The document summarizes the economic development of the Philippines during the American era from 1898 to 1946. It discusses how the US took control of the Philippines from Spain in 1898 and established a military government, against the wishes of Filipinos who wanted independence. This led to the Philippine-American War. The US occupied the Philippines for 45 years and implemented policies to develop the economy and infrastructure to benefit American business interests. The Philippines gained independence in 1946 after establishing a self-governing Commonwealth in 1935.

1. Economic Development of the Philippines(American Era)

2. Brief History On 10 December 1898, Spain and United States signed the Treaty of Paris – an agreement which states that Spain would turn over the Philippines to the United States in exchange of $20,000,000. With it, the Spanish-American War officially ended. On 21 December 1898, US President William McKinley released the Benevolent Assimilation Act, a statement and an official declaration of the Americans’ intention to prepare and guide the Philippines towards independence and democratic governance.

3. On 14 August 1898, the Americans established a military government in the country. McKinley ordered to bring all of the islands under military control because the people of the Philippines were too “UNCIVILIZED” to govern themselves. This shocked the Filipinos, because they had expected US to help them in their struggle for independence. Not only did the US not help the Philippines in their struggle for freedom, they refused to grant them freedom for 45 years. Brief History

4. Brief History This fight for freedom became the Philippine-American War. During the 45 years the Philippines changed into the Japanese hands from 1942 to 1945, when it was again conquered by the United States. It was in July 5, 1945 that the US once again held the Philippines but under the provisions of the McDuffie-Tyding's Act of 1934, the Philippines gained their independence from the US.

5. Rationales behind US occupation of the Philippines 1. The archipelago was a source of raw materials. 2. It would serve as a market place for its finished products and recipient of excess capital. 3. It would serve as a base for the expansion of American power in the Asia-Pacific region, especially in China.

6. United States Governance in the Philippines Benevolent Assimilation Act “The Philippines ours not to exploit, but to develop, to familiarize them with civilization, to teach, and make them learn the science of self-governance.” -President William McKinley December 21, 1898

7. United States Governance in the Philippines Included in this act is the United States’ objective of uplifting the Philippine economy and preparing the country for independence. The following were the principles of the said act: 1.Declaration of the American authority throughout the archipelago. 2. Establishment of a form of government following that of the United States.

8. 3.Recognition of the rights of the citizens. 4. Prohibition of exploitation of the Filipinos. Furthermore, this coincided with economic objectives of using the natural resources of the Philippines and creating in the country a market for American goods and products. United States Governance in the Philippines

9. United States Governance in the Philippines Civil Government William Howard Taft was inaugurated as first civil governor of the American government in the Philippines. Taft endeavored to organize the economy of the colony. The US Congress allocated a $3,000,000 budget as aid to the Philippine to repair damages incurred from the previous war. He recovered wide areas of land from friars and those owned by the church. In fact, the government allotted $7,237,000 as payment for the recovery of the said property. Taft sold the said land property in installment to wealthy Filipinos and to American companies.

10. “The Philippines is for the Filipinos.” -William Howard Taft With this, he easily gained the support of many Filipinos for the United States. However, critics of Taft say that his policy was actually a cover for further consolidation of American control of Philippine economy. United States Governance in the Philippines

11. Policies Implemented by the United States in the Philippines Politics Filipinization further expanded under Gov. Francis Burton Harrison who assumed office in 1913. He assigned some of his duties to Manuel Quezon and Sergio Osmena. Livelihood A free trade policy became the hallmark of the economic program of the country. In 1909, the Payne-Aldrich act allowed free trade between US and the Philippines. No tariff was charged for products from the Philippines but a quota on quantity was set. On the other hand, products from US were free from tariffs and quantity quota.

12. Policies Implemented by the United States in the Philippines Because of the export trade was not equal, control over it was withdrawn. The Underwood-Simmons Tariff Act allowed advantages to the Philippines such as: 1. Development of an irrigation system in the farmlands. 2. Construction of bridges and roads. 3. Development of local industries. 4. Establishment of factories.

13. Policies Implemented by the United States in the Philippines 5. Development of the mining and logging industries and preservation of natural resources. 6. Development of transportation. 7. Expansion of communication systems. The United States changed the currency system of the Philippines. In 1903, a law was passed in the US Congress to create a new currency for the country. Gold became the basis for the value of Philippines money and the use of other currency was prohibited. The Philippine Mint was established in 1902 to fabricate metal coins in the country.

14. Policies Implemented by the United States in the Philippines Social In education: 1. Promote democracy. 2. Instill among Filipinos the concept of citizenship. 3. Teach the English language. In Public Heath System: The Americans put up the Committee on Public Health in 1901. They built hospitals, clinics, and facilities to take care of the physically disabled.

15. Religion One of the articles of the Philippine Act of 1902 recognized the right of the individual to choose his own religion. As a result, several religious sects sprang in the Philippines including Presbyterians, Baptists, and Methodists. Culture A major change brought about by the American occupation would be the official use of the English language in government, business, and education sectors. Policies Implemented by the United States in the Philippines

16. The Commonwealth Government Manuel L. Quezon was elected President and Sergio Osmena as Vice President of the Commonwealth.

17. President Quezon addressed the problems faced by the Philippines by establishing administrative departments that would deal with these. These were: 1. Department of Interior 2. Department of Finance 3. Department of Justice 4. Department of Commerce and Agriculture 5. Department of Public Service and Communication The Commonwealth Government

18. The Commonwealth Government 6. Department of Education 7. Department of Labor 8. Department of Defense 9. Department of National Health 10. Department of Social Welfare He also created various offices, bureaus, and councils such as the: 1. National Economic Council 2. Commission on Census 3. Commission on Mindanao and Sulu 4. National Language Institute (SurianngWiakngPambansa)

19. As stated in the Constitution of 1935, it is the primary duty of the citizens and the government to defend the welfare of the Philippines. Because of this, military service became compulsory and the Armed Forces of the Philippines had to be established to defend the air,land, and sea within the country’s domain. The Commonwealth Government

20. The following were the changes brought about during the Commonwealth period: 1. On 30 April 1937, women’s right to suffrage and their involvement in politics were acknowledged. 2. The National Assembly passed the Education Bill of 1940 due to high illiteracy rate of the Filipinos. The educational program also recognized the rights of the Filipinos to establish schools to facilitate the education of those unable to attend school. The Commonwealth Government

21. 3. The institute for National Language was ratified as per Commonwealth Act No. 184. It had seven members in 1937. Quezon desired to institute a national language amidst the presence of several languages and dialects in the country. After extensive research of the seven institute members, Quezon signed Executive Order No. 134 on 30 December 1937, which stipulated that Tagalog would be the basis for the national language. The Commonwealth Government

22. 4.The following were some of Quezon’s program for the country: a. Establishment of the National Economic Council to guide the government in addressing economic issues. b. Prohibition of the use of dummy Filipinos by foreign capitalists to set up businesses in the country. c. Minimizing the entry of foreign businessman in the archipelago to give way to Filipino businessmen. The Commonwealth Government

23. d. Allow American capitalists to develop the Philippine mining industry. e. Foundation of the National Rice and Corn Corporation to protect farmers. f. Establishment of the National Power Corporation to organize the water and electricity system of the country. 5. Improvement of bridges and roads to develop trade and commerce in various regions of the archipelago. The Commonwealth Government

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25. Gonzales, Jeannett C.Rodriguez, Angelica G.