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Yale Law S chool

Sterling Professor

ofLaw Emeritus

June 15, 1998

d I -,.*

Dear Former Student:


It is with great sadness that I must inform you that Professor Myres S. McDougal died on May 7th. Mac had a great fondness for his students through his years of teaching and while following their career paths. In view of this, I thought you might enjoy having a copy of a paper you submitted to Mac while at the Yale Law School.
Best wishcs. Sincerely yours,

s f3

Cheryl A. DeFilippo Assistant to the late Mlrres S. McDougal





p.o. Box zo82t5, NEw HAvEN,

coNNEcrrcur o6izo-82r5 TELEpHoNE 2oJ 432-485o FAcsli\rlLE











l ovj-to H, Sa.longa YaIe La'1.,r uchool-

dune 1948

lerm }aper for .Lnternational Lavr (3 units) under




lntroduction uefinition Post ltortern nppraisal

t,laims end uounterclaj-ns j(ecent .$vents and Attempt at Rnalysis






44 +4

t4+ocss to, the

The Treaty

'ihe Shape ofu'things alteconnend ation


. COI\lTm\lTS'

tntrciduction :


Post rtortero



olaims end Counterclaims

Hecent .nvents and l\ttemPt

at analysis


Legal lspects
The TreatY Access to the 'various velues

44 4+

,ihe Shape

of 'lhings





of introduction:,j,he Republlc

to conplete its

about second year of rirro.epenctence.r In

of the ?hilippi_nes is

respects, it is a nevfcouer in trre f.ield of international relati-ons. Lts peopie have been xposed to the ruthr-ess lmpacis of two great wars.
rhey have prosecuted, innrrmerabre rgvolts agaliist t're' al-len' rulin64 elit,es: !iestern and oriental.

the Spernish as alr arrorpuous mass or d.lvergent raciaL origrls, t4e -u'i-t-lpi'os wil'r ro be considered tod.ay a peopre, bound. by a cotudon neritage, united by corunon uf1_ bols and slogans. 1'he last r,var enotionalized and drarnatized. the syirrools, the traditions, the flag, and the J-eaders vmich gave unity to ttre group and dlstinguished it lrom other groups. t,h home, the school, the private pressure organization take great palns in inspirlng awe and reverence toward. the new nation-state. rts youth is condi-tionecl to a definite allegiance-' no longer to the ,ali-enr ruring cIass, the clan, the province, or the ci_ty, but to the
-tofiner-Ly consicle::ecl Dy

'rFiliplno nation" other loyalties.


a loyalty above


with a sense of rnationalinjusticer, the masses have throvrn their support to rnovements, leaders, and slogans that promote'the riligroep, identity and importance, rhis advanced. for:n of ethnocentrism has manut'actured a new brand ot 'patrlots, and theroesr , whose rwlsdom and. patriotism, must 'be gauged. by tne amount of hostility shourn torvards all tout-groups| . In so far as 'nationality' is mad.e to depend on raclal- teet, only the naive can take the criterion with any degree of s'eriousness. 'Ihe ,I'llipino. of tod"ay, lvith some insignificant exceptions, 1s of rualayan-rndonesia$. orlgln, with recognizable uhinqse I or lvrongoloid characteristics. tHacial pru'ityt is admlttedly nonexlstent anong the nations of the v,iorld. ''Haces can be clessiried only in the crudest

and most unscientific fashion.6

1. Prof. Keesing describes the rtypical tr'ilipinott now ernerging in the J-slands to be isomewhere between the early negrltos and fnd.onesia.&.s ano the mestizos (-E'ilipinos with recognizable uhlnese or wtriFG?lat cli.aracteristics ) of iVlanil-a. tt Early lndones j-an in'::nigrsnts f'rom southern Hsj-a, comi-ng to the lslands thousancls of years &gor mingled lvith the pygroy aboriginals, novi fast disappearing, who shor^ied. both rvegroid and Ntongoloid af-' f inities. rater amj-val-s (comnronly krrovrn as rlralays ) in turn mi-ngled showi-ng strong tvtongoloid affinltles, with the rndonesians. se Keesing, relix u., The rhilippines: A Nation in the lraking (1937); nAmong Philippine lialays" writes anthrophologist beyerr "every grad.ation can be found from an alno$t pure tndonesia.n to a pure rnongoloio type. ,uure blends constitute a ninority everyt/h.ere. . . the l,uzon Christians are pred.ominantlg !1grrgoloiO, vrh11e both the uhristian ard Ivioro groups to rthe south of Luuon are predominantly lnd.onesian." Beyer, H. 0t1ey, Population of the r'hilippine lslands in 191-6 (1917p)

-3of the acuteness of the language probl-em in tlie rhilipifnes, none have serj-ously suggesteci that language be the basis of t-hilippine nationality. S tf neither race nor language can serve as a criterion, what should be the test of natj-onality'i Presumably, tlre doctrinaire rvil-l point to the provisions of the rhillppine uonstitution, r^rhich enumerate the persons rvho can be consictered citizens of the }hilippines. 'L'he formalistic fornulatlon found in the uoustitution is not helpl'uI , 4t any reite to one who merely lvants to lsrorv the deI.'inition of tshilippine rnationalt, stripped. of legailistic verbiage. rn point of fact, tlre formul-ation merely preserves the exlsting value deprlvations anc| j-ndulgences, 2. $ee the valuabLe studies make by r.,enedict, xuth: Race, $clence and Polities, L9401 Barzunrtr. Race: A Study in rilodern superstltlonl rhompson, E. Race xelations and" the Hace Problem (1959); Radin, P. The nacial rryth (1954) ; Boaz, "8. Race, language and. uulture (1940). Apologists for tne existence of an .Aryen r6rce and hence o1' t'eutonic stt-periority- Gobineau, Essai sur ltinegalite cles races humaines (1884); Of . Stoddardr Ehe Rising 't'ide of uol-or, 1920f nacial xealities in lurope lI92'4), 3. there are approximately e7 clj-l'ferent J.ani gllages and dial-ects spoken. Ivtore 90 per cent of the lnhnbitants, however, are found" lvltliin eight or people coroprise aLrrost the ennine languages. rrThesej-on popuitit of the lirchipelago, those tire uhristian vrho have the r,rerlavrn-i,jpanish-rrnericr-in culture lvhich 1s . The remaining langua.ges and. clistinctively'Irilipinot are those, roughly, of tire half their subclivisions million f,iloros ( the I'rioltalunedans of the southern island"s) ancl a somewhat larger number of tlte semi-ci-vilized pagans r,.rho are scatterecl through jungle ano nourrtain areas throughout the Archipelago.r' H. Otley beyer, Population of the Philippine Islaarls in 19L6 (l'ianila,1917) see also Uecilio Lopez, Tlre language situation in the r,hilippine rslands (IvlaniLa, :l-951) .


; i

f; tl.


-4and therefore perpetuates,

if it


not increase,

the existing dlscriminations. rt 1s on the ba.rsis of this unseientific defini,'", tion that the relati-ons of the lhillppines ancl its people with the rchineser and other ra-l-ienr groups
are maintained and conducted.. preswiably, j_n a rvorld divided into nation-.states inrrabltecl by peoples vrhose devotion ancl allegiance to the tribaL totem have an

eccLeslastical t1nge, the d.efinition arncl the logical derivations encl d.istinctions that arise frorn

it, csnnot be helped. -But that sad conrirentrry on our present-da;r system canno! rule out any steitement of preferences, Men everryvrhere, no matter horv rprimitiver the societtes to rrhi-ch they berong, are struggllng to achieve baslc values- power, wealth, respect, rectitud.e, wellbeing, affection, and skil-l- through institutions appl.1ed to resourc"".4 rhe equita.ble clistribution of these values 9n a grobal level j-s manrs great contoday. rf he fails 1n that task, he rnay ]ose his "u."r Iasj" cirance of rebuil-dlng rvireit is even no.rrv a d.everstated, broken tverld wian must face the necessities of his &go He vril-L have to reexanine the functamenterrs of hls bel-iefs. The institutionalized. forms and procedures
4. Lessrvell and i,icDougal, Legal Education and ?\rblic Fo11cy: Frofessional Training in the j-\rblie Interest 52 (Iviarch L94f ) y.l.J.ZOf et seq.

T-t t


)v -6-



t r I


f. g

I t

: t

his foruears have conceived and erected lvil-L have to be refashioned to serve his demands and expectations. 'I'hanks to his skill- in the manipulation of things and 1n the teciuri-que of analysis, he is able to bearr lvitness to the assaults thrust upon his parochlal concepts. H may soon realize- if he has not fuIly appreci-ated the i:nplicatj-ons of his olvn acts- that he must plan and utilize.productive resources on no less than a global scale. rlanning on a .Lesser scerle has faiLed and will fail. It has bred stupid conflicts and unnecessary wars. 'l'o plan f or whett is conced.eci to be one worl-d iniplies and unclerscores the basic need for a real- wor-ld organization. that in turn implies the ellr,iination of trltlal- jealousi-es, rn-vths, and slogans. These are stertements of preferences. I'lo alternative is here offered. from a longtenn perspective, because there cem be none in a vrorld that has shrunk in slze, through mants or''rn

iJy way of


.definltion: -

Any d.iscussion

of reLationship

beti,veen members

of different tnatlon-groupsr wodld be unintelligible and, eonfusing without clarifylng the referential- use Lrl' the verbal syrnbol trelatlonsr. One who attaches

to v'rords tengrossed. on perrchnentt vri-lr'have a definition d.ifferent 1'rom that whiclr night conceivably be used'by a confessed. reali-st. rhe fornrer vrill- give a meerning erubod.ieri. in cert,trin forrnulas and d.octrines I the Latter will clet'1ne the tertrr in the light of vrhat society, as representecl by all its institutions, actually Ooe", and pay 1ittle, if any, attentlon to the d.escription by t.tre pa.rticular institution of ',vhat it is doing. .

clte a current example: Very recently, the rhilippines and uhina entered into a ,treaty of a:nity;r undoubtedly airned at curoing the aLreged discrinrinatory treatment acoorded the citi-zens of china by the r.roverrunent of the rhilipplnes. rliany ti:.ought that the treaty, glorlfierl by the exchange of rituar operations, sound.ed ihe death lcrelL of all- runferirr acts. perpetrated against the '|uhinese, in the lhil-ippines. rrardly had the shouts of applause from rLlhlnese' cluarters anrL their. local sympathizers died d.orrn and tJre angry de: nunci-ations fron rpatriotiLr groups subsid.ed than the rhllippine Denate approved. a bil-l prohibiting ralien_

* g
& g


-7ownedt retsriL stores afteS Lgb4. ,l,here is no questlon that the bill r,vas directly airned at the ruhi_neser who,



as ivill be shorur La,ter, have dominaterL the retail trad.e ]-n the Fhilippines for 'rhe proponents

ol tire 0i11, however, did not speak of tire measure in trtat rigiit. rn the of rnerti-onal. soliclarity, r rself'ame def'enser r otrg tintegral, the bill was
ec1. The proponents l,iere applaudecl. rire r uhines e elenen'bs, rlre stilr belvilclered.7l they cannot see nolv the operational slgnit'icailce of the treaty. ,l,he sug_ gestion is irnplicit in this excrnltle.

