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To Rachelle Mae, press freedom fighter, youth leader, martyr and servant of the poor….
David Harvey’s A Brief History of Neoliberalism is a must read in order to understand the global financial crisis. Harvey’s book is the main reference of this article.
“We are all Keynesians now,” Richard Nixon said in the 1970s. Two decades later Bill Clinton could have said “We are all neoliberals now.”
Neoliberalism means “stock values rather than production became the guiding light of economic activity.” Financial players became dominant in the economy (“the power of accountants rather than the engineers”). Banks played bigger roles by creating “fictitious capital.” Wall Street is capitalism’s holy land:
1960s: What was good for GM was good for U.S.
1990s: What was good for Wall Street is all that matters.
Or as Mary Elizabeth Lease puts it: “Wall Street owns the country. It is no longer the government of the people, by the people, and for the people, but a government of Wall Street, by Wall Street, and for Wall Street.”
In the 1974 Godfather II film, a mafia don proclaimed: “Michael, we are bigger than U.S. steel!” He was of course referring to the manufacturing company which used to be the symbol of
capitalist America. Now, it is Wall Street.
To oversimplify things, the ruling order felt threatened by leftist groups asserting more power in society during the 1960s and early 1970s (civil rights movement, affirmative action, social welfare demands). Neoliberalism appealed to the elite because it meant less money for public service and labor and more money for capital. And indeed neoliberalism succeeded in attacking organized labor and restoring class power of the elite.
Ironically, neoliberalism (which is theoretically about little or no state intervention) was established through the coercive and regulatory power of governments. This reveals that “pure neoliberalization does not work,” and more importantly, the U.S. and other rich countries are hypocrites for “behaving as Keynesian while telling everyone to obey neoliberal rules.”
The neoliberal state is the “executive committee of capitalist class interest.” The function of a neoliberal state is simple: Establish corporate welfare over people’s welfare.
Or as Harvey points out: “In the event of a conflict, the typical neoliberal state will tend to side with a good business climate as opposed to either the collective rights (and quality of life) of labor or the capacity of the environment to regenerate itself.”
Never mind the falling wages of workers, inflation, and global warming. Free market will solve these issues. Government regulation will worsen the problem. But if financial institutions are in trouble, taxpayers’ money will be used to rescue these institutions.
The “nationalization” of some American financial institutions has been described as socialism for the rich. Or as Harvey describes public-private partnership: “The state assumes much of the risk while the private sector takes most of the profits.”
Neoliberal policies were imposed on poor countries as condition for aid. The higher degree of neoliberalization, more aid will be given to these “competitive” and “business-friendly nations.” Multilateral funding agencies are the paid mercenaries of neoliberalism. It is interesting that scholar Slavoj Zizek compares the new type of warfare used in the War on Terror to these funding agencies:
“We should note the structural homology between this new warfare-at-a-distance, where the ‘soldier’ (a computer specialist) pushes buttons hundreds of miles away, and the decisions of managerial bodies which affect millions (IMF specialists dictating the conditions a Third World country has to meet in order to deserve financial aid): in both cases, abstraction is inscribed into a very ‘real’ situation – decisions are made which will affect thousands, sometimes causing terrifying havoc and destruction, but the link between these ‘structural’ decisions and the painful reality of millions is broken; the ‘specialists’ taking the decisions are unable to imagine the consequences, since they measure the effects of these decisions in abstract terms (a country can be ‘financially sane’ even if millions in it are starving.)”
Zizek adds how MNCs and TNCs are the obscene double of terror groups:
“Are not ‘international terrorist organizations’ the obscene double of the big multinational corporations – the ultimate rhizomatic machine, omnipresent, albeit with no clear territorial base? Do they not embody the ultimate contradiction, with their particular / exclusive content and their global dynamic functioning?”
The myths of neoliberalism are popularized by mainstream media. Harvey writes:
“With the media dominated by upper-class interests, the myth could be propagated that states failed economically because they were not competitive…If conditions among the lower classes deteriorated, this was because they failed, usually for personal and cultural reasons, to enhance their own human capital. In a Darwinian neoliberal world, the argument went, only the fittest should and do survive.”
