History may yet repeat itself â for the Marcoses
ONE of the most enduring myths in Philippine political discourse is that Ferdinand Marcos Sr. was toppled in 1986 by a spontaneous uprising of democratic fervor, as if âpeople powerâ emerged in a vacuum, detached from material realities. That narrative, endlessly recycled by the Yellow camp and its academic echo chamber, ignores the far more decisive factor: By the time Filipinos massed on EDSA, the Philippine economy had already collapsed.
The regime had been mortally wounded not by slogans, but by a devastating economic crisis rooted in the debt explosion of the early 1980s. Even the super-elite Zobels joined Juan de la Cruz in the massive demonstrations to boot out the dictatorship.
That crisis is often lazily attributed to rising global interest rates, but the reality is more complex â and more instructive. The sharp tightening by the US Federal Reserve under Paul Volcker did dramatically raise borrowing costs, and because much of the Philippinesâ external debt carried floating rates, servicing costs surged almost overnight. But this shock became lethal only because it struck an already fragile structure.
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