An a-dequate definition of rrelationsr r,vill not 0e one of mere legalistic fonrruLation lvhich merely

the question; neither wllr- thert consist orerety or fact-gatfrering insuLated. frorn a scheme o1' analysis and interpretation. 'rhe term rrelationsr connotes the

conplex of, values, habits, ancl behaviour patternsrS which infl-uence the concluct of one .a group toivarcLs another. To stucly it is to analyze

political behaviour and polver relati-ons. f t lvil-l demand an examination of past events and a prediction of rvhat rnay come. 7, Dee .g. the statenents col_l_ected in the issues of -nookien Times, leading, r0fiineser newspaper in ruianila, fron $ra$ 1 - rlray gO, 1948. B. A useful text, e.!., suggests such a treatment of vrorld. polltics. uchuman, lnternational i'ol.lle stud.y PoLitics (1941, 3rd. ed. ) .


This is an amoitlous- nay, &r exnaustingJ' task. 'Ihis brief study will tlrerefore seeki in rather broad outl ines, to f'urnish a framework

for the analysls ancl interpretation of all- the events in f,uture ruhinese-lhilippine' relatiollS. Jt 1s here attempted to make a realistlc, if not objective, study of the factual context in rvhich tneir relatj-ons have been carried on, the countervail-ing d"o:rantl-s put forwerrd by the two rnation-groups', and the stanciards invokecl and manipulated. by th-ose lvho are 1n the polr/er positi-ons, The approaoh to this probl-em- a problem
rvhich has been



consiclered. one

of the

most clelicate and perplexing problems confronting the young Republic- has alreeidy been indi-

cated. The veilidity of thett approach' tvill- be jud.ged harshly by the extrerne 'nationalists and

patrlots t who have risen to positions of influence by exploiting a weary people, siclc of rr,rar and economic i.nsecurity' But that need' not
d.eter us.






-9Post Morte-tl Apprais.al9

Scientific research has shorrn that for more than seven centuries, the ,hinese h.ave been coning 'co tire yhilipplnes f'or purposes of tracl,e.lo Au far i,is can be ascerteiined, their rel-ations rj.uring the f irst tlrree of the seven centuri-es ryere.congenlal ancl srrtisfrictory to both groups. Uhen the Spanisir conqulstj{<lores, v,rith thelr zeal-ous nissionarj-es tttrilippines in the sixteenth century "rrt" "r" and. announcecl to the lYestern lVorld thelr I dlscoveryt, they found that intenslve trading had been ctirried on by the Malays and the whi-nese. appraising the cliff'erence betrveen the two eontacts, &[ astute student of urienta]- history ancl governrnent has this to say: ItIn ma.ny res.pects tire Chinese contact vrith the rhilippines has been an expression of the trad.itionaL politi co-soc j-o- econonic organization ancl pirilosophy of t.lre r,hlnese race. J-t is a cottr= monplace that 'uhe intere.sts of these .nsiatic rnainl-andels 1n the Malayan .nrchipelago have lleen corrmercial ancl inciividual rerther than politleal, goverrunental, and national. 'rhe men of Fukien ancl uanton calne to Manila through the centuries upon their ol'm initlative and 9. r'h worcls 'Ohinese' and t-b'il-ipinogr v,rilI used frolr ]rere on lvithout quotation marl<s.
shi-ps betrnreen the tlvo groups nay be I'ound in the valuable artio-to of r.r&nso, u. r "llotes on. vhinese

10. a scientific study of pre-.rpanish relatj-on-

rnfluences in tne rhilippiries i-n pre-^:panish Tirnesrt, 8 Harv. d . of llsiatlc otud"ies 3+-6?, tlvlarch , i-944); see also f,auferr i'The .Ltel-ations of the .,hinese to




r1s\, at their expellse, ancl. for their otvn personal puiposes. unl_ike t!" explorers, conquerors, nissiona_ ries, and traders of ucciAenteiL peo_ pleg, they did not seeti to extend the political dorninlon o1. their sovereigns or the spiritual realrn of any clrurcd. lor did^they depencl u])on sotaier or priest for tjre proteciion oI. ttrelr persons or accori4:lishment o1, tjreir aimg. rt l-1
'r'he u''anish

adninistratio' of' the


merely served to expencl vhinese irri.luerrce Lipou tlre econoui-c; arld social structure of tire cori.r.rrru'ity. rhe

': a

:: t'

fact that the castir-riern, by a riberirr_ ac*ninlstra_ tio' of the s*rord ancl tlre protective help of the crossr could make it possible fol- everyorle to reside
1n comparative Se,fety encouragecl the gro\,fbn o1. the *,hinese population 1n many porti-ons oi. r,uzon and the visayan fslands. 'r'he vhinese unclertoolc to ca*y on the gregt bulk of the retail ancr rvrrolesale trade of the 1sl-anrls, supplying a variety of skil_Ied La_ bor particularly 1n the regioris supporting rvrar.ila. As early as 1605, holever, ttre ecoironic success of


:!: c:


t: :}.

i. k



i.: li:



tlre vhinese tracier" evo.Keo ir'it*tiou ancr hosti-Llty frou botir ttre rur-er arrci the ruled. rn that year, 25r000 uhinese- ar-rrrost tlle entlre comrtunity ot' 'alien, traders- t\rere kll_lect in one v1o_



:: I ii


:: :: : _ : : -: :

: : : : :i _ : :




the t.hilippir.res,r_ {vvasirington, _l?9gi ; cf , Bart:ols, rristory oi' the rhll-1ppi,,6s, fS_vS;'nupi"t o1, the rhilJ-ppiue -onunission, rrartltaff IgOO, irol. X. 11. ffayden, rhe yhiLiplrir.ies: A Study 1ri ra_

1footnotes eontinued)


nor of any retaliatory measure undertalien by Nhs .,h.inese governnent. sven thenr so pervasive was the hold of tne ,alj-en' trader upon the econornlc }il'e oL' tne country that after the strlt'e, so a farnous Dpanish hiStorian records, the buslness of t,re conununity rras at a sternd.stil-l- ancl fooo. a-nd other rrecessitles and. conveniences or' l-it'e lvere scarcely

lJta lrrr 01e .


The outourst rvas to De f'oJ.lotreci by perioclical'

purgings and. vioJ.ent massacres, But the tide of imrnigratiori coutiuued unabatect, insplte .ot' restric-

tions irirposeo Dy o"btlr opani-sh and vhinese J.av'rs. A1trrough tne oulk of tne im,niigrants . r,vere poor and. iJ-Literate, they shorveo pioneer qualities of ph{"icaL end.ura.nce, thril't, and abiJ-ity to rvorK ,n" perioa of tne lergest inunigrati"on was cluring the close 01' tne nineteentlr cenl,ury, after the -hinese governroent rai-secl trie belIr on adgratiotrrtn al.though the Spanish goverrxnent souglrt to narrorv tneir activities by imposing economic restrictlons of every

and d etail.


The free intermarriage 'tvlth !-iliplno

during the tlvo precectlng centurles resulted in tne (footnotes contiitued) tional ijevelopruent (J-9421 695. supra note IZ. Morga, cited. by ,rayd.en, op.cit.', j-u ooutheasuhinese The also'see tsaranett, 11. 694; tern .$sia and the rhilippillesr 'rhe annals, vo1. 225 (rdarch. ]-9+3) 42-+3. 15, o nayd.n, op. cit. r 7O0i florn, Orphans of



a J-arge gro*p of. citizens of r,hinese br'ooo tnat hes been absoroed into t'e genererl populertion of the country. rrom tlr:Ls group, rvhich . r";5 i:ee[ conservatively estj-riratecl at ]r10re than a i:i1ii"rr16 of rvhat is noty a total_ population of f9. C66rBO0, come the nost capable, prosperous and polrierlul elements of the rilipino people .,,r7 rn the first generati.on, the vhinese colring to 1i-ve in the rhilippiries v/ere usually assirni_ 'ot lateo' 'But in rnost i'sta'ces, tiie clri-Lclre.u of vhinese r.athers ancl .eilipirro lu.ottrers beciure -E,ili_ plnos. jndeecl, 1.erv of then ueturnecl to and ']rina t.ire najority ioe'tifieo trrenselves ivit' t'e iocal populace' r'his group tras produced trre outstancri'g leaders of toclay rot o'ly i. trercie anci inciustry uut i' tlie competitive f ie-Lds of potitics a'd pubLic ad^railistration. 18
The lmpJ.antation of .rlnerican sovereignty increased. ttte nuinbel oI. resiue0t uhinese and con_ siderabry improveci trelr econonlc posltiori ancl in_

emergence oI.