If a country’s economy is down, media will highlight the need for more neoliberal reforms. If the government resists, it will be described as undemocratic. Poverty is blamed on the people: They didn’t finish schooling, they lack innovation and entrepreneurial spirit, they have lousy work ethics. Kailangan ang sipag at tiyaga. Blame the individuals, not the system.
And of course the academe is also accountable for promoting a “Darwinian neoliberal world.” Harvey notes that the “Rise of neoliberalism occurred in decades when working-class institutions were in decline and when many progressives were increasingly persuaded that class was a meaningless or at least long defunct category.”
Indeed, neoliberal policies should be included in the “bourgeois pantheon of infamous deeds.” Neoliberalism, which meant the “financialization of everything,” has commodified all aspects of life in today’s world, including labor and other social relations.
Commodification is wrong because it “presumes the existence of property rights over processes, things, and social relations, that a price can be put on them, and that they can be traded subject to legal contract.”
Karl Polanyi warns:
“To allow the market mechanism to be sole director of the fate of human beings and their natural environment…would result in the demolition of society. For the alleged commodity “labor power” cannot be shoved about, used indiscriminately, or even left unused, without affecting also the human individuals who happens to be the bearer of this peculiar commodity in psychological, and moral entity ‘man’ attached to that tag. Robbed of the protective covering of cultural institutions, human beings would perish from the effects of social exposure; they would die as victims of acute social dislocation through vice, perversion, crime and starvation. Nature would be reduced to its elements, neighborhoods and landscapes deviled, rivers polluted, military safety jeopardized, the power to produce food and raw materials destroyed.”
Zizek reminds us: “If one wants to comprise capitalism as a world system, one must take into account its inherent negation, the infinite judgment on it.” Communism?
Historian Eric Hobsbawm was already alive in the 1930s and he witnessed how the Great Depression discredited the free market ideology. He wonders why this ideology became more fashionable again:
“Those of us who live through the years of the Great Slump still find it almost impossible to understand how the orthodoxies of the pure free market, then so obviously discredited, once again came to preside over a global period of depression in the late 1980s and 1990s, which, once again, they were equally unable to understand or to deal with. Still, this strange phenomenon should remind us of the major characteristic of history which it exemplifies: the incredible shortness of memory of both the theorists and practitioners of economics. It also provides a vivid illustration of society’s need for historians, who are the professional remembrancers of what their fellow-citizens wish to forget.”
Related entries:
A father’s lament
Divine interventions
Links: Divorce cases are up in Indonesia because of 'political differences'. Nuclear option for Malaysia. Improper advertising by an oil company. Media repression in Cambodia.
New pictures in my webshots album: click here and here. Indonesia: Lights, Camera, Elections! - a post written for Global Voices.
UPI-Asia has a new address. Check out the new pages: Blogosphere and Bookshelf.
Because of its bigger economy today, Thailand is no longer compared to the Philippines. But two decades ago both were developing nations with almost the same population levels, poverty rates and economic potential. Thailand may be richer but its social history, political conditions and even many aspects of its economy are almost the same as the Philippines.
Scholars do not often write about the similar political profiles of the two countries. This is understandable. Thailand didn’t experience colonial rule. It has a monarchy. And the military has governed the country for a long time. On the other hand, the Philippines was invaded by three foreign powers. Its population is predominantly Catholic. And it has faithfully adhered to Western-style democracy since it gained formal independence in 1946.
These are obvious differences. But there are also similarities in the modern political history of the two countries. For example, political instability has plagued both Thailand and the Philippines, military adventurism could not be contained, and separatist movements in the southern parts of the two nations remain a big problem.
In the past decade the two countries have produced spectacular citizen uprisings which led to the ouster of Philippine President Joseph Estrada in 2001 and Thailand Prime Minister Thaksin Shinawatra in 2006.
Estrada was accused of being involved in illegal gambling. Massive street rallies in 2001 forced the military leadership to withdraw support for Estrada. In Thailand, hundreds of thousands of people went to the streets in 2006 to protest the corrupt practices of Thaksin. The military supported the protests by staging a coup.
Estrada is well-loved by the poor. In fact he accused the noisy Manila elite of being at the forefront of the protests against him. Thaksin is popular among the rural poor of Thailand. He claimed it was only the middle class of tiny Bangkok who supported his ouster.
Estrada was replaced by his vice president, Gloria Arroyo. Many Filipinos have not been satisfied with the Arroyo government. Street rallies have become more frequent since 2005. But Arroyo would not give in to the demands for her resignation, asserting that she was elected to serve until 2010.
