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Introduction to Entrepreneurship

Entrepreneurship and Economic Growth
The Philippine Economy

The Economy of the Philippines is the 39th largest in the world, according to 2013 World Bank statistics, and is also one of the emerging markets in the world. The Philippines is considered as a newly industrialized country, which has been transitioning from being one based on agriculture to one based more on services and manufacturing. It is currently one of Asia's fastest growing economies. However, major problems remain, mainly having to do with alleviating the wide income and growth disparities between the country's different regions and socioeconomic classes, reducing corruption, and investing in the infrastructure necessary to ensure future growth.

Fundamental Economic Problems

1. Unemployment
Unemployment rate in the Philippines which is 7.1 per cent as of January 2013 remains the highest in Southeast Asia. Unemployment creates social problems – housing, health and sanitation, prostitution, robbery, crime etc.

2. Poverty remains a critical social problem that needs to be addressed. Philippines' poverty line marks a per capita income of 16,841 pesos a year. According to the data from the National Statistical Coordination Board, more than one-quarter (27.9%) of the population fell below the poverty line the first semester of 2012, an approximate 1 per cent increase since 2009. This figure is a much lower figure as compared to the 33.1% in 1991.
The decline in poverty has been moderate, much than neighboring countries who experienced broadly similar numbers in the 1980s, such as People's Republic of China (PRC), Thailand, Indonesia or Vietnam. This shows that the incidence of poverty has remained significantly uneven as compared to other countries for almost a decade. The unevenness of the decline has been attributed to a large range of

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