,,- Paci'ic (J94tj i;t;-;t the on the uove t19abl; rroiter,seg, i cr.. .i,asker, esia ,r,heir ,fiipi"os"lno ,,ountry 19441 .

11::::::_c1esp*e the restricrive ueasures adol;recl.


!4' oen.ett.r-,^t!u yFin;-sg il oout'eesteru rrsia ,3"Srrl3-rhilinoines, iz.i--rne ^n iiJ"il,r";;;;ie?Bi*

r&ergency 11941 ) 46_4gi ^philippine Haydeu, op.cit, 69+, 66b;--' 16. rhere has 6een ,ro ol.l.icial coullt 01. parricular sroup; inoeed it is con6eJJJ*to oethis vir_ tualiy impo5slbj6 t;;ui"*oru ny-""y-.Jielrrr.ic pro_

Lb. porter,


its excrusi-onary iruuigratiou r-aws into the -car .sast, by pronibiting further uhlnese immigration into the lhilippines.lg
';:*f, il*ough methods, ranging from subtre practices Lo brazen strategems, their ranlcs increased,

The nerv sovereign projected.

sin6 considerabr-e alarm to -uhilipp.i'e lrr l-g3r-, the -thlllpplne lnsular uollector o1. vustcros stated publicly th*t unress the irregal entry of the
0hinese (referring ohviousry to that group of lmmigrant uhinese coming from -euki-en, usnton, and some parts


i.sla) oould be checked, there ,,,rour-d be one million of' them in the rhilippines in LO years , ZO rt is admittedly a well-nigh impossibr_e tasrr to administerythe imnigration policies el,ficiently ind thoroughly, without a great army of immigratlon person_

nel which the goverrunent cannot vrell afford..

ahe more

important reasons for this concLusion are: (f ) tfre Phllippines has a vast, uneven shoreline maki'64 the

task of poricing a dlfficur-t and forrnidable enterprise; l2) the natives, particularly the u'ini.ormecl rnon-uhristianr tri-bes inhabiting the coastar_ tor.rns, manlfest no interest in the enforcement of those
('footaooes continued. from precedlng page) cedure. 'nut see. estimate rnade in lorter, rrrlrippine (1941) +ar+S; .crorn., Olphans of the yaci_ lTerg-ency ' (19411 I43. fic 17. ttaydenr op. cit. , gb. 18. r'he mestizo (chlnese-&alayan mirbure ) has bee' a favorite-G@ 'hlnese of criticisi-ar,"ir,g elec_ tion spmpaiss. rn the iresidenii;i. ."rnutE"--Br"idis-+0, -t'resident U. Osmefrar-a Lhinese mesti.zo. vras vilified. as such through sub'Lle and ctevffiuations. -of--irretsor a d etaiL e d d idqu; Ji on 'rtre Phlllppine otory l].g+i-j . Ji "" tibti]"'J"u .B erns t ein,



Itea,surcs; (f ) c1r-ie to outsjria .cre n,.^^^.--.^'nrainl]r co*nected r"itr'blre rlse o1' politiceir- _pltessul'es, influe.ce r,-'rrcl irroney, iilegel iril,iil{::ation jl, s becn proteci;ed. ancl 2? erlCOiir.'ageCi . l_n the ten yeilrs bei,ore tjie inatugura_ tion ot' the uol.l'ion14/eart* Govr.rx:reilt in r_g85, the an_ nual- arrival 01. uhinese ir,u,tigrants (accorciiufl to oI._ 1'1cirrl records ancl lrence ref'e::ri'g rrr.i'ly to legiti_ mate itiurigratlonJ averageo nearl;r BrL,O0 and non_iuur,.i_ qrants nearly l-0r0OO. Th a.\rsr.if.t: erni_greition l,ias sliently over l0O in the r.irst e"o.1p vdro, by lav,,, entitrert tgorerrrain eincl r,r:sicie i'cle1.i'itely in the lhilippines. L,rrtest recorLls j.ncli-cate ltrat there are uore than 20Lj'000 uhinese tod.ay, roughl/ Iiiof,e than 1 per- centi-un oI' the total- piri_l_1ppir1e populaii on.rn


i'ootnotes continuecl

pinc J:ro^LLp. jloTir, of'pLrt,rrs or_' u.[e i acil.ic (1y41 ) I,ii'. ?2. gefo::e e,ricr afr-,er irle rrcir'ic...,1,r., :-r.,.,i.i!ratj-on sct ncals lieIe, anG .t:li o"", o-rra"a-"a,r,) re scuJce

-t,ilipirros atrd. 'o tlreir uountry (194+ ) +S-2t7 . 2L. rrT he il:.r,iigt,ertio' ilnci cu:.;toi:rs sei.vlces otrly 2 11ttIe speeclboats to cove1, a,Ll_ r,tiis (rvrinclana.oT shorelitie. t,jte .t;loros go over r,o bortreo, plCK up loacis o1', urriilese cooris, si,olv trre.ri u'der "utre i.r_oorboards of ano trien 1a'd tlien ,,o*"or,trl"e i.:lo'g -b1ris Itr:1I *rnlaa. rr coast. lorter, -ii,il_i1tirios irnci. t;eir uourrt"yl-+8.,"..,ii" rriost coriuon route r or* irlcgrLl uirinesc is b,t r"r.y oi' rorneo, lg'uin,q on ""f.:y- oi-irru 01 ttle rrundrecls of lonel-v beaches in i;he soutnern "lsrands ol tile rhilipcf frrction. i3. -r'igures 6re tar.:e* r-rou urisis in the lrrilippi-ne.s-. (r94+ ) 94, 9b. ;jee.:orter, also ilfra, p. ?,4. 1946 est j_r;rlite ( Uensus i.ilrires . ) '-a-study ?s. ne'yde! , t'rre r.hilippi_nes, n ' . in ration_ a1 leve_Loprnent 1tv+i) 6bb:-*r"-+1rvu '

navden, oD. " ?1.? . t,:le prectiction, itolyever, clid rrot co,iie tru-e. clt. t,ire l9:jg ri"as Lr' t.irough u'o''f ici"r ""rr,nu" estlfueLte '000, pOoro00. less theln "o"""Js"ptacea it at see, e.g., Forter,


in l-g02. Uritical_ ot: the nolicy o1''the unj-ter.t states ;i;; long_su1.i,erinp torvarci r'ir ers u'cLer st<r';"irg+s7 ;;-;;'ulif-

_19. 1,jris r,r,as qorie




-15_ Al-thouqir during llre 1rs5ys of the tilrerj-cen ad_

roi'istration irr''igratio' r'estrlctio's 1y,;r _r_r,pos{i, very rel'r irrpositiolis. on iireir econo,',ic e cilvity lyere l-aid clorrm o'.rce they iti,ci rr: i-rreci p.trrrsicai_ eccess i;o ihe ter'i:'itory. I'hey riot subJ ected to rne regal dls_ 'vere abllities ot' t'e spanish crays, einci thoug'6

'cases o1' cor::uption and brlbery il,'er.e r;roup-ht to liglrt, the i;hinese ctict trot pa5. ts tnllc.1l illlcit

afuninistrator, 'rti6s be'ei'ittecl uor.e directly 1.roru the establish:rient o1' re-r-atively ho'est ar.(l e1.1.icie't go_ veqrnuent; ilone has erccluired e larger proportionate shala crf the increased ll,ei-rl-th o.rl t,tre country.* 25\ rn r9r'0, the uolsur *"rr".,,,to estirirated. 'iri'ese the lnvest*erists of his cou'"[r.yrle' iir .L.ire i,'i]-ippines ai being roughly Z0l-,000, i,,00 pesos (or 1p1UU, bUU, OOO

oute to rrrinor potltical_ eutjror,ities as t.he1, ui, ciurrng the upairish regir.e. r?i'Jo crassrr says a I'orriler /\lrierican


being d.istr.ibuted as


Retail rrierchancirsilrg. .,. .tj0 uij_l_ion l,lilolesale trrercha.nciisiii63. . SO r Lurnber.................. pO t? tse1nking................. ,r 10 Distil-1 eries............ r, b Oigars and uigaret.tes... 5 r Soap t:nd toileT,ry.... ... 1 rr Real- estate ernci all oiher i-nvestltents........BO r
P.a. i:.K.



,t n

submj_tte<l to g . !V. f,.rcrnks , i jecr.,etary to [,li r. uover.lror I r Gerreral, i..renile , Deeelirher L, lgDO: ?^7.. biee He;.,'den, op. cit., rjgb. B1r11ett, Tne utrine:;e ir:. bouleers;teril risia r.nci :9. rrrili _ the i 1:1nes ppb ;rtitli,ls (ri.areir, j-g4g






-16rlowever inaccurate tire esti_uate


have been,

the distribution indicate<L gives a rouglr l-aca o1'r-,11e econonic fiel-ds in whlch the uhinese have placecl their tticaey in bhe rhilippines. rri L9S?,, the vhinese in the isLancrs concluctecL
bel,vieen Z0 eind. BO per..centurir
J .'rl

of i,iie re'l,ail_ t:iade

't:,1., l:,:: I (.i , t-

ancl a

L.f OnOi'1, -'!.Or .;'f, t. ,. ,,1-,,, .. |

: !-

l:i l,ie l\,

,.)])t),i.u j-u\rL

rierci&1 credit fr:cii-ities 01, i,lie cou.try lvas r_iker_vise in their hands. up to tlris cray, their coliuiiercial


ii colli_

.hines e centeL:'s in ria'i.c,, an., els r,iil' be ,see' later, is presidect over by tire rnf'luentiaL

every business ancl reaehes l'r'Dn rvroflila to t'e re,r'otest cor]rer* 01, t]re ,.rchip"r_u.go.zz The business ancl social organization of the organiza.tion usual-

credi b c;r51em covers virtually

1y denorninatecl es t'Tlr.e chinese uherrirbe:: o1, uorllrrro.,r The bactcbone of the \,niliese r,Ll.silless is t]te irr_ diviriual- r0erclianr,, Iarr:,iir;ror I.1r.u. ,r,he biElgest colr_ uerciar- irouses i',a ancr ,.larry u7 tireli possess the caplterl e'cr facllities rlecessery 1,or ooing ousi-ness on e li;rqe scale. t'irese concerng are e-ir,,r-e to extertcl the .blLe creoit i,hicir is rir.ebloocl of the traoe. t,heir saLes_ rien a'rci buyers cover tne. r,-rror-e 01' ,uire j-irilippines.
houses, the nrovinciar- rre'cherlt, tne re;air-siore r sari_ sari) olfnerr 01. even t,ire pedr-ar r,;hose stock in trace is orr nis bacjr enjoys aclvantages th;Lt his lilipino

