Philippine
ILLINI
Official Publication of the Association of Filipino Physicians in Southern Illinois Volume III, Spring-Summer, 2013
Contents
(Hyperlinked: Hold Control and click on page number to go directly to the article or simply scroll down; for Page 2, click AFPSI )
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MD, MBA)
Capitalist America is in the unique and rather ironic position as the country where socialism is most likely to
33 Faith in a Multi-Cultural World: Paul in Greece (Rev. 35 AloneTogether (My Journey of Faith) (Felipe Galang)
Shane Bishop)
Imagining himself sitting in the Acropolis listening to Paul, this senior pastor comes to the conclusion that if the modern Christian church is to be relevant today, it has to learn from the 1st century. This layperson traces the beginnings of his faith. His parents demonstrated the fruit of the spirit.
\ 37 Through the Years with UPCM Class 1960 (Irineo T. Cadsawan, MD, FACS)
The author recounts the saga and tribulation of the 100 admitted into the UP College of Medicine in 1955 out of the some 500 who entered Pre-med at the state universitys College of Liberal Arts.
Officers, 2012-13
Incidentally the only position that requires a medical degree to occupy is the associations delegate to the APPA.
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Reception at the Presidential Suite. Red or white? Most chose red for the sirtuin-enhancing reservatrol!
Carlos Deleste belting out Neil Diamonds ValentineNo Words and his rah-rah girls.
From left, Elvie Salarda, Ric Farinas, Kay and Nic Pineda, Virgie Abinoja with signature hat and Elcee Cagas Conner, emcee.
Dancers all.
Macky and Emma Sunga, best newly weds, show off hard-won prize.
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(Keynote speech and power point presentation given before the Philippine Medical Association of Chicago on September 15, 2012. The text of this speech was originally published in the PMAC Newsletter, October 2012, Cesar V. Reyes, MD, editor.)
I thank Dr. Simeon Sevandal and PMA Chicago for the kind invitation to speak before you tonight. It is good to be back in Chicago, Sandburgs Hog Butcher of the Worldthe City of the Big Shoulders that today is a premier center of sports, culture and education, not necessarily in that order.
Sports
Culturee
Education
The topic, Leadership, has been mandated by President Sam. I know that the PMA Chicago has been led by a stream of well-accomplished leaders, and continues to produce leaders of high caliber as exemplified by Editor Cesar Reyes who comes out with three monthly newsletters simultaneously and Pres. Sam who had prepared himself for a whole year before assuming the presidency. I also know that many of your members and others in the audience have excelled in academe, medical practice and the specialties and have individually and collectively served, in an exemplary manner, their community and the homeland in and outside the association, as exemplified by the presidents of various alumni and other groups here present tonight, including Dr. Nida Blancas Hernaez.
Therefore, I will not presume to lecture you on the subject. Id rather share some of my experiences that taught me valuable lessons through the years. Had I known about them at the outset, I would have been a better leader.
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LEADER SHIP
PMA CHICAGO
15 Sept.2012
But before I continue, Id like to serve notice that I come here also to collect. You see, twentynine years ago, you gave me check for $290. I still have the check. Factoring in inflation, that should amount to a much much bigger sum today! Id like to see your treasurer later tonight to discuss the matter
Levity aside, Id like to share with you five principles of leadership. Im sure there are many more but these five have poignant lessons for me.
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Principles of Leadership
1. Be Passionate 2. Its Lonely at the Top, But 3. Plant Seeds 4. You Cannot Win Them All 5. Its not about You!
A leader has a mission or cause. It may not be his initially but once he has embraced it, the cause should become his. He should communicate and explain it to others. It can be infectious!
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P as si on
When PEACE decided to adopt the construction of artesian wells and other water systems as our key project, we launched the idea emphasizing the need for clean water in an editorial:
Potable water is lacking almost everywhere: 50% of rural folks are not served with potable water 17% draw water from creeks or rivers 47% from inconvenient sources 37 from shallow wells that dry up in the summer
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The response was overwhelming! Among the first to respond was Dr. Antonio Behar Cruz of Chicago (PEACE constructed a deep well on behalf of the Philippine Illinois Medical Society in Jolo, Sulu).
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A leader can surround himself with others who share his vision. When in place, a good leader develops and empowers those with him and those who will follow him. Their success is the crowning glory of his leadership.
It goes without saying that a leader has solid confidence in himself that he can do the job at hand for after all, as Desiderata says, You are a child of the universe no less than the trees and the stars
A leader should not expect immediate rewards or instant gratification; instead he plants seeds today in the hope that they will bear fruits, even if he isnt the one to reap the fruits of his labors tomorrow.
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In any organization, there are people who always see the bottle as half empty. Ignore naysayers, if possible or handle them with tact, otherwise allow time to get rid of them or to make them change their mind. Remember what Mother Theresa said: People will criticize you for doing good; do good anyway! If we listened to naysayers, AFPSI would not have the privilege and satisfaction of giving science scholarships to HS students year after year over the last 31 years and the fun and pleasure of song and dance over the last 34!
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Most often money can be raised. However, be realistic and know your limitations. For example, I have always dreamed of establishing a university or at least a preparatory HS for poor and talented Filipinos. Alas, for lack of resources, that will always remain a dream. The second related principle is Dont Be Afraid to Fail. Take risks! To embolden yourself, remember that success is relative. To a 4-year-old, success is not wetting his pants, to an 80-year old, success may be the same.
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Eliminate programs that dont work. Ten years ago, we initiated a scholarship program among descendants of lepers in Culion. It became clear that we could not rely on the local coordinator there. We stopped the program after two years. Today, Christ Philippine Missions have 350 scholars all over the Philippines, none in Culion. Last year we had 425 recipients of feeding and dental health programs in 4 elementary schools. We discovered that in one center the children were fed only three times a week instead of every day during school days. Instantly, we discontinued the program in that location. Today we are feeding 600 school children. #5: Its Not about You! Sorry, but truly, its not about you! You are only a servant. But be a good one! And always serve with a smile, passion and dedication.
