Sunday, December 24, 2017

Labour theories of Marx and Keynes as potential solutions to the high levels of unemployment.

Damianus Abun


 Marx’s theory of Labor
Before recommending solution to unemployment problem within EU using the theory of Marx, let us examine his economic theory (Ekelund, 1997). Marx’s economic theory was an opposition to the economic theory of capitalism.  Capitalism is focusing on free market and less government control. The capitalists are free to use and invest their money to produce goods and services as they wish. To pursue their interest, they control the means of productions and laborers are structured according to their skills or competencies to improve efficiency.  The main purpose is to maximize profit as Milton Friedman put it. To maximize profits, capitalists have to identify market demands and produce the product according to the demand. When the demand is high, the price of the product is set high; while the workers’ wages are either kept low or high.    

In critical view of such idea, the laborers are just commodity and means for production. Capitalists value the product more than the person who made the product (Shane, 2004). In opposition to the capitalist, Marx presented the theory of labor value.  When he talked about labor value, he referred it to the commodity production. Commodity is anything that possess value namely use and exchange value and price as its monetary expression of value.  However, to produce such commodity, a certain amount of labor must be involved in the production process. Consequently Marx emphasized the importance of labor because without labor a commodity cannot be produced.  He recognizes the importance of labor’s contribution to the development of the economy. Labor is essential part of the production process because the value of product is related to the amount of labor which is needed to produce the product. The more productive labor is the more value the product has (Bottomore, 1963).     
In contrast, the capitalist considers labor a commodity.   People sell their labor and power when they agree to be compensated in return for whatever work they do in a specified period of time. They are not selling their product but their capacity to work; they do not own the output.  To compensate their work, they receive money in return which allows them to survive. Those people who receive money for their labor are called proletarians (Nebres, 2008).  Marx noticed that in almost flourishing industry, the price for labor was lower than the price of goods they produced. The capitalist, denied the fact that labor is the ultimate source of value of the product. Marx argued that the value of any commodity is ultimately derived from the labor used to create it.  The surplus value of product is taken by the capitalists as their profits. Surplus value is the difference between the value of the product when it is sold (its exchange value) and the value of the elements, especially labor, consumed in the formation of the product. To improve their surplus value, the capitalists have to invest more in technologies and less in labor. Marx believed that surplus value that is taken from the labor will gradually fall even as the economy grew. When the rate of profits declines lower than a certain position, the outcome would be a recession or depression in which some sector of economy would fall down suddenly.  Such crisis would definitely affect the price of labor. The price of labor would decrease and eventually lay off.  

Keynes’ theory of Labor
 Marx emphasized on his theory of value .  Keyness emphasized on theory of aggregate demand (Ekelund, 1997).  Keyness argued that demands create its own supply. Aggregate demand is the total desired purchased by all the buyers of an economy’s output (Nebres, 2008). According to him the demand would create a fluctuation in prices, wages, and interest rates. The price goes up when the demand is high and the price goes down when the demand is low. The fluctuation of price can affect the fluctuation of wages of laborers; it can go up and down. Further consequence of demand is interest rates. When the demand is up, the appetite for investment is up and the need for capital is up, then it follows the interest rates. As a consequence such demand is employment. The need for workers is high when the demand is high and unemployment is down when the demand is low.  Definitely, according to him deficient demand is a sign of recession, economic recession. The fall of employment and output is a sign of demand deficiency. The push and the pull of supply and demand determine the price of labor and the continual changing of its price which translates into wages and allow two forces to become equal.  When there is unemployment, it could be solved by way of wage cuts because unemployment is a result of inelastic wages providing the quantity of labor supplied is greater than the quantity demanded  (Samuelson & Nordhaus, 1995, Sullivan, Sheffrin and Perez, 2008).             