Through conneciions l,'ith therri or, ,,;i_trr the smarrer ruarira

petitor nas been unaole to ruertch. rrehinci the r:.ierchants


-t7 stand. tnree big iraLnirs; one o1. r.rhicii is olrrred. by the t,hinese ivational Itr 1o1:ral- tiroes, there vrere approi;irlatery r-s, ooo vhines" or""".,rir,rre

i.ndustrlal f i::mr in tire r,h-irippines. ,r,.trere acti_ vr uies vfere ]oultit'arious : 1. li.r the great rice regions, liice l\jueva ifci ja,
: :i';'-

to a consi-cierairie cieqree control iis r'i 1ri'g ciisi,rioution. or'or !he wi,,r, the1r o,,,;ned. 7S Ijef..centr-un oI. .t;he rice
p.. In the retail_ tracie, ,,,,,irile ab.ut .irillf of totar i-.vr.:;t.irierts in l-gBB r^ris .uilipirro, i.rtrr about'he

r:uJ-iicilll, fair]panga aud- r'l ngasinan, uriirtese 1;.,l'gely finance 1;ire proclucti-on 01'';,his basic l,ooci crop ar1(1


recelpts of 'r,he traoe, .'.,;hite .eilipinos took on.l_.. one thir$. 't'he J-aprnese {iccoun:becl l,or tjre 3, I'ire 'etair
Jra.s been a.r-r'os-i;

uhi,Lese, the r-a'bter took iri over |rah. oi the {,;ross

i.irioliy i' uhinese irands ttrror;]hour, rrie. tslanos. ,1,rre;,, cut anci riil-L per.cen'bu-rir. oi' i.tle tir.roel- anlrllally put 'early 40 on the mar.icei. .4. Jn r;he cocorut i.ciustry, 'he uhinese have been in the business of' cor-recti.'g eopra 1,rom the n'tives
and ni've

of' this product.

+ gnin trre clryi'g, g::u.riri'g, ino e:rportlng

rei;rp itrdustry,'btre urtirie:: r:l:v


5. 1'tite

es midctli;rn, buylng 1'rofi the 10il-cIass -cilrpiflo growers e.nd sell1ng u'e procluce to the larr;er *ealers,







fol-lororirrs table indicates ihe .i.i"-",-oution o1. re:1 property crecl-:lrcc1 r'or taxation in 'tIre rlriliprrines

itt 1958, c-lassii'ied accorcting to nationerlity. lt shov,,s 'rt].rt rvhile rriore tharr nineiy per--eentun o1, trre lanci, e,!c|-rsive of tne pubric cior;rain rvas 1n the of the -uiliplrros, lliore tiran ?5 rJer 'centurn a,s Li'Jly clecl-arations 1!et:e L i-Leo Dy uhi-nese as by l iripino business corporatiorrs.
'r'ire irol-d.i-ngs 01' these corrrperni_es i:rre

cial Lnci rcsldentiaL

r'.'/pe of ot',nerShip


.ooLr cororler_






Perc e.l-s (rvo.,;

Af ea


lissn I s-

volpll t S and


lB r lbJT:
8 r 590: 5 1257:






rus irtes s corp I ng -


346 rOL7:

i'b7 ,4o'/ ,280 94, 558 r b40 tJSrL]36 r/+IO

gl il

/llrieri ca,rr





epe.ltes e

I ,876:


1, O7o


121r 096:
LO6 rt7'73,



70, 9t.I:

,496: 33,052:
7,96,J r 259

46,3ij4r'OBO 16,2.32,980 13, iibg ,97Q

r:idivt-cluii Is Loterl


4 r7 2,2, b3B

1, tjgS ,406 r460 40,803 ,7IO , ?4r 425r 710





5,322, o20 4r697,386 20, 915 l-6,592 (JEE f)


6 , 711: 2,0_Lb


2 r3:-g Bb8

,?69 r 668 57 ,630

64, 865

30 ,47 2

I9 ,425,550 7 ,696, gg0

:.! tl:1

l-t is not, sugeestecl itere 'citai; during tne l,,ho.l_e perd-od 01' Ajiiericrn iutelage, tlie Jot 01- the vhinese trts altogetlrer brigilt. t'heir eco'onic succe,ssr evolreo ir::i.bat10'ii'd rn_






-19tagonisrir l'rori tlre Less energetic.local topu.j-ation and

ttreir representatives in thetiigher council_s. ,1,r1 reai{'.'}ns 1'or t;his attiuuoe ivilj- be inquirecl into later. tlre uhinese 1'!'e1'e a recurrina f eature of r,.ilippine-uirinese rel_erti-ons. l,hroughout the periocl of A:ierican ru-le, tlre resident uliinese have been periodi_ ca11y (lespoil-ed. ancl kept t'ire. ,r,ire rilost serious antl-uirinese outbreak since l-BgB occrlrr.ed in lgp4, r,ire
',rrNaeks upon

iu;recliate cause wer.s i TLUjror, l,ouncl latel5r 16 be en_ tirely baseles::, t]rat a nruirber of .uilipino stucients had been rrill-ed by vhinese in raongkonj and \ieinton. rhis brour:ht to i;tre surferce i'anteistj-c stories. ,r,ire f.irst

ucija, 7.2,ril-es north of J'ianiler, r,rhicir hiis been r. center l.of. uh_inese contror- over r,ire llusinesri i lL*. r-r"1.icul ture or. ii /{r,eat ri-ce -'ecio'. uhinese we' r,iobbeci, their s.i,ores rootecl, and sorrte o1.' thent \/ere kil_leci. ,t_.l}e salne scenes 1^/e1.e re_ enacied in ttranil-a e;nc1, on a l-esser scele, in other .,hinese

outbrealc,:Jcul'red. i-n uabanatuan,



-------: ?9. source of statistics: &(. Arrrerican uhi:rr1bs*. o1. uoiaEerc e .l ournal (t.,rani1a ) t.tcto ber, l-940 E . 30. ,r,he lirlrerican Governor Genera_r, irad to intervene to restore orcler. 'r-'ne uonstanurary ivers oruerecr to vv yu c1uelr ali rlots . Jee .i1ayd en, ,ip. c it. 7os. 31.. 'Lhe rvrernila leirly. Bui--Letinr &[ ;rirLerican ne',/s_ pPrper, reported tha.t tire riot orlgiirated f'rot* a Oispute betvreen a vhinese storekeeper ancl a lilipino -i=irl rshich c evelop.ed into a f igirt. -i,rolr. ii=-i=s,.recust-m'er, oi 19;"1, 'l're euote: 'rThe f.ieht attracteci, t,ne attenlion r, uf e.le:'ge grogp or' .r:ilipinos, l':ho-r,ra""n;o.-r"on one ,_hinese -fi,ey-en_ st.ore io another, arneo. r.:ittr c]-ubs ancl stones. tered the stores lno cestloyeo oroi;erty. the :iroo_ blng took llu i;iunicipar i'o'ce oi"oanrvhile r,nras un_ Fe,blo eDle to cio anything.,, Later issues reportea thai the


serious ttran tlie average , out of l:ypical peillcrn, vias the san tsabl-o nj-ot of ,.ir"u&Ty,

r\tf exaJnple,




rict of J-g2l_, and its succes_ sqrs afl'orcled an exanple ot' the posslbilltles of stubl;orn political conf'lict, internal and inter-national, .rtris v;lri-cn are lnlrerent i,n the existing sltuation. statute, enacteci by 1;he yiril-ippine r,es;i-slature over the protests 01' tne ulri-nese comr,iunlty, prohibited rrlerehants ooing business in the vtrilippines, froir:. keeplng any account books ez.cept in the r:,nglislr or opanj-sh
Ianguage or .in a local- d.iaIect.

