TERM PAPER 1

Creative thinking: Situate one (1) of the Philippines’ contemporary (social/ political/ economic) issues.
Assess and outline the root cause of this problem and create a new regionalism. Propose the ideal countries
to have an alliance with, in line with the chosen problem. Justify how this created alliance will resolve the
chosen problem. This policy report should consist of not more than 1,500 words.

How has the world economy and the global pandemic influenced the state of the Philippines’ economy?

COVID-19 Pandemic

The Philippines has been one of the most affected by the pandemic caused by Covid19 (Corona Virus

Disease, 2019). The outbreak has triggered a global health crisis that has altered our perceptions of the world

and our daily lives. This has led to a significant loss of human life around the world and poses a significant

threat to public health, food systems, and the workplace. Not only has public health been affected by this

pandemic, but also the economy. Currently, the virus continues to spread in various parts of the world, which

is of concern to everyone, yet every country continues to respond to these challenges. COVID-19 has its

effects on the economy of the world, especially on supply and demand. The economy of the Philippines

trembles as it suffered drastic effects from the pandemic. From travel bans and community quarantines that

limit the flow of sales and workloads, to limitations of operations, and even terminations of businesses.

Factors such as inefficient decision and policy making of the government, inequality of health care, and

societal influences make the cycle of failed quarantine measures lead to economic downfalls.

The loss of working hours has financial consequences, and the decline in aggregate demand is attributable

to the loss of income owing to lockdown-related unemployment. The world lost nearly 300 million full-time

jobs in the second quarter of 2020 (International Monetary Fund (IMF), 2020). In addition, the Russian-Saudi

Arabia oil war reduced the value of oil prices from $31 per barrel to $19. Similarly, stock markets worldwide

started crashing. Also, most economies have experienced exchange rate volatility and currency depreciation

due to capital outflows and market sentiments. Maliszewska et al. (2020) claimed that the pandemic affects

the economy through the direct effect of a reduction in employment, the increase in international transaction

costs, a sharp decline in travel, and the decline in demand for services requiring proximity between people.

As a result, the global GDP declined by more than 4.9% in the second quarter of 2020 due to economic

disruption. Consequently, global trade contracted by 3.5% in the second quarter of 2020 due to weak demand

and supply (Padhan & Prabheesh, 2021). In a world now dominated by a globalized economy that depends
on international travel and trade, such disease spread has led to significant economic losses, given so far

that multiple hundreds of billions of dollars have been lost in this pandemic (Taubenberger, 2020).

The root and cause of this Problem

The outbreak began in Wuhan, a city in the Hubei province of China. Reports of the first COVID-19 cases

started in December 2019. Coronavirus is common in certain species of animals, such as cattle and camels.

Although the transmission of coronavirus from animals to humans is rare, this new strain likely came from

bats, though one study suggests pangolins may be the origin. However, it remains unclear exactly how the

virus first spread to humans. Some reports trace the earliest cases back to a seafood and animal market in

Wuhan. Moreover, the first suspected case in the Philippines was investigated on January 22, 2020, and 633

suspected cases were reported as of March 1. Patient 1, a 39-year-old female, had symptoms of cough and

sore throat and was admitted to San Lazaro Hospital in Manila on January 25. (EM, et al. Trop Med Health.

2020). As time passed by, the suspected cases rapidly increased and spread around our country.

Every country needs good governance, support, and unity to focus on the needs, particularly in the medical

aspects, in response to this pandemic. Also, to ensure the safety of people, particularly those who are poor.

Most importantly, stop the virus from spreading and reduce morbidity. It is necessary to expand and establish

new regionalism to successfully combat the global health crisis. This step entails allying with another country

that shares the same goal, priority, and, most importantly, sufficient resources to aid in the resolution of the

problem. Which will be able to develop other strategies with the help of allied countries. And, because this is

a medical problem that affects the entire country, global solidarity, and cooperation are critical to expediting

the process. This newly formed regionalism will allow both alliances to share resources, ideas, information,

training, and testing.

Ideal Countries to have an alliance and resolve the chosen problem

Even as the world continues to grapple with the ongoing COVID-19 pandemic, some countries have fared

better than others in actively and effectively responding to the health crisis. Singapore and New Zealand are

the ideal countries to ally with in light of the problem. These countries are well prepared for a coronavirus

outbreak, as evidenced by their actions in the areas of public health, economic measures, and medical

response. An opportunity, especially if these countries were to become allies of our government, would be

extremely beneficial to the Philippines. New Zealand ranks first place when it comes to its Covid-19 response,

according to the Global Response Index. The World Health Organization’s (WHO) Director-General Dr.

Tedros Adhanom Ghebreyesus singled out the country for its management of the effects of the virus. As of
Sept. 10, the country had reported just 1,401 cases and 22 deaths. The country started implementing

preventive measures just three days after the WHO declared the coronavirus outbreak a public health

emergency on Jan. 30. Singapore is the first of several COVID-zero countries to announce. For much of 2020

and 2021, Singapore was one of Asia’s most stringent COVID-zero economies, largely sealing off its borders,

instituting mass lockdowns and testing schemes when infections popped up, and implementing swath of other

social distancing measures aimed at ridding the virus completely from its soil. From the update of WHO, as

of 17 October 2021, a total of 148 178 confirmed cases and 233 deaths from COVID-19 have been reported

in Singapore. Each country is expected to provide support and assistance to all future measures aimed solely

at combating the COVID-19 pandemic as a result of this alliance. These efforts will be combined to be able

to provide necessities such as food (relief), and personal protective equipment, particularly to front-line

troops. Aside from that, there are a few medical devices that will be utilized in hospitals. This is to ensure that

everyone’s health is protected amid a global pandemic.

References:

The territorial impact of COVID-19: Managing the crisis across levels of government. (2020).
OECD. https://www.oecd.org/coronavirus/policy-responses/the-territorial-impact-of-covid-
19-managing-the-crisis-across-levels-of-government-d3e314e1/

Kandola, A. (2020, June 30). Coronavirus cause: Origin and how it spreads. MEDICAL NEWS
TODAY. https://www.medicalnewstoday.com/articles/coronavirus-causes#transmission

United States COVID-19 Assistance to the Philippines | Philippines |. (2021). USAID.

https://www.usaid.gov/philippines/covid-19-assistance

New Zealand and UNICEF forge first partnership for COVID-19 response in Philippines. (2022).

UNICEF. https://www.unicef.org/philippines/press-releases/new-zealand-and-unicef-forge-

first-partnership-covid-19-response-philippineS