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University of the Philippines Open University

Diploma in Land Use Planning

Bridging Development
Models with Urban Strategy
in Hopes for a Brighter
Philippines

Judette C. Camba
2024-30531

3,486 words
University of the Philippines Open University
Diploma in Land Use Planning

INTRODUCTION:
The Philippines, as a developing nation, has been shaped by the major
theories of economic development over the decades. These four key approaches -
linear-stages-of-growth, structural change, international dependence, and
neoclassical free-market - have all played a role in influencing the country's
development path, though to varying degrees and with mixed results.

The linear-stages model, popular in the 1950s and 1960s, emphasized


capital accumulation and industrialization as drivers of progress. This impacted
the Philippines' focus on import-substitution policies and efforts to boost domestic
savings during this period, though the model's limitations in addressing structural
challenges became apparent over time.

Theories of structural change highlighted the need for the Philippines to


transform its economy, moving labor from traditional agriculture into
manufacturing and services. This approach is reflected in the country's
industrialization strategies, though the pace and outcomes of structural change
have been uneven.

The international dependence perspective brought attention to how global


power dynamics and colonial legacies have constrained the Philippines'
development options. This resonates with critiques of the country's continued
reliance on foreign capital, technology, and markets, as well as concerns over
inequality.

Finally, the neoclassical, free-market counterrevolution has influenced the


Philippines' policies towards trade liberalization, privatization, and reduced state
intervention since the 1980s-90s. While these reforms aimed to improve efficiency,
their broader development impacts remain debated.

These four theoretical lenses have each left an imprint on the economic
development experience on many countries, shaping its policy choices, strategies,
and performance over time. Understanding this context is crucial for analyzing the
current challenges and opportunities facing the Philippine economy.

Navigating the complex landscape of economic development models is crucial


for the Philippines as it strives for a brighter future. By embracing a multifaceted
approach that incorporates inclusive growth, sustainable practices, and innovative
policies, the nation can empower its citizens and foster resilience against global
challenges. Stakeholder collaboration, both within the government and among local
communities, will be vital in ensuring that these development efforts are equitable
and effective. As the Philippines continues to steer through these evolving models,
it holds the promise of not only achieving economic progress but also enhancing
the quality of life for all its people, paving the way for a prosperous and sustainable
nation for generations to come.
University of the Philippines Open University
Diploma in Land Use Planning

THEORIES, MODELS, AND


MEASURES OF
DEVELOPMENT

FOUR APPROACHES:
1. Linear-stages-of-growth Model
2. Theories and Patterns of Structural Change
3. International-Dependence Revolution
4. Neoclassical, Free-Market Counterrevolution

An elaboration of how URBAN AND REGIONAL PLANNING


can assist the Philippine government in achieving the idea
of development that each model aspires to create
University of the Philippines Open University
Diploma in Land Use Planning

LINEAR-STAGES-OF-GROWTH MODEL

This model, prominent during the 1950s and 1960s, sees development as a
progression through specific stages that all nations must navigate, drawing on the
historical experiences of Western countries. It emphasizes that development is driven
by capital accumulation and industrialization. A key example is Walt Rostow's
framework, which outlines stages such as traditional society, preconditions for take-
off, take-off, drive to maturity, and high mass consumption. The primary indicators
of development within this model are savings and investment rates, with a focus on
enhancing these to foster economic growth.

A. Fundamental Principles:
o Development follows a linear trajectory.
o All nations experience the same developmental pathway.
o Economic growth relies significantly on capital accumulation.
B. Growth Factors:
o Technological innovations.
o Increased levels of savings and investments.
o Transition from an agriculture-based economy to industrialization.
C. Key Assertions:
o Development unfolds in a series of stages.
o Each stage must be achieved before progressing to the next.
o Wealthier nations can assist developing countries through investment and
expertise.

Urban and regional planning is crucial for aiding the Philippine government in
realizing the objectives of the Linear Stages of Growth Model by offering a methodical
framework for development. Here are some ways to elaborate on this concept:

1. Identifying Growth Hubs


Planning can highlight and develop specific areas with the potential to serve as
growth centers. These hubs can emerge from factors such as resource availability,
strategic location, or existing economic activities. Focused efforts in these areas can
stimulate regional economies, generate local employment, and promote equitable
development.

