Philippines Underdevelopment

Economic development can be defined generally as involving an improvement in economic welfare, measured using a variety of indices, such as the Human Development Index (HDI). A developing country is described as a nation with a lower standard of living, underdeveloped industrial base, and a low HDI relative to other countries. There are several factors which may have the effect of limiting economic development in such countries. Factors such as these include: primary product dependency, the savings gap and political instability.

Development and underdevelopment are linked and “condition each other mutually” resulting in a divided world that consists of industrial “central” countries and underdeveloped “peripheral” countries (Valenzuela and Valenzuela, 1978, p.544), with the periphery often being constrained by its role in the global capitalist system (Valenzuela and Valenzuela, 1978, p.544).

I would like to specifically discuss the effect of the recession to the Philippine economy. As

Underdevelopment can also be, and has been, understood as a reflection or product of the economic, social, political and cultural characteristics of said country. Yet with a look at history we see that the underdevelopment of a “satellite” nation can be traced directly back to the past and current economic relations the nation has held with developed “metropoles”. This relationship between a metropolitan and satellite countries pertains back to the process and development of the world capitalist system, which benefits its Western

So while the growth potential facilitates opportunity, the lower income per capital must be recovered through greater reach. Lower levels of development and therefore less competition makes this possible but is a major question mark of whether the market in Gyor will support the development project.

Economic growth, put simply, is “an increase in the amount of goods and services produced per head of the population over a period of time”; development is inextricably linked with this economic growth. By utilising theories of economic growth and development we can see how the Chinese and Sub-Saharan African economies have emerged, but, more notably, we can use these to look at patterns from past and present to show their experience and the implications of this growth for the future.

Economic development can be defined generally as involving an improvement in economic welfare, measured using a variety of indices, such as the Human Development Index (HDI). A developing country is described as a nation with a lower standard of living, underdeveloped industrial base, and a low HDI relative to other countries. There are several factors which may have the effect of limiting economic development in such countries. Factors such as these include: primary product dependency, the savings gap and political instability.

The independence of the Philippines brought a new hope to the citizens that they would finally be able to govern themselves. Imperialization from the Spanish in the 1500’s, followed by U.S. control up until the end of World War II left the country hungry for economic resources and trustworthy leaders. Even with independence from the United States, they were unable to escape from unethical, elite leaders that were favored by the US government. Numerous citizens and nationalist leaders attempted to revive the economy multiple times, yet there was always some way it would fail. Although there were notable benefits in the aftermath of their independence, such as better commerce and strong leaders who brought economic progress, overall its impacts

However, it was Marcos who envisioned a “New Society” or a “Bagong Lipunan” that urged the “poor and privileged” to work as one for the country’s economic goals through “self-realization.” (5.Y) Which, as previously stated, are work and/or study ethics of the Chinese and Jewish (a strong sense of self – of hunger for knowledge). In addition, it was also during Marcos’ regime that the GNP (Gross National Product, a development indicator of a country [definition from Turning Points IV]) in 1980 became four times greater than the country’s GNP in 1972 with an average annual growth rate of 6.6%. It was also during this time

Under the new regime agriculture developed rapidly, commerce and trade soared to unprecedented levels, transportation and communication were modernized, banking and currency improved, the manufacturing industries were transformed. As compared with the Spanish era, economic progress of the Philippines during the American era forged ahead with great strides. (291)

Amartya Sen defines economic development in terms of personal freedom, freedom to choose from a range of options. While economic growth may lead to an increase in the purchasing power of people, if the country has a repressed economy, there is lack of choice and hence personal freedom in restricted. Hence once again growth has taken place without any development. While economic growth may result in an improvement in the standard of living of a relatively small proportion of the population whilst the majority of the population remains poor. It is how the economic growth is distributed amongst the population that determines the level of development.

Most of the developing countries are mired deeply in economical obstacles, which prevent them from development significantly. In order to overcome those embarrassments world’s society struggles to find the efficient solution for poor countries’ economies. Historically, developed countries undertook policy of giving aid to their colonies, afterwards by the end of The Second World War the United States and United Nations embarked the global sponsorship to the developing countries and countries of the Third World due to humanitarian considerations. Since then many other countries have joined in the effort to provide financial aid to lesser developed or poverty ridden countries. But none of those countries that received an aid had experienced a prosperity phase and rapid economic growth.

Lack of development in countries in the so-called `Third World' has many political and economical reasons. Historians explain the inadequacy of developing countries with the early imperialism and the resulting colonization of the South. Exploitation of mineral resources, deforestation, slavery, and the adaptation of foreign policies shaped the picture of today's suffering and struggling civilizations and natural rich continents. The omission of concessions and equal negotiations between dependency and supremacy give rise to the contrast of enormous resources and immense poverty in developing countries is. In the last years the outcry of justice and the emancipation of the Third World became louder throughout developing and industrialized

It has three major island groups which are the Luzon, the largest island and where the capital is located; Visayan, and Mindanao. Eleven islands make up 94 percent of the Philippine landmass, and two of these--Luzon and Mindanao--measure 105,000 and 95,000 square kilometers, respectively. They, together with the cluster of the Visayan Islands that separate them, represent the three principal regions of the archipelago (many scattered islands in a large body of water) that are identified by the three stars on the Philippine flag.

He pointed out that different economic levels have their own requirements and they may not follow the same process of industrialization. Moreover, he raised the most influential theory related to late industrialization that the economically backward states may have rapider growth rate as they are late comers, and the national development process relied on the degree of economic backwardness. That is to say the more backward a country, the faster it will advance (ibid).