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Build, Build, Build Program

The Philippines implemented a "Build, Build, Build" program to increase employment and reduce poverty by constructing new buildings. China agreed to fund the program and send Chinese laborers, increasing Chinese workers in the Philippines. While this allowed both countries to benefit from their comparative advantages, it unintentionally resulted in Chinese workers occupying most of the new jobs rather than Filipinos, undermining the program's goal of reducing unemployment among Filipinos. There is now internal conflict in the Philippines over heavy reliance on Chinese labor.

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32 views

Build, Build, Build Program

The Philippines implemented a "Build, Build, Build" program to increase employment and reduce poverty by constructing new buildings. China agreed to fund the program and send Chinese laborers, increasing Chinese workers in the Philippines. While this allowed both countries to benefit from their comparative advantages, it unintentionally resulted in Chinese workers occupying most of the new jobs rather than Filipinos, undermining the program's goal of reducing unemployment among Filipinos. There is now internal conflict in the Philippines over heavy reliance on Chinese labor.

Uploaded by

kc zuniga
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© © All Rights Reserved
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Download as PDF, TXT or read online on Scribd
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Build, Build, Build Program

-China will lend the Philippines money to implement Build, Build, Build but some of its laborers will be
Chinese.
Intended outcome: Country's employment rate went up from 94.4% to 94.6% while almost 52,000 Chinese are
allowed to work and transfer to the Philippines.
-This is because the Philippines, because of our huge population, has a high resource of laborers but the
country can't maximize it because of the limited job openings making them stagnant and unhelpful to the
economy. With the Philippines constructing new buildings, meaning new laborers will be needed, we can
finally maximize out labor resources. A Fiscal policy that the government uses the country's taxes for (spends it
for) to influence macroeconomic issues such as poverty and unemployment. China also has a huge labor force
with the same problem (can't accommodate all). Both countries' share a comparative advantage but because
of the government project, the Philippines will now have an absolute advantage in having more jobs open due
to the project that China needs. China, on the other hand, has an absolute advantage of money and
technology, something that the country needs for the project so a trade ensured. The trade itself is more of a
free trade rather than a protectionism since the government won't put a stop to the number of Chinese
immigrants as workers to enter the country as long as their documents are good ("Presidential spokesman
Salvador Panelo has downplayed Aquino's concern, saying there is nothing alarming about the influx of
Chinese workers as long as they enter the Philippines lawfully.")
Unintended outcome: Chinese workers in the country might be getting jobs that should be for Filipinos
- Though the arrival of Chinese workers were expected because of the trade (as well as their numbers) it
wasn’t expected that they would occupy all the possible spots meant for the Filipino’s during Build, Build, Build
construction especially because many Filipinos chooses to leave abroad rather than work here, the Chinese
have occupied most of the job slots for Filipinos (“Philippines lacks workers in the construction industry
because of the migration of Filipinos to other countries.“). The Build, Build, Build policy was a fiscal policy the
government implemented to help and solve the macroeconomic problem of unemployment and poverty in
the Philippines but because of the Free Trade between of Chinese workers occupying the project’s labor slots
then it might benefit the Chinese more than the Filipinos. This is mostly because the country needs new
technology to do the project and more funds (which are China’s absolute advantage the Philippines doesn’t
have) but to acquire that they need have a trade with China (which are job opportunities that were supposed
to be for Filipinos) but again because the Filipinos needs to trade to get China’s absolute advantage they can’t
control the Free trade over the country’s that would protect the Filipinos opportunities for work from higher
competition from Chinese workers
We think that the policy leads to cooperation in the Philippines and among China, its trading partner. Since
both countries were able their to share their comparative advantages (their labor forces), and their absolute
advantages, which for the Philippines is having more open jobs and for China is their money and technology.
Without much protectionism, this encourages free trading among the countries. But, this causes internal
struggles in the Philippines. This is because without the protectionism over domestic laborers, Chinese
laborers took most of the spots that were for the Filipinos, bringing us to a disadvantage.
https://www.philstar.com/headlines/2019/01/30

/1889578/amid-chinese-workers-influx-build

-build-build-chief-says-

filipino-laborers-enough#kSvQBUPlSUh8YZb4.99

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