2. Developing Essential Infrastructure


Infrastructure is vital for driving industrial growth. By planning for adequate
transportation, energy, water supply, and communication systems, urban planners
can create a supportive environment for businesses to flourish. Enhanced
infrastructure improves connectivity and aligns with the model's goals of facilitating
economic progression.

3. Optimizing Land Use


Effective land use planning is essential for supporting industrial activities. By
designating specific areas for industrial purposes through zoning, planners can
reduce conflicts between residential and commercial uses while maximizing
productivity. This careful approach ensures efficient use of land resources to foster
economic development.

4. Promoting Education and Training


University of the Philippines Open University
Diploma in Land Use Planning

Investing in human capital is fundamental to economic growth. Urban and regional


planning can incorporate educational and vocational training facilities into urban
designs. By ensuring these institutions are accessible, the government can enhance
the skills of the workforce, leading to increased productivity and innovation that
aligns with the model's objectives.

5. Establishing Investment-Friendly Regulations


Planners can collaborate with policymakers to create attractive regulations and
incentives for both local and foreign investments. Implementing special economic
zones, offering tax incentives, and streamlining business registration can cultivate a
favorable investment climate, invigorating economic growth in line with the model’s
principles.

6. Creating Efficient Transportation Networks


Establishing reliable transportation links between urban and rural areas is essential
for regional development. Improvements to highways, railroads, and public transit
systems can facilitate the movement of goods, resources, and people, effectively
connecting markets and encouraging economic activities across the nation.

7. Providing Adequate Housing


The growth of urban areas often leads to housing shortages. Planners must focus on
incorporating sufficient housing into development strategies, ensuring that
urbanization does not result in overcrowding and informal settlements. Accessible
and affordable housing is vital for maintaining a stable workforce and supporting
broader development goals.

8. Encouraging Sustainable Practices


Sustainable urban planning is key to addressing the challenges posed by rapid urban
growth. By integrating green spaces, promoting energy efficiency, and considering
environmental impacts, planners can ensure that development is both effective and
sustainable. This long-term approach aligns with the balanced growth vision of the
Linear Stages of Growth Model.

Through targeted interventions, infrastructure enhancement, educational


improvements, and sustainability efforts, the government can work towards
fostering a more prosperous and balanced economic future.
University of the Philippines Open University
Diploma in Land Use Planning

THEORIES AND PATTERNS OF STRUCTURAL CHANGE

This approach examines how underdeveloped economies restructure their economies


from a focus on traditional subsistence agriculture to a more modern, urbanized
industrial and service-based economy. Utilizing modern economic theories and
statistical methodologies, it analyzes the internal processes of structural
transformation. A notable example is Arthur Lewis's two-sector surplus labor model.
Development is assessed through shifts in economic structures (such as the
manufacturing sector's contribution to GDP), urbanization trends, and the transition
of labor from agriculture to industry.

A. Fundamental Principles:
o Economic growth involves structural transformations.
o A transition from agriculture to industrial and service sectors is necessary.
o Urbanization plays a crucial role in this transformation.
B. Growth Factors:
o Labor reallocates from low-productivity agriculture to higher-productivity
sectors.
o Advances in technology.
o Changing consumer demands.
C. Key Assertions:
o Economic development requires a structural shift.
o Urbanization and industrialization advance hand in hand.
o As economies evolve, the service sector becomes more prominent.

Urban planning is essential in aiding the Philippine government in achieving the


goals outlined in the Theories and Patterns of Structural Change, which emphasize
the evolution of economies and societies through strategic interventions. Here’s a
detailed look at how urban and regional planning can contribute to this vision:

1. Designating Industrial Zones for Manufacturing Growth


Urban planners can identify and set aside specific areas for industrial purposes,
focusing on regions equipped with resources, transport, and a skilled labor pool. This
targeted zoning nurtures the growth of manufacturing industries, attracting
businesses and investments that contribute to economic development.

2. Guiding Sustainable Urban Growth


As cities expand, planning helps ensure that growth follows sustainable practices.
This includes creating regulations that promote compact urban design, conserve
natural resources, and curb urban sprawl. Such strategies help maintain long-term
economic viability while protecting the environment.

3. Promoting Balanced Rural Development


To counteract urban migration, planners can advocate for balanced rural
development by improving infrastructure, services, and economic prospects in these
areas. Investments in local industries, market access improvements, and enhanced
community services can help balance the disparities between urban and rural
locations.

