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FREEDOM, FREEDOM, DEVELOPMENTDEVELOPMENT

AND AND REVOLUTION REVOLUTION

FREEDOM, FREEDOM, DEVELOPMENTDEVELOPMENT

AND AND REVOLUTION REVOLUTION

Mario Antonio G. LopezMario Antonio G. LopezAsian Institute of ManagementAsian Institute of Management

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DEVELOPMENTDEVELOPMENT

complex concept,not easily definedcomplex concept,not easily defined

CONSTANTLY SHIFTING CONSTANTLY SHIFTING GOALGOAL

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CONCEPT OF DEVELOPMENTCONCEPT OF DEVELOPMENT

MOST ASSOCIATED WITH

INCREASES IN MATERIAL RESOURCESINCREASES IN MATERIAL RESOURCES

INCREASES IN INCOMESINCREASES IN INCOMES

INCREASE IN ABILITY TO CHOOSE FOR INCREASE IN ABILITY TO CHOOSE FOR ONESELFONESELF

INCREASES IN LIFE CHOICESINCREASES IN LIFE CHOICES

“QUALITY OF LIFE”

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Last 50 years Last 50 years of 20of 20thth Century, Century, most remarkable most remarkable

in recorded historyin recorded historyDavid C. KortenDavid C. Korten

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Korten (1995, 1998)

•Spectacular economic Spectacular economic growth &growth & trade expansiontrade expansion

•Seems we truly have Seems we truly have knowledge, technology, knowledge, technology, organizational capacity to organizational capacity to accomplish bold goals, accomplish bold goals, including elimination of including elimination of poverty, poverty, war, diseasewar, disease

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Have institutions for global governanceHave institutions for global governance

Made scientific breakthroughs undreamt of Made scientific breakthroughs undreamt of years agoyears ago

Can detect, cure many diseases before child is Can detect, cure many diseases before child is bornborn

Produce food in barren areasProduce food in barren areas

Have cheap, instant communicationsHave cheap, instant communications

Have cheap, comfortable travelHave cheap, comfortable travel

Have instant access to vast knowledgeHave instant access to vast knowledge

WE NOW :

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Randy David echoed these sentiments (28 April 2002):

“ “We live in a time of We live in a time of great affluence and great affluence and of astounding possibilities of astounding possibilities for human happiness for human happiness and fulfillment…”and fulfillment…”

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Why so much Why so much explosive tension explosive tension

in the world?in the world?

Why so much Why so much explosive tension explosive tension

in the world?in the world?

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HUMANITYHUMANITY

““Suffering Suffering three-fold three-fold

crisis”crisis”

““Suffering Suffering three-fold three-fold

crisis”crisis”Korten

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Korten:1. Wealth has grown; many

very rich, but absolute poverty increasing;

2. Environment greatly stressed, may crumble;

3. Leaders, institutions not delivering on promises,

expectations.

1. Wealth has grown; many very rich, but absolute poverty increasing;

2. Environment greatly stressed, may crumble;

3. Leaders, institutions not delivering on promises,

expectations.

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Randy David:Randy David:

1.1. Degrading poverty, scandalous, Degrading poverty, scandalous, unnecessary;unnecessary;

2.2. Changed political leaders many Changed political leaders many times, yet things not better;times, yet things not better;

3.3. Natural resources, Natural resources, depleted by wasteful use.depleted by wasteful use.

!!!!

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RESULTS?RESULTS?

1.1. CONSTANT CONSTANT FRUSTRATIONFRUSTRATION

2.2. INCREASING INCREASING HOPELESSNESSHOPELESSNESS

3.3. DESPERATE DESPERATE VIOLENCEVIOLENCE{Terrorism}{Terrorism}

4. CYNICISM4. CYNICISM

1.1. CONSTANT CONSTANT FRUSTRATIONFRUSTRATION

2.2. INCREASING INCREASING HOPELESSNESSHOPELESSNESS

3.3. DESPERATE DESPERATE VIOLENCEVIOLENCE{Terrorism}{Terrorism}

4. CYNICISM4. CYNICISM

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WHAT WHAT DID DID NOT NOT

HAPPEHAPPENN

WHAT WHAT DID DID NOT NOT

HAPPEHAPPENN

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MATERIAL WEALTH MATERIAL WEALTH

ESSENTIAL BUT NOT ENOUGH.