Thailand elected Samak Sundaravej early this year. Big rallies were launched a few months ago, reaching a peak this month when protesters stormed Thailand’s Government House. The protesters accused Samak of being a puppet of Thaksin. Samak would not resign. He argued that he was elected by a majority of Thai citizens. Samak finally stepped down because a Thailand court found him guilty of violating the Constitution when he appeared in a cooking show while holding public office.
The Philippine court was also instrumental in affirming the ouster of Estrada in 2001. The court upheld the legitimacy of Estrada’s ouster by citing a diary entry of an executive official which revealed that Estrada had agreed to resign in order to preserve peace in the Philippines. The final blow was a cooking show in Thailand and a diary entry in the Philippines.
The Catholic Bishops were unusually silent when various groups began to mobilize and call for the ouster or even impeachment of Arroyo in 2005. The Catholic Church is a very influential political force in the Philippines. Thailand’s highly revered king did not intervene when protesters demanded the removal of Samak. His silence was a very intriguing political statement.
Various commentators have ridiculed the “people power” movements in the Philippines and Thailand. They described the protesters as part of an unruly mob who wanted to impose the arrogant demands of the minority over the will of the majority.
The debates continue: What constitutes genuine people power? How many people should mobilize in the streets to compel a leader to step down from office? If protests are limited mainly to the capital, should they be belittled as the insignificant voice of the minority? Is the holding of elections the best and only solution to resolve political problems? Do unelected political groups have more right to speak on behalf of the people than representative officials of a nation?
Several lessons on people power politics can be highlighted based on what transpired in Thailand and the Philippines. People power should not be reduced to a numbers game. A united and broad range of people’s organizations are needed in order for a mass movement to gain credibility and effectiveness. Mass actions should be both spontaneous and organized. Grassroots participation is important, but they must prove their political independence from elitist groups.
Unlike the Philippines, Thailand doesn’t have a strong leftwing movement. The participation and leadership of leftist groups in mass actions is important since it guarantees that the broad concerns of various marginalized sectors of society are represented. A political movement that claims to represent the people without proposing a leftwing agenda and without the participation of radical groups with real ties to the grassroots could be easily be dominated by elite interests.
The notion of public space has to be defended. The words of Don Mitchell remain more valid than ever: “In public spaces – on street corners or in parks, in the streets during riots and demonstrations – political organizations can represent themselves to a larger population and through this representation give their cries and demands some force. By claiming space in public, by creating public spaces, social groups themselves become public.”
Thailand has a new prime minister. But protesters have vowed to remain in the streets. People power could still blossom in Thailand. Filipino activists should watch closely the events in Thailand.
Related entries:
Thailand at a political crossroad
Battle of the streets
Links: Political parties of Indonesia. Aid effectiveness in East Timor. Impact of blogging in Vietnam. Luang Prabang, Laos’ foremost tourist destination
I wrote this article a few days ago. Things are moving fast in Bangkok. Already, Samak was removed by his party. Maybe next week he will return to power again. Abangan…
The street protests in Bangkok can be easily dismissed as anti-democracy. The protesters who occupied Thailand’s Government House are not only demanding the ouster of an elected leader, they want a Parliament whose members are largely appointed by a governing body. Various commentators from around the world have pointed out that these demands would legitimize mob rule.
The People's Alliance for Democracy or PAD, which is the organizer of the rallies, is described by the press as right-wing. This is regrettable since just two years ago PAD had a solid base among peoples’ organizations. Many of its members are veteran activists who led the student movement in the early 1970s. What happened to PAD? Is it still a genuine voice of Thailand’s empowered citizens? Or has it regressed into a corrupt organization with strong ties in the military and other factions of the elite?
Thailand’s embattled Prime Minister Samak Sundaravej has been portraying himself as a defender of western-style democracy. He has vowed to remain as leader of a free and democratic nation. He was praised for preventing bloodshed in Bangkok by ordering the police to show restraint when engaging the protesters. These are some of the reasons why Samak is secretly supported by foreign residents of Thailand.
There are almost no options available to resolve the political stalemate in Thailand. PAD would not leave the Government House. Samak would not resign. The military does not want to intervene. Thailand’s King, who is revered by all, is surprisingly silent. A referendum was proposed by the ruling party but it was flatly rejected by PAD and the opposition.