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Conclusion To recap, here are the Five Principles of Leadership (fifth slide above). To end this presentation, lets read them together Leadership is all about serving others, man and society. Ultimately, its all about serving God.
A true leader has the confidence to stand alone, the courage to make tough decisions, and the compassion to listen to the needs of others. He does not set out to be a leader, but becomes one by the equality of his actions and the integrity of his intent. Douglas MacArthur
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on where you are along the gradient, the greatest peril accruing to those standing on the steepest segment. Conservative commentators like Glen Beck and Russ Limbaugh say that the US is more supportive and generous to the poor and its workers than any other country. For this reason they say that the US is in imminent danger of sliding down the socialist path. According to an April 2011 report by the Organization for Economic Cooperation and Development (OECD) the US ranked dead last among its 34 member countries in terms of social spending. --------------------------
Conservative commentators say that the US is in imminent danger of sliding down the socialist path.
-------------------------The US spent 7.2% of its GDP on its social contract with its citizens while top ranked France paid 28.4%. In terms of national aggregated expenditure the US spent 19.16% while France spent 32% on its citizens welfare (the OECD average was 22.16%). With so little spent on the poor and working class any suggestion of a government inspired redistribution of wealth from the rich to the poor is clearly untenable. On the other hand, income gap between the rich and the poor is widest in the USA than for any other of the 34 countries surveyed. The US ranks near the bottom third in the OECD survey of social programs (infant mortality, public education, child poverty, paid leave for pregnancy and illness, and financial support for the elderly). Far from being the clear and present danger that the far right suggest; the OECD survey shows that the US welfare state is too miniscule to threaten the free market economy. Does this mean that socialism cannot find traction in the USA? The answer has to be: it depends on how you define socialism.
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When I lived in Arlington, Texas in the early 1990s the city provided $135 million of the $191 million needed to build a ballpark for the Texas Rangers. The money was raised by a bond sale which was serviced in part by a 0.5% increase in sales tax. The initiative was approved by a 65% majority in municipal elections. Most will argue that this is how a free market economy should work. But a closer examination shows elements more characteristic of a socialist economy. Since there was no public demand for the new stadium, a dedicated cadre of planners had to work hard to convince city residents. The use of public funds, a sense of compulsion (1/3 of city residents voted no) and the lack of any profit or dividend distribution are typical of a planned economy. In many big American cities similar sporting emporia are built often in the face of public opposition. It is hard to substantiate claims that they create jobs and new businesses. The diversion of taxpayers money for these prestige projects crowd out investments in education, health, infrastructure and other public good. The 2012 national election renewed public interests in the two extremes of capitalism and socialism. Defenders of capitalism look back to the time when the Iron Curtain fell and declare that the countrys economy was more pure then. The truth is that
America has not had any pure capitalism for over a century. In the early 19th century government stayed out of the economy. In the absence of any regulation the Robber Barons built large monopolies and cartels and amassed vast fortunes. The unbridled capitalism resulted in cycles of speculative financial bubbles and panics, destitution, fraud and other financial crimes. Mounting public pressure led to the breakup of the monopolies and laws were passed to regulate banking and finance. Federal agencies were created to oversee health, environment and Wall Street. Today we have a mostly capitalist economy with private ownership and prices set by the market layered on rules and regulations meant to avoid abuses. --------------------------
The truth is that America has not had any pure capitalism for over a century
-------------------------If one regards any government oversight of the economy as anti-capitalist than one has to accept that socialism is alive and well in America. Anyone would agree that what we have is not real ideological core socialism. If it were so the government will own most property and employ the majority of Americans. Because only 16% hold government jobs, peoples incomes are not capped. Anyone with enough money or credit can buy private property and prices are determined by the markets. America is rightly regarded as a capitalist country. Even so government intrusion in specific sectors of the economy is sometimes necessary and unavoidable. The free market has not served the health needs of every Americans fairly, evenly or well for that matter. Despite spending more (15.6% of GDP and about $7000 per capita) than any other country, the US comes out poorly in most measures of health outcomes when compared with 17 industrialized nations. The elderly, the underemployed or unemployed and those with serious preexisting medical conditions are uninsurable. There is also a large knowledge gap between buyers and sellers in the market for healthcare and prices cannot be determined fairly and efficiently.
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Political conservatives decry the erosion of the nations capitalist economy and the free market. Their bte noir include most social entitlement programs and the nationalization of healthcare. But there is one form of socialism that they would rather not talk about corporate welfare. It is estimated that $90 -125 billion in federal funds are given out annually to large corporations and industries in the form of direct subsidies or for price support. These are augmented on the state level by concessions such as free rents and various tax incentives. These payments to the rich are a form of transfer payments from the poor and have been criticized as socialism for the rich and capitalism for the poor. The government bailout of the mortgage industry, the major insurer AIG and the big investment banks which sold dangerous loans to an unsuspecting public is a drift to socialism. There is some truth to the observation that the bailout of the housing industry was nothing but a privatization of the profits and socialization of the losses.