Critical elements missing Critical elements missing in current in current

growth & development modelsgrowth & development models

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MOST EVIDENT :NOT ENOUGH EQUITY IN

ECONOMIC-MATERIAL WEALTH DISTRIBUTION

MOST EVIDENT :NOT ENOUGH EQUITY IN

ECONOMIC-MATERIAL WEALTH DISTRIBUTION

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Over 50% of FilipinosOver 50% of Filipinos

1.Have low incomes, no savings (less investments)2.Have poor access to basic social

services (lower quality human assets)3.Suffer from malnutrition, very poor

health (low productivity)4.Have no steady jobs, livelihood (low investments in self development, low savings = low investments)

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SOME COMMON CONCEPTSSOME COMMON CONCEPTSSOME COMMON CONCEPTSSOME COMMON CONCEPTS

•ECONOMIC GROWTH Increases in GNP and/or GDP •ECONOMIC DEVELOPMENT Involves structural changes that include social and political changes

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FOCUSED SOLELY ON ECONOMIC FOCUSED SOLELY ON ECONOMIC GROWTHGROWTH, ,

FOCUSED SOLELY ON ECONOMIC FOCUSED SOLELY ON ECONOMIC GROWTHGROWTH, ,

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Measures ignore critical social, cultural, Measures ignore critical social, cultural, economic, political, technological, economic, political, technological, geographic, demographic factorsgeographic, demographic factors

Ignore issues of FREEDOM, DIGNITY, Ignore issues of FREEDOM, DIGNITY, IDENTITY, COMMUNITY, SOCIAL TRUST, IDENTITY, COMMUNITY, SOCIAL TRUST, SOCIAL CAPITAL, other values SOCIAL CAPITAL, other values

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A RANGE OF HUMAN RIGHTS ISSUES - GENDER, CHILDREN’S RIGHTS, DIFFERENTLY CHALLENGED PERSONS’ RIGHTS, etc.

WEAKENING OF NATION STATES, RISE OF MULTI-NATIONAL, CROSS-BORDER SECTORAL INTERESTS

NEW VALUES BROUGHT ABOUT BY NEW TECHNOLOGIES , THE CHANGES THEY BRING ABOUT

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NEW ASSERTIVENESS, AGGRESSIVENESS, IMPATIENCE OF FORMERLY SUPPRESSED AND/OR OPPRESSED SOCIAL GROUPS

GROWTH, PROLIFERATION OF SPECIAL INTEREST GROUPS THAT ARE OFTEN IN CONFLICT WITH ONE ANOTHER, EACH INSISTING ON ITS SPECIAL AGENDA

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• OLD GROWTH AND DEVELOPMENT THEORIES NOT WORKING

• NEED NEW MODELS TO ADDRESS NEW PROBLEMS

• THINK OUTSIDE THE BOX

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Major assumptions of the OLD MODELS:Major assumptions of the OLD MODELS:

TO ENLARGE ECONOMY, FOCUS ON GROWINGTO ENLARGE ECONOMY, FOCUS ON GROWING SECTORS THAT PROMISE BIGGEST, FASTEST SECTORS THAT PROMISE BIGGEST, FASTEST GROWTH RATES, MEASURED BY GNP OR GDPGROWTH RATES, MEASURED BY GNP OR GDP

GIVEN THEORY OF MARGINAL UTILITY, AS GIVEN THEORY OF MARGINAL UTILITY, AS LEAD SECTORS GROW AND MONEYED CLASSES LEAD SECTORS GROW AND MONEYED CLASSES GET RICHER, THEIR CONSUMPTION LEVELS GET RICHER, THEIR CONSUMPTION LEVELS TAPER OFF, TEND TO SAVE MORETAPER OFF, TEND TO SAVE MORE

ADDED INCOMES GO TO SAVINGSADDED INCOMES GO TO SAVINGS

PART OF SAVINGS CAN BE REINVESTED IN PART OF SAVINGS CAN BE REINVESTED IN OTHER SECTORS TO BENEFIT GENERAL OTHER SECTORS TO BENEFIT GENERAL POPULATIONPOPULATION

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Major assumptions…Major assumptions…

•There will be “externalities”, undesirable effects There will be “externalities”, undesirable effects •These effects can be “ameliorated” using These effects can be “ameliorated” using technologytechnology

•Other effects, the price we pay for the benefitsOther effects, the price we pay for the benefits we will getwe will get

•Main thing is to ensure thatMain thing is to ensure that

BenefitsBenefits > > CostsCosts

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KEY QUESTIONS

WHO BENEFITS?

WHO WHO PAYS?PAYS?