Applying Marx and Keyness theory of labor to solve unemployment would mean the following:
1.       Change capitalism into socialism system of economy. In this case, government takes over the means of production. Key industries that provide big employment should be taken over by the government for the government to provide jobs and wages should be regulated.
2.      Market should be regulated. It cannot just be dictated by the market to determine the supply and demand. The government determines the supply and demand. By controlling and the supply and demand, the price is steady, employment is steady.
3.      Under the theory of Keyness, the wage cut is necessary. The wage cut will reduce the price of the product and consequently motivate demand. Once the demand increase, employment demand will surely goes up.
4.      In line with the theory of Keyness, government subsidy can be provided to companies that lack of capital to maintain their operation during crisis time. By providing capital, companies can maintain the employment rate.
5.      Definitely, to prevent such crisis, new investment in new technologies and the development of new sectors of economy is necessary.
      
References:
1.      Ekelund, Jr., Robert B. and Robert F. Hebert.1997, 4th ed. A History of Economic Theory and Method, pp. 239-241
2.      Jone, Shane. 2004. Unemployment: An organic Feature of Capitalism. http://www.marxist.com/unemployment-feature-capitalism.htm
3.      Nebress, M. Abriel. 2008. Economics: Concepts, Theories and Application. Manila: National Bookstore
4.      Sullivan, Arthur, Sheffrin, M. Steven, Perez, J. Stephen. 2008. Principles of Economics. USA: Prentice Hall
5.      Samuelson, A. paul & William, D. Nordhaus. 1995. Economics. New York: McGraw-Hill.
6.      Bottomore, T.B. 1963. Karl Marx: Early Writings. NY: McGraw-Hill.
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Sunday, November 5, 2017

Reacting on the Article of O’Gorman on Jacques Derrida’s Philosophy of Hospitality



By Fides Bernardo A. Bitanga

St. Louis University, Philippines

Abstract
            In this paper, the writer summarises the information given in the article written by Kevin O’Gorman on Jacques Derrida’s Philosophy of Hospitality by selecting and reporting the main features, and makes comments where relevant. He, in the light of hospitality, would like to connect it also to the significance of English tests to the Filipino visa applicants, like: Test of English as a Foreign Language (TOEFL) and the International English Language Testing System (IELTS) as a requirement for visas to Canada, Australia, New Zealand, and United Kingdom.
            The article under consideration was published in Hospitality Review 8(4) in 2006. It is specifically found in pages 50-57 of the said journal. It was also linked to the publication in Heriot-Watt University Research Gateway in that same year.
            There is an attempt to follow O’Gorman’s presentation on Derrida’s Philosophy of Hospitality or, to be more specific about it, Derrida’s deconstruction of the word “hospitality”, from its etymology, law of hospitality and laws of hospitality, unconditional hospitality and conditional hospitality, guests and parasites, religion (messianicity and messianism) and the impossibility of hospitality. There is also an attempt to look into O’Gorman’s comments on Derrida’s biases and Gorman’s reflections.
            With this presentation and re-reading of this article, it is the hope of the writer to contribute to the growing discussions on hospitality.

Keywords
Hospitality, law of hospitality and laws of hospitality, unconditional hospitality and conditional hospitality, guests and parasites, messianism and messianicity, and impossibility

