Economic Development Rizal

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ECONOMIC DEVELOPMENT

ECONOMIC DEVELOPMENT

• The economic growth which took place


in nineteenth- century Philippines,
particularly after about 1830.
• The growth of EXPORT ECONOMY
• Increasing prosperity to the Filipino
middle and upper classes.
ECONOMIC DEVELOPMENT

YEAR EXPORTS IMPORTS TOTAL TRADE


(in peso) (in peso) (in peso)

1825 1,000,000 1,800,000 2,800,000

1875 18,900,000 12,200,000 31,1000,000

1895 36,600,000 25,400,000 62,000,000


ECONOMIC DEVELOPMENT

• Philippine exports in this economy


were agricultural products.
• INQUILINOS of the friar haciendas.
• Farming by means of share-tenants or
“KASAMA”.
ECONOMIC DEVELOPMENT

• The case of Rizal’s Chinese ancestor


Domingo Lam-co.
 when he had come to the Binan
hacienda in mid-eighteen century
the average holding of an inquilino
was 2.9 hectares
ECONOMIC DEVELOPMENT

• Rizal’s family in 1890s


 after Rizal’s father had moved to the
Calamba hacienda.
 rented over 390 hectares.
HACIENDA IN C ALAMBA
ECONOMIC DEVELOPMENT

• Rising prosperity had also brought friction


between inquilinos and haciendas as lands
grew in value and rents were raised.
• A combination of traditional methods and
modernizing efficiency led to disputes.
ECONOMIC INSTITUTIONS
IMPOSED BY SPAIN

ENCONMIENDA SYSTEM, TAXATION, FORCED


LABOR, GALLEON TRADE.
ENCOMIENDA SYSTEM

• An encomienda is a parcel of land, including


its inhabitants, assigned to loyal Spaniards
who had helped in the colonization of the
country.
• “ENCOMENDERO”
ENCOMIENDA SYSTEM

• Two types of encomiendas:


 Royal encomiendas were comprised of
cities, the seaports and regions rich in natural
wealth and owned by the Spaniards crown.
Private encomiendas were under the
stewardship of private persons, charitable
institutions or the Catholic Church.
TAXATION

• Filipino started paying tribute in cash to


Spain during the day of Legazpi.
• The rate was originally 8 reales but was
raised to 10 in 1602, then increased to 12 in
1851.
• One tribute was equivalent to one family
consisting of father, wife and minor children.
TAXATION

• With the abolition of the tribute in 1884, the


CEDULA served as an income tax.
• “BANDALA”- the compulsory sale by native
farmers of their farm products to the
government.
FORCED LABOR OR THE POLO Y
SERVICIO

• This imposition required all Filipino males


from 16 to 60 years old to render service
for 40 days each year.
• “POLISTAS”
• paid FALLA or exemption fee.
THE GALLEON TRADE

• was early trade between Manila and Acapulco,


Mexico, which commenced in 1565.
• Products coming from Manila were shipped to
Acapulco on trade vessels called “galleons” and
sold there lucrative profit.
THE GALLEON TRADE
ECONOMIC DEVELOPMENT
PROGRAMS
THE TOBACCO MONOPOLY

• Royal Decree of 1780, Charles III established the tobacco


monopoly in the Philippines upon the recommendation of
Gov. Basco.
• The government determined the plantation site, set a
quota on the quantity to be planted and harvested by the
farmers and the amount to be paid to them.
• By the middle of the 19th century about, 25,000 Filipinos
worked in the tobacco factories.
THE ROYAL COMPANY OF THE
PHILIPPINES

• The Real Compania de Filipinas was established by the


virtue of the Royal Decree of March 10,1785.
• To develop and promote direct trade between Spain
and the colony and to develop the natural resources
of the country.
• Products from the Philippines were exported to
Spain tax-free.
THE OPENING OF MANILA TO
FOREIGN TRADE

• Opening of Manila to foreign trade in 1789.


• Governor Gen. Felix Berenguer de Marquina, Basco’s successor,
encouraged foreign merchants to come and invest in the
Philippines.
• More Philippine ports were established and opened foreign trade.
• The opening of the ports of Sual in Pangasinan, Iloilo and
Zamboanga, Cebu, Legaspi and Tacloban accelerated the economic
growth of the country.
• In 1888, the first domestic telegraph and telephone line was
opened in 1890.

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