Key Actors in the Economy

The Philippines is currently a market economy. It has the economy is bank-centred, and has been open to foreign investors since the 1990's. Many banks are supported by the government. However, capitalism is sometimes is unfair. For example, influential families can get special privileges, both legal and illegal. There is also a struggle against monopolies and oligopolies, in order to keep the market more fair and competitive.  The Philippines has the lowest capitalization of the east Asian countries, and is economically less stable than many of them. It also has a low trade of company shares, which has declined even further in recent years. (Bertelsmann-Stiftung)

The Government's Role in the Economy

The Government intervenes in free trade, especially after the Asian economic crisis. One way they intervene is by controlling important imports, like rice. Government officials, such as the President, are influenced by people who are affected by liberalization. This means that although trade is technically liberalized, many industries have special regulations and tariffs. Trade supervision is supposed to follow international standards, but there is no guarantee that the government maintains them. Overall, government intervention has no specific role, and it does not follow any pattern. (Bertelsmann-Stiftung)