Introduction
In recent times, people heard about countries issuing policies on immigration and labour that limits employment because of English proficiency. There is a great number of professional and semi-professionals among Filipinos who wanted to work and live in Canada, Australia, New Zealand, and the United Kingdom (UK). For instance, the number or volume of immigrants from the Philippines almost doubled (95%) from 232,665 in 2001 to 454,335 in 2011; and from 2006 to 2015, 321,742 new permanent residents from the Philippines landed in Canada (http://canadaimmigrants.com/filipino-immigrants-to-canada/). As to how many applicants for visas who took English test, there were16,143 student visa applicants completed an English language test in 2013 (https://www.border.gov.au/report-english-test ). The figure is about student visa applicants only. There are other visa applications that require English test.
Australia, for example, uses English language requirements to protect the integrity of Australia’s visa programmes, and to ensure visa holders are able to safely participate in Australian society. These English language requirements generally apply across the Student and Skilled visa programmes and are prescribed in the Migration Regulations 1994. The Student visa applicant’s English language ability should allow them to successfully complete a course of study in Australia; whereas a skilled visa applicant must demonstrate that their general English ability will allow them to successfully participate in the labour market (https://www.border.gov.au/report-english-test).
The IELTS generally has two types: the regular and the UKVI. The regular has IELTS Academic and IELTS General Training. UKVI has IELTS Life Skills and IELTS Academic, which are accepted as proof of English proficiency for those wishing to live, work and study in the UK. IELTS tests for UK Visas and Immigration are managed by the IELTS partners, which comprises The British Council, IDP: IELTS Australia and Cambridge English Language Assessment (https://www.ielts.org/what-is-ielts/ielts-for-migration/united-kingdom). The TOEFL is a standardized test to measure the English language ability of non-native speakers wishing to enroll in English-speaking universities. The test is accepted by many English-speaking academic, scientific, industrial, business and professional institutions (https://en.wikipedia.org/wiki/Test_of_English_as_a_Foreign_Language).
The English test is not for free. In the Philippines, the regular IELTS fee is Php10,270 (https://www.britishcouncil.ph/exam/ielts/dates-fees-locations). The fee for IELTS UKVI is Php 13,885.00. IELTS’ prices are subject to review and change without prior notice (https://www.idp.com/philippines/ielts/ukvi/ukvitestdates). The registration fee for the TOEFL iBT varies from country to country, and sometimes even from testing center to testing center. The test fee can be anywhere from 160-250 USD, but in most places it is around $200. If you don’t study (bad idea) or borrow your study materials (better idea) and register on time (great idea), that’s all you would have to pay—unless you decide that you need to change your test date ($60), have a section rescored ($80 per section), or send more score reports than the four that are included in your testing fee ($18 per report) (https://magoosh.com/toefl/2013/how-much-does-the-toefl-cost/).
With all these data presented about the need for an English test for immigration, particularly to Australia, UK, Canada, and New Zealand, what would be Derrida’s philosophy of hospitality say about this scenario?

Claim
            O’Gorman claims that Derrida’s philosophy of hospitality is an ethical marker, a maker both for an individual and a country. It shows to an individual and a country how small the hospitality rendered to others, the shortcomings of the “host” to the “guest”, and that the “host” (individual or country) realizes how much more they could give to the “guest”.
            He also claims that a true hospitality is an enigma. It is even allusive to logic and philosophy. It is because hospitality is not a matter of objective knowledge.
            Finally, English test as requirements for granting visas to Australia, Canada, UK and New Zealand is not too “inviting” and “welcoming”. It is reflective of true hospitality. “Guests” are abuse by the “host” from the very start. It should be removed. It has turned all the more language into a business and a barrier rather than a bridge of love, sharing and care among nations. This is the claim of this paper.

Reason
            The paper is written to awaken Filipino consciousness about hospitality. The Filipinos are known to be very hospitable people, and also known as domestic helpers exploited abroad (Andres 1981). The rigors of going through visa applications, its processes and policies do not seem to stop Filipino applicants to secure visas. These same rigors are all sources of corruption, abuse, and extortion. These Filipinos must know and have to join the fight for what is to be truly hospitable.
In the Philippines, to be very specific, there are very few people reacting against English test as requirements for visas. Many Filipinos are to realize, in the light of Derrida’s philosophy of hospitality, that such tests are not necessary. They are not to be persuaded by statements, like: the English test would allow the applicants to complete their courses abroad and would also allow applicants to effectively participate in the work places.
These types of tests do not actually teach the English language. These are only measuring or assessing the applicants’ listening, reading, writing, and speaking abilities in the English language. These also recommend English refresher course and review. The refresher does not go beyond 3 hours in most review centers in the Philippines, and would proceed to a review which is focused on practicing the mechanics of the test. So, there is no way English tests could guarantee the applicants’ completion of the course and successful participation in the labour market.
These tests are easier to those who already have good command in English. Having good command in English is a plus factor and an instant higher assessment. It is clear that countries, schools and employers are selecting those who would enter a country, those who would enrol to schools, and those who would be hired. This is an outright discrimination. In the Philippines, those who availed lower education and with very few English lessons would have lesser chances of going abroad. This is all because of the imposition of English test.
English tests are there to generate money for the country from applicants. Using the words of O’Gorman and Derrida, the “host” exploits the “guest” even before being welcomed into a home or a country. The worst is when the “guest” is in the home or the country, the “host” exploits all the more with restricting laws and policies.