4. Improving Transportation Infrastructure for Workforce Mobility


Enhancing transportation systems is crucial for facilitating labor mobility. By
upgrading public transport options, roads, and freight routes, urban and regional
University of the Philippines Open University
Diploma in Land Use Planning

planners can better connect workers to job opportunities, thus removing barriers to
employment and fostering growth across various sectors.

5. Establishing Educational Institutions Tailored to Skill Demands


Urban planners can partner with educational bodies to create institutions focused
on developing skills that meet local economic needs. By aligning educational
programs with industry requirements, these institutions can provide the workforce
with essential skills, promoting both job readiness and innovation.

6. Creating Technology Parks to Inspire Innovation


Designating technology parks can encourage innovation and support emerging
sectors. These parks offer the necessary infrastructure, resources, and collaborative
environments for tech-driven enterprises, facilitating research and development
while attracting investment and skilled talent.

7. Planning Mixed-Use Developments for Vibrant Communities


Mixed-use developments that combine residential, commercial, and recreational
spaces enhance urban life. By designing neighborhoods that serve multiple
purposes, planners can promote walkability and foster community engagement,
which are vital for economic activity and social interaction.

8. Encouraging Growth in the Service Sector


To nurture the expanding service sector, urban planners can create dedicated zones
for service-focused businesses such as retail and hospitality. Well-planned
commercial areas with easy accessibility and sufficient infrastructure can stimulate
economic activity, contributing to structural transformation.

9. Modernizing Agricultural Approaches


As industrial growth unfolds, it is crucial to modernize agricultural practices
concurrently. Planners can support innovative farming methods, champion
agribusinesses, and ensure the preservation of agricultural land. This holistic
approach bolsters food security and enhances rural economic stability.

10. Implementing Environmental Protections


Incorporating environmental protections in urban planning is vital for mitigating the
effects of rapid development. Planners can design parks, promote environmentally
friendly building methods, and enforce policies that conserve natural resources.
These initiatives guarantee that development is economically rewarding and
environmentally sustainable.

By focusing on industrial development, sustainable growth, balanced regional


progress, and educational alignment, the government can instigate a comprehensive
transformation of the economy and society, ensuring a prosperous and fair future
for all citizens.
University of the Philippines Open University
Diploma in Land Use Planning

INTERNATIONAL-DEPENDENCE REVOLUTION

Gaining traction in the 1970s, this approach interprets underdevelopment as a


product of both international and domestic power dynamics. It posits that developing
nations face external and internal institutional and political impediments that
perpetuate their dependent status. The key frameworks here include the neocolonial
dependence model, the false-paradigm model, and the dualistic-development thesis.
Development metrics often emphasize inequalities, both domestically, and in
comparison, to developed nations, alongside indicators of economic and political
independence.

A. Fundamental Principles:
o Underdevelopment originates externally.
o The global division consists of core (developed) and periphery (developing)
nations.
o Developing countries exist in a state of dependency.
B. Growth Factors:
o Overcoming dependency.
o Embracing self-reliant development.
o Engaging in South-South cooperation.
C. Key Assertions:
o Historical exploitation leads to underdevelopment.
o The current economic system entrenches inequality.
o Developing nations must minimize their dependency.

Urban and regional planning can significantly support the Philippine government in
achieving the development objectives associated with the International-Dependence
Revolution, which emphasizes self-reliance and equitable growth. Here’s how:

1. Leveraging Local Resources to Reduce Import Dependence


Urban planners can concentrate on harnessing local resources, such as agricultural
products, minerals, and renewable energy. By integrating these resources into
development plans, the government can diminish its reliance on imports, thereby
enhancing economic resilience and promoting regional self-sufficiency.

2. Encouraging Domestic Production through Import Substitution Policies


Urban and regional planning can aid in the implementation of import substitution
policies by designating areas for local manufacturing and processing industries. By
zoning for factories and production facilities, planners can stimulate the growth of
domestic industries, replacing imported goods with locally produced alternatives,
which fosters job creation and economic stability.

3. Promoting Balanced Regional Development to Prevent Internal Disparities


Planning is essential for ensuring equitable regional development. By identifying
areas that are underserved and prioritizing infrastructure investment in those
locations, the government can foster balanced development across regions,
mitigating internal disparities and enhancing social cohesion.

4. Incorporating Indigenous Knowledge for Culturally Relevant Planning


Planners can integrate indigenous knowledge and practices into their development
strategies to create plans that are culturally appropriate and responsive to local
needs. Engaging with indigenous communities during the planning process can yield
University of the Philippines Open University
Diploma in Land Use Planning

valuable insights into land use and resource management, improving the
sustainability of development efforts.

