;,~~ ~ ~ lRAtiO> ttl r T.E-22,REAN LJ.0alaAL YLfT No.

tHOUSEHOLD NErORKS AND SURVIVAL STRATEG:IE.SY D

AMONG THE URB&A POOR. MONETARY AND NON-1MOfET.EY

TRANSFERS AHONG SELECTED FAMILIES IN TONfJO

Prepared by:

MILA REFORMA

RICCI OBUSAN

Research and Analysis DivisionNational Housing Authority

The Philippines

May 1982

This volume was prepared as part of a cooperative projectsponsored by the International Development Research Cent-re (Ottawa)and the World Bank. The views reported here are those of the authors,and they should not be interpreted as reflecting the view.s of theWorld Bank or its affiliated organizations.

Urban and Regional Economics DivisionDevelopment Economics Department

The World BankWashington, D.C. 20433

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L1i:1I roduc tion.

Tlh4! Can ED Stu 1 iii

Peir3ta .r . .. . ....

Bernard:: .

:Ms.russi8on ....... .. .....

Reciprocity andl the tAan& na Lo vt..

Malaaak%.t .... , .............. .

PREFACE

This report was prepared as part of an IDEC-IBRD supported evaluation

of the Tondo Foreshore Upgrading Project. The evaluation, which began in 1977

in the Philippines, is part of a 4 country study which also includes El

Salvador, Zambia and Senegal. An imortant issue emerging from all of these

evaluations is the question of project affordability and the ability and

willLngness of the target population to meet the costs of participating in the

project. In the Tondo evaluation, information on affordability had been

obtaLned not only from a longitudinal survey which had been annually applied

over a 4-year period to a sample of over 1000 households in the oroject, but

also from an income and expenditure panel in which 120 households kept daily

records on all income and expenditures over a 3 year period. 1/

Due to delays in project implementation, the initiation of the

process of cost recovery has been delayed such that to date there is no direct

evidence on the proportion of families who have affordability (or willingness

to pay) problems. It was suggested in various of the evaluation reports,

however, that as much as 20 per cent of project households might face

repayment problems, or that their efforts to keep up the payments could affect

their ability to cover other basic expenditures such as food. At the same

time, apparently contradictory findings on the process of house consolidation

were coming out of studies. It was thus found that many apparently poor

1/ Itesearch and Analysis Division. 'A study of income and expenditurepatterns of households in the Tondo Foreshore Area." Report Series on theMonitoring and Evaluation of Urban Development Projects. Urban andRegional Economics Division. Report No. ME-6. The World Bank. AugustL980.

hiusehol.s -we::i vt 1e t: in I .-- ):ii ":i.n `ai "->e,-

e:pe<:te :1 .ahous -I : :- t !: ' . S h?js s ';:.t .1

househoLir. we-.e recei'vIng 'K ito o tni * Is rel-:'f , 's he

f'nance th! imorovemarts.

The :'nportance of t1i:L-s "I.Ol L.'. , ' I" c.-irough Ln;m rcueehold

s..upport networks' had also s : o:zt-i. u e luation stud.len3 in F1

Salvador and Colombia where 1; s; o u r cic_' families in the louc-st

incorme deciles, #.ae transfer incG C could i7 'nit In rome cas;es 1lp -o ,0 p

cent of regular household one,

Although these trans.fe,s i o r t' iry important, they have

proved difficult to study. This is becaurc, tr-t:i-'Itlons for many or the

transfers are deeply imbeddel In so ia1 m,_:<al cr unwritten family rodes.

many cases, the recipient doei nct iienti!n i '1 tl ; 2 ransf ers when qttesttoned

about: sources of income. While t;is ls 30t::Cc. iss because the notives for the

transfer are very personal, at other times i1 is because the recipient doeu

not look upon these "gifts' as part of hb.s .; he: income. The objective of

the present study was to select a ntimber of t'h .>pparently poorest househol;.s

in Tondo and to conduct case studies to descrlib, their "survival strategies"

and t:he ways in which they interact withl these. "rupport networks". The

studies very clearly demonstrate the tremneniou3 -.portarnce of these networkzs

as a form of income mainternance, 3S Lelp In tiMeS of emergency, and as a

source of capital for investment in housing or snali businesses. The netwot-ks

are also shown to be very complex in many cases .ithi & household receiving anco

2/ Dani Kaufmann "On. rhe dynamics of house' uold :.rcome formation and theincidenca on expencditures among the urba n poor in LDC's." Urban andRegional Economics Divtsion. The World Bsnk. June 1981.

-- 3-

gi.v: .g ti ansfer's Wo a 1 rge number of 'cin £nd non-kin. In lgenaraL, the

stmu( `Es reveal thu robu :tnes3 of thle Failippine family whi2h clearly ererges

a'. i's° Dnst inpcrcant s.urce of a5.sistance. There are, ho~,ever, frequelt

rtfu-;tnzrs tc help rece.ived :Erom meilghbors, friends and influential local

paoIl ae.

Thc: study provtdes some very useful. insights for ;he uirban planner

intc the complexities of income fnrnation and the tremendous difficult:ies of

try:L.lg toJ edopt income :rtveria i.i the definition of proje:t affordability.

Mar7i househiolds with li±tle or ro earned income have been receiving regular

supy.ort frtm pareats, brothers and sisters or children. With this support,

the- wou> d seem quiite able to meet project payments. While the studies

pro-lde s caution against the use of oversimplified "operat-ional" defiritions

of 4nmoi.ome, affordability and acce3sibility, they also suggest that an urban

projeztt ;hat understand3 the dynarics of the network support system may be

able to tz.p considerable new sources of investment for projects such ais

houtiag ox small businesses.

7he study also provides valuable insights for the social scientist

interestel in the study of network support sys.tems and survival strategies.

In Additi'on to demonstrating the diversity of sources of support, the case

studies also suggest a viable metaodology for studying and quantifying the

importance of these networks. By .ocussing on specific issues, such as how

houce im,rovements were financed, who helps to cover basic food costs, and who

can be asked for help in times of emergency, it seems to be possible to direct

the rasspcndent to think about the dynamics of these support systems and the

sitUations in which they apply. Of particular interest is the analysis and

comparison of the concepts of utang na 1ob (social exchanges which imply an

:b'. 'gati on. to repay when th( reed arises) and mtalasE. it ;'pi:ior to Eo mon

na -Le to hlI.p them!ielves ar I lihere no expvct t c,r rep' i, m ! .s :x ea :ed

k -viimber of exar.pleOe ai:e giE -r. to showr that. subtle sociaL pr--;su;:es regila;.-x!

thie elteent to wh-.ich a persom is willing to accept a gift t:lr u:;h cl'? malasl:J..

3yfsiem as this .roduces a SL iEe of shame (,hiya) .;hich is urue example so st-oi,;

Lhn;: the beneficiary felt u-:ible to visit the persor. fron twhoTa h, hac recetired

the gift.

It is telieved that the study of theEse support nin:wo,k'xs w:iL. provlde

bot:n operational and theoritica.l insights into thie c.ynami-s o.i u.rban

poverty and strategies for its alleviation. Thia report a one of che Lnicial

studies which are being prepared as part of the lar.ning of a ccmparatile 3

counltry study on Support Net -.orks and Survival Strategieis of :he Urban .oo;.

This study will be conducted by the Urban and Re3ional E n>tlo7mics Divi$isn )f

the W4orld Bank in cooperaticn with local research organi:zat:i.rns. In adlition

to the Philippines, it will also include a study of Kenya and Coloml.ia. T'he

first phase of the study has begun in Colombia, where a rz.search proposal -as

approved in October 1.981. 3/ It is hoped that ?hase 2, encomnpassing all 3

countries, will begin in 1982.

Michael Bamberger

3/ Patterns of incoLde formati:on and expenditures in Cartagena, Colombia".RPO 1672-57. Approved by the World Bank Research Committee in October1981,.

-5-

I. The followin caeIi -tudies forn p rt of < larger cEfort to evaluat!

'th ! ttlpact of the Ton o Fore1iore upgrade.ng projett on the target

pol uILtion. ItL asses lng i:h., effects ot- a project such £is this, one of the

moce :ratstarding concc rns s to etstablinlh the degree to whI^ah the populatici

ha,; a:-cess to benefit. froau t:he project, ard the extent to vhich the

polulAtion can afford to pay for them.

2. In ls79, a s-:udy at-ried out by the Research aad Analysis Division oE

the NLtional Housing uthoricy on the incom.es and expenlitt;res of some 120

faailLes shcwed that t littlf over 27% o;' the household piopulation may not ze

able to pay for the monthly charges. This segment of the household popul.atto1

was t:trmed "high risk" as it was expected that they would be caughWt up in

arreaes when the pericd of collection cornences.

3. The income and expenditure study also indicated that a very

significant proportio. of the average monthly income was attributable to nol-

perio3ic and intermittent sources. These sources of income which fell outsLde

the boundaries of regular and expected origins, were responsible for

approximately 11% of the total average.

4. Although the exiseence of extra-regular incomes was previously

anticipated, the nature and relative importance of these transfers take on aewr

meaniLng in light of the study's findings that a significant percentage of

households nay find it difficult to meet monthly charges. The cases presented

here can be considered as an extension to the on-going income e.nd expenditure

study. In general, thF case.s were prepared to provide a descriptive account

-6

!E s rt t rane ft rs among some oF the poorEst: fatr il['s '.:i Tonlo and

.! [t: -.;o -ciJltura] and environmentli mechani3as t:ha: 3akc t:he

i f2 rr ol b'e.

