The difference between Grace and Mar

Last week, I attended a Presidential Forum organized by the Harvard Club, Kellogg Alumnae Association, and the Wharton-Penn Alumni Association. The event was held at the Polo Club and as expected, the place was packed with the country’s main influencers in finance and industry. All the presidential candidates were invited but only Grace Poe and Mar Roxas showed up. Vice President Jejomar Binay backed out at the last minute, just as he did in the Presidential Debate in Cebu last November 12. I guess he figured the profile of the audience was not his market… so why bother.

Binay’s absence turned out to be a blessing as it gave Grace and Mar more time to talk about their platforms and why they deserve our votes. The event proper started at 8:30 p.m. despite the invitation indicating it would start at six. The organizers must have assumed that all Pinoys are chronically tardy which is why they gave a two-hour allowance. It was not fair to the guests who arrived promptly. In any event, both candidates were given five minutes each to address the crowd, followed by half an hour to answer no-holdsbarred questions from the audience.

As first impressions go, I felt Grace tried harder. She came on time, fully briefed on the audience’s profile and armed with a prepared speech. Mar, on the other hand, was late and simply addressed the crowd with an impromptu talk.

As each stated their case, it became clear that both candidates were poles apart in terms of their motivations, the policies they subscribe to and the personal attributes they bring to the table. This is what I found out.

During her five minute speech, Grace gave credit to the many achievements of the Aquino administration. But good as the last five years has been, she believes that the country deserves better. This is her motivation for seeking the presidency. As the stakes get higher, she stated, the manner by which the country is administered must evolve – the status quo will no longer do. This is especially true in breaching the divide between the rich and the poor, infrastructure development and in breaking the barriers that prevent foreign investments from pouring in. If elected, these issues will be front and center of her agenda.

Mar, on the other hand, feels that the Aquino administration has achieved what no other Chief Executive before him has done – turn the economy around and plant the seeds of good governance. Aquino put the nation in a position of strength by improving its relationships with its stakeholders (creditors, investors, trading partners, the public, etc.) and fixing the nation’s Balance Sheet, so to speak. He believes that the best way to move the country forward is to continue the development path PNoy has started. He presents himself as the proponent of that path.

Because the audience in this forum were generally from the business sector, both candidates focused on issues relating to the economy.

Setting the mood, Grace started by saying that no candidate has a monopoly of honest, responsible governance or “Daang Matuwid”.

Having said that, one of the reforms she will pursue is economic Charter change. The Constitution, after all, is a living document that must evolve with the constantly shifting global tides. It must work for the nation’s interest, not against it. While she recognizes that relaxing the restrictive provisions of the Constitution may not be the end-all-be-all in attracting foreign direct investments (FDIs), it will surely help boost our share of ASEAN bound FDI’s from the pitiful 2% we receive today. Anything that will help our position should be exploited. However, she also underscored that charter change must come with mechanisms not to allow amendments to transcend political statutes.

Grace is also in favor of income tax reform, simplifying the process of business start-ups and reducing the cost of doing business. All these are necessary to make the country regionally competitive, she says.

For his part, Mar does not believe that amending the Constitution is necessary. In his experience, he says, the bigger issues are the ease and cost of doing business as well as local government’s harassment of investors. (Ironically, local governments are under the DILG’s watch).

Mar is also against tampering with the existing income tax structure since doing so may compromise the nation’s revenue base. He stressed that the national budget is a zero-sum affair where what you put in is what you get out of it. Hence, if income taxes are to be reduced, it must be balanced and done in tandem with other tax adjustments. This echoes the general stance of President Aquino on the issue which I am in agreement with.

Surprisingly, Mar is against the country’s inclusion in the Trans Pacific Partnership (TPP) despite President’s Aquino being in favor of joining the economic bloc. He feels that joining TPP may prove detrimental to our farmers given the relaxed entry of imported agricultural products.

I tend to agree with P-Noy’s position in this instance. I think that one of the reasons why our agricultural sector has remained inefficient is because government has cradled this vote-rich bloc through protectionism. As proven in many other industries, subjecting local producers to foreign competition only makes its stakeholders step up their game. By stakeholders, I am referring to the farm owners, landlords and government agencies that affect farming laws and agricultural infrastructure. Moreover, what should also be taken into consideration is the 20% tariff advantage members of the TPP will have over our local exporters. Industries that will be severely affected are the garments and food processing industries.

Mar offers pedigree, an ivy league education and extensive experience working in the executive branch. He served three administrations as Cabinet Secretary of the Department of Trade and Industry, Department of Transportation and Communications and the Department of the Interior and Local Government. His capabilities and competence can be best determined by his performance in these departments.

As far as his record for graft is concerned, Mar is clean. And owing to his business school background, he has a penchant for analysis and feasibility studies. As he himself said, if you can’t count it (quantify the different facets of a problem), then you can’t solve it.

Grace, on the other hand, offers change from the status quo. Her experience in governance is admittedly shallow having spent two years as MTRCB chief and three years as senator. But she claims it is precisely her limited exposure to Philippine politics that gives her an advantage. The fact that she is not beholden to any political party allows her to be unbiased and relieved from the obligation to pander to political allies.

She is, however, advised by a few respected technocrats who’ve served in other administrations. Among those she identified were former NEDA Chief Ciel Habito, Silicone Valley wiz Dado Banatao and Dean of the Ateneo School of Government, Tony Laviña. She further said she has every intention to retain good performing incumbent Cabinet Secretaries.

Like Mar, Grace’s record for graftfree public service is impeccable. She comes with a showbiz pedigree and studied abroad as well. She admits that while experience is important, nothing beats natural intelligence, empathy, energy and decisiveness. After all, history shows that years of experience as a politician has never been a guarantee for good leadership.

Like I said, both candidates are different – each bringing something unique to the table. This makes the process of selection easier for all of us. Our personal vote should go to the candidate whose motivations, programs, intentions and attributes best represent our persuasions. Andrew is an economist, political analyst and businessman. He is a 20-year veteran in the hospitality and tourism industry. For comments and reactions, e-mail andrew_rs6@yahoo. com. More of his business updates are available via his Facebook page (Andrew J. Masigan). Follow Andrew on Twitter @aj_masigan.