,l'ne sookkeeping




rhe rteasure

1i/as ad.-


eit the 1brOcu' sniaLl vhinese shopKeepers who, according to lhe legislators, lraci been anrrually ) defraudlng the govermnent out o1' mil-l-ions of taxes
airnect becauqe

t'ilipino ot'f

v,/ere unerble




(1'ootnotes contlnued)

uonstaouJ.ary solcliers vrer'e rusheci. I'rorn neal'b1r posts ,'to restore orcter ancl irvert further clashes bet\,?ee.[r and vfl j-rles e. i' oev e 8.1 days elapl ecl, lrowvr; ,,, ilipiiros 'trre beI'o.r:e vhinese nercha.nts darect to reopen inelr have numbered 2.OOO lilipinos. 32. rict No. 3292, uecelrber. 2, l-9p6. uee iilso i;he Ittv.laniorandurn Act uo. 2ll72 ot' the ririlippine r,egislatut-e, Kno',nm as the oookkeeping t,avrr r, (lgZi 1, and the undateo irielloranduii pl'esented to ttre uniteci Sti:tes uongress by 1'epf esetrtatives or' ,;the vhinese vhamber o1' uolr]l:.rc oi' rlrenila, a-.trd- all the ,,hinese residents in tire rtrilipplne rsl-arlcrs. "

stores. flie

r;-rob \nras

estillateci b.J' tlie vorrstabulary to

llre uhineSe, on t.fle Ol,liel'1l.{llld, (icnounced the l-arV


beirig vicious pl'osjecution. rhey d.eclared i;itat it

ertrlcteo to



up tlreir business, to

colLrpei- every

!. i:r




H, F;




siiiall vhinese store.l(eeper to errploy a .ui-lipilto clerk and. give tireir rrilipino conpetitors' actual- or potenti-al, access to t,heir t::acie secrets. tthen the questlon or' the constitutional-ity ot' this statute vl) was squarrely reri-sed, -blre uni'bed Stittes buplel,l.e vourt, clisregarding the constrlictj-on iiiven b]t tlre .vlrilippine Supreille- uourt, held theit tlte elll'orciiiIlt o1' ,r,tre statute wo.ul-d. seriolrsly eubirrrass t hinese ner cha.nts as $o clrive nrany c.rf tlrei,i out of' business. lhere 1./as -iro cioubt in the llincl o1' the wourt tirat the fiscal- ueasure trvas d.irected. agai-nst tire -hinese, as evidenced by the recorcis o1' the legislative proceedings. 'r'he United otates Duprerile voullt sericl that the plain Lanquage of tire staiute cietlied. to .,hinese il.erchanis due process Eincl equal protection of uhe latvs.


oaj-ci tire cOU:L't: ttflire rJril-illpiite

trCVTll-Irint riiay ii.itk

evely reasonable requirertent of 1ts ta;ipayers to keep record.s of their busj-ness trausirctiotts in -u,nglish or
epanish or !ilipino. dlalect blr liJhich an rrdequerte lrieasure of rvltat 1s oue fror.^ ilieir j-n iireetinil the cost of

35. 27L U.S. 500 ( l9A'5 ).

" but this statut rjos ioo f ar, acco::tiirlf.r to tire court. tt'r'l'e are clea.r1y o1 tire,l:-l tiret iir is rrot r.ritnin t,lre police pol,rer of the ririppine legislature, becaruse it vrou-Lcr be oppressir,e and albi-brerry to pr:oliiOit erl-1 virinese lrerciianis l'.rorii uraintaining a set of books iri the vllinese lt nguage, and in tlre vhinese cna.r"acters and. thus ltrevent tlreu from keeplng advi-secj. oi' tire status 01 L.heir brisi-ness and directing its conduct. . . . ',iti.rout tiiem such tnercrii:nts would i:e e pr (iy i,o i l.-L lciuus or fraud. and lviihout possibillty of erclopt,ing erny :rEr.r'e poJ-icy .,,34
goverirrieflt can be

tllairns arrd uountercl-aims: v/hen

tiie, bookkeeping act r;as passeci,


lrhile the cpse assailing its constitutionaliiy lvas penciing, incliviriuatl uhinese c.lurre c-:u'b rvith the rrssertions that lire eriactruen'b oI i,.ire trreasure vrers a cl-ear cese of legislative .squeezett, attr-i exprt,ssed tne Del-iel' that 1f' certain politicians \vere ',i)r.opeury taren cere of ,, , tire l-ar,v rnroulci. Iever rii]ve beeit'; ecl . nspotrsiuJ.e Cnrnese rl, that 'biie problerrl \n/e.s beeoning increasingly serious ci.uring recent years because r:any iiiuuicipal councils utilj-zecr tneir. taxing pol';ers to cliscriuinate against the -linese, especial}y b3' rihat they terueci ;Ltitnecessat.]r' r-r.^i,osi'ion of cef.tain ricertse 1'ees. t 54. id., at p.




, Jt, is palpably impo-ssible to d.eiironstrate how "' widespread this practice' i.s, though newspaper r.eports
, . , ,/ \".: j

of disgruntled elenents-particularly poLiQa1 agitators-woul-d. have'everyone belipve that it nqs pervaded the whole governnental- structure. This has hurt the r,hinese comiiunlty eren riior.: r,oclay, ;t -m?rny nonest and responqiole officiaLs in the govern,,, &ent wiLl uot dare oppose r,lhat they believe to be unreasonable rneasures oirected chiei'ly against r,ne vhini: .itt:.-.,,,,,.'.ege, tor fear that tliey n*ght Iay thenrselves opeu .Lo :' 35 tbe charge that they had beeu tr taken care of r,. rne l'ool(keeping Act ano. its successors aroused $|;i;.'".s1,.,,., the buslness corrurrunities of the great tracie centers in i",'..;t',-vhina and i,h organized uhinese in the .Ear ilastern co::j':i:..,:i.. .'.:..t ,1.,,jr'lonies'of ,.rTe&t uritain .and the Nether.l-and.s ancr in ua-'
q iir!. i'. .{.:


i:r! :iit: {:r::i.' l


' .a

unjust. ributr?? eaeh of them sald in substance, rwe'd.ere 'we sc^s Itvu not vote vvus to uv aslrsc.I lepeal IUo it. II Wti AUr do, L}Ul.' tf rve our l)eople j)gL|pag il:i.i;-!:...:, *.,.r;;.rt "'l $iLl say that we ileive oeen brir:ecl by i,he vlri-nese, flayl,, ,i;l ^1e1' ?l:."1t; 795:. beg glug the aocusatious against, be.:.:i.':',,xaln otricials indiscrinrinately nacle by the ivra;ila uailyp fron ctay to tiay-t(111945-19116 t , espulia-t.-r-y ."r:"r*-iiaEi{ _'1TS i..i;,!.{;:,,, L:i 6r^^'.i^"^ iq | Ati
l.,bg,rsb and
-.---i 1946. il,t,eJ.ectlons ia .npr1I,

l,;.,,'' i"'r'i.; at its ofthe of Hepresentatives, speaking parctetrouse l'.:. lerg l.: _"lyr'did uot iresi'i.,ate to ceclare to rrre that thesepareite l-alv was


r.r}tl'lfii'.li;i',''-3q- -35r arl 6n American ATna",inr.ln trina-,:^ar6?nnil rnanilr..r-^. Irrirl^^rrlyhen vice-uovernor +.lrrra thus recounts: 'Lirree qiJ- the j.f the ese tension usrrD-Lvrl' \J over v lJrL\' larv ICr!v was vvAD at Cl t/ (/ItI'ge its lUU |.eight, .h.eishteJ-g1l t/ , i;irree l;1trir;.lr.r]r;i&i..,".


nad.a. Resolutions ancl petitlons from powerf'u1 politj-cu.l and conrnercial organi-zations, vigorous news;Rper commentsr'and statenents fro.rri the -hi-nese ,soverrunent ltsel-f expressed. resentmgnt, and more, tlian intilnated the possibllity of future reprisal-s. Iieplesentative of tire i,hinese sentj-rnent is the fol-56 lon'ing statenent:ItThe matter ig. . . . . vagtly tirore tnan 1ocal., iriore than a doruestic regulatlon. J-t hds an lnternational character of profound iliportance. . . . r J-f this law is allowed. to go into efl'ect, it is I'not unreesonable to suppose that retallatlon will result. uhin_a may pass a law requiring lrmerlc*n merchants to keep thelr bookp or account i,.. vhinese. That would. be the end of American business

in;..China. r? 37


at the time feLt and claixled-as they d.o now in a xtore artieulate ancl vigorous riar. ;' rrer Birrce they have to deal vr"ith the phllipplne Repub11c instead. of the united states of Ameri-ca-that their position in the Philippines rvas a legitiraate one, arl.d. that they shouJ-d. not be consld.ered.ra.l_ienr.
The Chinese

in that beau't iful a.r'ehipel:i;io. . . . . lVtren f the Spaniards cmle to the f slrLnds, firsi iq, i 1521, they founci Clrinese raerchants dolng all the comnercial business in tire fsl_e,nds. five hundred Jrears, tJre present After a}nost du.y fir:.ds 'i;iie Chinese merchalts doing at Least 36. Offlcial .a,relioranoum of the philippine uhinese itegard.i-ng ect l\o. z-972 of the phiripplne Legi-slature. $7. id., at 14,
i. r.:

ttThe Chinese l\ilercuants are not ne\*/collters. They are a.s lnuch a part of ihe Fhilippine Isle,nds as the hills and valleys and. str.earus


seventy(70) per-cent of ell ttte c:orrrflercial business in the islands. ft is possibLe to cal-l iheru. foreigners, .... t,hey are part and. parcel of Philippine
:i|' :.\,:'a.

l.l ti




for publlc service. , .they eonthe cornrnerclal cl_ass of the Islands, stitute '.i. just as tlre -rilipinos are the'o1'ficial and ;:'1 farning class. The existe.nce of one 1s just ' '' ' as essentia.L as that of the other I'or a pro'per l'unctioning of the Llfe of the phiLifpine JsLands. trj;ach has'i-ts task to perform. the'officials govern; the farmeis prod"ucel but it is tne merchants v;ho pay tl:.e bi1ls, because the greater part oI' the taxes for maintenance of the uovernnnent comes from the . them. The merchants of the islrinds have been (;hlnes.,. . I ." ,::rii B. e . .'(The uhinese) is more than a merchant'. He carries on the commercial end. of the Phil-ippine industrial l1fe. ,ihese mer_ chants, thus scattered throughout the provinces, loan $oney to the .rllipinos to aiO thelr ln growing and market ing their crops o r1e .exports and. brlnis to them 1n retuin the cocrocli, then ties they need.. r,hinese merchants constitute . tbe nery essence of the cornmercial life of the Isl-ands. No complai.nts are ireard about their d.ealings. they Lrc universally regognlzua-;; h.onest, fair, and square. their reputatlon is '-'*"of higher than tire'reputatj-on oI' any siull_ar bod.y the merchants to be found elsewhere in the world.. . , r'38
anlr crllL



gs wil-L be seen later, solrle statelients here are x-

"aeTlatear others are l1o longer true today. irovrever nay b, the t'act should not be overl-ookecl that there were iliore 4rs00ro0o uhinese and. uncieter- :i


with part

thi-nese; blood




58. id., 4-10, pess'inr. e


the rThole South Asiatic territory prior to the outbrealc of the rvar in the Pacific'39 The Ohinese therefore regarcled' that any exercj-se of political power aimed' at. ciisplacing them in the economic l-ife of the PhiLippines rnight ensimilar courage other Orlental peoples to take

their steps to eljminate al-ien nierchants from

ia ::.