"e f! .m 1i: sele:ted for this descriptive 3tUiy iert dr.wrn from the

* hi:: (1l :.pr.artrl in the on-going study on family ineome:3 and

W,1n : t. tl. A; d;Lta oa these items are available -nd the .. reeL:eristi:s of

e 10 : 'r. .,' inotwi, selecting the poorest families was a r!latively

k.I tl:zl m?!;-d 9ruet dure. In addition to families wfth Jow tincoLie, inforiant

' ici llS.es vrt -;eLec:ed on the basis of such characteristics as seausonallty Ln

t :'> r~ ;>CS>< rrner'-i occupation, absence of other workirg .Eamily aiwmbers,

se'- )' sb2 J/ilrab~r of dependents, and other qualities that wculd outwarilly

C, e-t: L'..t -he faa.1y was in a very difficult financial -osition.

Mhe l zr, data-gathering technique used ia this stidy was the

u.;s-:1UCt1:i»-td In-depth interview. Although the major informants ideally should

1a';.. 1-'eer ilhe heaed3 of the household, this arrangement could not be maintained

r.ue tc, tele a-.-ence of the husband, who has to go to work. The cases are

pre-;enter :.n ..i chronological format, with attention being ;given to stressful

events Iir the ,:arnilies history. This is done deliberately as part of the

'ill;'. rue hodology in gathering information. By providing a chronology of

t;te raJor ren1:s in the individual cases, it was hoped that the (Iramatis

ne 1.. e colmd be firmly located within the temporal framework, and thus would

not cu.ly ierMi..: the examination of the continuity of the transfers, but also

recngmv*.ze the r-elative importance of each individual involved in tlle

71 7lihe -taphzsis given to stressful events in the life of the informant

arnd Aisl_.er fatlily is largely a result of two part hypothesis: while the very

natu r oi r :u ew,:c .i : :1:: I :- 1

maihtenanice of 1. ' I I 1: ',, C'

Twhich the im.porti-ni. .n! i 1 i

admit ted'ly a,zt:ho:Io . : 1 ) . j 'I-

to carry out a ftt1l-]cl:i i?flr 7.-. -r t.. o,I fL : Sa

deficiencies arsixiu 3 fO:i t'.-l r-t lt:, ar- t ' I ^er U , .A -

traumatic events may ha un-pei,a;ai v' tZ: i:: a1 U,' di -,

is talking uo her tiza.; with lon,g .in' frcO.rt-A's anvC:sa.-,r:i C Iz'. .1 ,

to get on with the h,u:3wor;jŽ t-I0t a dolbt j arJ i:rqpO:a:r; t ade

to be made. Ho<wever, by iilolatlng Dir concŽrr: *Iit s :--i ,:'1: 7na1

data could, be surfaced than what c3':id have iterdisa h-au gS-.ir lzeJ i <A

lines of inquiry beeni loose. A genealogical c-irt ii sJ-iiel., h 111>

the cases as a refer ance tio nar es 7 the Xl.oa !:lnts s4 b I v'- "''-s') I '' n.

affinal relatives.

Harboi t' '. -. ;,)b, i 1e5t. Ipcl

came t. 1 M1:.i 'I.r? ), zo: :Eete 4ia iL're I

Espa:2&- sl tri: t L n 1936 95 b an rc1 d 1 1 J.- 6 'i62. At: t.be tlm,

Emilirano n t-e~ .spse2: oz .he 9o.. !,iot -whie'l ,-s -. i. and he~ - c Ltives

transferred.

7mll,ant d :i{-Os :a _ere :.r'__di!i I `Y t, .:t ch(? age o.: 39 and.

she at:. 44. a. l:1an r WaS 1 'ii e :i: r OIcuS rnar-:ilge,

while Hosotica ',a dabt, r oy her firs. irriage, '.aey continued to 1'-re

in De. Pan foi a while, t_e: .:ovod o a rL':le"sx- ¢-- r.nted r tcai. They

lived in San Antocnio St. In , and, thon wifvi a:'Cs tr.- oi F,spi-ia in

Mandaluyong, thenr to San Andlrea for 6 Mronths. r:aT> ,i g bactk to Tando, thKf

lived in a rfn-ted roco in P3v'a Extension far 0ver a 'ear. In 1966, Emiliano

heard froa E frIen1 thal: to7-eone along Fa.n SYtens. .ans selling 'his

house. Eridliano anl Hcspicia bought trhe house for P') out. ol their savings.

Frotm '938 onward.s, F.njllano workedi at the p'r i-E; car,"o handller. In

1972, he ffejl from a planrk and landed on stf~ei 1lt'.-'i Iiha acsident left him

with seriotus end permanent injurtes to his left 3houluIec ard so)inal -olumn,

and he retired from active work shortly after h. was -e..eased `rom the

hospital. The company tor which he worked, Ltazon Srev*ilorlng, paid -or his

hospitalization expenses, provided hiin with a srall aiournt of ?.1,300 as

separation pay, and a monthly PI00 dia2ib-?ity Fp'isi cn. Akt the time --hat he

was emploved, -millano ea-red fr-m ?77)--PICO a wetk.

Hospicia formi-1r ;cld -',

(Soler street), and gross!1 nbo! :-

PIO daily. The capital f s: thi. i o 'uti -- r ' ' '.

who was convinced by an uac:1e (aL ' tart -. '7

profitable. The clgarette ard caniry ;V2ud 'a': :i l n ft rrt ,

hardware store; permissioa froTr tho 4:i3nev:lor 3 s-ew: Wt z1!

help of a sales clerk who -a also Croo iHospici's ard -r-c1^ :.j rO'.''.

Samar. Although Hospicza began the oIus ness in L'64 sn (Vh:i. ,l , t3e

shop, when their vacant house was broken :-Ito in 1972 ar. a -:r^, rriv Pni

in cash and a clock were lozt to thir.,es3

As Emilio still requirdcl attontlna for t-ie injuc4r; he sh r inel,

Hospicia permanently termliated her business. The P1,300 E-.lic k "-mived

separation pay went toward household needs and theŽ reatal of thOir !n;se,

which in 1972 incurred damages in its roof and wallr :hea re48hUoeors st,o.i )n

the roof with pais of water to combat a fire. Th2 (eI1cataeim sp,rt a 11!:t'

over P400 for materials and paid 2 carpenters 120 a day or ' dc,JS tr rep.3ir

the house.

Fanilv

Emilio had 4 children In his previous marr'age, ornd Pospici.. had

one. In the course of their marriage they had one child. All .i cŽmildren

are married and have relatively st: ie occupations. A1tilorh orn.y E:1-L o :cnd

Hospicia are the only occupants of their house, and they ta'We pains to avoli

unnecessary expenses, the P100 mo-nthly pension does not je F'r. What: sustalns

thent is the constant flow of gifts in cash and in kInd fram their five narrfef

children. These gifts permit this elderly coupld not only to send fir

esrentials, but also to set aside some savings.

-. IC) -

' al:t ' .~ I! 3 '2- Licarne's e I dest: daugat !r, ,I is ir. cried :) a

7 ^¢ :: -: . tl -..:-"!.ly in Saudi ArabiLa. ler h .-iand arns a 3ub: :i,..]

tw <LL'hih, I hc' s r !afmPted to the PhLlppires i..- requ-' red by Lab.>.

.. ".2'_o ch.:. amzjnt has been used ): B-er;-:1iz ;3!. capit:il tD

,l!'-t< .-er ner eitd,v ehr.lving eatery, which lhe 17 set up in '>r

i, n I ia a tel 'an tt ehe ringe of l:he Tondo 1ro.j. boundaries). o ruse

s!W. 1i.2sg -lose: to hec parint:3 house and operates an -ltery, Beatri;:

-'r9qL.I- ly geus5 one o.l' her children over to the (el±c.rcaoe -efidence Zo I:U'{g

"'vd s:; other consumables. Although the volume givtit varieFs, it iS of

I-- f .f auuo'int : and frequiency (4 to 5 times a week) tfo suplly mos- of the

,-ulie;.<s need3. A 'delivery' often consists of enougWh prepared food fc'r

hr uc-h :vd -upper, afid is sometimes accoimpanied with a smaall amount of moewy.

I. 0t177 times when Hospicia does not feel like goin-, tO the market :o buy

food, fh-f sinrply drops by Beatriz's eatery and i3 giv.en food previou31y

preparnie for customers. As a result, the Gelicates readlilv Rdmit tblat t:hey do

not sts,T,d so much for food, other than that which they consume for

breakfast. Beatriz also drops by occasionally to visit: her parents, sometinmes

bring-a.7 a gift of money with her, or a household iter that t:he Gell,ames

could us-,.