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Results of several decades of “trickle down” programs :Results of several decades of “trickle down” programs :

1.1. Growth concentrates, no assurance of widespread Growth concentrates, no assurance of widespread development*development*

2.2. Concentration of powerConcentration of power

3.3. More consumption-oriented societiesMore consumption-oriented societies

4.4. Many people, communities disenfranchised, Many people, communities disenfranchised, marginalizedmarginalized

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5.5. Much money making not based on real value Much money making not based on real value creation – making money on money, speculationcreation – making money on money, speculation

6. Community, national, global patrimonies 6. Community, national, global patrimonies critically damagedcritically damaged

7.7. Increasing secularization and individualism Increasing secularization and individualism destroy sense of community destroy sense of community

8.8. Many things no longer held sacredMany things no longer held sacred

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INSIDUOUS PROBLEM OF FRACTURED POLITIES, WEAKENED NATION-STATES

INSIDUOUS PROBLEM OF FRACTURED POLITIES, WEAKENED NATION-STATES

INEFFECTIVE UNIFYING MECHANISMS

INEFFECTIVE UNIFYING MECHANISMS

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GROWING REALIZATION THAT WE DO NOT HAVE COMMON MEANINGS FOR OFTEN USED CONCEPTS. JUST A FEW EXAMPLES:

GROWING REALIZATION THAT WE DO NOT HAVE COMMON MEANINGS FOR OFTEN USED CONCEPTS. JUST A FEW EXAMPLES:•DEMOCRACY•FREEDOM•PARTNERSHIP•EQUALITY•EQUITY

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MORE CENTRAL TO OUR PROBLEMS, WE HAVE NOT ACCOUNTED FOR CONCERNS LIKE:

•PSYCHO-EMOTIONAL HEALTH•SPIRITUALITY•SOCIAL RESPONSIVENESS•SOCIAL RESPONSIBILITY

MORE CENTRAL TO OUR PROBLEMS, WE HAVE NOT ACCOUNTED FOR CONCERNS LIKE:

•PSYCHO-EMOTIONAL HEALTH•SPIRITUALITY•SOCIAL RESPONSIVENESS•SOCIAL RESPONSIBILITY

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A MORE COMPLETE DEFINITION OF DEVELOPMENT:

“A COMPLEX, COMPREHENSIVE AND MULTI-DIMENSIONAL PROCESS WHICH EXTENDS BEYOND MERE ECONOMIC GROWTH, TO INCORPORATE ALL DIMENTIONS OF LIFE AND ALL THE ENERGIES OF A COMMUNITY, ALL OF WHOSE MEMBERS ARE CALLED UPON TO MAKE A CONTRIBUTION AND EXPECT TO SHARE IN THE BENEFITS,

World Conference on Cultural Policies, 1982

A MORE COMPLETE DEFINITION OF DEVELOPMENT:

“A COMPLEX, COMPREHENSIVE AND MULTI-DIMENSIONAL PROCESS WHICH EXTENDS BEYOND MERE ECONOMIC GROWTH, TO INCORPORATE ALL DIMENTIONS OF LIFE AND ALL THE ENERGIES OF A COMMUNITY, ALL OF WHOSE MEMBERS ARE CALLED UPON TO MAKE A CONTRIBUTION AND EXPECT TO SHARE IN THE BENEFITS,

World Conference on Cultural Policies, 1982

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“IN SHORT, DEVELOPMENT IS THE

SIMULTANEOUS AND

INTERERELATED IMPROVEMENT IN A PEOPLE’S STANDARD OF LIVING AND

QUALITY OR BEING”

“IN SHORT, DEVELOPMENT IS THE

SIMULTANEOUS AND

INTERERELATED IMPROVEMENT IN A PEOPLE’S STANDARD OF LIVING AND

QUALITY OR BEING”

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Albert Einstein:Albert Einstein:

“…“…can’t solve can’t solve new problems new problems with old with old models that models that brought them brought them about in the about in the first place.”first place.”

““Insanity is Insanity is doing the same doing the same thing over and thing over and over again and over again and expecting expecting different different results.” results.”

““Insanity is Insanity is doing the same doing the same thing over and thing over and over again and over again and expecting expecting different different results.” results.”

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““SUSTAINABLE SUSTAINABLE TOTAL, TOTAL, INTEGRATED INTEGRATED DEVELOPMENT”DEVELOPMENT”

““SUSTAINABLE SUSTAINABLE TOTAL, TOTAL, INTEGRATED INTEGRATED DEVELOPMENT”DEVELOPMENT”

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EQUITYEQUITY

ECOLOGICALSUSTAINABILITY

ECONOMIC ECONOMIC GROWTHGROWTH

FREEDOMFREEDOM

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MODEL STRESSES DIFFERENCE BETWEENMODEL STRESSES DIFFERENCE BETWEEN

GROWTH & DEVELOPMENTGROWTH & DEVELOPMENT

DEVELOPMENT :DEVELOPMENT :

ABOUT INCREASES ABOUT INCREASES IN MATERIAL WEALTHIN MATERIAL WEALTH

ABOUT INCREASING ABOUT INCREASING FREEDOMFREEDOM

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Very different model. Very different model.

