EFFECTS OF SPANISH COLONIZATION ON PHILIPPINE ECONOMICS

Presented by: Group 4

Pre-Spanish Economy

Not much different from that found today in many remote barrios. During those days, life was placid and characterized by less economic and social pressure than it is today. Agriculture the main source of livelihood. There was an abundance of rice, coconuts, sugar cane, etc. Land cultivation Productivity was increased by the use of irrigation ditches, as evidenced by the world- famous Ifugao rice terraces of mountain province.

Pre-Spanish Economy

There was a system of landholding which was public and private. Mining was comparatively developed lumbering and shipbuilding were flourishing industries during the pre- colonial days weaving was a home industry There were probably more commerce and business transactions along the waterways than along pathways. There was foreign trade, too, with China, Japan, Siam, Cambodia, Borneo, Sumatra, Java and other islands of the old Malaysia.

Spanish Colonization Economy

Spain had three objectives in its policy toward the Philippines, its only colony in Asia: to acquire a share in the spice trade, to develop contacts with China and Japan in order to further Christian missionary efforts there, and to convert the Filipinos to Christianity. The first Spanish settlers organized the encomienda system by which Spaniards were given title to a certain piece land and ownership of the villages on that land.

By the end of the 16th cent. Manila had become a leading commercial center of East Asia, carrying on a prosperous trade with China, India, and the East Indies. Mercantilist System - A economic theory and policy influential in Europe from the 16th to the 18th century that called for government regulation of a nation's economy in order to increase its power at the expense of rival nations. Mercantilism's emphasis on the importance of gold and silver holdings as a sign of a nation's wealth and power led to policies designed to obtain precious metals through trade

Cedula Tax - A form of taxation implemented in 1884. This served as a paper which was used as proof that one was a colony of Spain and a legitimate member of a pueblo. Before, Filipinos and Chinese only had to pay tribute, but it was revised that all residents of the Philippines were obliged to pay the cedula. Bandala System - A form of direct taxes that the spaniards implemented in which the natives were coerced to sell their products to the government at very low prices.

Kasama System - Under this arrangement, the landowners supplied the seed and cash necessary to tide cultivators over during the planting season, whereas the cultivators provided tools and work animals and were responsible for one-half the expense of crop production Polo y Servicio - A system of forced labor for 40 days for men ranging from 16 to 60 years of age who were obligated to give personal services to community projects. One could be exempted from polo by paying the falla (corruption of the Spanish Falta, meaning "absence") daily.

THE END