Transforming the Philippine Economy: 'Walking on Two Legs'

Publication | March 2011
Transforming the Philippine Economy: 'Walking on Two Legs'

Norio Usui analyzes the long-term growth of the Philippine economy through the lens of structural transformation to clarify the root causes of the country's lagged growth performance in the regional context. The main culprit behind lagging growth is a chronic productivity growth deficit as a result of stagnant industrialization. High unemployment, slow poverty reduction, and stagnant investment are a reflection of stagnant industrialization.


  • Abstract
  • Introduction-The Philippines' Development Puzzle
  • Structural Transformation-Aggregate Productivity Growth
  • Structural Transformation-Evolution of the Product Space
  • Service-Led Growth-Is the BPO Industry the Savior?
  • Concluding Remarks
  • Appendixes
  • Selected References