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The political agenda has been pushed by Republican radicalism, deeply suspicious of the Obama administrations extraordinary efforts
-----------------------------For much of the last decade the political agenda has been pushed by Republican radicalism. They are deeply suspicious of the Obama administrations extraordinary efforts to get the country out of its economic malaise. While they keep silent or murmur muted thanks when Wall Street and corporate America receive government money, they object vociferously to new regulations that seek to prevent the excesses that led to the credit and housing bubbles. Unfettered capitalism, shameless profit making and boundless corporate greed on the way up, unstinting enormous government bailouts on the way down, represent the worst of both worlds. Mutations in the DNA of American capitalism require that the government adapt by passing new regulations or revising existing ones. According to Roger Martin Dean of the University of Torontos School of Management US corporations compete in two markets. There is the real market where companies win by selling superior products and services and the expectations market (stock market) where people wager on their future prospects. In this latter market what matters are not the actual company profits but whether or not these profits meet expectations. Since 1970 the people who run corporations (managers) have been rewarded for winning in the expectation markets rather than in the real market where actual long-term value and wealth are created. In pursuit of their own self-interest, managers constantly raise estimates of future profits. In time these inflated forecasts become unreachable without manipulating the books (Enron) or taking on undue risks (Lehman Brothers, AIG). Removing errant managers is a daunting task for capitalowners (shareholders) who want to win back control of their company. Corporate election rules heavily favor the incumbents because they are eligible to receive company funds to finance their campaign. As a consequence very few corporate elections are contested and in those that are held, the incumbents invariably win. The modern American economy is more managerialist than capitalist.
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In common with most industrialized countries in the free world, capitalism and socialism coexist in the USA. The triumphalism felt by conservatives, libertarians and rightwing Republicans after the fall of Communism need to be tempered by this reality. Socialism is a pejorative word that evokes atavistic reaction in most Americans. Americans must acknowledge that a national healthcare system that covers all of its citizens is the same sound idea similar to the interstate highway system, the power grid, the internet and community blood banks. It only remains for Americans and their government to agree on the extent of state intervention and the
form of socialism that will benefit the majority. The question is, should public money go up to support business and the economy (corporate welfare) or down to help the poor, the elderly and the unemployed (government handout). Mrs. Thatcher is often quoted as having said that, Ultimately Socialism fails because you run out of other peoples money. That may be true of the UK, Greece, Spain and other countries but not necessarily of the USA. The postwar Bretton Woods monetary union collapsed after the US was unable to fulfill its obligations due to its need to finance the Vietnam War and so did the Great Society of President Johnson. Despite dropping the gold standard and a floating exchange rate, the US dollar remained the worlds reserve currency. Last year the US bond ratings were reduced by one notch. There was an immediate 7% drop in the US stock market. But a year later the Dow Jones Industrial Average is back near record level highs and global demand for US sovereign debts has pushed interest rates down. The yield on 10 year Treasury notes fell from 2.15% at the time of the credit downgrade to 1.85% a year later. Despite having its credit ratings dropped and public debt of over 105% of GDP, the rest of the world still looks at the US dollar as a safe haven. The US can print as much or less money apparently without any adverse consequences. Because the greenback is the de facto fiat currency of the world, the US will never run out of money. If Mrs. Thatcher is right, capitalist America is in the unique and rather ironic position as the country where socialism is most likely to succeed.
http://www.disinfo.com/2011/04/u-s-ranks-dead-last-in-overall-social-spending/ http://www.businessinsider.com/countries-most-entitlement-spending-2011-4#1-france-14 https://www.commondreams.org/view/2010/04/10 http://texas.rangers.mlb.com/tex/ballpark/information/index.jsp?content=facts_figures http://www.npr.org/blogs/money/2010/09/16/129914195/is-the-u-s-moving-toward-socialism-a-socialistweighs-in http://www.project-syndicate.org/commentary/how-capitalist-is-america http://articles.washingtonpost.com/2012-08-31/opinions/35491717_1_capitalism-pure-market-economyfinancial-times
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Understanding the U.S. economy entails a brief review of the highlights of U.S. history from the time it started as a group of fledging 13 colonies under British rule in the 16th through the 18th century until it became a bourgeoning economy from the 1900s through the present. As rosy as it sounds, the U.S. economy grew not as a straight line or even a sigmoid curve. It was more like a series of expansions alternating with contractions. This cyclical pattern became intimately linked with the prevailing political storm at the time starting with the American Revolution followed by the Civil War and so forth. At first, there were farming communities made up of the early settlers who came to America in search of greener pastures while at the same time displacing the native American Indians. These early Europeans brought with them not just diseases but also goods from the mother country and thus the primitive type of business was born in the form of barter, that is, exchanging their goods for fur, horses, firearms, alcohol, etc.. With the advent of faster forms of transportation such as the automobile and the steam locomotive, people started to migrate out of the farmlands and formed cities which became the hotbed for factories of all kinds of commodities. Helped by the discovery of oil as fuel, the great Industrial Revolution was the first sign that Americas economy was going to be great. This was perhaps due to the fact that not only did America have abundant natural resources; the early Americans were hardworking and had a strong work ethic. This is embodied in what the Puritans ----------------------------
The early Americans had the Protestant Ethic that enjoined men to work hard as part of their divine calling
---------------------------and Yankees call the Protestant Ethic that enjoined men to work hard as part of their divine calling. The American Revolution which eventually gave birth to Americas independence from Great Britain in 1776 brought to light our unalienable rights to life, liberty, and the pursuit of happiness with a simultaneous commitment to civic virtue and duty and the promotion of general welfare. This was called Republicanism, which not only emphasized individual liberty and economic entrepreneurship but also the simultaneous commitment to civic virtue and duty as well as promotion of the general welfare. Corollary to this is the Boston Tea party which was the first protest against British taxation without due representation. A recent study of the 1787 Constitutional Convention in Philadelphia which eventually drafted the U.S. Constitution showed that the Founders had actually intended to have a direct involvement of the economy. In his 1989 study of the Convention, Frank Bourgin felt that the Founders wanted to oversee, preserve, and strengthen the economy and keep it from being dependent on foreign countries and at the same time, to promote the general welfare of its citizens.
