Ayu P. Masuyoshi February 26, 2011
II-AB-Psychology (Manresa) Econ111/7:40-8:40am/MWF
Reaction Paper no. 4
Economic issue
Economy hit by P11-B storm loss
By Cai U. Ordinario, Business Mirror
Posted at 02/02/2011 8:07 AM | Updated as of 02/02/2011 2:03 PM
MANILA, Philippines - The average annual havoc on the economy caused by typhoons in 20 years—1990 till 2009—is estimated to be around P11.193 billion, according to a Policy Note publication recently released by state-owned think tank Philippine Institute for Development Studies (PIDS).
The Policy Note, authored by Danilo C. Israel, a senior research fellow at the PIDS, said this only accounts for the direct economic effect. “It should, however, be pointed out again that the above-cited value of damages includes only direct damages of weather- and climate-related disasters and would rise if the indirect damages are considered. Still, even with just the current results, the economic damages are clearly substantial and should be a cause of concern.”
Based on his study, Israel said that from 1990 to 2009, the total value of loss due to weather- and climate-related disasters amounted to $4.813 billion, or an average of $240.7 million per year. In the 2000s the total amounted to $2.121 billion, lower than the total of $2.602 billion in the 1990s.
Israel said that considering the direct damage alone, while the occurrence of weather- and climate-related disasters in the Philippines increased from the 1990s to the 2000s, it did not bring about a corresponding rise in the value of the losses.
However, Israel said if the government does not take the necessary steps to arrest the situation, the economic impairment caused by typhoons in the future may be even more staggering.
This, Israel said, is a cause for concern and should prompt policymakers and legislators to prioritize not only disaster-reduction management projects and programs but move for the passage of the Philippine Atmospheric, Geophysical and Astronomical Services Administration (Pagasa) Modernization Act.
“The Pagasa Modernization Act seeks to appropriate enough funds for the purchase of new equipment and staff training and education, among others. It is most welcome and should be given priority by legislators as inaction will just ensure the occurrence of another significant disaster anytime soon,” he added.
Israel said other measures should include the improvement of the National Meteorological and Hydrological Services (NMHS) by boosting personnel needed to produce quality data. The local government units, nongovernment organizations and the private sector, as stakeholders, should also be actively involved in the creation of a multisectoral NMHS.
Israel also recommended the inclusion of all possible forms of damage in the computation—direct and indirect economic, social, environmental and others—of losses to the economy. He added there is also a need to include in the mainstream national and local economic development planning and implementation of all weather- and climate-related issues.
Source:
Reaction Paper
We all know that disaster on the economy due of typhoon is unpredictable and uncontrollable. What will happen in the next future is unanswerable. We cannot ask for any payment for the damages because no one wishes those things to happen. If I were to reflect about the damages which the cost is around P11.193 billion, I am badly sad because this amount is can already a big help for our country to pay for our debt to other countries.
I wish to react about the illustration above about the statement of Danilo C. Israel which is “that from 1990 to 2009, the total value of loss due to weather- and climate-related disasters amounted to $4.813 billion, or an average of $240.7 million per year. In the 2000s the total amounted to $2.121 billion, lower than the total of $2.602 billion in the 1990s.” I know that this is further explain but I think it is more understandable if only if the amount are presented in a peso and not by a dollar currency since it is a news from Philippines and it is presented to the Filipinos. For me, how can people of the Philippines understand such value or amount if that is not use in our country?
The other statement of Israel that catches my attention was “if the government does not take the necessary steps to arrest the situation, the economic impairment caused by typhoons in the future may be even more staggering.” Since our government are the one who should take care for its residents they should plan some solution for this. The citizen must be aware, prepared ahead of time and not to panic.
About the issue about Philippine Atmospheric, Geophysical and Astronomical Services Administration (Pagasa) Modernization Act, our government should have more and more communication to them and have a connection at all the time. I also agree that “The Pagasa Modernization Act” seek for the enough funds so that this administration will able to buy new equipment like other countries has, so that the news that we get is correct. Unlike the present gadget that we have today which we only bought in other countries because this gadget was already their junk and since technology improve over time the gadget that we have today is not guaranteed than other countries had.
I hope that someday, we can able to buy or maybe invent a gadget or equipment that can really help our people to know what climate we will have. In order to prevent disaster that would damage our property.