Evidence
O’Gorman took note that Derrida is the inventor of Deconstruction. Deconstruction is the practice of dismantling texts by revealing their assumptions and contradictions. It attempts to highlight just how much is taken for granted in contemporary conceptual thought and language (O’Gorman 2006).
Using deconstruction, Derrida offered an encompassing philosophy of hospitality. He clearly differentiates between the law of hospitality and laws of hospitality. He called the former also as the law of unlimited hospitality. “This is to give the new arrival all of one’s home and oneself, to give him/her one’s home and oneself, one’s own, … without asking a name, or compensation, or the fulfilment of even the smallest condition” (Derrida 2000). The laws of hospitality point to “the rights and duties that are always conditioned and conditional, as they are defined by tradition and laws” (Derrida 2000).
Derrida also distinguished between unconditional hospitality, which is considered impossible, and conditional hospitality, which is viewed as always conditional (O’Gorman 2006). He defined hospitality is defined by Derrida as inviting and welcoming the “stranger” (Derrida 2000). This takes place in two levels: the personal level and the level of individual countries. Etymologically, the word is derived from “stranger”, “guest”, and “power”. Thus, in the destruction of the word, there is an essential “self-limitation” built right into the idea of hospitality, which preserves the distance between one’s own and the “stranger”, between owning one’s own property and inviting the “other” into one’s home (O’Gorman 2006).
In matters like this, it is nice to see the motivations of people or the players (host and guest). As to motivation, there are hospitality of pleasure and hospitality born of a sense of duty. People are hospitable to allow others experience pleasure and comfort. The guests are served with food and drinks. They are brought to beautiful places. They sleep in comfortable beds. Other people are hospitable because they feel it is their duty and obligation to do so. It could be motivated by the nature of their work. There is also the ideal of hospitality, which presents itself as joyful rather than onerous, and provides the inspiration for the pursuit of the virtue or virtues of hospitableness (Telfer 2000).
Looking at the extreme of conditional hospitality, an impression that unconditional hospitality is impossible and could never be accomplished. It is so much an ideal, it is an impossible idea. It simply means hospitality is never totally given to guests more so to the unknown, foreigner, and strangers (O’Gorman 2006). Absolute hospitality requires that I open up my home and that I give not only to the foreigner, but to the absolute unknown, an anonymous other. It commands a break with hospitality by right, with law or justice as rights (Derrida 2000).
Is this case of impossibility being brought about by parasitism? Derrida distinguishes between a guest and a parasite. He said the distinction is straightforward. A guest is accepted according to a law or laws. A guest is given the right to hospitality. The parasite is rejected by the law or laws. The parasite is escorted to move out. Derrida, however, sees the use of language and the enactment of laws by some countries have done wrong to hospitality. Now, for some countries, hospitality is parasitism or charity (Rosello 2001).
Absolute hospitality requires letting the guest to behave as they wish. It means there is no pressure or obligation to behave in a particular manner (Derrida 1999). There is no demand for reciprocation or the obligation to pay or to give back. This applies personally and to countries.
The strongly perceived impossibility of the unconditional hospitality was never considered by Derrida as meaningless (O’Gorman 2006). The mere realization that a person could have given more or the country could have accepted more applicants is itself a proof that there is a vast space for improvement and development in terms of hospitality. Thus, if however there is pure hospitality it should be pushed to this extreme (Derrida 2000).
How absolute hospitality be more understood? Derrida brings into the table of discussion a concept of Religion, the idea of “an absolute surprise” (O’Gorman 2006). This surprise is understood in the distinction of visitation and invitation. Derrida picks up visitation over invitation. According to him, in visitation, there is an unexpected visitor. The visitor comes in and the responses are pure and spontaneous. Furthermore, Derrida makes another distinction between Messianicity and messianism. Messianism is like religion fixed and dogmatic (when imagining the coming of the Messiah the host attributes a new kind of origin and centrism to a divine other and assumes the latter suits their imaginative picture). He picks up the former. Messianicity is the unexpected surprise. It is not limited to a religious context (Derrida 2000).
Finally, for Derrida, the way in which impossibility is treated offers a solution to the problem; impossibility is an experience or an event. It is a relationship that means people could never be self-enclosed identities. Impossibility is not a possibility that cannot be accessed; rather, people are differentiated by impossibility, and this is one of the many ways in which they are a being in relationship with “otherness” (Derrida 2000).

