Keynotes

1. CIVICS 4
Handout / STUDY GUIDE
Name: ________________________________________________________ Date: __________________
LESSON 11: The Colonial Policies of Spain
A. Taxation System
 During the early colonial years, the taxes amounted to eight reales, equivalent to one peso.
 The tax could be paid in the form of money, services, gold, rice, chicken or textiles.
 The natives paid 15 reales as their tribute
 10 reales directly taken as tribute to the colonial government
 one real for the diezmos prediales, ten percent of the agricultural produce
 Four reales for the sancturom or the church tax
 Some natives were exempted from paying taxes.
 They were the former datus who cooperated with the Spaniards on conquering the islands.
 Gobernadorcillo and cabeza de barangay were also exempted
 The collection of taxes was originally intended to used by the government in effectively
serving and managing the country. However, it eventually resulted in hardships for the
natives.
B. Forced Labor
 The polo y servicio was a form of forced labor implemented for all men aged 16 to 60 years
old.
 Those who participated in the polo were called polistas
 They were tasked with the construction of churches, buildings, bridges, and roads.
 The polo y servicio was implemented annually and the polistas worked for 40 days.
 Those who wished to be exempted from forced labor were required to pay a large fee,
called Falla
 Many Filipinos did not have enough money to pay falla, thus, they had no choice but to work
without pay for the government
 Only the family members of the prinicipalia were exempted from polo y servicio
C. Provisions for Forced Labor
 The King of Spain issued several decrees to ensure the welfare of the laborers subjected to
the polo.
 The polistas should not be sent to far-flung areas with harsh climates

2.  Laborers should also be given fair wage for their service
 The officials of the colonial government did not implement the decrees issued by the
Spanish King.
 Friar Dominggo Salazar issued a report to the Spanish King discussing the harmful effects of
the polo y servicio
D. Abuses of Polo y Servicio
 The polistas were prohibited from resting or returning to their homes to attend to their
livelihood
 The workers were given small wages and some were not even paid
 The native Filipino leaders complained about the abuses of the colonial government
 Many native Filipinos migrated to provinces to avoid paying taxes
 The native leaders had to pay for the taxes of those who left their homes
 Those who complained against the government officials were often arrested, jailed, or fined
E. Economic Policies of Spain
 The Bandala System
- also known as compras reales
- referred to the imposed sale of agricultural products to the government
- These products were then sold by the government at higher prices
- The local farmers suffered from the bandala system because it was imposed despite their
small harvest.
- The government often did not pay the farmers right away.
- The government gave them receipts which stated when they could claim the payment

 Tobacco Monopoly
- On the advice of Governor-general Jose Basco, King Carlos the III permitted the
establishment of tobacco monopoly in the Philipppines
- Tobacco was cultivated in Ilocos, Nueva Ecija, Cagayan, Pampanga, and Marinduque.
- It was part of the economic reform to stop getting financial aid from Spain
- The increased earnings from gave way to more abuses of the officials
- Huge fines were imposed on farmers who were unable to produce required amount of
tobacco
- They were also not allowed to harvest tobacco for their own consumption
- They were forced to produce largee amounts of tobacco, far beyond the capacity of
farmland

3. 
 The hacienda System
- Haciendas were the large pieces of land acquired by the religious orders (FRADJ)
- Large farmlands were set aside for the planting of trade crops such as tobacco, sugar
cane, etc
- The natives were expelled from their lands because the religious orders began to
conficate them
- Many natives remained farmworkers in the hacienda of the friars
- Inquilinos or leaseholders were farmers who were permitted by the landowners to rent
portions of their land for farming
F. Galleon Trade
 Large ships called galleon sailed from Manila to Acapulco, Mexico carrying various products
for trading
 On the way back, they carried gold and silver to buy more products from China
 The galleons also delivered mail and messages from Spain or Mexico
 The products brought by the galleons were highly valued and were worth a great fortune.
 This attracted the attention of the pirates who often attach the galleons
 Only the governor-general benefitted from the galleon trade
 The galleon trade had limited impact on the lives of the Filipinos
 Spain established the Real Compania de Filipinas or the Real Company of the Philippines
 The Royal Company participated in the international trade and improved Philippine
agriculture