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Thus two schools of thought were born: one system looks to increasing the necessity of commerce (laissez-faire and/or decentralization) and the other system was to increase the power to maintain it (government control of the economy). To be sure, very few of the statesmen were on the extremes of either of these schools of thought. One of them was Alexander Hamilton who proposed a creation of a government-sponsored bank as well as increased tariffs. The Whigs also called for higher tariffs and the implementation of the so-called Economic Nationalism which included state control, regulation, and macro-economic development of infrastructure. Thomas Jefferson and James Madison on the other hand, opposed a strong central government. When Jefferson became president, he even turned to promote a more decentralized agrarian democracy basing his philosophy on protecting the common man from political and economic tyranny. Another president, Andrew Jackson destroyed the Second Bank of the United States. The interesting thing about him is that he was the leader of the new Democratic Party and he felt that a centralized bank favored the vested interests of the rich. The Panic of 1837 was partly attributed to his opposition to the use of paper money resulting in the governments withdrawal of funds from the bank which was accused of printing inflationary paper money. Enter the war with the highest number of casualties: the infamous Civil War. This war led to over 618,000 deaths and lasted from 1861 to 1865. Most historians point to 5 causes: 1) Economic and social differences between the North and the South, 2) States versus federal rights, 3) The fight between the slave and non-slave state proponents, 4) Growth of the Abolition Movement, and 5) the election of Abraham Lincoln. The economic effect of the Civil War was lopsided: the North grew rich while the Southern economy suffered a devastating loss as a result of the emancipation of the slaves. The Republican party had a field day envisioning an industrial nation with great cities, efficient factories, productive farms, national banks, and high speed rail. They passed new taxes and issued government bonds to pay for parts of the war. Just like a fractured bone that healed and became stronger, the victorious North and the broken South eventually reunited under the able leadership of Lincoln. The other desirable consequence of the Civil War was the acquisition of new organizational methods and prioritization of engineering skills thus shifting the national attention from politics to the business side of the economy. Thus we have the Second Industrial Revolution otherwise known as the Gilded Age (1865-1900). This became the groundwork for the modern U.S. industrial economy with the explosion of new discoveries, expansion of the railroads, invention of the telephone, phonograph, typewriter, and the Edison lamp. The automobile replaced horse-drawn carriages and parallel to this was the development of the industrial infrastructure such as roads and bridges helped along by the abundance of petroleum (oil), coal, and other fossil fuels. The assembly line was introduced by no other than Henry Ford and this led to the mass production of virtually any
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commodity and the rise of several famous tycoons such as John Rockefeller, Jay Gould, Andrew Carnegie, and Pierpont Morgan. Some of these men kept their small-town values, simple lifestyles, went to their local church, and felt a sense of responsibility to others. They believed that their success was due to their personal virtues and ethics of work and thrift. It is no wonder that their heirs were able to establish one of the largest philanthropic foundations in America. As previously mentioned, the economy comes in a cyclical pattern and thus the Gilded Age ended with the Panic of 1873 which was followed by a Long Depression until 1897. The Progressive Era from 1890 to 1920 brought about significant changes not only in the economy but also in politics (targeting corruption), science, technology, education, democratic reforms (holding of primary elections), preservation of the family ( introduction of local public assistance programs for the poor), and lastly prohibition (of the sale, manufacture, and transport of alcohol. The Progressives (consisting mostly of farmers and laborers in the West and Midwest) were largely responsible for the regulation of business practices to insure fair competition and free enterprise. This was an offshoot of the change in attitude in regards to laissez-faire by early politicians after a group of small business owners asked the government to intercede on their behalf. Thus the creation of several laws such as the Interstate Commerce Act to regulate railroads and the Sherman Antitrust Act preventing large firms from controlling a single industry. We also have todays regulatory agencies such as the Interstate Commerce Commission and the Federal Trade Commission. At this point, it is important to mention that neither the Progressives nor the proponents of laissez-faire were actual radicals of their opposing economic philosophies. Even the Republican President Theodore Roosevelt followed by the Democratic President Woodrow Wilson were sympathetic to the cause of the Progressives. Under Wilson, the income tax was first instituted, the Sixteenth Amendment was ratified, and the Federal Reserve created. -----------------------------
Neither the Progressives nor the proponents of laissez-faire were actual radicals of their opposing economic philosophies.
---------------------------Is it possible to credit the Progressives as causing a great period of economic prosperity known as the Roaring Twenties? According to Wikipedia, the 1920s was a decade of increased consumer confidence and economic growth fed by supply-side economic policy. This post World War 1 era saw three consecutive Republican administrations take the conservative position of forging a close relationship between the government and big business. Special mention is made of President Coolidge who consistently blocked all attempts at government intrusion into private
business. It is a known fact that Harding and Coolidges managerial approach sustained economic growth through most of that decade. Unfortunately, this growth could not be sustained under Hoovers administration and thus, we have the Great Depression, the worst economic depression in U.S. history.