1.1. Centered on human welfare by way of community Centered on human welfare by way of community welfare (villages, nations or the whole world); welfare (villages, nations or the whole world);

2.2. Sees human welfare as inseparable from health of Sees human welfare as inseparable from health of natural environment;natural environment;

3.3. Area based, dictates prudent use of natural resources Area based, dictates prudent use of natural resources that often not replaceable;that often not replaceable;

4.4. Rewards real wealth creation, filling of genuine needs;Rewards real wealth creation, filling of genuine needs;

5.5. Recognizes necessity to include everyone in social, Recognizes necessity to include everyone in social, economic security net. economic security net.

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New model….New model….

6. Values diversity while seeking unity;6. Values diversity while seeking unity;

7.7. Seeks to integrate secular, sacred;Seeks to integrate secular, sacred;

8.8. Closer to John Nash’s equilibrium model of Closer to John Nash’s equilibrium model of relationships – people working to get what theyrelationships – people working to get what they

want but mindful of others’ needs;want but mindful of others’ needs;

7.7. People fulfilling their needs as stewards of Earth’s People fulfilling their needs as stewards of Earth’s limited resources;limited resources;

8.8. Accepting that technology cannot solve all our Accepting that technology cannot solve all our problems; that it is at times the problem.problems; that it is at times the problem.

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A KEY ISSUE ABOUT

FREEDOMIT ALWAYS COMES WITH

RESPONSIBILITYTHERE ARE DUTIES AND THERE ARE DUTIES AND OBLIGATIONS, OBLIGATIONS, NOT JUST RIGHTS AND PRIVILEGESNOT JUST RIGHTS AND PRIVILEGES

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Other Controversial Issues in Development

Other Controversial Issues in Development

Population & Population & population population growth ratesgrowth rates

Globalization:Globalization:American American democracy, democracy, capitalism & free capitalism & free trade as THE trade as THE MODELMODEL

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OF GREAT CONCERN TO POLICE FORCES WORLDWIDE

URBANIZATIONURBANIZATION

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RAPIDLY GROWING CITIES

1. INCREASING MIGRANT POPULATIONS2. PEOPLE INCREASING FASTER THAN AVAILABLE

JOBS -> INCREASING UNEMPLOYMENT3. POPULATION INCREASING FASTER THAN

GROWTH OF BASIC SERVICES4. HOUSEHOLDS INCREASING FASTER THAN

HOUSING SUPPLY -> SQUATTERS5. MORE VEHICLES THAN TRANSPORT NETWORK

CAN HANDLE -> TRAFFIC JAMS6. INABILITY TO ENFORCE LAWS

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 Table 1. Population, Poverty1/ Incidence and Depth (1997, 2000)

   Poverty Incidence Poverty Depth2/

1997 2000 1997 2000

Philippines 25.1 27.5 6.4 7.2

Metro Manila 3.5 5.6 0.6 0.9

Lanao del Sur 40.8 48.1 10.4 9.7

Maguindanao 24.0 36.2 4.0 9.2

Sulu 87.5 92.0 33.1 37.3

Tawi-Tawi 52.1 75.3 13.4 25.8

Basilan 30.2 63.0 5.9 16.7

North Cotabato 42.7 34.8 13.4 8.8 Sultan Kudarat 21.6 35.3 3.2 5.8

Davao Del Norte 26.2 27.3 6.4 7.11/ Source: 1997 and 2000 FIES in PHDR 2002

2/ Poverty depth measures how fare below the poverty line the poor are. It measures the poor’s average income shortall (expressed in proportion to the poverty line) relative to the non-poor. Thus, the data shows that the average income of the poor in Lanao del Sur is 10 percent below the poverty line. The poor in Sulu have average incomes that are more than 30 percent short of the poverty line. In other words, the income of the poor in Sulu has to rise by an average of 30 percent in order for them to rise above poverty.

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Table 2. Average Annual Per Capita Incomes Human Development Rank (1997, 2000)

   Per Capita Income (NCR

1997 pesos)HDI Provincial Rank

1997 2000 1997 2000

Philippines 52,704 48,816

Lanao del Sur 16,145 15,936 73 74

Maguindanao 21,915 19,967 72 73

Sulu1/ 8,994 7,850 77 77

Tawi-Tawi 19,794 11,349 76 76

Basilan 22,269 13,193 68 75

North Cotabato 19,649 19,443 49 41

Sultan Kudarat 23,737 18,653 36 61

Davao del Norte 24,315 22,668 42 47

1/ At rank 77 Sulu has the worst index of human development among the country’s 77 provinces.

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a) Governance

* Lack of livelihood and employment opportunities

b) Governance

* Education * Health

* Shelter * Infrastructure

c) Security

* Relatively unstable peace and order situation

d) Social Capital

* Weak social capital, social and recreational facilities

Community needs and aspiration as revealed through participatory planning in survey areas in Central Mindanao

e) Institutional Arrangement * Clarification of institutional arrangement * Formulation of a Mindanao plan * Inadequate ODA assistance to social services