Marciana, another daughter, is also married .o a cLnstruction wcrk,er

stationed in Sau.di ArabiaL. She, like her sister Beats'iz, receives a

substantial arount of morLey from her husband. Marciana and her famlly ut;ed to

live very elose to her parents' home (Rawis), but have recenJy set ap

residence in Sapang Palay, one of NMIAS resettlement irnas. Marciara has

invested part of her husband's earnings in improving their house and ir. t,-e

purchase of appliances. Becr-use of the distance of her residience froa tl-ct of

ItUtih~- 43Pl'.taan_*mH__u___illsv__o__ni sr, , ~ l h-. o r.1

hei l a t M: 3. MarcL, ^ .-n. wi . t ( c4in y. Prior to h.?r

tr's;! t'C i er Efa..11,r 'y ;-e ,: mh ari i ler -'-iIdren spent a 2 t of

time ;e- t CGelU t:.es [le. - , :1:.s il o frtcu4 nt,d h- r former house ii:

Raw ii , to -. )k af : .hR .h:i A!-ifn tr 1; t:e ta lk R Icently, the CGt:Lcames

have t.ken L visL: tri >i;rrc±:i. aLVi d t iy 'n S.api-nnj falay, spending tLo to

three cayI :ere th c- o mr : ?i f I:r Lhe h ri o ns fa.r bet wien visits by

Marci.ati. Varcia-ta giv !, th: visit.:..ne G.AicatLes rome nsney during these

occasions, oitensilbly fc- thcs! bis !nVre bc'c. to Tood,), b,;t the amounts are

clearl in excess of xh.t is .ieede`. 5> -tcennore, '{ai'c1ana gives her parents

money or groceries whenever .e co-ts to~ vtsit-

Olympia is tC-e Calicime's t:hir-i diughter. She is married to a

busiriLessman and resides cm Clavel Street, within th%i 'foodo district. Lilke the

rest of her siblingas, sl-e finds tisne awav rror looking; -fter her own family to

drop by her parerts' residence. i.e zn,ir he~r Vusbkn,l ow a farm in tne Ilocos

whIch provid! her favily vit!h acdit:;onal i-7xcore. Every harvest season she

gives, her parents a supply of rice that .a:3ts thu GCel.cames a month ot longer

(depending upon the other cortributtor.s if the Ge:Licame's children of this

part:i.cular consumable). Seasonal produce o-f the farm also finds its way into

the Celicame's fo'dl stores. In addiCtion, Olyripia's occ-sional visits are

instzances where sbe hands her parents morier. Th. amoun, often varies and

seems to depend on Olympia's perception o I'-. bro.l' .:et parents need cash.

The Gelicmtmes own a stLull parcn- if la i he.ar, which is part of

the f'armland that Eziliics great-grandf- h-r * - ttu relatives. Other

than what could be retrieved from a few t Lc'e .. trees, it produces

very little. Their daughter sarra looks after ti-is smaii piece of land with

the help of her husband Jesus. Narra rarely :comes to Hanila, but stays at her

- 12 -

Darents- house when she visits. As she takes care of marketing, coking, and

other housahold chores whenever she is around, her presence in thei house

permits the Gelicames to go visit other members of the family. Whatever money

she can spare goes to purchases for her parents daily needs.

Another child of the Gelicame's lives in Samar, but regularly

commutes to Manila to purchase iteus for a buy-and-sell business. Mar;jorie,

Hospicia's child by marriage, comes to Manila two or three times a month to

purchase a variety of goods. She sells the goods in Samar to clienLts who pay

on an installment basis, and realizes large profits from her transactions.

She or her husband Luis stay with the Gelicames in che duration of her

business shopping, which usually takes two to four days, depending upon the

volunme an.' type of merchandise to be shipped back to Samar. During thfer stay

they provide for food and other necessities, in addition to some extras picked

up irL the process of shopping for goods. When Marjorie or her husband leaves,

she nrver fails to hand over some money to her parents, 1owever small.

According to the informants, Marjorie typically gives them P30-70 each time.

The Gelicames have two sons, Guillermo and Pio. Guillermo recently

moved in from Samar and :ives very close by to the Gelicames (CP Garcia

St.). He works as a stevedore in the piers. Geographic proximity permits

close and frequent contact between Guillermo's family and his parents. There

appears to be little monetary or material exchange between the two households,

a Guillermo earns just enough for his famil7fs needs. There is, however, a

sufficient number of occasions when surpluses (particularly food) in either

household are shared.

Pio is the only child born upon the marriage of Emilio and

Hospicia. Pio lives with his wife in Baesa, Quezon City. His oarents very

rarely see him be:a.,se n:s :: n -

construction sites. No -' ilN .vi f i': cLv -

has been made by tthe Infn;:n::;.

In 1973 a fire s t; o :1 o -;, I r - 3 2 1.i

to the grouud. What: mat Žr t l -r, K l' . ih e I1-' v - , e ' I.,

makeshift structure with the lhel: ct the ff -l]y ':.I";

into the reconstruction proce.-,s as ;xuc:.2m-o' . they < soare it th;

momen.t. No exact amounts cotild .le- rec:Ul -J by infors-int.. Iu thsy pl.:-

initial costs of reconst :uction at LSroCIIn(- %)CO. The bZO;SO 3 been s51.i1 -

built: up over the years, the 'losO receut: aditions bei;.g s:heets f

galvanized iron roofing costing 22L40.

The Gelicames are orpen .-Ld ex)1i.ci.t allout haVrIl;. tzgSs ^hi

have in a bank deposit. They recognizo. the f.a-,: that t : -Sving3 ar2 m-

possible through the handouts g6-ren th2-n b'. their J" lc;r'i., anJ are cc,

that they can use these savings for t:he developiewn: &hatt v flDr the To.:

project.

MONDfl'LRES

& uR.ni Le El'd t.1:~ a e . Li: za $t ii 1] !-; i r. a house

that rouylWly tb fsur< ie l,t I vely new and

made of ;oodt, Iti v-~l 1 1 'tl1- -- cepti,: karosere stove, a

radio, and an alectric f.l at , v; . t ' - .wi ;heneve the

Mondareses have Vis,o ,q .ey :cvro' C. u>2lpe of 1-;-: .'rovn tthe family of

JuanLto's brot-her, w;ho L.s a rtei7hhor.

Lucila is i:he young3f child i ' 1 f-.mily cif ' uilI:et. As the

youngest girl, she was parrpe:^ed by hqer ac,ent q Rnd lib,: T,'lings. In addition

to this, she was alNays sic-Ly, arld hs d >:cr fatrnlry s t,tI tion el:' the time.

Her Eather worked in a brokeragT flr.i, Thile her 3,,>ce -an a s:a1l business

of preparing and vending fooxistuifr-. T Ier lived ir. s tited house in

Bluazntritt, close by the pu11i mnar!<et- tuI-.ls aod r elder 3i.sters would

bring the turon (fried banamna strr'ps enrlsed in fl,ur ) tiat t.heir mother

prpeared to sell in the offic-es a7on, E,colta stref.t nts was where she met

Juanito, who was then earinz, a t±vIng )y selling swme-srakes ticlcets.

Lucila and Juanito were iariiei in '968, irEgli as a result of

Lucila's refusal to go liore Lft-r belng punished by 'her father. They were

both unprepared for the marriage: Juariito's ieager i3arntngs co'ld not support

both of them, and they had t., roie into the house o re Lucila-s :amily

lived. Juanito wa:i then 27 years old, -nd Lucila was l5. They lived in

Blumentritt for a year, supported entirely by Luciia s fAmily, the members of

whom felt that the youngest glrl of the family needed all the support she

could get. Practically all vf Lucila½ personal needs were pro%vided for by

her parents and her siblings, and Juanito made only iominal contributions to

the household finances. Lu:ila gate .th ~:o hi-r f>l:t chill1 Ln Blumentritt,

the expenses for which were assumed br hter amiiy.

After a year's res_dence iith Luctla's kIn, the Mondazes moved into a

room in Sevilla street (in zhe project: area). Their new home was owned by

Juanito's aunt, who allowed them t) occupy a room for free. After two months,

they transferred to the house of Juanito's father in Pavia Extension, the site

in which their present house now stands. Juanito drifted from one job to

another in an effort to support his family, but was unable to earn enough to

meet his fmaily's needs. His father and other brothers who were employed

helped to tide him over, as fostered by the commural arrangements in his

father-s house.

The conflagration in Tondo in 1972 left the Mondares with only the

shirts on their backs, and Juanito could not turn to his family for support

because they too were desperate ior finances. Juanito and Lucila were forced

to move back into Blumentritt (Lucila-s kin) with their children. Juanito

shuttled between Tondo and Flumentritt for about 3 weeks as he assisted his

brothers in rebuilding the burned house. Juanito's father at this point

decided to subdivide the lot that they had claims to (about 130 sq. meters in

area) among the four brot'ners and their respective families.

Juanito assembled a makeshift structure out of some materials

salvaged from the fire and from second-hand items he bought with funds

borrowed from Lucila's family. He was assisted by his brothers in building

the house. With a little borrowed capital (P150) Juanito began to put

together merchandise that he sold house-to-house. Lucila and their children

moved in from Blumentritt soon after their house was built.

In 1977, Lucila's father retired and received a substantial amount

frcmI the cornpary he noi!- !. d r is pa.l A :iI--, 5: -A. s

Ju,anirt -ome P3, 'CO o b0 ' s e:ter hiu . - Jupr'r) ut "! e.irt I'

nre,, hous. with the halp )f 'AS CrOtheLI:3.

Luci'.a has alwavs xeen pi.aIL ed w 1 th un:1 Ž; e:Rie --I

a3chma, liabet:es, and ul.-er-) anad is often hospiteli2:e. D.irIn:z-±

she hRs 'iad to undergo tcceatcent twice. ihe reports thar :Lo i Cir .7zeF yea:

she has (:o be confined 3 to 4 times. BecauS3 of hezr SuuSCpt':tlii:i t:L-

ill:iess, Lucila does not do any of the house work. She heados iYr :l: ma.'<i:

in ,:he uw,rning to buy fo)d, arnd looks after the children the r2st r)- the.

day, Her husband, by cooking meals and washtng; the fn'imily's c ;thes, do, s c,

housework. After lunch, he; leaves to peddle flashlights ;.nd othe-. assor!edi

items. Wllithout a definite ;ales route, Juanito takes hl trarle xieo ever h2

feels he'll make a good sale. lie comes home around 7 or , p.rm wt:i foorl for

supper.

