tag:blogger.com,1999:blog-14858768.post115810399633679841..comments2023-02-15T20:06:13.584+08:00Comments on Rational Choice: Collapse - of economic logicRoehlanohttp://www.blogger.com/profile/04018109135738021378noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-14858768.post-1158666409872379512006-09-19T19:46:00.000+08:002006-09-19T19:46:00.000+08:00I wrote an entry in my blog discussing this topic....I wrote an entry in my blog discussing this topic. Basically, I postulated that the reason why EO 138 was repealed is because President Arroyo felt that GFIs are causing a "bottleneck" and that not enough development funds are reaching the "non-bankable" poor. Pls see my blog for further details if you are interested.Oliver M. Mendozahttps://www.blogger.com/profile/06777385741632252224noreply@blogger.comtag:blogger.com,1999:blog-14858768.post-1158451677410180592006-09-17T08:07:00.000+08:002006-09-17T08:07:00.000+08:00Hi Randall.1. The infamous example of lack of acco...Hi Randall.<BR/><BR/>1. The infamous example of lack of accountability is the Masagana 99, a direct credit program of DA. Repayment rate was - if I remember my figures right - 30%. So 70% didn't go back. Who got even just a reprimand for this deplorable financial performance? Nobody. If you read government reports, this was simply blamed on the "doleout mentality" of farmers. If some loan officer in BPI were to pull that trick, he'd be out on his sorry ass faster than Ayala can count cash. So yeah, in effect the 70% non-payers got cash from the government. <BR/><BR/>2. National government should not make any of its agencies lenders. Perhaps one may argue that government can own a for-profit bank, to push its loans for priority sectors. Important thing is it must be an honest-to-goodness for-profit institution directly doing the lending. <BR/><BR/>3. Government is full of bright boys and gals. But the mental energy is diverted to playing politics, rather than thinking of real solutions to real problems.Roehlanohttps://www.blogger.com/profile/04018109135738021378noreply@blogger.comtag:blogger.com,1999:blog-14858768.post-1158395735847108522006-09-16T16:35:00.000+08:002006-09-16T16:35:00.000+08:00I'm no economist but just a simple business manage...I'm no economist but just a simple business management graduate (which means I might not really understand your point, but if I do get your point then probably a lot more people understands you as well) but by reading your post and that one by Dr. Habito, it left me hanging with a couple of thoughts: If DA doesn't have any mechanism for accountability in providing loans for the farmers, what right does the government have to make other agencies act like lending institutions? I thought we have a lot of brilliant minds in the government (how naive of me!). It is as if the DA is giving away cash to farmers. Hmmm, maybe I can try my hands on farming and get a loan as well. If the government thinks this is a joke, then its a sick one.Anonymousnoreply@blogger.com