,r:,, x"ir ' iii . lii-.., : '5r!,

itd*,,',, .';'; .

national economy. Says the uhi-nese memorandUm: trrhe uhinese rnerchant is not to the tsirilippirls r uhipecuf r - - --- lar --r- ^.-l iu"e.mercha"l: :::^:?:iu-llroughout are in
As of that quarter of the globe' theY. they do in the PhiliPPines, cl-ass in .otrltitrrte ttre conrmercial for nahave inu"e l-ocalities, and'


the lsla-nds of oceania; they tne UUtCfr EaSt IndieS, tire--Ued'erated Settlement's, Gf"V St'ates, Strai-ts Fren-ch Ind.o-China, and other areas

fii#, ,i:.lirl:.:i']..;:.',.
:j.- a: ,:.. i. .. :r.1 / !i::s. r.!r:..i.. ti:i..i -.v;)!i1r,i,._-.
n i::r -

ny Ilany nations hold' so: vbrelgnty over these regions. Irt than this, has no inJtance, other^)-rr^ di1^ ^-^^+
sovereignty preswred'to enact such an uttcot scionable and- unend'urable

.''llii'. t.i:

i,i:'-'. i:--'u. ?;;,,

percentages of :1]+::-9 5g.l[he nunbers and' 1e41 are as fo:-l-ows: befoie -g"i" d.soiii"ili""o --' ' - ---- -' ,;11,.,---l Pop.of /" of uhinese


Countrles . Tota.l Popo : Ohinese : in totaljop.

60 r 000 r 000
5 r 000 r 000

: ualaya -. ' neth-erla:rds

2r000r000 l_r2o0roo0 500,000 400,000 190,000 125,000



14, 5Oo ,000 25r500r000



in southeastern Asia, ^ -r^I chj-nese 3"r;t;, -gn6 -65: t't'i:' ttilirgas) nb'..I'or the purpose merely of straiglttenlng ,u.Puttblstorical facts, it maY be polnte"d out that
t ---^--

flgUres constj.tute a rougi estinate, lie.e i*",i'fbusb i.: nlri nooo i n llnrrthen.qtern ltsia 22 2?'5



ooo, oo:





-D -a-'I-

The position of a greeit number of people,

leci by bourgeois political

leaciers, j-s under-

standable. They feel that the Ctoriination of tire business of the country by a por,verful, uuassirni{f ootnotes contirtuea

the claim is not historically justiliecl. trntitirinese 1'ee1ing, and aritl-uhlnese legislation 1ar rri.ore harsh than iras been enacted. in the l,hilippines, are rlot ne',,,,' pheiloliener iri. 'bhe re st or ;joutheer st errr llsia, In l-740, Chinese r,,/eue massarclecl in gatavia (l,,1acl,lilir, The chinese /\broad , 9) i r,irinese bLooct 1.vas shed on various occasj-ons in the Inclies, burma, and- Llalaya. There has been ar persistent, deliberate effort on the part of govermrents in Southeastern .usia to loosen the hold of the vhinese upon the econornic structure of the particular territory, in the interest of rvhat tirey cerl_l I'the native populatiorr". -t{'or exarnple: l. l_n the r:ritisit ivtalaya, certain irnportant restrictlons upon uhinese economic arctj-vities are .,,rorth noting: a. certain Iar5te areas of land., called nalay Heservations, r;rrere reserved. for ttre nlalays, "to keep the grorving of rj-ce elclusively in tvtalay handsrr. b, inspite of the fact that th-e tihrnese cor1stitut9.4O,i9 of the total population, they were not adrnitted into the rilal_ayan civil servicel c, after 1930, severe inrnigra.tion restrlctions were imposed on the uhinese (see lh.ierson, L'illLs, ancl Thornpson, Goverrurient anrl i,tatlonalism in Soutireast tlsla (J942) B0 et sec1. ). 2. In the lletherlands Indies, the uhinese in the early days couLd Live only in certain specified. dlsi;ricts, could not trerveJ- ivitlior,rt specj-al pemits, had to report clerily te l_ocarl officials r,,,hile en route, and could f ol lor'y only certain predeternined routes. A law forbids alienation of LancL to foreigners. A Bureau of Uhlnese affairs tr/as established. to control- uhinese actj-vities (see -b.ur, Progress a.nd r,'ielfare in Southeast .lisia, {yqff n. 1942, 52). 5. In Thailand, the neasllres trift6n bi' the uoverrunent after 1932 1,,ie1.e far nore severe those in other countries ancl caused su.ffering iud. loss of livelihood to thousancls of' uhinese. Tire governnent required that the 1'hai language should'be--

larble foreign elenent in a country r';here the der,tocra.tic structure j-s a.s yet f'ar I'ron being

strong is unclesirable. 't'hey point to the fact tir.:tt the uirinese, engilged in the o.isi;ribution of tire basj-c food"stuffs of vlrtuall;r everlr

villege, tov,rt, nnci city, have no interest in Lhe goverrunent seve to protect th.ernseLves front it or to use it, and no o.evotion to the politicirl instltutions of the the unerssirnilability of the uhinese is not erltogether the fault of the uhinese, hol,rever. It must, be
used exclusively 1n a.11 scirools eLncl that ecluca.tion should. be "'Ihai in cheire;cter'?. IJV 1940, 30 Chinese schools had been cLosed.. In 19b5, a law requirecl rlce miLl-s to employ at least Dqb Thai workers. -[n 1936, the business ]iegistration Act l/as passed. requiring all cornnercial und"ertiikirigs 'bo register. In ord,er to enforce the act, thal- official-s regi_sterecl and inspected businesses. Also in 1936, a rtegistration of Aliens Act was passed requirin,' all- allens to have special certificates vrith photographs and to report annually . J.n L937 it becenre illegal to coll-ect money for l''rar purposes. I'his affected. the uhinese ivho llac1 coll-ectecl rii.uch money for relief in uhina. In L93B the exodus of uhlnese from ,I.hailend" stir,rted. l'or their nuisance val-ue, the regulations xyere in that respeci successful. uuring l-958r oil effort wiis marie to I'ree ,t,hai rlce planters from uhlnese contrbl. ,tire Thaj- rtice uompany was forued ancl began to buy rice cli-rectly in uecenber of that year. uooperative societies wcre formed to free 'r'hai peisants fro:.n indebteclness to uhinese. The Government r.,,ent into direct competition vrith the uhinese in al-l- lines of business. uhinese irrerchatlts ,,.:ere forced. to seIl out to the uoveruirent. Lai;s on accuirinc. t"ia

Thai cltizen.ship i;ere :-rrcde tro"u-"ii:i"j;"il the uhinese could not qualify. In I9g9 the Accounts Act lvas passerl recluiring thait all accounting nethocLs be unifonn and giving .the government inf'orrrration about ulLine:r.'--. busineises. ft the sarne y9er' goverrunent regulerti-ons reclui-rec1 public and.


pointerl out tha.t this is a recent phenorrenon, i'or in the ol-der d.ays there 'i,,,ras free andr numerous inter:narrlage betvreen uhinese and tr'i-

*{. LF

L;:: aiil.


';. !i




:.::l l!L:t.




t;t:. a,'
I r::.







fl.l ' ::rl

lipinos. t'he ever-grol','j-ng sentjrent against the uhinese has forced then into isola.ti-on, alld, irl ul'ban pt'oblein area,s, such as lialnil-a, they have concentrated. j-n certain clistricts for purposes o1' mutual aid. oncl protectj-on. The justification for exclusionelr]r ancl restrictive rneisures cannot be for-rnd. in the realm oi' oiological specul-ation, xluch as these politicul egitators vrould have us believe.42 I'he perplexing problem exists. A tentative solution niay be macle jointly by both uhinese.sJtcl Philippine uoverrunents. .rrXtrerne nationallsts in uhj-na, vrith agents tlroughout the yhilippines, :. ----------:-_ priviite inclustrlr not to ernploy nore than Z5yc aliert lnborers. ue oairnett,,. 'iZ, in passi-n. 4L. the varlous rationalizations rnay De found in norn, 0rphans of the tacific, (l-941-) 144-148; nayden, op. cit.695. 42. $orn, in a bolit appraisal of the problern, r','rites: Itr,'fhyr Vots asl: rnust sornething be done about the uhinese'r The politician ]rou are questioning is verA apt to reveal by lris' own eyes and the bone structure of his face that one of his ovm ancestors viris uhj-nese. -H'or, r;.rhether the politician wil-l adrnit it or not, it is sbvisusno anthropologist need teJ-l you- that the vhlnese .have brought mental and. pttysicaL vigor to the race. Othenvise that bone structure, that pa"ir of eyes, r.rould not so frequently be seen among the ablest -cillpinos.r'Horn, Orphans of the yaciflc (1941) I12.