Lucila's poor health and frequent hospitalizaticn would3 1ie 1og

paralyzed the Mondares had it not been for the constant *-inancial ai1 mat eriaL

support extended to them by Lucila's family. While not 'e1-o!f, Lher brcther;

and sisters are all gainfully employed andl hold down stable JObs. rwc cfI her

sist:ers flet aside a certain a3wunt from their salaries each cnonth c piv to

Lucila. The amounts vary, but Lucila reports that these rmonetary 4tfts

provide a substantial £mount for her children's needs. Ker other siblir.s

frequentl.y stop by the Mondareses' heuse to check on her heal.th and tc extend

assistance. Lucila receive3 Nulti-vitamins, food suppletnents, and meclicines

from her family, in addition to occasional gifts of money from her brothers

and sisters.

- L7 -

' volume of 3ifts Lncreases when Lucila has to be hospitalized.

l,i : s and sister.3 assnme all the costs of mdlical care ard med'cines.

1, ifl.; ihkt. Juanito caanot afford the expenditure:;. Juanito rErely, if evc-::

-Lt! ;clla when she is coifined. The reason fo this, Lucilz says, is

{. *~ l'Nahihiya siya sa patailya namin" (he Eeels shamed in frcnt of my

1; 1 * AsE it is Lucila's brothers and sisters w'lo watch over her during h-e?

[or 3 Ff confinement as veLl as pay the bills, Jitanito avoids any face-to-

n intact with Lucila-s kin. He similarly avoids accompanyirg Lucila to

'-3ae.rrttt (where Lucila's 'kin live) whenever Luc:la decides tc go visiting;

The Mondares recently receivad a radio and an electric fan from

L-'i:.s5 brother Juan, who is a seaman and who jus: arrived after a tour of

y broad. Lucila also received a sum of money -rom Juan as a gift,

al-holigh she declined to specify how much she was 3iven. Even vhen Juan is

Drir o th.e country, his wife Babes comes to visit :he Mondarese<. Accordinj;

t) Lurila, her sister-in-law Babes appears to be uader Juan's itnstructions

citaok on Lucila-s welfare every now and then, and :o hand over mloney as the

n{A n-ises.

Not a month passes that is not marked by t visit from Lucila's mother

o- elder sisters. The eldest sisters, Nenita and IJorma, are the most freque-Lt

vAit(,rs to the Mondares residence. Nenita works for a travel agency, while

ti ria is employed in a trading firm. Both are spiasters and appear to be varir

da'pl- concerned with Lucila-s welfare. They provide Lucila her monthly

3.loiance" which is augmented every now and then by another sister, TeresitcL,

wiJl works as a secretary. Lucila feels she can always count on her sisters

N2iriti and Norma for aid, since she says "wala namian silang pamilya" (they Ice

ns, have families of their own, anyway). However, she does not seek the

- 18 -

c .!Ea . :' ': a,- .: I he !mmbers of her family extend her the aid

i I inl r.I-- a .¼rip:n - 1-. It is as if there is an implicit understanding

,i icng L: l: I !i b iirgnd 1 li_ iividually and collectively, they should help

C,it a!;:v a,i t:'IE' can i btle Lucila does not solicit the assistance, she

hLi! ilL ily! t Oi,. & c^rte tio expect it. Her youngest child Roselle will

h !:n a:t.u.MEit.dL %uolo. rt yi er, ancd Lucila feels that the added expenses of

tnl..iALg rnrther -,t1d rc.oo' will so ehow be offset by the gifts she

r1,rtilre, --rc he* :lll i. 'Alam naman nila ang kalagayan namin". (They

1.;iim irh-. .ur s3':ti;.tion likt) she points out.

PEW._J

'br'1:¢ in .) .i >'fY:.I ,, -': . . - ' bo ir to Buenaventura

Per L.'.- . I t t 1, 1J, 'is 2 I ' I. 'C4 and was the

PI,LJ- : 3ae y . e1;r tly, and tended a 8-hectare

Ccc 1Si ba.. II -;:1: '1Y-" iii V. l Tht C sit, .A I 'ay.

CLI' -ma Ms:I La tila Is h hie id c E 1U r U ildre.i of Gregorio and

Ga,-ina I lot. ',Te 'otTheL. s iwed it. Di,r ,gs Allba. but aoved on to Castilla,

Sor:iogn: icr' n3 i:te ttpa•wsr.s:'cc'iparIos '14Th7'"9/A', Sho, like Roberto, came

from -aI rf Trring J.Mi.ly. ;.ey ,ved and 7teda 12- l?-ecta-,e farm.

lobirto stcdited In tce saui.a eieweqtar -r ,ool that Filomena was

a:tt':ndtr:i, and wiera acq':a!tsrccr .hen hi - s '.ni 'n de 2 After graduating

frois .ade s.hoo.s Foe l'-red n:. Sorsogo., to i:tera hi.gh school, but midway

thraW,ugI 'hL:i yer r M e w. I 'It :edt to stop scho:.+ ',i'h a po'aerfui typhoon

devasratai his pareat-` fart. Without hIs parenej' earnf.ngs from the farm,

RobeŽrt:) :)ulc' nct keeo u s wt'_i .bhe morthl.y unjrtailr:ents he had to stay

enroll1d In scho.l)].,

¶0e w.as offered a st'f.alarship by a retiv&' VI:ente Peralta, then a

Congreis1ian, b1ut: Roberto's -raents refused it for ' !ar that their son would be

exp}lo!f. :e I Roberto felt. very sorry over this lost )pportunity, as he wanted

very arich to continu.e h±S stui3es.

- 20 -

In 1.956, -oberto ret-.rned to Albay to work as a trechanic fc: i bus

company. He naet Xena in a public gathering and they did rot scl eaon ther

again until much LLter. Roberto and Nena were married in June 1959. The

marrLage was agai-it 13na-s wishes, but her father favored Robe.to aId presSed

Nena into the wedding.

The marriage got off poorly and the couple frequently had quxarrels

resuLting in a separation. The Peraltas were then tenants in a small farx,

which Roberto left. in Nena-s care when he left Albay for a Job in Quezon. .n

1960 Roberto landed a job as a heavy equipment operator for a firm workinj or

the Angat Dam (Pampanga). A year later he and Nena worked out a

reconciliation and Roberto brought Nena and his one-year old son to -he

worksite. However, one of the managers of Roberto-s firm took a fancy for

Nena, and Roberto moved his family back to Bicol and quit job to avcid

trouble.

From 1963 to 1968, Berto lived alternately in Bicol and Manila,

undertaking an assortment of jobs. He stayed in the house of his aunt

Crisanta whenever he was working in Manila. Berto worked as a driver for a

truck;ing firm, a porter in in Divisoria, a bus conductor, a typesetter, and a

factory worker. Between jobs, he went home to Bicol.

In April 1968, Berto brought his family to Manila. They lived in hie

aunt"s house on Abad Santos Street for free, but paid PIO a month for the

additional consumption of electricity. At this time Berto and Nena had 4

children, and Berto's Aunt Crisanta would often give them prepared food

whene!ver Berto could not find employment. He was then workine as a carpenter.

- 21 -

To augment Berto's income, Nena began to sell boiled corn. Sht

started the business by borrowing P10 from Crisanta for capital, aid turred a

daily profit of P2-4. Later, a neighbor convinced Nena to sell 1uLaw (rice

porridge) instead, and Nena went ahead with this new business venture. Vtth a

capitalization of P20 a day, she earned an average P30 in profits.

Berto gave up his ,ob as a carpenter to help Nena with the profitaile

business but later got a job as an assistant to a vegetable dealer in

Divisoria. He earned P10 to P25 daily by disposing of the produce brought in

by the dealer. The combined incomes of Berto and Nena enabled them to

purchase two rundown huts for P600 in the present Super Block 12 (Project

Area) from a man named Dolfo. This was in June 1968.

Nena continued to run the lugaw business from their new resid:nce.

Berto appeared to be doing vell in his job as vegetable distributor, but

someone envious of Bertorc success was irritated enough to stab him. Berto

had to stay home for months to convalesce, and he ultimately lost the job.

During thia period he began to undertake small repairs in their house, using

his carpentry skills. Nena's brother Antonio arrived from Bicol and helped

Berto carry out the repair.

In 1969 Nena gave birth to their fifth child. It was a difficult

delivery for Nena, whose health during the pregnancy had suffered greatly not

only from the cooking and vending of lugaw but also from attending to her four

children in school. The complications from the delivery forced her to stop

the lugaw business, and she stayed home to care for the children. She shifted

from cooking and vending lugaw to the manufacture of bukayo (candies coconut

shreds), and she also began a backyard piggery. Nena earned P15- P25 a day

frcon vH.I[ 'cg th.e -yo , iatd t-'e sa . p: c- r) gs v i- C-i 0 :

prof:Lt.s In the m,.flnt im:e, 'rtc %.'9s eiTpL:yed i n.: : .":I-' :r -.

a ci-I-eiitsr.

3y ea.rl' 9171 the vi I tai. abere Ib- t t * a -

out of f.3i:ily laa.'fgS. Ia Aprl , hot,!ever, a c-nf ½agrli o.) Ln r ,t Pera;Lt;!; residence It took tht Peralt.1s i year to coa stru,ct isst

building progresiOlvely from a small hut t'ney cutstruc:: C!d fcer :1.

Nena CoTItinued with hkr bukaV lo iiet'sn inti' . , .ilerin tl fi s

price of sugar forced her to 3COp altogether. he conir.iniid ral-;si t :.,1

in 1978 she sold the last batcn for P200O'. tln 'ate 1979 Bcertc *--

Saudi. Arabia by h-L3 firm to w:rk on a project that hic coraJanl *B . .i

to carry out.

