Philippines continues to be a consumer-driven market. Consumer behaviour may change but seems like it's just more of a product shift. Example: Demand of rice maintains regardless of price; hence, will compensate through lesser demand on other grocery items (i.e. need to forego snacks).
Inflation will always be there but it does not stop Filipinos from spending. Malls are getting jampacked, international concerts are being brought in with high ticket sales, etc.
Quantitative easing (fiscal policy) & lowering interest rates (monetary policy) are just some of the tools to manage a nation's economy. It's the right amount of balance between fiscal and monetary policy that is needed by the country. While we have had great Central Bankers managing the monetary policies, fiscal policy is directed under different Administration. I think this is where it lacks consistency.
Them blaming it on rice is just funny to me. It's like forgetting people are accumulating more debt because the banking sector just reported a huge amount of gains over the recent quarters past and these are generated from loans. Who asks for these loans and pays for them? the average consumer and it would be good if only the interest rates were low but they're not that low, at least pre pandemic low.
Philippines continues to be a consumer-driven market. Consumer behaviour may change but seems like it's just more of a product shift. Example: Demand of rice maintains regardless of price; hence, will compensate through lesser demand on other grocery items (i.e. need to forego snacks).
Inflation will always be there but it does not stop Filipinos from spending. Malls are getting jampacked, international concerts are being brought in with high ticket sales, etc.
Quantitative easing (fiscal policy) & lowering interest rates (monetary policy) are just some of the tools to manage a nation's economy. It's the right amount of balance between fiscal and monetary policy that is needed by the country. While we have had great Central Bankers managing the monetary policies, fiscal policy is directed under different Administration. I think this is where it lacks consistency.
Them blaming it on rice is just funny to me. It's like forgetting people are accumulating more debt because the banking sector just reported a huge amount of gains over the recent quarters past and these are generated from loans. Who asks for these loans and pays for them? the average consumer and it would be good if only the interest rates were low but they're not that low, at least pre pandemic low.
@adamada, I paid out 0.849 HIVE and 0.145 HBD to reward 1 comments in this discussion thread.