|| how can a discounted fare affects the economic situation of the philippines?
Posted by: leah
Date posted: Jan 05,2008
by: faisal ilyas dar | Date replied:
The Philippines is a newly industrialized country and traditionally it is an agrarian-based economy. It began to boom rapidly in the late 1950's to late 1960's, then dramatically fell in the early 1970's due to mismanagement and corrupt practices of the Marcos and Aquino regimes.
President Gloria pledged to turn the country into a First World state by 2020. In 2005, the Philippine peso was dubbed as Asia's best-performing currency.
Strategies for streamlining the economy include improvements of infrastructure, more efficient tax systems, deregulation and privatization of the economy, and increasing trade integration within the region and across the world.
By this bird-eye-view, we can easily understand the blessings of the increments and decrements of some economic factors like discouted fares in Phillipines' economy. This factor will improve the overall infra-structure of the economy. The discounted fares in Philippines will affect in two ways:
firstly, both the production and freight costs will diminish, and the enterprenure will enjoy more profit despite the lower cost of his product or service.
Secondly, the purchasing power of the end-user, the consumer, will increase and he will enjoy better standard of life at lower costs.