systems of government. They are not an either/or – e.g., democratic or autocratic. Because isms like systems are human-made, they can’t be perfect. Even in America, neither of the political parties would manifest their core beliefs, e.g., the US deficits are beyond enormous. Or think of how the electoral college system undermined the popular votes in the case of Bush and Trump.

Yet, it is not surprising given that the spirit of “creation” is dynamism. And that translated to “personal responsibility” to Adam and Eve after their banishment from the garden.

In the Philippines, when we speak to systems of government, we come down to the debate: Is Western-style democracy the right one for Juan de la Cruz? Inherent in the notion is that a colonizer imposed Philippine democracy.

But what about the Japanese? “The [Constitution] was largely the work of Supreme Allied Commander Douglas MacArthur and his occupation staff, who had prepared the draft in February 1946 after a Japanese attempt was deemed unacceptable.” [https://www.history.com/this-day-in-history/new-japanese-constitution-goes-into-effect]

Which brings us back to our instincts: We are parochial and insular. We value hierarchy and paternalism that we rely on political patronage and oligarchy that ours is a culture of impunity.

They speak volumes about our caste system that it is no different from a bunker mentality.

Recall the blog’s recent posting speaking to AmBisyon Natin 2040. We want a stable and comfortable lifestyle, yet even Adam and Eve didn’t get one. Should AmBisyon Natin 2040 mutate to AmBisyon Natin: To be the next Asian Tiger?

Where do the perspectives differ? As the blog has argued, we need lots of practice in forward-thinking. Neuroscience tells us that the brain’s chamber that does creative thinking is untapped in most people and why visionaries are few and far between. Recall creativity is connecting the dots, including lateral and forward-thinking.

Moreover, it takes forward thinking to recognize the elements of an ecosystem that is a virtuous circle. Recall the blog repeatedly presented photosynthesis as a great model. 

Think of how we undermined economies of scale in agribusiness and how we stunted industrialization. In both instances, we looked at the obvious and the present, i.e., rural poverty and job creation.

But didn’t we develop 42 industry road maps, for example? But absent forward-thinking, prioritizing does not come easy, and worse, we can’t leverage Pareto. That is why our efforts continue to yield sub-optimization instead of benefiting from the laws of Physics. Where there are mass and weight, there is energy and power.

That is why the blog raised the challenge of replicating Samsung Vietnam and AirPods Vietnam. Instead of accepting that we can only do computer chips, there is no reason why we can’t focus on becoming a regional hub for manufacturing electronic devices. As necessary, pursuing this avenue and attracting a major global brand and enterprise can do a quantum leap in GDP. The 6%-6.5% mantra will take a generation to see the light at the end of the tunnel.

Recall the 4Cs of 21st-century skills: (1) critical thinking, (2) creativity, (3) collaboration, (4) communication. It is another way of saying; there are no rules, only principles.

For example, speaking to collaboration and communication, if we incorporate the 4Cs in our K-12 initiative, “students will learn that they should speak up when they have an idea. They may not be on the money 100% of the time — and some of their peers may have strong, opinionated reactions — but it’ll teach them to speak up when they’re working with others.” [https://www.aeseducation.com/blog/four-cs-21st-century-skills]

But in a caste system, there will be the untouchables – that don’t deserve our time.

The universe is not black and white; it is in living color. Recall the lovely view of the Earth from Apollo 11, that Armstrong and Aldrin sent back to us earthlings.

Our dilemma comes from our inability to wrap our heads around dynamism. It is beyond the isms that humans created.

Because we are inward-looking, we have not developed the impulse to benchmark. While our neighbors can adapt to this world, and have joined the ranks of the wealthiest nations.

Sadder still, we confine ourselves to the “law” if not the “ism.” 

We are bogged down by the dilemma, is it this or that “ism” that gave our neighbors the capacity to traverse the road from poverty to prosperity?

Benchmark. Benchmark. Benchmark.

It merely means picking and choosing the best practices of other nations and adapting them to our situation. For example, neither Singapore nor Malaysia is communist, yet Deng heeded Lee and Mahathir's advice to beg for Western money and technology.

Or think of Vietnam. It is a communist country, yet the blog has repeatedly raised the challenge for us to replicate what Vietnam did if we are to gain our own Samsung Vietnam or AirPods Vietnam.

It is not a cakewalk, especially for us Filipinos left behind in development. That is where metacognition comes in. Absent experience in development, to move up in human development – to relativism from absolutism or dualism – is not a given.

