Abstract
This work is devoted to the Philippines, namely considering such phenomena as urbanization and technological development on its territory. In the study, previous hypotheses were confirmed, and new ones were put forward that made this topic relevant. The article additionally reveals such a phenomenon as poverty and its impact on the phenomena mentioned above. In the course of writing the material, not only data from previous works were used, but also static data that allowed us to track the dynamics of the development of Philippine in the last 15-20 years. Urbanization and technological development undoubtedly affect the lives of people in the Philippines. On the one hand, fast-growing cities, high innovative development, economic and labor growth. On the other hand, the increase in financial inequality between urban and rural residents and the rapid consumption of natural resources.
Previous Research
Recent studies have revealed that the Philippines is one of the most dynamically developing countries in East Asia and the Pacific. With increasing urbanization, a growing middle-income class, and a large and young population, the economic dynamism of the Philippines is based on strong consumer demand. Business activity is brisk, with notable performance in the services sector, including business process outsourcing, real estate, and the finance and insurance industries (Montes and Cruz, 2020, p. 17). Good economic fundamentals and a globally recognized competitive workforce consisting exclusively of the local population strengthen growth dynamics. One study shows that between 2000 and 2009, the average annual growth was 6.4% at an average of 4.5% (Montes and Cruz, 2020, p. 18). The country is ready to leap from a lower-income country with a gross national income per capita of $3,660 to a country with an above-average income per capita income of $3,896 in the medium term (Montes and Cruz, 2020, p. 20). Another study shows that private consumption growth decreased slightly against the background of rising inflation but remained stable given the stable labor market and steady inflow of remittances.
Exploring the issues of poverty, scientists unanimously affirm that in recent years the Philippine economy has made progress in ensuring inclusive growth, as evidenced by the reduction in poverty. Poverty decreased from 26.6% in 2006 to 21.6% in 2015 (Chen et al., 2019, p. 4). Unemployment has reached historic lows, but the underemployment rate remains high, about 18-20% of the average decade. Most of the Filipino workers moved from agriculture, and most of them ended up in low-maintenance jobs. Scientists say that although employment increased from 2006 to 2015, average wages remained at the same level. Measures to create good jobs and raise wages are necessary to achieve common prosperity. Researchers will especially emphasize that the Government of the Philippines received the first World Bank loan only in 1957. The Bank has financed development projects that have yielded significant results for its people. Over the past three decades, the Bank’s assistance has expanded to various projects and analytical work, policy advice, and technological development. In previous studies, scientists have shown that the Philippines is one of the most urbanized and populated countries in Southeast Asia, with about 60% of its population (Chen et al., 2019, p. 5). The level of urbanization in the country greatly impacted the country’s natural resources and increased the adverse impact on the environment.
There are many cities with high industry in the Philippines, which contributes to the development of the country’s economy. At the same time, this level of urbanization has also cost the environment dearly. Manila is among the most polluted cities in the world. It is primarily due to its large automotive sector, which is often exposed to low-quality air (Cudia, Rivera and Tullao, 2019, p. 122). On the one hand, the Philippines is one of the most densely populated countries in the world (this means that more and more people live on no less territory), and on the other hand, more and more people live on less land, which complicates the balance of population growth with the sustainability of natural resources (Cudia, Rivera and Tullao, 2019, p. 123). Experts assure us that many ways can be taken to help preserve the Philippine ecosystem for future generations. For example, they recommend using everything from recycling garbage at home, using public transport instead of driving, and ending with supporting local businesses.
Source Criticism
For this article, the most reliable sources have been selected to provide accurate and relevant data on the current situation in the Philippines. The selected sources provide extensive statistical data that the situation with resettlement from the village to the city was relevant in the 1980s and 2010s. Scientists in the article “Poverty, inequality, and development in the Philippines: official statistics and selected life stories” sharply criticize the official data on the level of poverty in the Philippines and reveals (San Juan and Agustin, 2019, p. 290). Based on knowledge of the theory of surplus value, labor exploitation, and economic dependence, the authors conclude that official statistics deliberately disguise the scale of poverty.
The data obtained made it possible to present accurate information about the level of poverty in the Philippines in this study. The source database of the source used allows us to conclude its reliability and the quality of statistical data. Developing the topic of poverty in the Philippines, the article “Encouraging poverty in the Philippines through entrepreneurship” offers one of the ways to solve the problem in the region (Cudia, Rivera and Tullao, 2019, p. 125). Researchers using the materials of the Economic department of the Philippines have concluded that the region needs economic reform with a bias toward entrepreneurship.
The authors prove the hypothesis put forward by the examples of Manila, where entrepreneurial activity was greatly facilitated, which led to a reduction in poverty and the development of the middle class. The authors note that the region has many resources that can and should be used for economic development. The source base allows us to consider the source reliable and use it in this study as one of the fundamental ones since it analyzes one of the options for solving the problem of poverty.
Studies on poverty and its impact on the level of urbanization in the Philippines contain valuable and practical information. The authors of the article “Urbanization patterns and poverty reduction: a new perspective to explore the countries along the belt and road,” using data from 1986 to 2018, give a clear idea of the impact of urbanization growth on poverty reduction (Chen et al., 2019, p. 13). This work is of indirect importance to the Philippines but examines the experience of other countries in Southeast Asia. The source base, consisting of statistical data and materials of scientists from the region under consideration, allows us to apply their experience to the Philippines to identify general development trends in the future. This fact indicates the reliability of the selected source and the relevance of its data.
