Social and Political Factors in a Model of Economic Development and Distribution: An Application to the Philippines

• Main Author: Villanueva, Delano
• Format: text
• Published: Animo Repository 2024
• Subjects: Social Extraction; Political Competition; Wealth and Income Distribution; Economic Development; Philippines
• Online Access: https://animorepository.dlsu.edu.ph/ber/vol34/iss1/6
• Institution: De La Salle University

This quantitative historical paper presents a model of endogenous economic growth and distribution explicitly incorporating social extraction and political competition, with application to the Philippine experience. The model is tested and simulated using institutional information and historical data. The major objective is to explain developments in the distribution of national income and wealth and in the growth rate of per capita national income. When calibrated, the model is found to be consistent with the broad contours of Philippine macroeconomic history. The study concludes with several policy implications for a successful strategy of economic development.