This report was published in 1934 by the Philippine Economic Association in response to one of the most significant geopolitical shifts in the country's history: the passage of the U.S. Tydings-McDuffie Act. This act legislated the coming independence of the Philippines after a ten-year transitional period under the newly established Commonwealth government. The prospect of economic sovereignty necessitated an immediate and comprehensive blueprint for national development, as the country's economy had become deeply entwined with the United States due to decades of free trade. The Philippine Economic Association, led by figures like Elpidio Quirino, convened a body of government officials, businessmen, and academics to develop a program of economic planning. The central problem identified was the country's over-reliance on a few export crops (primarily sugar and copra) that had thrived under the preferential access to the American market but were now facing U.S. quotas and excise taxes. This precarious economic structure demanded urgent readjustment, including land reform, diversification of agriculture, development of domestic industries, and the creation of an independent currency and stable public finance system. The document serves as a foundational text for the emerging national economic policy as the Philippines prepared for full independence and a new role in the global economy.
Economic problems of the Philippines