The situation in Thailand is volatile. Political forces are still vying for dominance. The current crisis could be used by an ascendant radical force to implement sweeping reforms in Thai society. The progressive movement must grab this opportunity to influence Thai politics. If it failed to seize tactical leadership, reactionary forces or the status quo would prevail.
The most organized group which can challenge the ruling order is PAD. If PAD’s leadership and tactics are not acceptable to grassroots organizations, then the progressive movement must assert its voice inside PAD, which used to be a multisectoral alliance of anti-government groups.
PAD is ridiculed by the foreign media. But local journalists have shown some sympathies to the PAD-led rallies. Samak has accused the local media of being biased in favor of the protesters. Maybe PAD’s statements were understood by the local population which the foreigners could not decipher.
The initial criticism against PAD should be reviewed. While it is correct to highlight the excesses committed by PAD members, they should be put into context. Out of the 25,000 protesters who stormed the Government House, only few people displayed violent behavior. If the police showed restraint, the protesters were generally peaceful as well. Two weeks of continuous protest actions have produced only pockets of violence in the streets of Bangkok.
That PAD is able to sustain its activities for two weeks already is proof of its capability to gather more than enough warm bodies and logistics. It is extremely difficult to organize a big rally, sustain the crowd, and raise resources for the everyday needs of the protesters. Its either PAD has wealthy financiers or it has genuine support from ordinary citizens. This issue is debatable. But it cannot be denied that PAD has committed members who are manning the barricades in Bangkok.
It is also impressive that PAD succeeded in getting the support of airline employees, railway workers and other big unions in the country. PAD has paralyzed three airports and disrupted rail travel for several days. In the eyes of many foreigners and residents as well, these were anarchic activities. These were not good for business. But maybe the protesters really wanted to create a situation of manageable chaos in the country to show the world that Samak could no longer govern effectively.
There are few instances in the world wherein rallyists were able to occupy a government building, disrupt public transportation, and sustain street protests for two weeks. PAD is still in the streets and has promised bigger actions in the future. PAD is aware it has provided a blueprint on how to launch an urban uprising in the 21s century. Note for instance the diploma of ‘New Political Revolution’ being sold by some enterprising individuals to participants of the PAD-led rallies.
PAD has already clarified that it is not against democracy. What it opposes is Western-style capitalism and its excesses. The rough translation of “toon niyom samarn” which is a PAD slogan is “filthy capitalism”. PAD condemns the corrupt practices of former leader Thaksin Shinawatra. They accuse Thaksin and other politicians of using the state machinery to enrich themselves.
Perhaps PAD’s disdain against western-style elections is also symbolic for the failure of liberal democracy to solve the problems that afflict a Third World nation like Thailand. Maybe PAD made the mistake of believing that the ouster of Samak, the return of a military-led government, and the establishment of an appointed Parliament are the only possible alternatives to the dominant system. PAD has not lost hope on democracy; it wants a new form of democracy. But it failed to be progressive enough, and it lacked a proper radical imagination, which led to its dependence on the military institution to cure the ills that plague Thai society.
Here enters the need for a progressive mass movement in Thailand. A left-wing agenda needs to be articulated. The anti-government campaign must include a broad range of peoples’ issues and the roots of the political and economic instability must be addressed. Otherwise, the crisis in Thailand will continue to worsen even if a new government is established in the future.
Related entries:
Saucy Samak
Battle of the streets
Links: Audio books in Singapore. What is a pencilnosing campaign? Street vendors banned in Vietnam. Nuclear option for Indonesia.
My earlier post for Global Voices was translated into Japanese. Join the virtual discussion of East Asia bloggers about the ongoing political crisis in Thailand. Click here for more details.
Kosovo’s unilateral declaration of independence from Serbia early this year was supported by Western powers led by the United States. An angry Russia encouraged South Ossetia and Abkhazia to do the same thing by separating from Georgia. This led to an escalation of conflict in Georgia. Meanwhile, the US insists on backing Georgia while refusing to acknowledge the independence of South Ossetia and Abkhazia.
What if one of these days the MILF-led Bangsamoro declared independence from the Republic of the Philippines? Would the US and other major powers in the world recognize the Bangsamoro State? Kosovo, South Ossetia, Abkhazia, and now Bangsamoro.