5. Encouraging Trade and Collaboration with Other Developing Nations


Urban planners can create infrastructure that promotes trade and cooperation with
other developing countries. By improving connectivity via transportation networks
and trade facilities, planners can enhance regional trade, enabling the exchange of
goods and ideas that foster economic growth.

6. Facilitating Community Involvement in Planning Processes


Engaging the community is key to effective urban and regional planning. Planners
can implement systems for local participation in decision-making, ensuring that the
perspectives and needs of residents are reflected in development processes. This
inclusive approach can lead to more relevant and effective outcomes.

7. Sustainable Management of Natural Resources


Long-term development depends on the sustainable management of natural
resources. Urban and regional planning can help establish regulations and practices
that promote responsible land use, water management, and biodiversity
conservation. This ensures that the extraction and utilization of resources remain
environmentally sustainable, supporting continued economic growth.

8. Promoting Local Entrepreneurship for Economic Self-Sufficiency


Planners can create an environment that fosters local entrepreneurship by
establishing business incubators, providing access to funding, and streamlining
business regulations. Supporting local businesses enhances economic independence
and reduces dependence on external sources for growth.

9. Safeguarding Cultural Heritage in Urban Planning


Incorporating cultural heritage into urban planning is vital for preserving community
identity and pride. Planners can develop policies to protect historical sites and
support cultural events, ensuring that development maintains local heritage and that
cultural assets contribute to tourism and economic development.

10. Supporting the Creation of Educational and Research Institutions for Local
Innovation
Urban planners can advocate for the establishment of educational and research
institutions that address local challenges and opportunities. By fostering
collaboration among universities, research centers, and industries, these institutions
can drive innovation and produce solutions tailored to the local context.

By focusing on local resources, fostering domestic production, ensuring equitable


regional development, and encouraging community involvement, the government can
cultivate a more self-sufficient and balanced economy that empowers its citizens and
promotes sustainable growth.
University of the Philippines Open University
Diploma in Land Use Planning

NEOCLASSICAL, FREE-MARKET COUNTERREVOLUTION

Emerging in the 1980s and 1990s, this perspective highlights the advantages of free
markets, open economies, and privatization of inefficient public enterprises. It
contends that underdevelopment arises from poor resource allocation due to
mispricing and excessive governmental intervention. The guiding principle is that
liberalized markets enhance efficiency and drive economic growth. Development
indicators in this model include economic growth rates, levels of privatization, trade
openness, and various measures of market efficiency and competitiveness.

A. Fundamental Principles:
o Free markets effectively allocate resources.
o Government intervention can distort market efficiency.
o Economic openness promotes growth through trade and investment.
B. Growth Factors:
o Privatization of state-run enterprises.
o Deregulation of various markets.
o Liberalizing trade and capital movements.
C. Key Assertions:
o Resource allocation should be directed by market forces.
o Competition fosters efficiency and drives innovation.
o Foreign investment is vital for fostering economic growth.

Urban and regional planning is essential for enabling the Philippine government to
achieve the development goals associated with the Neoclassical, Free-Market
Counterrevolution, which prioritizes market efficiency, private enterprise, and
minimal government interference. Here’s how:

1. Streamlining Zoning Regulations to Promote Private Business Growth


Simplifying zoning regulations can reduce bureaucratic obstacles and foster a more
business-friendly atmosphere. By easing restrictions and providing clearer
guidelines, urban planners can stimulate private investments and the establishment
of a variety of businesses. This approach encourages competition and innovation,
critical components of a thriving free-market economy.

2. Implementing Efficient Land Markets


Promoting efficient land markets is vital for simplifying real estate transactions. By
establishing transparent processes, lowering transaction costs, and ensuring clear
property rights, urban planning can enhance land acquisition and development. This
facilitates a vibrant real estate market that attracts investment and stimulates
economic activity.

3. Designing Transportation Systems for Improved Connectivity


Urban planners can create transportation systems that enhance access between
production centers and markets. An efficient transportation network reduces
logistical costs, improves supply chain operations, and increases access to goods and
services. This enhanced connectivity is crucial for businesses to thrive in a
competitive environment.