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The effects of the Great Depression were felt across the entire world and are often attributed to the rise of extremism in Germany leading to World War II. Domestically, the stock market crash that occurred on Tuesday, October 29, 1929 has been often blamed as the major cause leading to a continued downward spiral of the banking institutions precipitated by bank runs and eventual bank failure leading to loss of purchasing power of the dollar and stoppage of production of goods and services. Another cause was foreign retaliation by Americas trading partners due to the extremely high tariff on import goods in 1932 thus deepening the crisis. Unemployment rose to 25% and the heavy industry, lumbering, mining and the export agriculture were hit hard. To add insult to injury, a heavy drought hit the Mississippi Valley nicknamed the Dust Bowl depicted in Steinbecks The Grapes of Wrath. President Franklin Roosevelt created a series of numerous programs called the New Deal designed to help the poor and those severely affected by the Depression. Out of the 10 programs, two are quite known up to this very day, namely FHA (Federal Housing Administration) and the SSA (Social Security Act). A British economist, John Maynard Keynes recommended deficit spending but despite meeting with the President, his advice was not heeded. To this very day, economists continue to debate as to whether or not the New Deal programs had improved or worsened the economy. Regardless, few people disapproved of some of the New Deal programs such as Social Security, SEC, FDIC, and Fannie Mae. After Roosevelt took office, there was a steady and then a sharp upward recovery followed by one year of recession and then a continuous upward climb. After 8 years, unemployment went down from 25 to 13.9%. Whatever modest gains the economy had from the New Deal was overshadowed by the booming economy after World War II. In a way, the New Deal programs with the aim to have a stronger central government plus the lessons it learned from World War I, may have made America more prepared for this war. America invested on itself heavily, issued war bonds, and was able to persuade private businesses to redirect their efforts at building warplanes, ships, tanks, and munitions to defeat the Germans and the Japanese in what was called the biggest militaryindustrial complex of all time. This growth was largely attributed to the application of Keynesian economics which emphasized government spending during a recession. On the other hand, free market economists particularly the Austrian school believed that the post war boom was due to deregulation, free market reforms, and cutting of taxes during the administration of Harry Truman and a conservative Congress. Either way, the application of these conflicting schools of thought still did not make the U.S. economy recession-proof. This post-war boom ended in the 70s during which time the following events took place: the collapse of the Bretton-Woods
system, growing international trade, the 1973 oil crisis, the 1973-1974 stock market crash, the ensuing 1973-1975 recession, and the displacement of Keynesian economics by monetarist economics formulated by Milton Friedman (supply-side economics). In other words, deregulation. To be sure, the economy relatively prospered from the 60s through the 70s despite turbulence in the government starting with the Cuban missile crisis, Kennedys assassination, the Vietnam
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war under three presidents ( Eisenhower, Lyndon Johnson, and Richard Nixon) and Nixons resignation over Watergate. It was in the early 70s when the economy began to slow down (inflation). The U.S. became increasingly dependent on oil resulting in oil supply shocks and when the government experimented with wage and price controls under Nixon, inflation skyrocketed while the economy almost came to a halt (stagflation). When Jimmy Carter assumed presidency in 1976, he instituted a large fiscal package to boost the economy in keeping with Keynesian economics. Instead, inflation rose to double digits following the 1978 energy crisis. He then appointed Volcker to the Federal Reserve to combat inflation by raising the interest rate and this caused a sharp recession in early 1980. Enter Ronald Reagan who introduced Reaganomics that called for widespread tax cuts, decreased social spending, increased military spending, and deregulation of domestic markets. Subsequently, inflation dropped precipitously from 13.5% in 1980 to 3% in 1983. Real GDP after contracting in 1980 and 1982, began to grow as a result of tighter control of the money -----------------------------
Ronald Reagan introduced Reaganomics that called for widespread tax cuts, decreased social spending, increased military spending, and deregulation of domestic markets
----------------------------supply and the interest rates. Despite a temporary rise of unemployment to 10.8% in late 1982, it dropped to under 6% at the end of the Reagan presidency in 1989. Not everything was rosy under Reagan, however. The gap between the rich and poor had increased and the federal debt tripled from $930 billion in 1981 to $2.5 trillion in 1988. In addition, trade deficits began to increase. During this time George H.W. Bush was elected to succeed Reagan and basically continued his policies except in early 1988 when he had to compromise with the Democratic Congress by raising taxes. Bush ended his presidency signing the Americans with Disability Act and the NAFTA.
Bill Clinton did not deviate from Reagans policy and thus the economy continued to prosper. By further raising taxes in a robust economy, he was able to achieve what other presidents failed to do, that is, balance the budget and even created some surplus. This is despite attempts at impeaching him over the Lewinsky scandal. Since then, there were some signs to indicate that the once healthy economy would go into several recessions even before George W. Bush took over. The first was when the dot.com bubble burst from the mid to the late 90s. The next was the mini crash in 1997 following the Asian crisis. Then, the stock market bubble burst when NASDAQ crashed in March 2000. This was followed by the Dow Jones Industrial Average crash after the September 11, 2001 terrorist attacks.
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The economic impact of the 911 attacks was felt all over the world. Global markets dropped sharply, there were about $40 billion in insurance losses, the Federal Reserve added $100 billion in liquidity to avert a financial crisis, gold and oil prices spiked upwards, and in currency trading the U.S. dollar fell sharply against the Euro, British pound, and the Japanese yen. While travel and entertainment stocks fell, communications, pharmaceutical and military/defense stocks went up. Tourism suffered particularly in New York City with the lay-off of hundreds of employees and hotel occupancy falling below 40%. On the flip side, thousands of jobs were created when TSA, Dept. of Homeland Security, and hundreds of related government agencies and private security-related companies started operating. The defense budget soared from $287 billion to a staggering $718 billion and this doesnt include the costs involved in the Iraq and Afghanistan wars as well as the benefits for the veterans. Much of this money was borrowed and has been estimated to cost over $1.3 trillion over the past decade. Despite the catastrophic nature of the terrorist attacks, several studies have shown resilience of the U.S. economy. Much of this resilience has been attributed to PPPS (public-private partnerships). With the private sector providing 80 to 90% of critical infrastructure and cooperating with necessary government logistics, obstacles to post 911 normalcy were overcome. This resilience did not stop the economy from weakening though. As a result of the increasing federal deficit, much of which was due to increased military defense spending in response to the 911 terrorist attacks, the economy began to worsen just as Barack Obama became president in 2009. During this time, the real estate market crashed leading to foreclosures of homes which later became toxic assets. This led to the collapse of the subprime mortgage industry and in a further ripple effect, major banks such Lehman Brothers, AIG, and Citigroup were on the verge of bankruptcy. Obama and his economic advisers responded by signing ARRA (American Recovery and Reinvestment Act) into law, a gigantic $787 billion stimulus package in an attempt to jumpstart the failing economy. Prior to this, the TARP (Troubled Asset Relief Program) was actually passed by Congress under Bush during his last few months of presidency. The TARP
