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Has the Philippines forever lost its chance at industrialization?

Author

Listed:
  • Jeffrey G. Williamson

    (University of Wisconsin and Harvard University, UP School of Economics)

  • Emmanuel S. de Dios

    (UP School of Economics)

Abstract

After 1870, and long before the rise of the Asian Tigers and the group of emerging economies of Brazil, Russia, India, China, and South Africa, industrial output grew fast enough in the poor periphery to achieve unconditional convergence on the industrial leaders. The Philippines was part of the group of countries that caught up during the interwar and post-war import-substitution-industrialization years. It began to deviate from the pack after the 1970s, however, leaving the group in 1982, never to re-enter it. This paper examines the possible causes of what appears to have been a unique event. These cover political instability, institutional weaknesses, liberalization policy, labor emigration, and Dutch disease. Taken together, these forces created a Òperfect de-industrializing stormÓ, It seems likely that the Philippines has forever lost its chance at industrialization.

Suggested Citation

  • Jeffrey G. Williamson & Emmanuel S. de Dios, 2014. "Has the Philippines forever lost its chance at industrialization?," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 51(2), pages 47-66, December.
    • Handle: RePEc:phs:prejrn:v:51:y:2014:i:2:p:47-66
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    File URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/909/809
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    References listed on IDEAS

    as
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    Cited by:

    1. Alejandro Ayuso-Díaz & Antonio Tena-Junguito, 2024. "US and Japan rivalry in Philippine interwar import manufactures market. Power politics, trade cost and competitiveness," Working Papers 0265, European Historical Economics Society (EHES).
    2. Karl Kendrick Chua & Louie Limkin & John Nye & Jeffrey Williamson, 2015. "Urban-rural income and wage gaps in the Philippines: measurement error, unequal endowments, or factor market failure?," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 52(2), pages 1-21, December.

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    Keywords

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    JEL classification:

    • F1 - International Economics - - Trade
    • N7 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services
    • O2 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy

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