What will be the reaction of ordinary Filipinos and politicians? If a simple autonomy as provided by the Bangsamoro Juridical Entity was loudly rejected by the Manila constituency, a declaration of independence would have produced more jingoism in the country. The BJE debate revealed the undisguised chauvinism of politicians and many commentators. The Moro rebels are to be respected as long as they are willing to surrender their arms, talk peace and accept limited autonomy. But if they started demanding more than a token form of shared governance, if they continue to fight for political rights, they deserve to be wiped out ruthlessly.
Ironically, those who want to kill the MILF rebels by supporting the all-out war military policy are proud ideologues of liberal democracy. Slavoj Zizek notes that “liberal warriors are eager to fight antidemocratic fundamentalism that they will end up discarding freedom and democracy themselves.”
Again, to use the words of Zizek, “what if the true aim of the present (AFP) intrusion into (MILF) territory is not to prevent future terrorist attacks, but in fact to ‘burn the bridges’, to raise the hatred to a level which will prevent a peaceful solution in any foreseeable future.”
The MILF leadership should have learned from the humiliating downfall of MNLF. Peace negotiations that tackle autonomy or self-determination without addressing the roots of poverty and exploitation in the Moro lands are doomed to fail. The MILF should not forget that its prestige and strength are recognized because it continues to wage a guerrilla war in behalf of the dispossessed Moro people. The right to self-determination can never be achieved as long as the current system of political economy is prevailing in the country.
Today is a good opportunity to educate the public about political concepts like the right to self-determination, ancestral domain, and revolutionary violence. Increased media attention on the war in Mindanao should be used by rebel groups to inform the people and the rest of the world about the civil war/people’s war in the Philippines. In fact, mainstream media has raised the level of debate. News reports have actually presented “peace talks or all-out war” as the options to solve the Mindanao problem. During ordinary times, the option of all-out war, the idea of using violence to solve political issues, would never have been included in TV reports. War seems acceptable as long as they are directed against rebels.
The MILF should reply by asserting its principle: Revolutionary violence to achieve lasting peace in Mindanao.
The MILF should continue to condemn the indiscriminate military offensives on civilian Moro communities. It has every right to defend its territories and the lives of its members and supporters.
Few commentators and politicians in Manila accept the MILF’s official statement regarding the human rights violations committed by the group’s “lost commands”. The children-loving, private property-defenders, MILF-hating, peace advocates are the same people who willingly accept the Malacanang statement that the human rights violations committed by rogue elements in the military are not sanctioned by the country’s leadership. The military can deny responsibility for the excesses of its members but the MILF has no right to wash its hands over the wrongdoings of its “lost commands”?
Where is Kumander Kato? The MILF should reply: Where is General Palparan?
Why should we elevate the crimes of the “lost commands” as embodiment of Absolute Evil? Why should they be privileged over other worse crimes committed by the military/police against the Moro people?
Still, the untried solution to the Mindanao question is socialism. The left is MILF’s most reliable friend in its struggle for self-determination. The MILF should not trust the fly-by-night nationalists as represented by Manila politicians/commentators who want to keep Mindanao as part of the puppet republic for, well, sentimental reasons.
It will be a missed historic opportunity and a terrible disappointment if the MILF leadership does not promote the radicalization of politics in its controlled territories. Imperialism, global capitalism, remains the true and single biggest enemy of the Moro people. The struggle for a socialist future is the way forward to promote genuine peace and prosperity in the Moro land.
* I forgot the authors of the book, Sentimental Imperialists.
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Ideal victims
More hatred in Mindanao
Links: Budget process in East Timor. A briefer on the Cambodian elections. Different types of Durian. Underground Bangkok radio.
First day of State of Emergency in Bangkok, a roundup for Global Voices. Chinese translations of my posts: click here and here.
Reference: Rowena Reyes-Boquiren, Ph.D. History of Colonialism and Struggle: Local Streams in Philippine Nationalism. Education and Development Quarterly. September 1999. pp. 22-33.
More than 20 land reform laws were enacted in the past century to quell peasant revolts. But land struggles have been documented as early as the 16th century.
In June 1571 the King of Macabebes led some 2,000 warriors in Tondo in a 3-day battle against Spanish soldiers. The revolt was mainly against the new political/religious set-up imposed by the Spanish colonizers.
