The Philippine Economy: How Does an Economy Grow PDF

ENTREP 100 THE PHILIPPINE ECONOMY: HOW DOES AN ECONOMY GROW  LEARNING OBJECTIVES -Identify factors that greatly affects the business CONSULTING establishments in our country. -Determine the factors on how a specific economy grows -Determin...

ENTREP 100 THE PHILIPPINE ECONOMY: HOW DOES AN ECONOMY GROW  LEARNING OBJECTIVES -Identify factors that greatly affects the business CONSULTING establishments in our country. -Determine the factors on how a specific economy grows -Determine the development and growth theories  THE PHILIPPINE ECONOMY Composed of business enterprises, household, and the NATIONAL ECONOMY government. Like free competition, free choice of investments, and the ECONOMIC FREEDOM prices, which are determined by the interaction between dema nd and supply. DETERMINANTS OF ECONOMIC GROWTH Knowledge, skills, values and the quality of people. INHABITANTS IN THE 250,000 to 300,00 years ago, they arrived from other countries PHILIPPINES through land bridges. They had primitive economic existence. More civilized migrants came in later years.  THE PHILIPPINE ECONOMY SLAVE OF THREE Spain, United States, Japan. China dominated the retail trade even COLONIAL MASTERS before the Spanish time. The Spanish rule introduced the tabcco monopoly and galleon trade. Americans exploited our agricultural economy. Japan ruined the Philippine Economy. POLITICAL INDEPENDENCE The imports control program of President Carlos Garcia gave a BUT NOT IN ECONOMIC breathing space for Filipino Entrepreneurs. However, this did not lsat because the US had its own way of dominating the Philippine economy. Under the Martial rule, the friends of the Dictator controlled the ENGINE OF ECONOMIC Philippine business. Under Corazon Aquino administration, the DEVELOPMENT engine of economic development has been assigned to the private business sector. PROMOTES GROWTH OF It has several financial and technical assistance programs for the ENTREPRENEURSHIP poor who are interested in putting up their micro businesses. THE ROLE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT Entrepreneurship offers an economical and faster 1 method of distributing goods and services that accelerates economic development. Entrepreneurship is capable of generating more jobs, 2 income goods, and services. 3 Entrepreneurship improves quality of life. Entrepreneurship contributes to more equitable 4 distribution of income and therefore, eases social unrest. Entrepreneurship utilizes and mobilizes resources to 5 make the country productive. Entrepreneurship brings social benefits through the 6 government. THE ROLE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT Entrepreneurship applies not only to business, but also 7 to social services. In less developed countries, economic development 8 refers to the progressive process of improving human conditions by reducing or eliminating poverty. disease, injustice, illiteracy, and exploitation. 9 Development and Growth theories LAISSEZ-FAIR THEORY KEYNESIAN THEORY Explains that the government should not Explains that the government should play the interfere in economic activities. key role in economic development. THE ROLE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT 9 Development and Growth theories RICARDIAN THEORY HARROD-DOMAR THEORY This is the theory of David Ricardo focusing on Conceptualized by Sir Harrod of England and Prof. agriculture playing the major role in economic Domar of the US, claims that more products can be development produced through the use of machines KALDOR THEORY INNOVATION THEORY By Nichols Kaldor. This theory explains that the Developed by Joseph Schumpeter, stresses the application of modern technology in the production role of innovators or entrepreneurs in economic of goods and services has been responsible for the development. economic success of the highly developed countries. THE ROLE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT Contributions of Entrepreneurship; 10 1. Development of New Market 2. Discovery of new sources of materials 3. Mobilization of Capital resources 4. Introduction of new technologies 5. Creation of Employment Schools should stress the value of entrepreneurship 10 11 based on just economic nationalism The government can support entrepreneurs from the various assistance programs 10 12 on the following: Peace and Order, Political Stability, Price Stability, Taxes Infrastructures, Education and Training, Public Administration, Production of Technology, Marketing Assistance, and Financial Assistance. 10 THANK YOU FOR LISTENING!