The Tnco.n.e of the Peraltas comes froni thrae -;ources. 'le a . s

crochlet work foc PlS-30 3 week and collects rent fromn Iwo persoins r v>

P120fmonth as well as a 2ortioni of Berto-s salary, which nu-mounts

approximately P1,300/month.

The Peralta's ability to 3ave centers on nas iagenuit' C-i tg

down expenses, and at the same time devising means by Wh.ch icntoI ; i'-i

raised. Aside from her businetns ventures, shie encouragecd her -int. .rm -, l

items such as ice cream, cigarettes, and fried bananas. To enstur-t

did not squander his money, lena herself picks up hlis salar;, frcmn th1-

construction flru that he worked for. Nena report3 that this ena'l. . e- t

keep almost all of Berto's wages, and that onLy the pc:fitos she mn -o - r her

bukayo business went into their taily needs.

; -c: ra..l -.,: I al i-i t r i i n:. tla pr pt:r:td t hem t,

b , : oi, as ' 1layy ;- t.i ire '1.1i she h: ;.? sa i;nge set aEside.

P.r.n I- -r.:: z m l.a :e l' inttl2 t: einc ;. - .v- 1:he

r r, -k, .. ,: .i- Ta vrn i .ho .;imu 1. : ous h. .ta 1 i:;a Lonn : three of he:

cif Uiret ii:.- in o .!1: fat:ri` -nvtngs :s id orced > i Perai.t-.s t ) borrcw morey

ani' ~'tprI c 1C SO I; : S of a I J 3 tfaau-e.

Tr ;e.:n:) :z,ct t leei r hosee, a in' ge por t ion f w- '.ch '-..d to be

disr-arit] e- ! Ir reblockiia., t:'i Perallnn asked the 3ssis:anc.- of t he Don

Boscco Alay Faba; a,r (.' hou3ring a3ssUstan-e -.rogrann <3nii 2ed >- tVŽ Catholic

cler7y in T:rdo). tcok ouc loans from ',MA and te ; lolal .>ecuirit;y System, mnd

b-trrowed fro; t>'e .laughter *,f Berto's aunn Crlsa-n>. rogather vith some

sav4'.gs t:The Pe-rlt>..s were able co invest fver P10C,OO int:i their new holse,

wit'2 the 1-iik of the expeases (P7000) being slio.t1*erei by :he ilay Pabahay.

Tri hoipitalization of three of lhe Feraita zhilc:en (cn,e fell from

the -oof, oe--.P.. down tie stairs, and tl.e other aiuffered. pnerioionia) pro=mted

the '?Peraltas to bo-row P8MO from the Barnagay Chairman in their area. Berto

paid part: of it by working for chairman Salazar when 3alazlars hiouse was being

rec<-stxiiztn-d. Salazar, who also owns a ,,.rocery ;ad also operate: a private

power distril-ution f-anchise, also extended the Peraltas -redit during the

period tat Berto d,As not 7ez sending mone- from h'.:4 SaRudi Arabia post.

Xena is cc rrently saving as much as she can to pi'y back their

debts. Its cf the present sbe has, by her esti.3-te, only ? m0o nore to pay

bac!< . Ehe bas been crying, hrwever, to) raise P3O0f) quickl1y to give to Berto's

Aunt Crnianta, Tho badly aeeds it for a matJor surj;ical operati-,n. She says

she 'fee'.s obligated' to help Crisanta nol that Cr-santa r.eeds the assistance.

B] RNA 1f)0

Jullani (Ju.lt;) `eYr-tnlo, t :e yongest r s :

Cebu oni Auguait 3, 1937. Altbou,jh he, !. rer:ts qe2- t'.t.

provin1E, Ju:Iie :i pareLti m4graled to Cebu when h2 q-

inspector of a a'ifpp:tng IJne, Wis assignad to Ceb.t.

Julie's father- was kilIed ly the Japanese o fca §0 .,,

the war, and when the veirs of liberation came, the & Uorerritc o ]-L- :i

had moved into Xanila and had found some form of e:rplc-erc., \s 11:.< *:.; t i

youngest, she - ayed with her mother in Cebu unttl 19'33, '4h.a ,,i::st-,

reside permanently in M8aoila with the help of the nld*r i,>narfio chT tne-.

Jorge, the eldest and the most financially secure off sher'

spent for the constrtiction of a house in the Sevilla Fxtersim it: r n .

While the house was being constructed, The other 3ernardos, :li !,r nK'e:

Cat::Iti, and brothers Felipe aaid Delfin, lived wLth a farmnli lvtt: *1met 1

house very close to the jite where thf. Bernardo hoese wat; *>i. .

The Lacsons, members of this family, were very good fri-i-dE; T. r mA

a:Llowed the Bernardos to live oith them free of any paynent. T he '3e rn-:tr

scay with the Lacsons lsatid a r.ant after whic. tQ'.y cioved ilnto tie-:le"

built house.

Felipe and Delfiin, Julie's elder brothers, providedi For ':oiD

needs. Felipe sold cigarettes and shined shoes fDr a living In " it if t:a.

Cruz church. Hif. daily income fluctuated widely, but he narnlged

P20 every day. Delfin, on the other hand, worked as a t-

along Escolta. Because of his inordinate skill in playing iaama (a -atiant c'

the game of checkers), Delfin found occasional s-onsor who A:irtt 1dm ta t-cvn

fies st. d tt e ::1 iI : 21 tions. A: 1½ast once a month

Ate voult :o^p e' L: te f- ; d -- f1fd , a rciid rri n home P50-PlO0 as his

shars o-L : in7.IEy.

:ulies, e.i ;;ot :1 ;.g out: he -olher in the household chores,

attecn.:(( rO >se A-b S:;nr_S Ir't hool. -n 1955 she graduated with first

hornors. ihe di, not t!n arry inteirest rn go-rig to college, as she believed

at that tiire that a uzlleg. edticatiDn was not ve-ry important for women.

C-n the ye!ar - II;s graduatil.n from high school, her brother

Arturo a his --iamil7y (ife i.ydia and two childsen) moved into the Bernardo

house. .%rturo w'S a t'.ber, whl_ Lydia earned a living by ironing clothes

for cth.,r lamilies. Like 2)1fin and Felipe, Arturo and his wife regularly

gave their nether 3oney fzr ¢cusehold expensis. Julie's mother died in 1958

fromc bleeding uleers. The bullk of the burial expenses was assumed by Julie's

brother, Jorge, who was by far the most well off of t!.e siblings. The

remainder of the costs weri met by Julie's othe; brothers and a certain

Avelino Concepcion, a close relative.

Jjlie mect Pedro Cortezano in 1959, who was visiting his aunt, a

neighbcc of the Bsrardos. Pedro was from Catanduanes and worked as a

tailcir. They eloped to Pedro's hometo%in in June 1960 and were married in

civil rites In September. NJ;lLe was 23 and Ped7o 20. They did not have a

church wedding because Julie cLaimed that at the tire she was already one

month pregnant. T.e couple 1Livnd with ]'edro's parents for 9 months. Inasmuch

as Pedrzos fanily earned nore than enoug,h from the farm that Pedro's parents

owned, Pedro did not feel obligated to contribute to the income of the entire

horsethold.

h, .o tezans lr: -o e an r;o TU heir resicence

i. rute Sevilla ixteŽ'sn.c o e I.:L tLi :e-L. li:ed. ' t two story

hr.cse was d:;vtdeid anong `e e (o hiL.roe: <ul te ,-nd i,.. 'lmily occupied

tIO. grouni tL>or togeth-: wt-i 'eltipc-. whflU Arrturts and h-j- family shared the

s.2e,onad fl)or -,it-h Dfi. U.lipe gave Jlie P'i - Li a day .1s h's share of the

hollse expenses. Delfin, who lived in the second f1oor, h-d similar

arrangements with Arturo.

Julie-i husband l'edro worked c<s a dLiver and Was receiving about P300

z month. This wa augmeartd by Julie's inroroe fro-a working, as a part-time

seamstress in one of the Ahops in the neighlborhood. She also worked part-time

in a cardboard box factory nnd earned a total of P30-80 wTe-kly from both

jobs. She quit her job after giving birth to ttheir child, Amalia. Because

the Cortezano,3 wanted to live separately fromr the rest of 1he Bernardos, Pedro

built a small house nex: door to the Bernardo family resid1ence. Pedro first

hired a carpenter for a week, then later was helpd by his brother Elia. The

housse was completed in a ionth's time. It cost the Cortezanos about P1,500 to

build, and the funds were taken out of Pedro's share in the sale of his

parenits' farm.

Pedro resigned from his job in 196b and established a part-

nership with a friend in buying and selling usedI cars. Julie is unaware of

how much capital Pedro had or Tzhere hie 3ot it; Pedro once told her that her

coucern should be limited to how much he gave her. She received P600-1000

mont'hly from Pedro. Although Pedro was earning s lot from the business, Julie

did not get to see most of Pedro's earnings. julie attributes this to Pedro's

foo].ing around with womin:r. She rt al'; an incceen' Kere Pedro anl -ersel:e

came bome from a movie -c find Pecro-. nistress Sa.iel wealting is t;Ielr own

house.

The marriage eventually brok) up n 1969. Altthotgh Julie and Pedro

had separated, he occasionally cores in visit. Onv2 of the visits resulted in

a pregnancy, and Julie gave birth to Arnel in 1.970. Pedro gave her ?500 for

the baptismal celebration. In the sat-e year Juilie gave away her two daughter3

for adopi:ion. Her daughter Carided wa3 adopted by a childless cousin,

Consolacion. The other daughter, Erlinda, wao adopted ty Consolacioa's

broither, Avelino Concepcion. Julie felt that her daughters could have a

betiter life with her wealthier cousins than if they remained with her in

Tondo.