The works devoted to technological development and economic growth mention fairly reliable sources that fully characterize the situation in the Philippines. A qualitative selection of sources from 1988 to 2017 indicates researchers’ deep understanding of the topic (Bahrini and Qaffas, 2019, p. 13). The authors compare the development of the Philippines over the past 15-20 years and draw a parallel between technological development and the economic growth of modern states. (Bahraini and Kaffas, 2019, p. 12). Therefore, this source was chosen as one of the key ones when considering this area, and based on its data; it became possible to predict the economic development of the Philippines in subsequent years.
Each of the articles contains reliable information related to this study. The inclusion of statistical data and the earliest and latest knowledge on this topic makes the work attractive for future scientists. The analysis and critical approach to the works demonstrated in the 1980s to the present day demonstrate a competent and qualitative approach to the study of urbanization and technological development in the Philippines.
Each of the selected studies has its own merits and contains a wide range of important information that has influenced the development of the Philippines over the past 15-20 years and other countries in the region. The ability to link this phenomenon with each other and competently assess similar aspects in other Southeast Asian countries indicates a high degree of depth in this problem. Urbanization and technological development are important issues not limited to the Philippines. However, scientists from local universities and others emphasize a special case in the Philippines that requires detailed consideration. Using sources from different periods and statistical data makes it possible to track better the dynamics of the region’s development and its prospects. It is worth noting that if data on the urbanization of poverty are disclosed widely enough, there will always be a shortage of data on technological development. The development of technology and the constant changes in the geopolitical situation will greatly impact the achievements of technological development.
Results
The results of previous scientific papers confirm the relevance of this problem: firstly, the study of this problem requires an integrated approach and comprehensive study. It is due to the interconnection of global problems with various aspects of human society, for example, urbanization and technological development (Chen et al., 2019, p. 8). It means that each country is interested in considering these problems and participating in their solution. High poverty levels, especially in developing countries, pose a serious threat to national and global sustainable development. Poverty is not just a lack of income and resources to ensure a sustainable livelihood.
It manifests in hunger and malnutrition, limited access to education and other basic services, social discrimination, and exclusion. In 2015, more than 736 million people lived below the poverty line (Chen et al., 2019, p. 4). More than 10% of the world’s population lives in extreme poverty and has virtually no access to health, education, and sanitation services (San Juan and Agustin, 2019, p. 290). For every 100 men aged 25 to 34 living in poverty, there are 122 women of the same age category. The results of previous scientific papers confirm the problem of such a phenomenon as poverty: firstly, the study of this phenomenon requires an integrated approach and comprehensive study. It is due to the interconnection of global problems with various aspects of human society, for example, urbanization and technological development.
High poverty levels, especially in developing countries, pose a serious threat to national and global sustainable development. The Philippines, with a population of 103.8 million, is one of the most populous countries in Southeast Asia. According to the World Bank, this is accompanied by a high proportion of poverty: in 2018, about a quarter of the population (25.2%) was considered poor (Cudia, Rivera and Tullao, 2019, p. 123). About 24 million Filipinos are below the national poverty line and are forced to live on less than 1.65 euros per day (Cudia, Rivera and Tullao, 2019, p. 124). In addition, it is noted that most of the population does not have enough income to live in suitable conditions and buy something besides basic things.
The population of underdeveloped states leaves much to be desired. Rich countries open factories and enterprises in developing countries, pay people pennies and harm the environment; South Asia and Africa are particularly difficult (Bahrini and Qaffas, 2019, p. 21). It is important to understand that the technologies themselves cause damage to third-world countries, but over the past 15-20 years, the authorities have allowed rich countries to open their production facilities (Montes and Cruz, 2020, p. 25). In technological development, the average labor productivity is significantly lower. High technology is designed to help people reduce the inequality between poor and rich countries.
The way developed countries exploit the labor of the population of underdeveloped States leaves much to be desired. Rich countries open factories and enterprises in developing countries, pay people pennies and harm the environment; South Asia and Africa are particularly difficult. It is important to understand that the technologies themselves cause damage to third-world countries, but over the past 15-20 years, the authorities have allowed rich countries to open their production facilities.
Reference List
Bahrini, R. and Qaffas, A. A. (2019) ‘Impact of information and communication technology on economic growth: evidence from developing countries’, Economies, 7(1), pp. 1–13.
Chen, M. et al. (2019) ‘Urbanization patterns and poverty reduction: a new perspective to explore the countries along the belt and road’, Habitat International, 84(1), pp. 1–14.
Cudia, C. P., Rivera, J. P. R. and Tullao, T. S. (2019) ‘Alleviating poverty in the Philippines through entrepreneurship’, DLSU Business & Economics Review, 28(3), pp. 121–130.
Montes, M. F. and Cruz, J. (2020) ‘The political economy of foreign investment and industrial development: the Philippines, Malaysia and Thailand in comparative perspective’, Journal of the Asia Pacific Economy, 25(1), pp. 16–39.
San Juan, D. M. M. and Agustin, P. J. C. (2019) ‘Poverty, inequality, and development in the Philippines: official statistics and selected life stories’, European Journal of Sustainable Development, 8(1), pp. 290–304.