4. Adopting Flexible Urban Designs


Flexible urban designs enable cities to adapt to changing economic conditions and
market requirements. By promoting mixed-use developments and multifunctional
University of the Philippines Open University
Diploma in Land Use Planning

spaces, planners can create urban environments that remain dynamic and
responsive to shifts in economic trends.

5. Planning for the Privatization of Urban Services


Strategically planning the privatization of certain urban services can lead to
increased efficiency and improved service delivery. Privatization encourages
competition and innovation, which can lower costs and allow the government to
allocate resources where they are most necessary. This enhances the quality of urban
services and infrastructure.

6. Integrating Smart Technologies


Incorporating smart technologies into urban planning can significantly improve
municipal efficiencies. Solutions like intelligent transportation systems, energy-
efficient buildings, and data-driven services enhance urban living conditions and
attract high-tech companies. These innovations contribute to a modern economic
setting that is appealing to private investors.

7. Promoting Private Sector Involvement in Housing Development


Encouraging private sector participation in housing can help alleviate shortages
while ensuring a diversity of options. By providing incentives for developers to invest
in affordable housing, urban planners can ensure a sufficient supply of low-income
housing. This approach supports inclusive growth and fosters social stability.

8. Crafting Strategies to Boost Urban Competitiveness


Urban planners can develop comprehensive strategies to enhance city
competitiveness in the global marketplace. This involves optimizing land use,
improving the business climate, and focusing on branding and marketing. Such
strategies make cities more appealing to businesses and investors, driving economic
success.

9. Decentralizing Planning Authority


Decentralizing planning authority to local governments allows them to address
particular market demands effectively. Local authorities often have a better
understanding of their unique challenges and prospects, enabling them to create
tailored solutions that serve their communities well. This localized approach can lead
to more effective and responsive urban development.

10. Building Strong Digital Infrastructure


Establishing robust digital infrastructure is essential for supporting the digital
economy. Urban planning can facilitate the development of high-speed internet and
other digital services, allowing businesses to harness technology for greater efficiency
and innovation. Investing in digital infrastructure is crucial for maintaining
competitiveness and ensuring that both local and international businesses can
succeed.

By simplifying regulations, fostering partnerships, creating economic zones, and


improving infrastructure, the government can create an environment that
encourages private enterprise, enhances economic efficiency, and promotes overall
national development.
University of the Philippines Open University
Diploma in Land Use Planning

SUMMARY:
The field of economic development has been shaped by various theories and
models, each with its own unique perspective on the drivers and processes of
growth and change. The linear-stages-of-growth model views economic development
as a sequential process, where countries must pass through a series of
predetermined stages, with investment and capital accumulation being the key
drivers. In contrast, the theories of structural change focus on the transformation
of the economy's sectoral composition, from agriculture to industry and then
services, driven by technological advancements and productivity differences across
sectors.

The international-dependence revolution, on the other hand, emphasizes the


importance of historical, political, and social factors in shaping the development
process, arguing that underdevelopment is a result of the peripheral status of
developing countries within the global economic system. This perspective is quite
different from the neoclassical, free-market counterrevolution, which emphasizes
the role of free markets, private enterprise, and limited government intervention,
advocating for policies such as trade liberalization, privatization, and deregulation
as the path to economic progress.

These four frameworks - the linear-stages-of-growth model, the theories of


structural change, the international-dependence revolution, and the neoclassical,
free-market counterrevolution - represent the diverse theoretical approaches that
have influenced the field of economic development, each offering distinct insights
and policy implications for understanding and promoting economic growth in
developing countries.

Each of these economic growth and development theories presents unique


insights on how nations can progress economically. Urban and regional planning is
critical in translating these theoretical frameworks into actionable policies that
facilitate development in the Philippines.

A balanced approach that integrates elements from all models, tailored to


the nation's specific circumstances, may yield the most effective outcomes.
Planners must stay adaptable, continually assessing the impact of their strategies
and modifying them in response to new evidence and evolving conditions. By
leveraging these diverse models, planners can play an essential role in advancing
sustainable economic development, enhancing the quality of life for citizens, and
strengthening the Philippines' position in the global economy.

Reference:

Todaro, M. P., & Smith, S. C. (2012). Economic development (11th ed.). Addison-Wesley.
https://fenix.iseg.ulisboa.pt/downloadFile/1688983004255169/Economic%20Development,
%2011th%20Edition%20(The%20Pearson%20Series%20in%20Economics)%20by%20Michael
%20P.%20Todaro,%20Stephen%20C.%20Smith%20(z-lib.org).pdf

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