Political Dynasties, Business and Poverty in the Philippines

Ateneo School of Government Working Paper Series 19-002

33 Pages Posted: 28 Mar 2019

See all articles by Ronald U. Mendoza

Ronald U. Mendoza

Ateneo De Manila University - Ateneo School of Government

Anne Ong Lopez

Asian Institute of Management

Miann Banaag

Ateneo de Manila University - Ateneo School of Government

Date Written: March 5, 2019

Abstract

Using data covering local political leadership in the Philippines between 2004 and 2016, we examine the empirical relationship between political dynasties, business dynamism and underdevelopment in the Philippine countryside. Our empirical analysis reveals how business can serve as a countervailing force against the concentration of power by political dynasties, mitigating their negative impact on development and poverty. Hence both indirectly (by serving as a counterweight on politicians) and directly (by offering citizens an alternative to patronage), we may see weaker effects of political power concentration in some provinces where economic and business dynamism is stronger. We end the paper with an outline of areas for further research, in order to better understand the interaction of political and economic power in the Philippine countryside, with directions that are perhaps useful in other country contexts as well.

Keywords: Political Dynasties, Business Dynamism, Underdevelopment

Suggested Citation

Mendoza, Ronald U. and Ong Lopez, Anne and Banaag, Miann, Political Dynasties, Business and Poverty in the Philippines (March 5, 2019). Ateneo School of Government Working Paper Series 19-002. Available at SSRN: https://ssrn.com/abstract=3347388 or http://dx.doi.org/10.2139/ssrn.3347388

Ronald U. Mendoza

Ateneo De Manila University - Ateneo School of Government ( email )

Katipunan Road
Loyola Heights
Quezon City, 1108
Philippines

Anne Ong Lopez

Asian Institute of Management ( email )

123 Paseo de Roxas
Makati City, Metro Manila
Philippines

Miann Banaag (Contact Author)

Ateneo de Manila University - Ateneo School of Government ( email )

Pacifico Ortiz Hall, Fr. Arrupe Road
Social Development Complex, Loyola Heights
Quezon City, Manila 1108
Philippines

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