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What Type Of Economic System We Have In The Philippines,it Is Capitalism?

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Rebecca Hunt answered
The economic system in the Philippines is defined as a newly industrialized, emerging market economy. It is the 12th largest economy in Asia and the 32nd largest in the world, according to its purchasing power parity. Over the past two years it has had the fasted economic growth recorded in the last 34 years.

It has been suggested that by 2050, the economy of the Philippines will be the 14th largest in the world. The main industrial sectors that contribute towards the Philippines' economy are; textiles and garments, food processing and electronics assembly. There are also good mining opportunities within the country, with good reserves of nickel, copper and chromite.

  • Newly industrialized
Being classed as newly industrialized means that the Philippines has not yet reached First World status but has outpaced its developing counterparts. Newly industrialized countries often have social upheavals as the rural populations move to the inner city. They also have strong political leaders, increased social freedom, lowered poverty rates and a switch from agricultural economies to industrial economies.

  • Emerging market
Emerging markets are regions that have social or business activity that is undergoing a process of industrialization and rapid growth. The Philippines sudden influx in economic growth means that they are clearly defined as an emerging market. The Philippines are currently considered as a secondary emerging market. This means that it has a reasonable market infrastructure.

The rapid growth of the Philippines economy over the past few years have turned it from an agricultural based system to an industrialized one. These changes have led to the Philippines being labeled as a newly industrialized, emerging market economy. Research suggests that this economy is one that is going to continue to grow.

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