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The Philippine EconomyDevelopment, Policies, and Challenges$
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Arsenio M. Balisacan and Hal Hill

Print publication date: 2003

Print ISBN-13: 9780195158984

Published to Oxford Scholarship Online: November 2003

DOI: 10.1093/0195158989.001.0001

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PRINTED FROM OXFORD SCHOLARSHIP ONLINE (oxford.universitypressscholarship.com). (c) Copyright Oxford University Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in OSO for personal use. date: 09 December 2021

Regional Development

Regional Development

(p.342) 11 Regional Development
The Philippine Economy

Rosario G. Manasan

Shiladitya Chatterjee

Oxford University Press

Attempts to evaluate the progress that has been made to date in reducing spatial inequality. More specifically, it aims to evaluate the pattern of regional economic development from 1975 to 2000, assess the gains, if any, in reducing regional disparities, and estimate the extent to which government policies have contributed to regional convergence. Employing convergence methodology, the study finds that there has been “alpha” convergence (a decline in overall regional inequality), and also often “beta” convergence (the poorer regions catching up to the richer ones), which is shown to correlate strongly with agricultural growth. Additionally, it draws attention to the key role of physical infrastructure in shaping regional outcomes, the country's experience with decentralization, and the vertical and horizontal fiscal imbalances among LGUs.

Keywords:   convergence, decentralization, fiscal policy, gross regional domestic product, infrastructure development, regional development, regional disparities, shift analysis, vertical/horizontal imbalance

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