Is poverty a good “excuse” for being resilient amidst the global crisis?

A backhanded view of resilience is given by Josef Yap of PIDS.  In effect he says we are too poor to be affected by the global crisis. 

Yap states:

Ironically, the resilience of the Philippine economy is due to factors that limited its growth during the past 3-4 decades. The synchronized economic recession among major global economies will clearly lead to lower exports and foreign direct investment. Philippine exports, however, have relatively low value added in terms of contribution to GDP. FDI has not played the same critical role as it did in Malaysia, Thailand, Indonesia, China and Vietnam. Meanwhile, domestic private investment has been moribund during the past 10 years and there is little room for further deterioration. Remittances are still expected to grow between 6 to 10 per cent in 2009 and this remains a substantial source of growth since remittances are equivalent to 10 per cent of GDP. The improved inflationary picture should also help cushion the economic slowdown.” 

If Josef Yap is right, there is no reason to be happy, for the same reason that the forever-poor have no reason to be happy.  

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