-50have contributed to the grrivitY 01' t,ile problem. -6\ unif iecl, rvorkable approacir to the problem
shoul-cl be 1:rosecuted

by the

tr^io counrTa e3.


jtecent -tirents and an nttempt


/\n3 J-]rs



Shortly before the rvarr nlany leaditlg citizens recognized' the need for the -uilipinos to d"evelop the economic efficiency ol the uhinese and perform for the conununity the services perl'ormed by tlre uhinese. 'I'hey concected' that the vhinese lvere able to gain an irnportant, if not clorninant, position in the econornic l-ife of the

-;-;;;; ; --- -;: ing ta.w, the-fo]Lovring should be recounted: In l-926, tfre f,niiippine .legi-slature enacted a nelv bookkeeping lalv (Act r\o. 329?') , so drafted as to meet the te]t of constitutlonality, in vie'"v of the oeclsi-on 01 the united states Supreme uourt. The oppositlon of the uhinese rnade it inad.visabLe to enforce thls (Act llo. e-t, nor did. amd,ndments passecl 1n l-934 year a1'ter 1ts v/orkab-l-e. A 4I?O1, malce the measure esterOlished volmonlveal-th nev,,ty inaugrirartion, the oOveirunent nad-e anottrer illove irL the long d'rarvn crrt struS;gle. A netrv anendment (uolrunonlirealth ect l\oo l13t nov. Ir l-9:JO) pernritted cortunercial booKs to oe kept fu r la.nguage other than a n:itive language, -urtglish or' spanishr*nut requii'ed- thert all entries therein shoulO" be translated lnto one o1' the other three recognized" langr-rages ancl certif iecl to oath by tfie bookkeeper or manager of the conlpsny eonc-erned-. ln response to a request froin the uhinese uhnmber of Conunerce after the bill rvas passed but before it iu-as signed by the Presiuent, UotrIlflonilealth President tvl.L.(iuezon suggested- that the Iegislature srnend the measure to make ii ei'fective ione or t'!'io yearsil after its passage. Ufle year of grace lvas glanted. The assunption l']'es that the \,hiii.ese had recognizecl the neeci for this legisla1iofl and vr.:ul-cl cooperate 1n its eni'orcement. See the



-31country through their [energ;r, tb.rift,


controlr. physical and spiritual endurir,ncs, cl:.eerfulness, infinite capacity for hard lvork, purposeful and inborn business capa ci tyu.44
'they prudentl-y advocateci disple.cement by 1eg1-

iimate means, i.e., through non-politicalmeasures, alainst vrnich the uhinese presrmably vrouLd. have no ground for protest. Private .pressure organJ_zations lyerc es: tabllshed, seeking to stiniulate the procluction and use of goods rrlvlade in the philippirru=,', and soJ.d. by .uiliplnos. i'lational- caupaigns to this end vrere conducted sj-nce lgg0 by the Ang Bagong Katipunan, a nationalist group O""U* OU
.$ialruI Roxes, vrho beca.rne ],resiiLent

in 1g46. ,Ihe

ectively ha::.d1ed r. hor,,rever, by the Nationa1 lcononric protectionism lrssociation. lihen in 1934, the "l'ilipino leacLers \yere empoviered to draft thelr ot',m constitution, they rrrbte d.ornm in clear language u'hat they concei-ved to be the best r"or"45 of Loosening the irold. of alien control- upon phllippine econonic lil.e.
campalgn lt'as niore eff

letter from the Presldent to the Speaker of the lational Assembrg on the"i,ffectivity of the uh1nese Bookkeeping Larvr'. Sept. 14, 1996. .tiessages of the l-resident, Vol_. II, irart 1, p. Z4S. 44. See lIayden, op. cit. 200. The ,cartoons distributecl by the uepartnent of '*rgricuLture and. corru:.erce effectlvely pointeo this out. (1996-1940). 45. See the openly socialist provisions of the Philippine uonstitution, infra,






It should be noted that at the time, the socalled. YeLlow


(Japanes")+b was a nore

arve-inspiring spectre overshad"olvi-ng the fears

of uhlnese d.omination. The commpn"veaLth Government, under that Oonstltutionr proceed'ed' vigorously to lmplement the provisions' $everal bilts presented to the legislature rrere so vrorded as to exclude foreigners llrom certain ' fiel-ds of businss. trlarIy in 1940, the t'iational corporatj-on $ras established. and capitalized riith government fund.s. 'Ihe presid.ent of the corporation publlcly stated that one of itspurposeswasto'lbrea.kthestrangleho].dof foreign reta.ilersil upon Philippine tracle'47 J-n Januaryr 1941-, the rviaoila ttuniclpal roard' passed an ordlnarlce excl-uding all persons from engaging in any fonn of business j'n th'e public
marl<ets except citizens of the .lhil-ippines or

the united states. 'three yearsr grace '!vas granted, to ajlerrs market stalls vrhen tne ord.inance was passed". virtually all of those affected vtere obvlously uhinese. rhe Uhinese uonsul ueneral inmedlately filed' a

46, -urom 1932-L941r the dapanese offered' in the reseri-ous competition vrith the vhinese hemp inin-the heavilyi"if "t o investeo' distribution. textii.e i1 ,i"ri*V, in'fishlng, an$ see na.Ydenr oP. clt. 7LZ-72'9. ,



protest vrith the nmerican High uomnissioner. rhe uhinese representative contended that the exclusion was in vlolation of. treatles betlveen the unj-ted, states ancl uhina, end asserted that the thousand.s of uhinese concerned. rvould. be throrr'ar out of vrork a.rIcl r he asserted, "as t,rrey travL tire rigirt to 1ive, 48 they cannot be depriveii of their rlght to lvorkt'.'' The proponents of the mea,sure j-nsisted. that the public markets lvere to be di-stlngulshecl fron other trading places. They argued that the

interest in public markets, and coul'd .therefore exclud.e those it thought fit to exclude.The American Commissi.oner ryas synpathetic to the Chinese protest, and suggested. tiratuovernrnent had a proprieta.ry

rr. . o . esicle frorn the cluestion. of legerlity, there arises a question r,vhether the action if te.ken might not have an unfavorable effect in the field of international relations and al-so a questi-on rvhether the action 1f taken rvould achi-eve the end rvhich its sponsors have in contemplation.n +9
The suggesti-on tvas brusheicl aslde. Under heavy pressure from

private orgarnizatlons,


48. Manila Daily Bul.letin, January 6, 1941 49. lvlanila Daily Bulletin, December 28, 1940. A typical American attitud.e 1s refLected 1n this statement: ttThe use of political power to d.rive .1, them from their age-long occupations in the fslands


papers, and zealous crusad-ers '!*1o, to some people, have a way of confus j-ng patriotlsm lvlth pa-

rochial sentiments, the boa.rd clecid.ed" to leave thc statute on the books. The action of the board clid not, however, reflect' the top-level policy fornulation, so cleverly mouthecl by Quezon. The off icial- attj-tude nias s9t forth in, l-9SB by the Presid"ent of the Philippines, in an adclress to Philippine
businessmen t'One

of the aims of my admi-nistrationril 0,uezon declared, Ithas been to grant to the I'lLipinos every facility they nie.y need" to acquire an j-ncreaslng share in the business activities of the eountry. Thls policy 1s proutpted. by more cogent reasons than luerefy a namovi or emotional neitiona.lism. Our natlonal- economy .can never galn stablLity and strength, unless it is buil-t permanently upon the brain and bravm, the rnrork and" weal-th of our ollrn people. 'lBut Filipino businessmen should not asslr.u.e that the goverruuent vrill extend to them speciail privileges at the expense of public interest, or in disregard of the rights of Americans otr foreigners doing legitimate busj-ness in the Philippircsr our uonstitution, Americans are entitled to the sarle consideratlon as 3'11iplnos. As to f oreigners, aside from thelr rights recognlzed. j-n internationnl larv and.

]avrs, they have the furt}rer


would not onJ-y damage them economically, but rvould i outrage thej-r feelings of i-mpropriety and injustice; and any -aast people r,^iho would cause Uhina to refeel iirjureA and outraged. must be bllnd to thej.nvrhat it considers to Japanese ectj-on of Chlna justic'e.n Hayden, oD. cit. 7o8, ' ,i.



right to be treated v;ith equity and justice, because they have helped in the clevelopment of our o\rn country at a ti-me r,vhen our ol,^/rn people lvere not engaging in busj-ness enterprlses. iihat the Filipino businessmen hi;.ve the right 1,o expect fronr their government and . lvheit v,"e ere afforclitrg thetn, are merns which they not have in the past, such eis beinking instltutions, fe.cilities for trade and comtnunlcation, and nerv opport,unities to engage in productive acti-viti-es. In other t'rords, the govern:nent is facil-itating and encouraging greater participation of Filipinos in the coxtrnerce ancl lndustr;r e1' the country. But the l'ilipino rnust stand on his olm lvorth. He must make hls v,ray through ea.rnest, intelligent, and dete:rnined. et'1'ort. 11 must be ready to neet the exigencies of fair eompetition, for only under ec1ue.I circurtstances shoulcl he have the right to expect the protection of his countrymen.


cannot, trve must not, ad.opt a, policy that in any v,ray tnay be interpreted. as antagoni-stic to foreigners. irle d.o not underestimate r''ihat they are doing and can d.o in aid of our materlal progress. The.attraction of fohas been one of my main reign capital tt



No better exarnple can be

cited to


situa.tion r,','here iuhat 1s expressed. so eloquently is just as eloquently


strate the

ignored.. The ordinance notlri-ng less

than an unl'ortunate use o1' politiceil po',ver to displace the uhinss. 50. lddress of the tcesident at the inauof' the lhilippine uhamber of Qsrnmesse of JuLy 2,9, 1938. see Comueroe (August, 1938).


