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The State, the Market
and Civil Society
and the
Promotion of General Welfare
By:
Ernesto M. Serote
Retired Professor
School of Urban and Regional Planning
University of the Philippines
THE THREE-FOLDING IMAGE OF SOCIETY
CIVIL SOCIETY
(Culture)
STATE
(Polity)
PRIVATE SECTOR
(Economy)
- Social & Spatial Equity
- Participatory Governance
- Filipino Culture Promotions
& Enrichment
- Fiscal Policies
- Infrastructure Support
- Labor Policies
- Business Climate
- Environment-Friendly Production
- Wage Levels
- Humane Labor Practices
- Nationalist Economics
- Appropriate Technology
- Community-Based Resource
Management
- Gender-Sensitive Workplace
•Knowledge
•Clarity & Coherence
of Values
•Public Interest
• Democratic Governance
• Securing Justice & Equity
•Production & Distribution
of Goods and Services
State or Government
• Secures law and order
• Promotes human rights, social justice
and equity
• Safeguards public interest
Private Sector or Business
• Production and distribution of goods
and services
• Provides gainful employment
• Contributes to capital build up
Civil Society
• Advances civil and political rights
• Develops social and spiritual capacities
• Clarifies and organizes the values of
society
• Advocates the public interest
Government – CSO Interface
• Concern for social and spatial equity
• Promotion and enrichment of Filipino
culture
• Participation especially by the
marginalized
Government – Business Interface
• Conducive business climate
• Job security
• Fiscal incentives to private investments
• Environment-friendly production
Business – CSO Interface
• Humane labor practices
• Gender-sensitive work place
• Acceptable labor-capital substitution
(appropriate technology)
• Nationalist economics
State as “Primus Inter Pares”
• Authority Interpretation – authority to
legislate is unique to the state derived
from sovereignty;
– Police power
– Eminent domain
– Taxation
– National defense
– Administration of justice
– Foreign affairs
State as “Primus Inter Pares”
• Allocation Interpretation – how much of society’s
resources should be left to public consumption
and investment; how much should be left to
private choice
– Natural monopolies (airports, seaports)
– Non-rival goods (national defense)
– Presence of externalities
• Positive (public health program spillover)
• Negative (TURF to prevent over fishing)
– Merit goods (clean safe water)
Three-folding in the Provision of General
Welfare
Modes of Facilitating the Market
State-Business-CSO Interface
• Production Interpretation – how much of the goods and
services provided by the government should also be
produced by government itself?
– production support infrastructure (efficient transport &
communications, post-harvest facilities to minimize losses)
– reduction of tariffs on import and export of materials & finished
products
– tax exemptions, holidays and credits
– reduced transaction costs through one-stop shops,
programmatic ECC, no graft and corruption
– absorbing part of the risk of new investors, e.g. guaranteed profit
levels, assurance of peace and order, stable foreign exchange
rates
– maintaining livability and attractiveness of the locality for both
living and making a living.
State-Business-CSO Interface
• Distribution Interpretation – the amount of
resource transfers to private sectors and
individuals and the manner of transferring it
– Transfers to the poorest of the poor to meet basic
needs (CCT)
– Promotion of the full employment and job security
– Raise in salary and wages
– Grant of non-wage benefits
– Price control or stabilization of basic commodities
State-Business-CSO Interface
• Ownership Problem – how much of the
means production should be owned by
government?
– public ownership of urban land
(Singapore and Hong Kong as case examples)
State-Business-CSO Interface
• Bureaucracy Interpretation – how much of
the total workforce should be employed in
government?
– LGUs as the biggest single employers in local
areas
– Rationale and mode of public sector-created
jobs
(Case of Western European cities)
Thank You

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The-Statethe-Market and societt denand supply

  • 1. The State, the Market and Civil Society and the Promotion of General Welfare By: Ernesto M. Serote Retired Professor School of Urban and Regional Planning University of the Philippines
  • 2. THE THREE-FOLDING IMAGE OF SOCIETY CIVIL SOCIETY (Culture) STATE (Polity) PRIVATE SECTOR (Economy) - Social & Spatial Equity - Participatory Governance - Filipino Culture Promotions & Enrichment - Fiscal Policies - Infrastructure Support - Labor Policies - Business Climate - Environment-Friendly Production - Wage Levels - Humane Labor Practices - Nationalist Economics - Appropriate Technology - Community-Based Resource Management - Gender-Sensitive Workplace •Knowledge •Clarity & Coherence of Values •Public Interest • Democratic Governance • Securing Justice & Equity •Production & Distribution of Goods and Services
  • 3. State or Government • Secures law and order • Promotes human rights, social justice and equity • Safeguards public interest
  • 4. Private Sector or Business • Production and distribution of goods and services • Provides gainful employment • Contributes to capital build up
  • 5. Civil Society • Advances civil and political rights • Develops social and spiritual capacities • Clarifies and organizes the values of society • Advocates the public interest
  • 6. Government – CSO Interface • Concern for social and spatial equity • Promotion and enrichment of Filipino culture • Participation especially by the marginalized
  • 7. Government – Business Interface • Conducive business climate • Job security • Fiscal incentives to private investments • Environment-friendly production
  • 8. Business – CSO Interface • Humane labor practices • Gender-sensitive work place • Acceptable labor-capital substitution (appropriate technology) • Nationalist economics
  • 9. State as “Primus Inter Pares” • Authority Interpretation – authority to legislate is unique to the state derived from sovereignty; – Police power – Eminent domain – Taxation – National defense – Administration of justice – Foreign affairs
  • 10. State as “Primus Inter Pares” • Allocation Interpretation – how much of society’s resources should be left to public consumption and investment; how much should be left to private choice – Natural monopolies (airports, seaports) – Non-rival goods (national defense) – Presence of externalities • Positive (public health program spillover) • Negative (TURF to prevent over fishing) – Merit goods (clean safe water)
  • 11. Three-folding in the Provision of General Welfare
  • 12. Modes of Facilitating the Market
  • 13. State-Business-CSO Interface • Production Interpretation – how much of the goods and services provided by the government should also be produced by government itself? – production support infrastructure (efficient transport & communications, post-harvest facilities to minimize losses) – reduction of tariffs on import and export of materials & finished products – tax exemptions, holidays and credits – reduced transaction costs through one-stop shops, programmatic ECC, no graft and corruption – absorbing part of the risk of new investors, e.g. guaranteed profit levels, assurance of peace and order, stable foreign exchange rates – maintaining livability and attractiveness of the locality for both living and making a living.
  • 14. State-Business-CSO Interface • Distribution Interpretation – the amount of resource transfers to private sectors and individuals and the manner of transferring it – Transfers to the poorest of the poor to meet basic needs (CCT) – Promotion of the full employment and job security – Raise in salary and wages – Grant of non-wage benefits – Price control or stabilization of basic commodities
  • 15. State-Business-CSO Interface • Ownership Problem – how much of the means production should be owned by government? – public ownership of urban land (Singapore and Hong Kong as case examples)
  • 16. State-Business-CSO Interface • Bureaucracy Interpretation – how much of the total workforce should be employed in government? – LGUs as the biggest single employers in local areas – Rationale and mode of public sector-created jobs (Case of Western European cities)

Editor's Notes

  1. 1