Julie singles out Avelino Concepcion, her cousin, as a major sour,e

of aid. Avelino is a lawyer and worked as a fiscal in the Manila City Hall.

In the mid-60's Avelino acquired a lot in Tondo in his name, which was part of

a program to provide squatters land titles. He transferred his rights to

Jorge, Julie-s elder brother. Although there was no written agreement, this

lot was where Jorge and the rest of the Bernardo family had built their

house. Only later did Julie find out that their lot was given in exchange for

a piece of land in AkLan, which the Bernardo children should have inherited

from their father, but instead ended up in Avelino's care.

In 1972, a neighbor precipitated a court case by building a store

within the Bernardos lot. Again Avelino stepped in to resolve it, advising

Jorge to pay the PIOOO in tax arrears to facilitate acquisition of the

title. Avelino also provided the Bernardos with a lawyer and advised them as

to what steps to take. They formally acquired the title and won the case.

IJlie .nte1- I rr I r: y vecfL i L i( rey f: IL ALer hisband. In 1974, upon

the g-s -iuata Lon o f ;r dtu;h:E!r Yo I).r E i ,m r-m *;ohoo1, Pedro sent P500

throuLL- the mai:L. -luL e an Ped1ro i tK t s: l ach other that year, and

she ha£ naOt heard FUon hin d.nce. .i- Ee., Jtii&: w althier brother, offered

to renel Yolanda to 3chool *21d took: hc1 uirder hr; a.e.

Of the o-Lginal rt.Inado fa-iiy only , i) now lives in the house.

Her brcther Arturo and hiE Pamily left fc:' Quezn)r ii 1973, but ultimately

setrled irn BuIacan. In February 1976, F1 Iipe d;e?'.rom ulcers, followed by

DelfiLn In Septenber of the same yesr. U.l I:hree daighters live with other

relative,s and only J'.lie's son stay:; wici her.

Since her brother'i death, Julie had bnfmn supported by Jorge. She

received a regular amount of P1.0-15 drily Sub'.-ting rooms in 1977, she

subdivided the house and charged P40-1,00 t menth peer room, the amount varying

with room size. Her first: renter vl.i brcught to >ler by Avelino, who still

visil:s occasionally. Her brother Jorge > :zut Zulie's allowance down to

aboul: P20 weekly, reasoning that Ju1es center:; provide her with steady

incozie.

Julie's renters have volunLaril- paid hlgher rents in late 1979,

raisLng her monthly incone to about P300. Ralat.ors with her renters are

good, and Julie has even bten able to borrow P801C from one of her renters to

pay ifor auortizations on the lot. As agree,d upon with Jorge, Julie is to pay

the amortizations, since ':t is she who benefits froa it.

Jsli4es eldes: Ivi ?i r tcrr ;s e: -t7 y 'e.-ura;d frsm Jorge's

hou3e, wiere s'ibe lived .n A7 § . l r!sorte! tihat she s.dl .-tn oroument

with Jorge's w:ffe, and .:;u1 t ril t oiIk oo back. Torge ,antsf Yolanda to come

back, buz Julie says aie ,r3fMrs co c re for Yolaitia nov. Jorge has not shown

up since.

I )

DISCUSSION

1. The role of kinsbiip ii tle n -t,7-ck of :uul:; assistance that an

individual constructs over Iiss lifetl-e im.y be l'kened to the hub cf a

wheel; from a tightly unified family uanit, the assistance networth touches

those! comprising other relatives, and fj.ther iutwards, other individuals who

may fall outside of the kiaship group but who nevertheless are important in

the system of exchange. The supportive -ole of the family as the principal

unit of kinship is well understood and does not require much discussion. The

exist:ence of reciprocal obligations that hind each member to the rest of the

family unit and a set of expectations that compel the individual to respond to

these! duties, is as universal as the idea of the family.

2. However, there is a wide variaat in the extent to whlich individual

members are expected to meet family obligations and to carry out

responsibilities. These variations are cullturally defl.ned, and a brief

disctLssion on the operating principles 6.s they apply to the cases is

necessary.

3. The extended '-amily system, in which the nuclear family is expanded

by the inclusion of other relatives into the circle of rights, duties, and

responsibilities, is a familiar feature of kinship groupings in the

Philippines. This is an accepted practice (in many instances the prevailing

norm) especially in cases where the newcorners to the family require a period

of adaptation to a new status, the locallty, finanicial difficulties, and the

like. This provides the newcomers with an environment of security and

closeness that they need to stabilize themselves and reduce the uncertainties

of the moment. Newly-married couples generally move into their parents house

a- they begin to .ad just to :te Zr l w rwl s; aai * crners o: the city are :a-en in

bi relatives unt:il they can es.:t.' 1. r; nset4x3 Ln taeir own urban ni(ch2;

provrisions are always mace .n1nw3tC transtent relatives.

4. A common residence 'oixld .n:L:3o mean Lle presence of joint family

arrangements, wrherein twe o- more T1Clear f0lt'.te:3 shire economic and ;o_ial.

obl:Lgations. In the evernt 'har a nuclear famili moves off to a separal:e

residence, the bonds previo.sly liuking it to the othe- family dtainlish, but

are not at all severed. A ,¢ntinuity La the rclatior3ship, both economic anr

social, is expected; in many respects the geo3raphic distanice separating the

families is an incentive to increase tha nagnitude of the exchanges as a

compensation for the reduct:ion in Frequeency of .ontact.

5. Joint family arrangements piermit the maximization of resources and

allow the individual families the financial flexibility they would otherwise

not have, had they lived alone. rhe internal movement of money, :goods, and

services, and the coop 7tile nature of the activities within the common

resiLdence are strong stabilizing forces that enable tae indiv-dual families to

adequately cope with stress and adversity.

6. The individual attnches a great deal of significance to his family of

orientation. It is the uni$t to which he is permanently bound, and to which he

owes his allegiance and loyilty. In the Philippines, the pernanence of

membership and its correspor4ding duties is carred to extremes, as manifes3tea

in t:he expectations of marrled children. Upon taking a spouse, tne

ind.Lvidual's responsibilitiots, duties, and obligations do not in any way

cease, but are merely restrcctured to accomodate the new demands of his/her

new family. Marriage in terms of family responsibilities, merely means that

the individual takes upon himself a second, but not necessarily primary, set:

1 2 -

of obligEtions. rie aiar-. :I Ii ffua'. 1; ih-.- e.c:e expected to always be

reac1y when needed, and tc : r t-nm es.t.onabIy -horn approached for financial

aicd.

7. The role cf the nuzcL!a :-inily asd otle.- zelatives in the mone;ary

and material transfers lies s:o :lo-se to the suriface that it can be taken up as

an assumption. Indeed, for any p:irticular a:amilv, the bulk of receipts can be

traced directly back to bene:factcor-relatives. The identity of the benefactors

could, as a matter of course, be oxtended to [n.ciude non-relatives, such a_.

spec::ial frtends and. individiials wh1 have come ?-o identify themselves with a

part:icular family, and have a.ssumed some obligations as part of their

ass:i.milation. However, uiespite the absence of "blood relations" between these

individuals and the! recipient famlly, the quali.ty of the bond is compared to

the element of closeness and mutual support linking true kinsmen.

8. Exactly wh. will. ultimatE.ly be invol-ved in transfer transactions is

determined largely by chance, but this can be circumvented by the individuals'

conscious decision. A pe:rson, after all, has no choice as to whom his

reLatives are to be. As such, the individual has to conform to cultural norms

defining relationships ar.d obligations among 'Kinsmen. Mere membership in a

family unit carries with it a sense of duty, 3 recognition that in a situation

of need those culturally designated to respond mulst do so. The performance of

this duty is most commonly observed within the nuclear family, but in practice

extends beyond this nuclear unit -o encompass r,ther relatives. The enormous

number of relatives acquired through bilateral kinship, however, forces the

individual to choose with whom he is to esablish closer ties. A conscious

selection process that assigns rel.atives into positions of importance is

necessary. The rest of cne's relatives remairn outside the functional segment

but are always there, ready to assist sho Ld the occasion arise. Contrary to

popular opinion, Filipinos do not indi;crinirately support relatives above all

others; the near-far, ingroui-outgroup dichotomies introduce limiting

factors. Recognizing this, investigator3 of the network of social obligations

in the Philippines summarize this phenomeron in the statement: 'Relatives are

important, but who is important is relative."

9. After having defined the boundaries which would identify the group or

class of persons likely to be found in transfer relationships, it is impcrtant

at this point to identify the mechanisms that regulate and maintain these

relationships. A limited analysis of the cases presented here brings to the

surface two cultural values of particular significance in the exchanges that

operate as norms for decision and choice. These two values are not uniquely

Filipino in the sense that differences in value systems are not as much caused

by differences in the individual values, as by the differences in ranking and

emphasis. Indeed, equivalent values are likely to be found elsewhere.

Reciprocity and the Utang na Loob Value

10. The norm of reciprocity and the resultant distributive arrangements

is a universal principle of behavior that occurs even within more complex

econDmic systems. Material and non-materlal items are given and exchanged on

many occasions, and though as a rule, no formal repayment of gifts is

expected, some eventual return is implicit. The return may not normally be

in-kind, nor is an exact equivalent be expected. Gifts are clearly for the

purpose of promoting continuing social relationships. To attribute these

socil ends to the form of economic t-ransaction is erroneous because the

economic transections involved can be analyzed independently of the social

3 *

context. Giving, on the othc: >r.d, servos ptulelv socia} ends and a stric:ly

economic analysis woull be Ir. d''atf.

