40 REVIEW FOR THE COMPREHENSIVE EXAMINATION

Public Policy and Policy Making Process

41 Question #1
Differentiate public policy from public policy analysis.
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42 Answer #1
Public policy is a course of action or inaction taken by government entities regarding an issue.
It also refers to the substantive decision, commitment and action made by those who hold government
positions or authority.

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Public policy analysis, on the other hand, refers to interdisciplinary effort aimed at helping the
decision maker to make choices intelligently, ethically, and effectively. In simple and short
language, it is analyzing a public policy.

104 Question #2
Distinguish distributive policy from redistributive policy. What is meant by regulatory policy of the
government?
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105 Answer #2
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 Distributive Policy - extends goods and services and distributes the costs of such goods and services among
the entire population (ex: cost of food that we consume, cost of mass transport when we avail of it, etc.)
Redistributive Policy - shifts the allocation of wealth, income and property from one group to another
(“haves” to “have nots”) and often involves class conflict (ex: 4 Ps, Tupad, land distribution under CARP,
Pension for IPs, PWD and Sr. Citizens’ discount, etc.)

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Regulatory Policy – government imposes restrictions or limitations on the behavior of individuals or
groups (ex: issuance of company registration, license to operate a business, issuance of franchise,
driver’s license, etc.).
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107 Question #3
Explain why trade-offs are common in decision-making. A final decision can be made not to adopt a
policy option even if it is ranked the best.
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108 Answer #3
Trade-offs are common in decision-making because of politics. Politics is always a game of compromise in
order to take advantage, preserve the status quo of those already in power, and gain more power, resources,
and authority. Final decision is often the outcome of compromise among many decision-makers.
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109 Question #4
 Differentiate policies that are promulgated through formal or official written documents or
informal or unofficial issuances.
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110 Answer #4
Formal or official written documents are made and done through legislation, executive orders, department
issuances, judicial decisions (court decisions with finality).
Informal or unofficial issuance policy statements are expressed by the head of state or agency through
official media pronouncements (during media interview), unwritten practices, and traditions.
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111 Question #5
Two (2) major state policies enshrined in the 1987 Philippine Constitution are the prohibition against
political dynasties and the full public disclosure of all its transactions involving public interest. Comment
on these policies why the government fails to pass and implement the same.
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112 Answer #5
One major reality why despite the prohibition on political dynasties continues to proliferate because most
of the elected lawmakers are members of the political dynasties. An enabling or
 special law on anti-political dynasties has to be passed to effect this provision of the constitution. To do
this, people must exercise their right to suffrage with conscience by not patronizing the dynasty during
elections. Once the elected officials do not constitute the political dynasty then an enabling law can be
passed and approved.
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The same is true with the full public disclosure. The government does not disclose even issues involving
public interest. An E.O. was issued on public disclosure, however, this can easily be changed at will by
those in power. There is still lack of transparency and accountability on the part of the government.
Exception to this policy are those involving national security in nature and others which if disclosed will
affect national security and will embarrass the President as head of the state.
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114 Question #6
What are the phases/stages of public policy? Discuss each of the phase/stage. Give example in every phase.
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115 Answer #6
1. Agenda Setting
This step identifies new issues that may require government action. If multiple areas are identified they all
can be assessed, or particular issues may be given a priority.

Example: The government may want to increase energy production from renewable sources. This could be
through increased solar panel production and usage.

116 Answer #6
2. Formulation:
This step defines the structure of the policy, the goals that need to be achieved, the implications, the costs it
will entail, and the key stakeholders reactions to the effects of policy.

Example: Should government offer tax-breaks to start-up renewable energy companies? Or should it offer
individual subsidies to solar panel buyers? What might be the effects of these actions?

117 Answer #6
3. Implementation
Establishing that the correct partners (executive govt. agencies) have the resources and knowledge to
implement the policy. This could involve creating an external organization to carry out actions.

Example: Administration processes to allow organizations and individuals to apply for subsidies/ tax
benefits need to be created.

118 Answer #6
3. Evaluation
This step assesses the effectiveness and success of the policy. Did any unpredicted effects occur? These
assessments can be quantitative and/or qualitative.
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Example: Energy production at certain times of the day and year has substantially increased. Occasionally
more energy is being produced than needed, which now leads to further questions about how to handle the
‘excess’ energy.

119 Answer #6
4. Support/Termination
This step studies how the policy might be developed, or provides additional support for its continuation.
Additionally, the policy can be terminated if deemed redundant, accomplished, or ineffective.

Example: Should solar panel policies be continued, or should policies now focus on improving national
electric grids, or should energy storage policies be developed instead?

120 Question #7
Explain the top-down policy making approach.
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121 Answer #7
The top-down approach in policy making focuses on empowering top leaders in organizations to come up
with policies. This means that the rules and regulations of the organization are made by people at the top
levels.
Policymakers (legislative branch) and (executive branch-administrative policies) must consider the
political, economic, social, technological, and environmental factors in the policy making.

122 Question #8
The policy actor-based approach (“who makes public policy”) has five (5) types of policy model analysis,
namely:
1. Group model
2. Elite model
3. Public choice model
4. Game theory model
5. Sub-government model
Discuss each model

123 Answer #8
1. Group model - policy as equilibrium in the group struggle at any given moment, and it represents a
balance which the contending factions constantly strive to win in their favor. Under the democratic form
of government, it is the majority group wins in the struggle.
2. Elite model - policy as elite preference or influenced by the elite group or the oligarchs.