Discussion
O’Gorman brought out the idea that this philosophy of hospitality presented above was born out of the biases of Derrida. Derrida, being a foreigner, had unhappy experiences as a young student in Paris (O’Gorman 2006). His personal experiences have tainted his philosophy under study. He could have expressed these things out of anger. He could also have brought such to get even.
The possibility of this point may be granted. But setting the bias aside and looking at what his philosophy of hospitality is telling it make sense. Devoid of the bias, Derrida is sending a very strong message not just to individual persons but most especially to rich countries where Filipinos would place their hopes for the progress of their families. Australia, Canada, New Zealand, and UK must open their doors more, like removing the English test as one of their requirements for visa application.
As mentioned above, the exams are placed upon applicants as added burdens and expenses. It is also discriminating for it comes as a selection process, giving the less fortunate lesser chances of having brighter futures. Filipinos are invited to come to these countries. These are advertised in different forms of media. They are promised of better, hope is given to them, yet they have to follow rigorous processes, spend large amount of money, exert a lot of time, and others just to acquire visas. There are even cases that after going through all the processes, many Filipinos are denied of visas or just for one requirement (English test) entry is not granted. For example, in an academic IELTS exam, a nurse who wanted to be a nurse in Canada or Australia has to get a band score of 7 in each part (listening, reading, writing, and speaking). There are so many cases that Filipinos would get 6 or 6.5 in one part and all the rest is 7. Averaging, at this instance, is not accepted and it will not satisfy the requirements of the visa. Options, however, are given to candidates: take the exam again or ask for a re-check. Both options would mean spending some amount of money again. For a re-check, an applicant has to pay Php1,400, and the re-test is priced like the usual fee (https://ielts.britishcouncil.org/content/result).
O’Gorman brought out also the idea that Derrida’s philosophy of hospitality violated some rules of Logic. It qualifies as a teleological fallacy, when there is the claim that an idea has a purpose or necessary end point in the absence of evidence for that end point (https://logfall.wordpress.com/teleological-fallacy/). Besides being enigmatic, the gravity of the message of Derrida’s philosophy, however, is of great concern. This should allow the forgiveness of the fallacy and look at the importance of the message – that countries of better stature should help third world countries by at least opening doors wider for people who wanted to help their families. This will never be a case of parasitism. Filipinos are good and responsible people (Andres 1989). They know their limits and they will never get what other people deserved to have.
Finally, the philosophy of hospitality should be a spark or a stimulus that would bring about more love and care to Filipinos abroad and to those still applying for entry. The hope that there is nothing impossible or the impossibility actually shows the possibility should bring in Asia and in the Philippines the discussion of hospitality. Perhaps, the existence of an effort to contextualize hospitality in this region would come to address transgressions. The success of this discussion is being threatened, however, by the issues of terrorism and the failure of several attempts of intercultural dialogues and peace talks.

References
A.    Printed Sources
Andres, T. (1989) The Positive Filipino Values. Manila: New Day Publishers.

________ (1981) Understanding Filipino Values: A Management Approach. Manila:
            Cellar Books.

Derrida,J. (1999) Adieu to Immanuel Levinas. Standford: Standford University Press.

________  (2000) Hospitality. Angelaki: Journal of the Theoretical Humanities, 5(3), 3-18.


 ________ (2000) Of Hospitality Anne Dufourmatelle invites Jacques Derrida to respond.
            Standford: Standford University Press.

Rosello, M. (2001) Postcolonial Hospitality: The Immigrant as Guest. Standford: Standford
            University Press.

Telfer, E. (2000) In Search of Hospitality. Oxford: Butterworth.


B.     On line Sources















 


 
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Hannah Arendt on the Wordlessness and Crimes against Humanity

  Yosef Keladu University of St. Thomas, Manila, Philippines Abstract: This paper attempts to investigate Arendt’s idea that crimes against ...