money was to the tune of $700 billion that was supposed to keep the banks from going under as a result of the subprime mortgage crisis. It is not really hard to guess the effects of these stimulus packages. We are still in recession. Overview and Discussion If we go back and review the rise and fall of the U.S. economy from the very beginning, we will note that numerous highly complex factors led to the faltering of the economy. Then, we will look at what economic measures were taken by each president to solve the crisis head-on. Take for instance, the Roaring Twenties (1920s) that pre-dated the Great Depression. It was a period of economic prosperity and increased consumer confidence as a result of application of supply-side economics. Unfortunately, Hoover was unable to sustain the momentum and the Great Depression sunk in possibly brought about by the great stock market crash in 1929 and bank runs. President Roosevelt in response, crafted his New Deal wherein several governmental
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agencies were created and programs were implemented that were supposedly designed to help the poor and the unemployed. This appears to be one of the earliest attempts at correcting the floundering economy through centralization or government control. Up to this day, most of the economists are still debating as to the success or failure of the New Deal Programs. It is generally accepted that only modest gains were made during that era. One thing stood out though. War appears to have a reinvigorating effect on the economy. A striking example is the booming economy post World War II, at times known as the Golden Age of Capitalism. It is interesting to note that both the Keynesian economists as well as the free market economists took credit for this post war boom. -------------------------------
The next example is Reaganomics: cutting taxes across the board, reduced government spending (except defense), deregulation, and tight control of the money supply-all consistent with supplyside economics. The rest is history. Finally, we face an ongoing recession post 911 attacks. We were already going into recession during the last few months of Bushs presidency. Two stimulus packages (TARP and ARRA) were passed. As a directive from President Obama more paper money is being infused into our slowing economy and yet, a lot of us are convinced that we are still in recession. Wall Street says were out of it (Yahoo says Dow Jones keeps growing!) but Main Street says we are still in the thick of it. Gail Tverberg, a writer, consultant, and speaker on oil and other energy-related subjects wrote an article on 2013 as the beginning of a long-term recession. She appeared to have hit it right when she elaborated on the 4 phases of Secular Cycles ( written by Peter Turchin and Sergey Nefedov) prior to a painful and deadly collapse of an economy, namely: 1) Expansion/growth, 2) Stagflation/compression, 3) Crisis/breakdown, and 4) Depression/ intercycle.
I believe we are now in the long Depression/intercycle phase, the last phase before total breakdown and death of the US economy. Keynesian economics has been implemented by the two past administrations and our economy is going nowhere. And now, we have to face the
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painful consequences of sequestration aside from falling off the fiscal cliff. One way out of this mess is the re-application of the micro-economic theory (in contradistinction to Keynesian macro-economics) which emphasizes free market competition, less taxation and minimal government (macroeconomic) intrusion. This appears consistent with Trevor Swanns assertion that the combination of Keynesian economics (for the short run) and the neoclassical microeconomics (for the long run) is the appropriate method. In other words, we need to go back to supply-side economics to resuscitate our dying economy.
(Authors note: I apologize for not being able to cite my references for lack of time. Fortunately, most if not all of these references can be found from multiple online sources too numerous to mention).
Its a recession when your neighbor loses his job; its a depression when you lose your own. Harry S. Truman
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Three purple fruits hold the key to the answer. With the overarching theme of patriotism and a Christian underpinning, I Shall Return is less about war and more about the Filipino and American peopletheir faith, love, struggles, and their willingness to give their lives for country, family and friends. It relates the sacrifices and martyrdom of unheralded heroes some who occupied the highest positions before the war. The story takes the reader to many towns and provinces; to the dark dungeons of Fort Santiago in Manila; to Bataan where prisoners are forced to march in scorching heat without food or water; to the swamps of Candaba where guerrillas snatch escapees from certain death; to a Spanish casa where seven sisters outsmart their guards in a dramatic escape; to Manchuria where allied POWs dig graves for their frozen comrades
Woven into the plot are intertwined love stories: childhood sweethearts torn apart by the war; a poor boy in love with a rich girlwe follow him as he strives to become worthy in the eyes of her family; and a American lieutenant smitten by a beautiful mestizacan he overcome prejudice and racial tensions being black and a protestant?
With historical intros, photographs and rich imagery, the characters and places of I Shall Return come alive vividly and beautifully in a novel of deep dimension. The novel complements books on WWWII Philippines published in recent years such as The Great Raid by William Breuer, Escape from Davao by John D. Lukacs and Lost in Shangri-La by Mitchell Zuckoff. The book is available at www.outskirtspress.com/ishallreturn, www.amazon.com, Barnes and Noble and other retail outlets. All proceeds goes to charity.
About the Author Cosme R. Cagas edits the e-Philippine ILLINI and has been an editor of scientific journals and organizational newsletters. He has published several short stories and poems. He established five foundations, including the University of the Philippines Medical Alumni Society in America with fifteen chapters throughout the United States, and PEACE, that has constructed more than 500 artesian wells and water systems for the poor. He is president of the Christ Philippine Missions, which supports 350 scholars and feeds 679 school children. His many awards include the Most Outstanding Alumnus Abroad of the UP College of Medicine, a John Wesley Missions award and the LINKAPIL, the highest award given to Filipinos overseas, from the President of the Philippines.
