Introduction

Need of more study of Philippine Economic Development.

Finally, we should distinguish the various causes that explain historical events. For example, a good deal of what has been known as the religious question in this country, is not concerned with religion at all, but chiefly with economics. It is not always easy to distinguish these various causes; a fact which only goes to explain the one-sided point of view which has prevailed till the present. But, that the questions connected with the means of getting a living were considered paramount, even long before the formal exposition of the economic interpretation of history, may be seen from the words of the provincials of the religious orders in a remonstrance addressed to the governor and captain-general of the Philippines, wherein they depicted the deplorable conditions in the Islands:

Divisions of present work.

The present work is built around a group of ideas briefly summarized as follows: The first three chapters portray the industries and commerce at the time of the coming of the Spaniards; and explain the causes that led to their decline; the fourth chapter dwells upon the era of restriction, and the Manila-Acapulco trade, which, for over two centuries, dominated this country, and has had such depressing effect upon economic growth; the last chapter takes up the era of liberalism, during the nineteenth century, and shows how the opening of the Philippines to foreign influence resulted in the development of its natural resources. Any attempt to trace Philippine economic development in the past three centuries must necessarily start, not so much with a detailed account of how the industries developed as with an exposition of how they were not developed. On the other hand, the remarkable social progress of the last half of the nineteenth century, following the opening of the markets of the world to Philippine products, is an encouraging indication of probable social advance yet to be attained.