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3. Public Choice model - policy as collective decision making by self-interested individuals and
generally the public.
4. Game model - policy as rational choice in competitive situations. It explains the outcomes of
interactions based on rational choices by individual participants.
5. Sub-government model - policy as shaped by the “iron triangle” (congressional apex,
administrative apex, and special interest apex)
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125

REPUBLIC ACT No. 11203

An Act Liberalizing the Importation, Exportation and Trading of Rice, Lifting for the Purpose the
Quantitative Import Restriction on Rice, and For Other Purposes

126 Question #9
Filipino farmers are now complaining about the impact of Rice Tariffication law specifically on the low price
of locally-produced palay during harvest season, thus, affecting their income considering that the costs of
farm inputs and other expenses during planting are quite high.
1. What should the government do to alleviate the suffering of these Filipino farmers?
2. What stage of public policy cycle should the government focus in reviewing the current policy or law
on tariffication?
Discuss your answer in each question. 1.

127 Answer #9
1. The government through the President, in view of his vast powers, must take the lead in enjoining the
Department of Agriculture (DA) to review the implementation of the Rice Tariffication law specifically
on the utilization of the Rice Fund to determine whether the same fund is used properly for its intended
and qualified farmer beneficiaries. A comprehensive report, clean, and verified data must be used by the
DA as metrics to be validated on the ground in collaboration with the concerned Local Government Units,
the farmer-beneficiaries, and other stakeholders involved such as NGOs, CSO, private organizations, and
among other organizations.
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2. Evaluation stage should be the focus of the government through the DA in reviewing the policy. A unit
or office in the DA must regularly conduct an honest to goodness evaluation of the outcome of the
implementation of rice tariffication. One of the identified weaknesses of government is that it is poor when
it comes to monitoring and evaluation of its programs and projects. The evaluation function must be
strengthened by the DA to achieve the purpose and goal of the policy and to serve as basis in proposing
improvement and possible amendment to the existing policy to address the problem.
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The government through the DA must review the impact of the law and provide inputs for possible
revisions and amendments for submission to Congress as an oversight body. Congress must consider such
proposed amendment in the law to make it responsive to the needs of the rice farmers.

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131
Question #10

The petition recently pushed by a group of individuals to call for a Peoples Initiative (PI) to amend the 1987
Constitution of the Republic of the Philippines specifically the economic provisions is a sound policy
initiative. Do you support it? Comment on this issue.
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Answer #10

The ill motive of the petition being circulated is crystal clear: For the purposes of charter change, the House
of Representatives and the Senate would be treated as one body, and could immediately cause a plebiscite to
approve amendments, whenever three-fourths or more of all its members agree. The Senate, whose
membership of 24 senators pales in comparison to the House (315 representatives)—the lower chamber
could easily surpass the 255-vote threshold, rendering the upper house irrelevant to the process.
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Answer #10
Cont.
In 1987, the people overwhelmingly approved the present charter, which reverted the legislature into a two-
chamber Congress, from Marcos’ unicameral Batasang Pambansa. Lawmaking power was simply too great
to be placed in the hands of a single group of people.
There has to be some form of checks and balances, even within the legislature, the framers of the 1987
Constitution designed a Congress of two chambers: the House of Representatives elected by the people of a
geographic and sectoral constituency, and a Senate which represents the entire nation. They are separate and
coequal bodies, but independent of one another.
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Answer #10
Cont.
Only amendments—minor changes—can be proposed by PI. Revisions or major amendments to the
constitution remain under the purview of Congress, voting separately. This has been affirmed by the
Supreme Court in the 2006 decision Lambino vs. COMELEC, saying that major constitutional revisions
done through PI “will only result in gross absurdities in the Constitution.” The proposed PI subverts the
people’s will. Thus, we should not support it.
135
Question #11

Differentiate Expansionary policy from Contractionary policy. Discuss each and give example.
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Answer #11

Expansionary policy is a set of economic measures taken by a government to stimulate economic growth. It
is a fiscal or monetary policy that is intended to boost business investment and consumer spending by
injecting money into the economy either through direct government

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deficit spending or increased lending to businesses and consumers. In other words, governments can
directly give money to individuals, businesses, or taxpayers to prevent or moderate economic downturns
and recessions.
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Answer #11

Government can increase spending on infrastructure projects, social programs, and other initiatives to boost
demand and stimulate economic growth. Examples: Government may resort to:
1. Enact tax cuts or reduce taxes on specific tax items on goods and services, which puts more money
in consumers' pockets and stimulates spending.
2. Increase transfer payments such as welfare, unemployment, or other benefits and social
assistance to increase household income.
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Answer #11
Cont.
3. Lowering the interest rate by the Central Bank. When the rate is lowered, the cost of borrowing from
the Central Bank decreases, giving banks greater access to cash that can be lent in the market.
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Answer #11
Cont.
Contractionary policy is a monetary measure to reduce government spending or the rate of monetary
expansion by the Central Bank. It is a macroeconomic tool used to combat rising inflation. It attempts to
slow the economy by reducing the money supply and fending off inflation. The idea here is to make the
opportunity cost of holding money high so that people want to hold and spend less of it.
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Answer #11
Cont.
Example

1. Higher interest rates. It increases the cost of borrowing money. This discourages consumers
from spending on some goods and services and reduces businesses’ investment in new
equipment.
2. Decreased in consumption spending by consumers and in investment spending. Businesses
decreases the overall demand for goods and services in the economy.
3. Decreased production. Businesses are less likely to hire additional employees and spend more on
other resources.
4. Decreased in spending. Inflationary pressures would diminish and the inflation rate would fall
back toward 2 percent.
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Answer #11
Cont.

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The goal of contractionary monetary policy is to decrease the rate of demand for goods and services, not
to stop it. Thus, higher interest rates through contractionary policy can be used to dampen inflation and move
the economy back to the price stability component.

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