11. Hollnstoiner (19t7' ! . 1asE:ifies rec-.procity in the ?hillp?ines lnt)

three types: contractual ricprocit.y, quasi-contract al reciprocity, ane

utartg na loob (debt of grRctt.ide) reciproclty. The third type of reciprocity,

that: of utang na loob, is of )artIcular signiffcance in the present study.

However, a brief description ,uf the two other :ypes would be useful in

diff-erentiating the situatior.i that vould supl!)rt the emergence of utang na

loob relationships. Outlining the featuces ol. each form of reciprocity would

facilitate the identificatior. of which specific type applies to a given

situLation.

12. Contractual reciprocity supposen a voluntary agreement between two cr

more people to behave toward one another in a specified way in the flture. Al

examiple of this is found in the case of the Farher's Club in Tondo, whose

members agree to take turns lin assisting each other in the constructLon of

houses. The members work Jointly on one house at a time, while the house

owner acts as the boss of the work group. When the rotation in the

construction of houses is conpleted, the oblig.ation of each member to the

others is considered settled.

13. In the contractual type of reciprocitr, the reciprocal acts are

equivalent and the amount and form are agreed *pon beforehand. Furthermore,

there is a minimum of effect i,e sentiment in the repayment of obligations and

reciprocation terminates that ;articular relatioriship.

T7-"Reciprocity as a Filipfto Value -in Hoinsteiner et al (eds) "SocietyCulture and the Filipino: Introductory Readings in Sociology andAnthropol)gy." Ateneo de Manila. Institute of Philippine Culture.1975. Vol. 1.

- 35 -

. SI!( Ond type of reciprocity, quasi-contr,ctual, differs 12:(M t e

fi.r-t Ln z:htt le l:arms of repayment are not expliciLly stated, and t:hat 1

lJ.lge.:ion rema:.ns to initiate a similar exchange when the same 'kind .ii-

';t-atLon ariste; in the future. Assistance given by neighbors to a faTaiLy

ldfrt.ak.lng houi.e repairs is an example of a quasi-contractual sLtuat:ion.

Thi1- rLeighlkr3 nay spontaneously volunteer their labor to the family, ani

t:ie-'r %7ive:3 mw3 offer thc use of their cooking facilities in the interveril: g

ptri o. when houre raconstruction interferes with the family's preparati:Lon f

LI. This assistance is unsolicited, the terms of repayment are rot:

--rbali:zed, and neighbors providing the assistance do so without spectfyliu

.,'le:, the fa1vor is to be repaid. There is, however, an implicit understa-IS VIg

tI-3org she parties that when it is the neighbor's turn to repair their hois3, .

s.milar exchange in aid is expected.

1!. The third type of reciprocity, utang na loob (debt of gratitscle)

c:>!ntrs.L thene in the case etudies presented here . Briefly stated, utan: 3

loob- reciprocity compels the recipient of goods or ser7ices to show his

E;ra.ittude by returning the favor with interest to be sure he is not Lr tn

..h:r's debt. The type of debt created in the recipient is called ut3ng 1.

ioo1 (literally, a debt inside oneself) or a sense of gratitude, Hollnst-i-er

point3 out that:

Everr Filipino is expected to possess utang na loob;

that is, he should be aware of his obligations to ithose froat wh)m ie

favors and should repay them in an acceptable manner. Since LiInI na

loob invariably stems from a service rendered, even though 3 material

gift may be involved, quantification is impossible.

- 36 -

One cannot actually measure the repayment but can attempt to make Lt

nevertheless, either believing it supersedes the original seivice

in quality or acknowledging that the reciprocal payment is partial

and requires further payment.

(underscoring supplied)

w1. The concept of utang na loob in relation to family obligations

dilf fr3 from utang na loob as used in non-familial relationships, as the

o0iiga2tlon felt among fsmily members is so deep that it remains on a non-

v".rbal level. It is necessary to verbalize only in the rare and critical

o.:ta.on when the obligation has been flouted. At other times, mention of it

woulld be superfluous.

13. The utang na loob relationship between parents and children is

C0)npLetentary rather than reciprocal, as parents never develop utang na loob

toward their children. They have a duty to bring up their children, which Li

complemented by their children's obligation to obey and to respect their

parents, and to show their gratitude by taking care of them in their parents

o-d age.

19. The compiementarity imposes a deep-seated obligation on the family

members to cling to each other, and they have no choice but help each other ixt

tf.mes of need. While parties to non-familial utang na loob may calculate

whecher or not che return payment has been made with interest, this is not the

case within the family context. One does his duties and carries out his

olligations as required, without giving thought to the value of his actions.

Fellure, however, in the performance of obligations, arous.es a deep bitterness

ancd the feeling that a sacred unifying bond has been broken and the family

betratyed. In a situation of this kind, the accusations "walang utang na lob'

- 37 -

rno sen3-t c,5 grititude) and walang hiya" (having no shame) take on a meaning

rar anore serious; than they would were only nonfamily relations involved.

20. A 1lrge number of instances can be drawn from the case studies to

illustra!e how atang na loob operates, and the important role it plays in the

tjiinteta:.ce of l:he transfer relationships. Some examples:

21. The most straightforward example is provided in the case of the

?eraAtr..i (Case dTo. 3). Roberto Peralta was taken into the house of his Aunt

-rLsant-a during his early years in Manila, and received financial aid while he

-Jas studjing. In 1968 he brought his wife and family to live in his aunt's

house f-. free, and his aunt kept his family fed when Roberto could not

orovide -nough money for the family's needs. Even when Roberto and family had

moved a-w:y, (risanta alwavs helped out during emergencies. Because of the

fa'rors ird aid that the Peraltas received, they feel that it is necessary for

them to iaise the P3,000 that Crisanta needs for surgery. The urgency with

wh!ch RoEerto's wife is trying to raise tnt money underscores the Peralta's

aeed to demonstrate their acknowledgement of the utang na loob that they

have. 'It is not necessary for the Peraltas to spend for Crisanta's operation,

since Cri,arta has children of her own who can underwrite the expenses. And

get:, because the Peraltas feel that they can now afford to show their

gratitude for Crisanta's support in the past, the recognition of utang na loob

iS p'ompting Lhe Peraltas to reciprocate.

'12. rhe transfers within the Gelicame family clearly illustrate the

work:Lng cf irtra-family utang na loob. The informants are an elderly couple

whc, live by themselves in a small house. On the surface it would appear that

-:hey are able to live on Emilio's small monthly pension, and on small handouts

from their ch±ldren living close by.

'i,' : -::a2.. L: l, however, hows that -he Geli:ames are the

-eci-if s i )nt ..-i vis srtream of fcod, goods, and' money given by their

''1 IJ -~: .a ''~ ; :rea: ! ia, not be very wide, but it is sufficient to permi.

che cr''; ' t:c . -e u!t i'; .y, :o:Ie of their gifts as 3avi.ngs. The Gelicame

-l±l.lr--.n * l-.: ee .e gifts as a form of assistance (and neither do their

ctrreI.tc.) R:at1:ec, t'Ž -ift.s represent pertial paylnents for utang na loob:

:hc :r-m; 'fTS tal.*e pli.ce because of the children's obligation to repay, albeit

-art I.all-, rheif ieb.: or gvatitude to their parents.

724. Tl-o elci!7 Geltcamos do not feel obligated to reciprocate because

1_ntrr,-fati:LL' rarit na lob is complementary in rature rather than

recIT)r:ccii. The. ex,pecr t4 tat now that they are old and since their children

are all g.c run up, the younger Gelicaries can take over the responsibility of

prov½ding for tFeir needs. The present manifestation of contributions to the

weifarc, of the elder 'elicames is a lifelong expectation from the Gelicaue

chillrea. aand will cosinue to be manifested for as long as there is need for

it. Av& ito Ccrcepcion figures prominently in the case of Julie Bernardo

(Case o. 4.. elino, a '.awyer for the Manila City Rall, was responsible not

only fcr the Bernardo½s acquisition of a lot, and the resolution of a court

case concernlng the -inanctal support from that lot, but also appears to be

very ccncerned with the events befalling the Bernardos.

25.. Although not dtsclosed in the case presentation, Avelino's continued

interest Lin che welfare of the Bernardo family arises from a debt of gratitude

that he1- OWeS JulVe's father. It appears that Julie's fatlier supported Avelino

and his brether SimpLici.o t:hrough school, and was highly instrumental in

establislirng their ca-reers. As Julie-s father died early, Avelino's debt of

grat:tude was shifted to the BertnArdo children, who thereby received and

- 39

continue to receive monthly and non-monetary assistance from Avelino as a

psrtTal measure of payment for his utang na locb.

26. There are instances that appear to be examples of utang na loob at

-crk, but upon closer examination they indicate that a value other than utang

na loob may be operative. The situations where thib other value is found is

similar to those of utang na loob in that a dee? sense of obligation

underlines the actions of the giver, and that the intensity by which the value

is sought is irdicated by tbe fact that its influtence o-rates below the level

of awEtreness. Like utang na loob, the value of iptlasakit and its behavior

manifestations lies at the core of many transactions.

'4alasaikit

27. Some reference to the etymology of the term is necessary to describe

the amotional content inherent in the malasakit value. Mala is a prefix that

means 'similar to', 'akin to., or 'like'. It carries with it a comparatile

theme that emphasizes equivalence rather than distinction. Sakit has two

connotations: illness or pain. Usage of the term malasakit therefore denLotes

a duep sense of empathy and lasting identification with another person's

circumstances, and is intimately related to the culturally-sanctioned norm

prompting those becter situated to come to the aid of those in very adverse

situations. Malasakit compels the individual to extend aid to those who are

withirL the functional segment of relatives, without having to be approached or

reminCed of familial obligations. It represents the voluntary and self-

imposed duty to align oneself overself with the r,eeds of others close to him.