In 1574 Lakan Dula mobilized 10,000 natives in Navotas to oppose the hoarding of food supplies by Spanish officials. The uprising targeted Spanish civil and clerical officials.
In 1585 all Datus of the Pampanga and Tagalog regions joined forces to expel Spanish forces. In 1587 they were assisted by Japanese and Bornean warriors. A famine caused by polo led to numerous revolts in Cagayan and Ilocos.
The Tamblot Revolt in 1621was participated by 2,000 natives of Bohol as a rejection of Catholic religion. Tamblot, a babaylan, promised the natives a life of happiness and prosperity without paying tribute to the Spaniards or dues to the churches.
In 1660 the natives of Pampanga protested against the polo and bandala. The struggle became a campaign to free the natives from Spanish rule. However, they were defeated when a certain chieftain Macapagal cooperated with the colonial rulers. (sounds familiar, eh?)
Another local revolt took place during the same year in Pangasinan when Don Andres Malong (the "King of Pangasinan") led 11,000 peasants in an uprising against the Spanish civil bureaucracy. Pedro Almazan (the "King of Ilocos") was joined by the Isnegs who led the Ilocos Revolt in response to the appeal of Malong.
The Tapar Rebellion in Panay which took place in 1663 was led by a babaylan who preached as a prophet. She promised her followers they won't be hurt when hit by Spanish bullets; and those who will die in the uprising will live again.
The economic crisis in Cagayan Valley in 1718 was triggered by a crop failure. This led to an uprising. The people were also against the local Alcalde Mayor who was hated for being oppressive.
In 1745 a revolt in the Tagalog regions erupted. The aim was to recover the communal land system and to defeat the expansion of church-owned haciendas.
Juan dela cruz Palaris was a former timawa who became a member of the principalia. In 1762 he led farmers of Pangasinan in a local uprising.
Dagohoy of Bohol was assisted by some members of principalia when he launched his rebellion against the Spanish authorities. The revolt lasted for 80 years.
The Basi Revolt in 1807 was a reaction to the government wine monopoly. The Sarrat Rebellion in 1815 was anti-cacique but it only called for reforms within the context of the Spanish colonial state.
Hermano Pule's Confradia de San Jose advocated for an armed struggle against the Spanish rulers in 1841. The colorum movement had members in Tayabas, Laguna, and Batangas.
The Guardia de Honor was originally a group created by Dominican priests to promote Christian values in 1872. It became a millenarian movement in Pangasinan and La Union under the leadership of a charismatic faith healer 'Apo Laqui'.
Papa Isio in Negros (1887-1907) promised his followers that "the lands would be partitioned among the people, that machinery would no longer be permitted on the island, and that nothing but palay would henceforth be planted."
Local revolts challenged American hegemony during the early years of the 20th century. They were also struggles for land ownership. Examples: Santa Iglesia (Pampanga, Bulaca, Tarlac), Pulahanes (Cebu), Papa Rios (Tayabas), Kristong Itim (Manila), Dios Dios and Papa Faustino (Leyte), Papa Pable (Samar), and Yntrencheradista Movement (Iloilo, Negros).
Andres Bonifacio's Katipunan mobilized thousands of farmers, mainly in Luzon. It was clearly an anti-feudal, anti-colonial, and anti-cleric movement. The formation of radical organizations in the 1920s and 1930s with comprehensive political programs was a Katipunan legacy. The merger of the Socialist and Communist Parties linked the peasant struggles to the urban mass movement; and also, to the international fight against imperialism.
Land reform continues to be the major component of the Maoist revolution in the Philippines. Landlessness in the country remains a key issue which fuels the guerilla movement in the countryside. Proposals for land reform laws must be appreciated in the context of the raging peasant unrest (though relatively ignored by mainstream international media) in the Philippines.
But land distribution is simply not enough anymore. Activist farmers are also demanding political and economic reforms. In short, a fundamental change in the basic structures of society. This is radical, but not surprising. Since the 1600s, farmers have supported campaigns which demanded the elimination of oppressive rulers, whether they were Spanish conquistodores, American imperialists, Japanese fascists, Filipino collaborators, opportunists and puppets.
Related entries:
Pampanga warriors
Rice revolution
Hacienda Luisita