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cultural earthquake where the old world is almost completely gone except for a strong pocket here and there and the new world is jagged, volatile and unpredictable. As a result, most of us were formally educated to succeed in a world that no longer exists. For many the church has become the last enclave of the old world where people can still come to exercise power in an economy they still understand, worship with familiar forms, slow things down and take solace in their cultural sanctuary. The problem is that while they do provide a much desired and appreciated service to their ever declining memberships, they are failing miserably in their opportunity to continue the ministry of Christ to a new generation. To help gain a new perspective, I participated in a ten day tour of Paul in Greece a couple of years ago. While standing on Mars Hill, I easily imagined the Apostle Paul among the intellectual elite of this city and determined to learn evangelism from the master evangelist. After reading and re-reading the Acts account of Paul in Greece; visiting the museums, attending lectures and walking through the ruins, I imagined sitting on the Acropolis two thousand years ago watching Paul deliver his message to the Athenians. Here is what I observed: 1. Paul had a clear message. Paul preached Christ crucified and resurrected. This would offend both his Jewish and Greek audiences. The sense of the Jews could probably not get past the fact Paul claimed the promised Messiah had already come and gone and Israel was still under Roman occupation. The sensibilities of the Greeks could probably not get past the idea that a Jew crucified by the Romans, rose from the dead. Paul had two distinct and almost mutually exclusive audiences with neither particularly predisposed to welcome his message but still he preached. Does the church preach Christ crucified and resurrected or has our message become that of lesser things? 2. Paul was bi-cultural. Paul was a Jewish Roman citizen from cosmopolitan Tarsus in Asia Minor. When it came to evangelizing his world, he had a good education, a sharp mind and a Jewish gill and a Roman lung. He knew both cultures, lived in both cultures and could communicate with both cultures using language, illustrations and metaphors his respective audiences understood. Can the church today only operate within church sub-culture?
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3. Paul was relentless. Paul was a zealot when Christ met him and remained a zealot; he clearly had the same motor, Jesus just gave him a new guidance system. He had wanderlust in his bones and took Christ with him. Paul preached everywhere he went and kept leaching regardless of warmth of his reception or the intensity of his rejection. Is the church today willing to get out of our comfort zones to reach others? 4. Paul expected hardship. Every day that Paul chose to proclaim Christ was a day that his life was again put in harms way. He also caused hardship for others. Paul would come into a Greek city and disturb the peace. When he was chased out of town he left both new converts and intensified persecution of the Christian friends he left behind him. Are we willing to sacrifice creature comforts that the world may know Christ?
5. Paul lived lean. Paul was bi-vocational. He was a tentmaker and earned his keep as he traveled and preached. He made no demands for hospitality or comfort and gladly suffered that his message not be compromised. By not being attached to material things, he freed his life for evangelism. Are we too tied to the things of this world to truly evangelize? 6. Paul knew his rights. Paul was a Roman Citizen that knew his rights and played that card when he desired. Though Paul became a martyr, he did not have a martyr complex. He had a clear call, knew the law and pushed on things to see if they would break. Does Christianity actually suffer in the absence of persecution? 7. Paul expected success in ministry.When he entered a city, he expected to find local human building blocks for what he would leave behind. He mentored traveling companions and left them to lead churches. He expected to convert a critical mass to start a church. Have we lost any real sense of expectation for effectiveness? Conclusions 1. Effective churches need to become teaching churches. Any church that is growing and doing effective ministry in 2013 has a story to tell! 2. Effective churches must be willing to leave their comfort zones. We have planted two multi-site campuses. I know how to do church in one location but I am just learning how to take that energy to other locations. The reality is that I have no choice but to learn. 3. Discover evangelism triggers. Ask yourself this central question, "Where in our church construct are people openly challenged to engage Christ crucified and resurrected?" Evangelistically effective churches have multiple points to confront people with the opportunity for personal conversion. 4. Take some risks. I have never understood why churches are so utterly risk adverse. I believe the riskiest thing we can do in this new world is to keep acting like we are in the old one. I would challenge pastors and congregations to take one great evangelistic risk each year. Try what you would try if you knew you could not fail. Pauls journey through Greece is recorded in Acts 16-18. If the Christian Church is to be relevant in the twenty-first century, we have much to learn from the first century!
(*Rev. Bishop is senior pastor of Christ United Methodist Church in Fairview Heights, IL)
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ALONE TOGETHER Expecting More from God Than from Self (My Journey of Faith)
Felipe Galang
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Faith, The substance of things hoped for, the evidence of things not seen, continues to be sort
of mysterious to me even today in my senior years. After all, hope is just that -- expecting something in the future. And how may I trust evidence of things I cannot see? And what a journey of hoping and trusting the promises of a god I do not see! It's been a journey with my parents and co-sojourners who are in the process of being faithful ... all of us both alone and together with God providing the evidence and the substance of it all! Yes, it's a journey of a thousand miles that started with one step. My parents (Ina and Ama in Pilipino) told me they dedicated me to God when I was an infant. From then, it has been the simple process of understanding that faith is from God, not from my parents or from me. I have my part but not alone -- God teaches me with His Word -- my parents mirrored the Word by their lives of love with patient and persistent discipline. -----------------------------
-------------------------My parents demonstrated the fruit of the Spirit we could see and understand.
----------------------------Yes, my parents demonstrated the fruit of the Spirit we could see and understand. For instance, after eating all my meager share of my favorite food, my Ina would suddenly give up what she had, saying she had enough (even while I knew she also yearned for that food). Her gentleness led me to know her joyful love for us as well as her patience, kindness, and goodness-- all visible
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fruits of the Spirit Who by then had become seen and no longer future as our parents continued to walk with and talk of Christ Jesus Who is God in the flesh and Who have been with us by and through the Holy Spirit!
That journey has led me to this day when that measure of faith has led me to believe that our Great God has also gifted us (beyond the fruits that perfect us) a lot more such as wisdom and understanding -- to humble and teach us more and to be obedient to all His decretive and prescriptive will. Our awesome God the Father and Son Jesus Christ, both in and working through us by the Holy Spirit ... completing and perfecting us then, today, and forever ... I am alone and yet together with God and His family of faithful sojourners such as you, the readers of this snippet on faith.
I can see how it might be possible for a man to look down upon the earth and be an atheist, but I cannot conceive how he could look up into the heavens and say there is no God. --Abraham Lincoln
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Of some 500 wild-eyed freshmen accepted to the Pre-Med Class at the UP College of Liberal Arts, only 100 were admitted to the UP College of Medicine, staggering 80% mortality rate.