- 40 -

2.3. Malasakit ditfers from utang na loob in a number of important ways.

iThile utang na loob exists within the context of reciprocal arrangements and a

nontlnuln'; exchange between the parties involved, the theme of malasakit does

aot at all involve payments. The aid that one extends to another is

-ompletely spontaneous and unsolicited, and the voluntary nature of the action

renders the idea of payments as irrelevant. Similar to intra-family utang na

Lc'ob, che value of malasakit is complementary rather than reciprocal.

Zs). Secondly, there is no true exchange in malasakit and in this sense it

galls outside the concept of reciprocity. The element that sustains the

:elationship between parties involved in malasakit is the perception of the

,iver that the recipient is in no position at all to help himself, and that

.or a,3 long as this condition prevails as much assistance as the giver can

:easoInably afford will continue to be extended. Inasmuch as the giver does

lot: expect to be repaid, there is a strong one-sidedness to the relationship

'h.t closely fits the redistributive systems existing in Filipino culture.

20. In utang na loob, the obligation to respond is always with the

rezip::ent; he must make efforts to make sure that he doesnrt remain in the

rther`s debt. Failure to reciprocate promptly puts him in a position of hiya

(shame). In malasakit relationships, the recipient is under no explicit or

Implicit obligation to respond. In keeping with the definition of the

3it:uation, the giver is the one uho continues to carry the obligation, as it

ts he who is in a position to help. The recipient, however, always has the

opt:ion of returning token favors if and when he cEn, but he is under no

ebligatior to do so.

3i1. It would be clear that the one-sided stream of aid can potentially be

tie cause of depletion of the giver's resources, as malasakit calls for

_ }1gtafl _ _-

- 41 -

altruism and self-sacrifice. While malasakit can theoretically be abused, in

practice this rarely occurs. The moment always comes when the recipient

begins to recognize that h, represents a drain on the giver's resources, and

hiya 'shame) sets in. This is usually sufficient to stimulate the recipient

to give back token returns to ease the one-sidedness in the relationship.

32. As this occurs, the token payments are interpreted by the giver as

indications to decrease the volume and frequency of aid, and a gradual

reduct:ion follows. Also, as the token payments are by the recipient, the

whole relationship is shifted from the context of malasakit to the perpetual

exchanges characteristic of utang na loob reciproeity.

33. Among the case studies presented, that of the Mondares family (case

no. 2), fits the malasakit theme the best. Lucila has traditionally been the

"baby' of her family, receiving most of the attention of her parents and

siblings. Her history of poor health makes her a special concern, and the

fact that her husband has never earned enough to provide for the needs of

Lucila and their children have served to underscore the necessity of extending

financial aid to Lucila's family.

34. The members of Lucila-s family of orientation, although not

individually wealthy, are much better-off compared to the Mondareses. All are

gainfully employed, and most appear to have benefitted fully from the

economics of shared resources within a single house. In contrast to this,

Lucila's husband Juanito is only marginally employed and can barely earn

enough to keep his family fed. Given Lucila's recurring illnesses, the

Mondares are in no position to stand on their own, and do require external

assistance.

-42 -

35. The case study shows that the Arriolas (Lucila's kin) soon recognized

the support needed by the Mondareses. Knowing that Juanito as yet could not

support Lucila after the hasty marriage, the Arriolas took them in and spent

for Lucila-s needs. Overtaken by hiya after living with the Arriolas for a

year, Juanito decided to move into an aunt's house in Tondo. (Juanito's aunt

allowed them to occupy a room free of rent because Juanito was a relative,

acccording to Lucila. Other occupants paid rent.)

36. The P3,000 that the Mondares received from Lucila's father to build a

house concretely illustrates the principle of malasakit. The Mondareses at

that time still lived in a house built of salvaged materials with an earthern

floor. Without the money to improve the structure, they managed with the

makeshift quality of their house. The money given them was not a loan but a

gift. Lucila-s father, having just received his retirement benefits, felt

that he could share part of the money with his youngest daughter's family, the

members of whom needed a better house to live in. The Mondareses were not

expected to pay back the amount, or to pay back anything at all.

37. Lucila's monthly "allowance" from her siblings and the stream of

goods and favors that she receives is a continuing manifestation of

malasakit. Her relatives are cognizant of the poor financial status of the

family and therefore extend as much financial and material assistance as can

be a'llowed. To a large extent, these arrangements have cultured a strong

sense of dependency in Lucila, and yet she has never felt that she constituted

a burden on her kin. This is understandable, since her relatives have never

insiniuated this, and on the contrary, continue to provide for the needs of

LuciLa's family.

- 43 -

38. On the other hand, the uninterrupted stream of financial and material

aid originating from the Arriolas has continually placed Juanito in a position

of hiya (shame) and has eroded his self-esteem. Incapable of returning even

token favors, he avoids any face-to-face contact with Lucila-s family. I/

39. The cases presented here are few and the approach too descriptive

to permit detailed examination for wide-ranging policy options. There is,

however, a consistent finding that may well prove to be universally applicable

to all the families in Tondo: families have unimpeded access to monetary and

non-monetary resources.

40. How then can this be fitted into the existing housing services

program? It would seem that the best interface would likely be the Housing

Materials Loans Program (HMLP) which provides families with loans for house

improvrement. Taking the monetary and non-monetary resources of families into

consideration, restructuring in the HMLP may permit more families, especially

the poorest households who most need the assistance, to enjoy the benefits of

the materials credit scheme.

41. From the point of view of the low-income urban family, home ownership

and housing construction by incremental development present several

advantages. First, the family is able to maintain control over the phasing,

programming, and construction of the dwelling unit so as to combine monetary

and non-monetary resources (including its own labor) with contracted labor at

its oun economic convenience. Where traditional housing policies and housing

1! The magnitude of Juanito's hiya is reflected in his hesitation andevasiveness in answering questions relating to exchanges duringinterviews. As the interviews progressed to identify relevant personae heasked Lucila to take over the answering and has since made himselfunavailable to the investigators throughout the study period.

-mm_-

-- 44 -

-rEdl- mechanisms consider only fami]y monetary resources as a criteria for

-rcgrr participation, a modifled HMf.P policy provides wide flexibility

onbliAng nonetary and n)n--.nonetary economic interchanges that are still a

.igrif:.icant: part of .he urban low-income economy in developing countries.

A'!2. While the financinrg of housing construction by increments is

yi: ally family-financed vithout the benefit of an institutionalized credit

-yst ra, an increase in these construction activities will require financing

fot erban low-income families. This financing mechanism should be designed to

cEpttre th avins of those families and to provide them with loans. Its

desipn should reflect the reed for relatively small investment requirements at

each successive stage of housing construction. It should take into account

both monetary income instability and non-monetary family resources in

determLni-Lg 'ability to pay" for housing, rather than merely relying on

moneta:-y, fixed income in establishing an acceptable criterion.

43. T'wo factors may cause the "ability to pay' for housing to be

urnderestinated when exclusively determined on the basis of monetary income.

Ftrgt, non-monetary economiz transactions, although substantial, are not

iricLuded :fn official income accounting. While they do exist, extensive in-

kind iater:changes in developing economies are not perfectly integrated

monetarilyv This makes the exclusive use of a monetary criterion to determine

eligibUlity in housing financing programs inadequate. Non-monetary economic

transactions include exchange of labor, food and other home-produced products,

ser'ri:es, and assistance in various ways. In the Philippines the magnitude of

these extramonetary exchanges varies, but they constitute a substantial

- 45 -

proportion of the total family income. Among the families in Tondo, "extra-

regular" sources of income fully constitute 10.7% of the total average monthly

income.

.44. A second cause for underestimating is the income-eligibility criteria

for participation too often based on nuclear family monetary resources. In

developing countries, however, one cannot ignore the unofficial mechanisms of

income redistribution and mutual help that are the traditional functions of

the extended family. Classical sociological research generally stresses the

negative role that these obligations play in the economic mobility of the most

successful members of the family or kin group. It has been rarely recognized

that these practices have a positive economic and social impact on the

resources of a nuclear family. In squatter settlements such as Tondo, one

frequently encounters families able to build a dwelling unit only because the

necessary monetary resources have been provided by relatives.

45. On the other hand, income instability among urban, low-income

families is another structural consideration in the design of a savings and

loan mechanism. Monthly fluctuations in disposable income may occur wherever

family income is fixed but low and may be due to employment instability, thus

incurring instability. What would this mean in terms of the proposed loan

mechanism? The constant consideration of income instability would require

relating the loan value to the amount saved. Such a criterion would stimulate

savings and allow that of savings" as an indicator of "ability to pay" rather

than the more common and demonstrably inadequate family monetary income

criterion.

46. This exploratory policy may be carried out experimentally on a

limited scale and its results evaluated for appropriateness and effectivity.

4.,

- -'' -:char srci, i: woulid :itke caly :inor adjustrments to

- .? i~ Dout lirned aiove.

. . i y .till be tco hazardous to pred-dct res-ilts, but these are

1 .c.ele 3tion o. housLng improvements and construction by incremental

;tages cr. thll bais cf family initiative.

rsraxiscnr. of equal assistance to all. low-income families, rather than

rimiting LenEfits to those nominally eligible.

: More coplet- use of the financial, labor, organizational, and other

ron-monetary resources of families.

. ncreaSe the families- control of the goods, and services it consumes

by vroviding the flexibility to substitute housing expenditures for

higher priority expeaditures in food, education, and health care.