PREGUNTAVER

Great nations are never impoverished by private, though they sometimes are by public prodigality and misconduct. The whole, or almost the whole public revenue, is in most countries employed in maintaining unproductive hands... Such people, as they themselves produce nothing, are all maintained by the produce of other men's labour... Those unproductive hands, who should be maintained by a part only of the spare revenue of the people, may consume so great a share of their whole revenue, and thereby oblige so great a number to encroach upon their capitals, upon the funds destined for the maintenance of productive labour, that all the frugality and good conduct of individuals may not be able to compensate the waste and degradation of produce occasioned by this violent and forced encroachment. -- The Wealth of Nations, Book II, Chapter III

One of the factors to be considered when minting coins is the material value of the currency which should not exceed the assessment that it represents. For example, the price of the metal that composes a dollar coin should not be way above $1. The reason being is that “enterprising minds” can easily be tempted to gather all the dollar coins, melt it and sell the metal for its higher value. Here are recent stories regarding coins that are being smuggled and recycled into other forms: IExpress Scotsman Other factors that should be considered include the possible alternative uses of the coin. In the 80’s, the Philippines circulated small aluminum like 5 & 25 centavo coins that quickly disappeared from circulation. An economics professor said that fisher folks found the coins a cheap substitute to “Fishnet Floaters”, which cost a lot more. The link (below) tells a story about coins being smuggled and used as tokens in gaming machines. Manila S...

One of the most moving speeches that I've read. During grade school, this was the most often recited elocution piece in my school. Here it is, the text of Raul Manglapus' Land of Bondage, Land of the Free. Land of Bondage, Land of the Free By Raul Manglapus And yet, ladies and gentlemen, the tao is constitutionally free! No wonder, then, that the tao being a slave has acquired the habits of a slave. No wonder that after three centuries in chains, without freedom, without hope, he should lose the erect and fearless posture of a freeman, and become the bent, misshapen, indolent, vicious, pitiful thing that he is! Who dares accuse him now? Who dares rise up in judgement against this man, reduced to this subhuman level by three centuries of oppession? Ladies and gentlemen the tao does not come here tonight to be judged -- but to judge! Hear then his accusation and his sentence: I indict the Spanish encomendero for inventing taxes impossible to pay! I indict the usurer for s...

For the past several months, the Philippine currency (peso) has been increasing in value against the US Dollar. A year ago, the peso was at 55.977 (3 Oct 2005). It fluctuated several times but the trend was a continuous climb. Today, the Peso seems to be standing on solid ground, as it refuses to yield beyond 50. How does one determine the value of a currency? Here is an explanation. The short and long-term movements in the exchange rate, like any price, are caused by changes in market demand and supply conditions. When the demand for a currency (pesos) is high relative to supply, the Peso goes up in value (an appreciation). The reverse is true when the market supply of pesos exceeds the demand. (A depreciation). At this point, the economy has a more than the usual level of dollars. Therefore, the Philippines need not exchange Pesos with US Dollars. As a result, the value of the Philippine currency has stabilized/ increased, over the past several months. This is in sharp...