------------------------------rate. That everybody was quite anxious and nervous was an understatement. A big sigh of relief came from those whose names made the list; but the other 100 by this time had already secured seats in the other medical schools in Metro Manila, where they would excel academically as expected. And they did. By some estimates, of the surviving 100, about one-half were honor high school graduates. The radiation of energy from this concentration of intellectual power was palpable. Presumably for diversity and other reasons, unknown to us, 20 from the cream of other
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pre-med programs were added to the 100 from Diliman. Thus the incoming freshmen of the Class of 1960 numbered 120.
We found the medical curriculum to be a tough nut to crack, so tough that the resulting high mortalities during the first two years decimated the original 120 down to 86. Through the hard way we affirmed the outside reputation of the UPCM. Additions from the preceding class of 1959 swelled our roster so that on graduation day, in May of 1960, 96 diplomas were handed out. The Medical Ball was the highlight of the celebration after which there was the mad rush to review for the licensing medical board exam that was administered only once a year: every summer. For those planning further training in the U.S., reviewing for the ECFMG exam was an added burden. About half of the class took the exam, breezed through it, and were given exit visas without much ado.
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We confronted the real world outside with mixed emotions. Suddenly, we were on our own. No more boring lectures, no more scut work, no more arrogant senior residents, no more drug samples, no more ambulance runs, goodbye to interns' quarters. Free spirit engulfed everyone. Some preferred to stay in the Philippines, while others ventured across the ocean, seriously attracted to the magnet of postgraduate training in the U.S.A. Homesickness--aggravated by the harsh winters-gripped the new arrivals; so, humming the "U.P.Beloved" became fashionable again. When critical mass became apparent, Filipino physicians formed the umbrella organization called the APPA (Association of Philippine Physicians in America), which the nascent UPMASA (U.P. Medical Alumni Society in America) joined as a matter of practice. Afraid of being swallowed by the destructive and embarrassing politics of the mother organization, within a few years UPMASA left in a huff and never looked back. The Class of 1960 is rightfully proud to say that it has played a very major role in the life of the UPMASA:
founded by Cosme R. Cagas, and followed in his footsteps by the able presidencies of Nitoy Bartolome and Seb Kho. At the crossroads of its existence, UPMASA membership has been in the process of graying ever since U.S. authorities closed the gates to all FMGs. But not forever according to my personal prognostication: the so-called Affordable Health Care Act (aka ObamaCare) when fully operational will create an immediate and long-term shortage in medical manpower. Which means that sooner than later he gates will reopen one more time.
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Some preferred to stay in the Philippines, others ventured across the ocean. Those in the U.S. found a welcoming and friendly country after overcoming legal and logistics hurdles
----------------------The grinding schedules of residency training (never mind the starvation stipends), particularly in Surgery and OB/Gyn, the cut-throat competition and politics in the trenches of private medical practice (imagine FMG's intruding in white man's turf!), experiences in community relations and the raising of families and educating the children leveled the playing field for all of us. The class rankings and the invisible line that divided us in the distant past are good for nostalgia; but for now they are irrelevant. What really matter are the final grades we received from our families, friends and patients. And if some of us have attended only a few or none of our class reunions it is because--like it or not--we all have changed over the years. Our personal circumstances and family priorities have likewise changed. Those in the U.S. found a welcoming and friendly country after overcoming legal and logistics hurdles put in place by the Immigration and Naturalization Service. Most if not all of us have switched citizenship but others have become dual citizens. And our children and grandchildren have provided us with an excellent reason for staying put and retiring in our adopted country.
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As a follow-up to the Golden Jubilee celebration, a week-long mini class reunion in the Caribbean by way of the massive "Oasis of the Seas" was held successfully in April, 2012. The itinerary was not the greatest in the travel world so the cruise ship, being the biggest afloat, actually became one of the destinations for our tired and aching joints. The cruise was memorable in ways expected with a few surprise exceptions. The camaraderie was warm,
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spontaneous and consuming. As is usual in gatherings such as this, the reminiscing lazily meandered from the number of children and grandchildren to retirement to current health status
to the number of hair follicles left on one's scalp and all the way back to the golden days of medical school. We wished there were more classmates having fun with us. And we remembered with sorrow those who had quietly joined our Lord prematurely: Boy Antigua, Tito Abela, Vic Dinoso, Mel Gabriel, Mon Medalle, Yolo Sulit, Oca Villanueva, Raquel Israel, Angel Noel, Eddie Pascual, Rene Sarmiento, William Lee, Benny Agbayani, Roy Jurado, Domingo Limbo, Lournes Llavore, Max Yao, Ric Alday, Happy Buenafe, Tony Perlas and Enzo Teruel. For those who could not make the cruise, we missed you. By far the biggest surprise of the voyage was Boy/Aping/Happy Buenafe. With Mely at his side, while riding a motorized scooter to help him navigate the huge ship, he joined us for breakfast and most other meals every day. He was full of life, making jokes and having pictures taken with as many classmates as physically possible for him. Then four months later he was gone forever. Retirement, which came gradually for many of us, is the pause that really refreshes. We are affectionately and jokingly called "retarded" by some; and we savor the pun. Actually, we are happily "re-tired" and ready to roll for another 100,000 miles (proof: the "Oasis" cruise).Those who developed a sport or a hobby or adopted a new mission prior to or after retiring found wholesome and useful ways to make use of the abundant free time. As our ranks dwindle with each passing year we must continue to keep all channels of communication to the very end. And finally, as we approach the end of time we are comforted by the fact that we are at peace with ourselves and hopefully ready to meet our Creator. Sincerely your classmate, Neo
(*Dr. Cadsawan is a retired general surgeon and was editor-in-chief of the UP-PGH Newsette during medical school days).
Editors addendum: UPCM 60 was named Most Outstanding Class by the UP College of Medicine during its Ruby Anniversary from graduation).
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