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Monday, March 03, 2008

 

NOTES & COMMENT

‘It’s the system, stupid!’

By Juan T. Gatbonton, Editorial Consultant

Are we riding willy-nilly another wave of people power? At the rate we seem to be routinizing what is properly a “once-in-a-lifetime” event for any nation, we’ll never attain the long-term stability we need to modernize our country.

But we really need not demolish the house every time we are compelled to repair it. We can change the system bit by bit, because our civic problems do not arise from some cultural failing. They merely reflect structural defects in our institutions and incentive mechanisms—specific defects we can correct dispassionately.

Here’s my shortlist of the reforms we should do before everything else—because changes in these specific processes and institutions will have the widest spread effects.

Clean up the electoral process

The authors of the 1987 Charter limited the chief executive to a single term because they didn’t trust the electoral process enough to believe it could resist the machinations of a seating president. (And “Hello, Garci” seemed to justify their fears.) But it is only through their vote that citizens can enforce accountability in their highest officials. The no-re-election clause in effect places the president beyond the reach of popular judgment.

“No-re-election” was a cop-out. We must face up to the phased reforms the Mexican people managed, which enabled them—in July 2000—to bring down the entrenched Partido Revolucionario Institucional (PRI) after 71 years in power.    

Beginning in the middle 1990s, Mexico installed one of the most-advanced voting systems in the world. It also handed over control of the electoral process from the Government Secretariat to a nine-member citizens’ council. The council is elected by the lower house of Congress: its independence is constitutionally guaranteed. (Parties are represented by nonvoting members.)

This Federal Electoral Institute purged voters’ lists and set up independent oversight committees of local electoral offices. It also sets campaign-finance limits; ensures equal media space for presidential candidates; works with electoral watchdog groups; and hosts foreign election observers.

Even ensuring clean elections will not immediately rid us of our political dinosaurs. But it will open up the political process—and attract modern-minded people to public office.

The most important subsidiary reform must be to strengthen our political system—to encourage the consolidation of our electoral factions. Right now, we’ve no political grouping big enough—unified enough—to think coherently of the national interest. Not parties but individual politicians have become the functional units of our political struggles for power and the perks of office.

Awarding mainstream parties a measure of public financing should reduce corruption and prevent the intervention of drug lords and jueteng syndicates. Of course, public financing must be part of thorough-going reform to stop party-switching and to make politics program-based rather than personality-driven.

Opening up the economy

Opening up the economy I would regard as a just-as-urgent reform—because the closed economy multiplies the opportunities for corruption from the benefits that government becomes in a position to bestow.

It is true that “late industrialization” of the kind Meiji-era Japan pioneered requires a greater degree of government direction and control than when the West industrialized under laissez-faire capitalism.

In Taiwan, South Korea, Singapore—and then in Malaysia, Thailand and Indonesia—authoritarian rule justified itself by imposing the stability and predictability on the political system that investors prize.

But the weak Philippine state couldn’t prevent interest groups from “capturing” interventionist policies for their private benefit. So that Philippine development would have to rely, more than the East Asian tiger-economies did, on the play of market forces.

Opening up the economy because the state couldn’t manage it isn’t just a counsel of despair. Globalization more and more favors the open economy. Look at how even the former monopolists at the PLDT are thriving under intense competition.

Professionalize the civil service

As the first step toward a more effective State, we must also begin to professionalize the bureaucracy. Neither the Spaniards nor the Americans bothered to set up a colonial civil service of the impartiality achieved by the British, the Dutch or the French.

The most politicized in East Asia, our bureaucracy has become a major prize of the spoils system. Within the executive branch alone, an incoming president appoints as many as 8,400 officials. Hence, managerial turnover is high—since salaries at senior level are typically 60 percent below market rates. Under these harsh conditions, the integrity of our country’s justice system is particularly at risk.        

Asking the right questions

In recent years, we Filipinos do seem to have been going around in circles. If we learn nothing else from experience, let us at least learn to ask the right questions.

When things are going wrong, to ask “who did this to us?” leads only to conspiracy theories and to delusions of persecution. But to ask, “what did we do wrong?” can at least lead to the more positive further question: “how do we put things right?” And it is not a “damaged culture” but a man-made system that stifles Filipino initiative, which we must replace, with one more equitable, one more competitive.

Notes and comment appears fortnightly.

   

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