But then again, we in the elite class won’t readily buy that. We are smarter than our neighbors. Wait until either Cambodia or Laos does a Vietnam?

If we cannot connect the dots – the different dimensions – from our “caste system” to “poverty,” we will remain the regional laggard. It will be like humankind failing to connect the dots from the “universe” to the “demands of the 21st century.” Unsurprisingly, it has developed the skills to thrive in this century.

Let’s get back to dynamism as opposed to the isms – and why the 4Cs of 21st-century skills matter.

We call ourselves a democracy, yet because we love, tyranny, we value hierarchy and paternalism – effectively ceding its very critical element of check-and-balance. But that is why representative democracy is self-government. It calls for critical thinking and creativity as well as collaboration and communication.

In short, it is a personal responsibility. But we gloss over this inability.

If we have the impulses of dynamism and are committed to its spirit of development, we can adapt to different nations’ best practices.

When there is no check-and-balance, the ability of a nation to leverage trade and foreign relations, for example, is undermined. It will have a credibility problem. Think of China and why we have a dilemma in the West Philippine Sea. When making friends, the principle is going with the ones where the rule of law is supreme. Think of metacognition – beyond the obvious and the present.

Consider: Despite Trump and its many follies, because the US system has demonstrated its adherence to the rule of law, as in check-and-balance, it remains a world power. Nations, both democratic and autocratic, and their most prominent investors find the US a haven. Not for the absence of transparency but because of the rule of law.

There are no rules, only principles. 

While human development is not a cakewalk, we have to start somewhere and someday, like yesterday.

We cannot be static in a dynamic universe.

Gising bayan!

“Here is a land in which a few are spectacularly rich while the masses remain abjectly poor. And where freedom and its blessings are a reality for a minority and an illusion for the many. Here is a land consecrated to democracy but run by an entrenched plutocracy, dedicated to equality but mired in an archaic system of caste. 

“But the fault was chiefly their own. Filipinos profess the love of country, but love themselves – individually – more.” [Ninoy Aquino, Foreign Affairs magazine, July 1968; Stanley Karnow, New York Times Magazine, “Cory Aquino’s Downhill Slide,” 19th Aug 1990.]

“Why independence, if the slaves of today will be the tyrants of tomorrow? Moreover, that they will be such is not to be doubted, for he who submits to tyranny loves it.” [We are ruled by Rizal’s ‘tyrants of tomorrow,’ Editorial, The Manila Times, 29th Dec 2015]

“True social reform has little to do with politics. To unmoor ourselves from the burdens of the past, we must be engaged in the act of continual and conscious self-renewal. All men are partially buried in the grave of custom. Even virtue is no longer such if it is stagnant.

“Change begins when we finally choose to examine critically and then recalibrate the ill-serving codes and conventions handed down to us, often unquestioned, by the past and its power structures. It is essentially an act of imagination first.” [David Henry Thoreau; American essayist, poet, and philosopher; 1817-1862]

“National prosperity is created, not inherited. It does not grow out of a country’s natural endowments, its labor pool, its interest rates, or its currency’s value, as classical economics insists. [A] nation’s competitiveness depends on the capacity of its industry to innovate and upgrade.” [The Competitive Advantage of Nations, Michael E. Porter, Harvard Business Review, March–April 1990]

“You have to have a dream, whether big or small. Then plan, focus, work hard, and be very determined to achieve your goals.” [Henry Sy Sr., Chairman Emeritus and Founder, SM Group (1924 - 2019)]

“Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow.” [William Pollard, 1911-1989, physicist-priest, Manhattan Project]

“Development is informed by a people’s worldview, cognitive capacity, values, moral development, self-identity, spirituality, and leadership . . .” [Frederic Laloux, Reinventing organizations, Nelson Parker, 2014]

“Now I know why Paul dared to speak of ‘the curse of the law’ (Galatians 3:13). Law reigns and discernment is unnecessary, which means there is little growth or change in such people. When you do not grow, you remain an infant.” [Faith and Science, Open to Change, Richard Rohr’s Daily Meditation, 23rd Oct 2017]

“As a major component for the education and reorientation of our people, mainstream media – their reporters, writers, photographers, columnists, and editors – have an obligation to this country . . .” [Era of documented irrelevance: Mainstream media, critics and protesters, Homobono A. Adaza, The Manila Times, 25th Nov 2015]