the adninistration of the orcl.inance, holl'e'u'er, 1?es lnteruupted" by the long-feared. invaslon of the philippines by uErpan in De_ cember, 1941. J-n the name of the Greater iiast Asia tioprosperity Sphere, tlrer benighted
people of'

the great spiritual and moral- kinship among al-l Asiatic peoples, The preachment certalnly ruled out any d.iscriruintitory practice by one against the other. Vlhat happened. was preclsely that. The uhinese ancl ttre tr,il-ipj-nos found themselves fighting the same battle- against the Asiatic lnvader. The years J94Z_Lgqb may be written rlo'm as the high tiue in chinese-' Phii-ippine rerations. There was no time to quibble over t economi-c in justic es t , r economi_ c pene_ trationt, talien dominatiohr, ancl other outlvorn sl0gans. To both groups, those years represented a bltter fight for survlval. the ]iberation .of the lhilippines in 1945, the tension betrveen the trvo groups re_ appeared. fuiraediately. The ord.inance of 1941 was retrieved fron the f iLes. The presiclentieiL el_ec_ tion of lg46 gave the Roxas calrp the opportu_ nity to nraiplpulate the ol_d symbols and slogans ,with greater effectiveness. rnstruments of mass


lhil_lppines r , vrere to be taught

-57med"ia were

vigorously handled" to convince a llar-weary, insecure people that in I'econolnic i-nd.ependence" and. rrintegral' ecouonric'natiorral-FI ism'rr5t l.y their salvatlon. Osmeia, a Uhinese Iieslizo, was to be iclentifiecl as such. Let us take some samples of expressions of anti-uhinese


retail trad.e must be ousted.r' fiThey are the ones l^rho rob and oppress the -u'iLlPinos.t' ttThey are 'blie ones lorlro have taken the Place of -u'iliPinos in retailing- a career that rightly belong.s to the natives .tt52 -u'rom the mouth of the average politician: I'They chqrge too high Prices, make cheat in measureurentg, rr huge Prof its. trThe t,hinese standard of living is hideouslY t,The Chinese in &ianila flagrantly vi-olate the B-hour labor law. tr operates his store rvith 'The uhlneseprof it, 'Ihe .uilipino little so posslblY cannot PolriPete. rr the "Since the retail trade is in can theY ha.nd.s of the uhinese, paralyze the country overnight. \tJhat rvould happen if al-l the uhinese stores one norning failed to . oPen?rr 53 51. 0f greet interest to those 1r.ilo v.rouLd. t propaganda duunciertake to study anti-uhinese j-ssues of ttre il'ianj-Ia are the el-ecti-ous ring the Dai1lr .L"reJ^rs, a Roxas paper, l'ron October, T3.4f {o April, 1946. |[he vernacular paper, -ualita, .r.. lrriLl- al-so prove of greart value.

trThe uhinese tt'ho control- our

-38"Ehe Chlnese i,vho keeps the local tiend,a (retail- store) lend.s morffito .tii.e lllipino and charges outrageous interest rates. The l'ilipino is oonstantly in oebt to the uhinese. t' 54

lately, froru one dlstinguisheo senator, occupying an influentlal posltion in the Senato ,


rr. r o at present. there are nore than 200r000 duly registerecl uhinese citizens in the Philippines, xxany of rvhom are controlling our f.oreign and, .*

tt .As a. -u'llipino, ] certainly woirlO r.: rrot l-ike to see our country some .., "ily-ir,"";;i;;l.-ItJoo-',,

d ay dominated. mica11y, financially, or otherwise. 'l'here can be no gainsaying the faot.* that f'rom econornic mastery to poll::"x* ticeil domi-nation, there i! only onet*

step. . .rt
& __.




-3gra, $r3:b.zis at

Lal,yers u ournal

{'i ac-'l r l4t-I45.pJ ?.-ei!le ":i1ai-?, ' b3. The stateraent is often atiributetl .rresj-dent Quezon, vrho oelivered. a speech r garding the uhinese situation prior-to tho clflc Vvar in l-941. 54. A tl-r" complaints nay found. in Hornr op. cit., J4Z-L46. 55, statement of senator Vicente ,J. clsc9, -Ilra jority lloor l.ead er, in opposltl the Chlnese-Philipplne ireatjr of enity. ,r,Ift



1946, Et



, 4!7,


42O (7947 ) .


rhe cold f'act is that blg ousiness in the yhilippines has been 1n the nards of rlriricen arld spnnish nationeils. f his incluoes the nighly lucrative go1d , clrromium, and iron m.i-nes, public utilities ancl services, rope manufe.cture, hemp inoustrlz, cagar malufacture, coconut oil, the sugfir inclustry, and the large iruporting crnd.
exporti-ng firrns.56
America.n entrepreneurlal- capital to approxlmate1l- llilO5r500r000 (See U.S. Tariff Uomlrission, Philippine Trr:de Rolort ro, 1"18, ff ). In 19b5 Americ\rt

56. -r'igures in 1955 place the toterl value of

enstern Asia crici the 226 An:ra].s ZZ,Ifl, (1945). J.B. Riehards, American Trade uo:iu,rissloner .to the thilipplnes, estimated.,qmerican investments,.. q!gr!lt'-before the .racifie rtar in 1941_ at tdZ5B1564, 000 including rentier investments and. direct :.n-

capital played an important role in L8g d.ifferent cencerns-. Seventy-eight per cent of l,he total rlmerican business capiterl wris investecl in mining, utilities, sugar centrals, plantations, and. merchandislng. i'fith regard. to industries based. on agricultural prod.ucts, the strength of American capital lay in the control of mills and. other processing merchinery. In the sugar ind.ustry, .A,nerican capital control-led about one third of the sugar centrals, rvith an amount of $pZr4OOrOOO. In coconu!rrubber, and abaca plerntations, American cerpj-taL had a share of $19r7OO.rO00, With insestments of ii5r500,000 in mil_l_s and refinqrents for the processing of coconutsn the United States lvas far ahead of other 4ationalities. Ilii_ning becane tlre nost important item in the last deca<le. U.S. holdings in this fieLd l^rere valued at $fZr9O0r0O0, vrith or.mershlp of about 6o0/o of the total_ golcl ieseive of t'ire area, The great concerns incLudecL in the publ1c utility classification were al-l- American-controll-ed and represented a capital of gblrgbor000. If hoLdings in transportation ancl vyater systerns are added, Amet'icins controLled" eilrnost 4+p of public service enterprises in the r-hilippin'es in*195g. (see united stat'es Departnrent of voriunbi"u, *o"rattt' -uconomic Heview, 1936, p. 264; {eport or the sureau of Lnsular ;rffairs on -rhllippine -rarm Jndustries revised as of uuly 31, l-g3b, and reviernred in the ruarlila r,,aily ,,[lletr'1 vrS. Tariff Corunission, op. cit.; see al-so callis, capita] rnrr.estrient in Souihphil_'i:;i.-ines,


r,vi'r the uhinese, the ;mericans ancL i:pa'i-a-rds constitute a very s'alr. flaction of the ST totp'r' populatior.. iihy, one may a,sk, the vhi'ave nese rema'ned the politicar- scapegoert for the ilr_s of the masses'/ rtany circunstsnces account for the avair-ability of the thinese as a target of .ernagogic oratory.

vestments. These f'gures are probably vrr ruost '----*"*J trre accurate to be found:
American Investments in tlie i-hilippines


Goverrunent bonds 1400, ooo uoverrunent guaranteed. \i32 2


f ilVdSTIr'ifi,jTS


U. S.



lrivate issues

corporate issues

r70O r 000

l- .


36, 600,


RICT Ii{V}ETi\rIii\,iTS Suger lndustry


i,ands & Improvements urop -Loans i:ocor]Ut l-nd.ustfy


30r575,000 5 ,266, 000

5, 545 000



39 r14JarO0o

A b3_cl (hemp) fndustry

rl].n]-ng _Lnclustry

e.nd refineries .r,anc1s & Improvements


r 8.357.000 I3rg20,000

end equipment Lands & Improvements .





lumbeg and l_ossinn. rv,inor _Lnv es tnEiii" --

Transportation ueneral merchandising

Ijubllc utititibs

r4SO, OOO 70, 0oo, ooo 3l-, 950, ooo

1^ J-a 7

iB; tssj ss3




,6?7 urjj'tish 1,055i rrussia ns' z,ii r:i"ii"i"' ilz,T'iHH ..;3irt ijee the 1959 u"tt"u" (uureau*o' printing,.r.ia-

rjee 2r- .t,oreilltf3,.r"y neports iBB,?83;lti, 1e4b1i0 Oz, As of -1939, the,J*l:l poputatisp, was rough_ ^qti'rated es foi'ror,'rs i---r}:i:i3: e6o, ooo; drpanese, '1" 29 trmeri:ans B, tOg i upanesh 4 , 000 ;




lageo rlo .u'ilipino can say that he has not dealt rrith tr:e chinese trader. lle buys from the v_ 'im eryday r:ecessities of life- rice, sa1t, sugar, kerosene, clothlng, and bread. As one rr,rrlter 5as s o a-ptly obs erved : _

I,irstly, the Ohinese is everywhere_ in the city, in ilre to\.,rI, and eve,r. in the renrotest vil-

,ffi3i" the nost obvious_, "'fi;, the e"siJst political target, ^sj_nply u""iu""-in"y touch the lives of everXr native. No'pofitical speech goes over Oetier-rioitn -"itulr." the po_ pulace ther.n one thai the uhi-

:l:_""S.:ll,rgst, ";"ii"l:*nlf . f!.'

t'. . . a l-arse p_elcentage of the .t,.il_i_ pinos in the ihe uhinese "irire"-;i;; or have owed some :,ome money notii, in


any day




ffi;"fl3"f'3f';;Srl333. tnuv-"iri
part of the whole situation


The ironi-c

that lyhile the Uhinese trader bel.ongs to a big nation, his goverrurent, harro'red by perloclicarrevo'r-ts and a


the co*ntr;r, ca,n be cor.rve{l'entiy hatecr; lto feuf of retalicrtion need' d.eter the nrass and the elite. Jr'rst horrr 10ng this state of affai-rs cenconti'ue is of course hard to predlet.

that has heigirtened. in in_ tensity, has been unabre to extend. to him sufficient protection, diplonratic or otherv,rise. In short, the chinese in the philippines on erccor-urt of their nun_ ber and their clistinct place in the econonic Life


58' Ilorn,


of the pacifie (r-941) 14s-r46,


Secondly, the Ohinese situation provides


auspicious opportunity for discharging the accumu-


lated resentment of the conui.on rnan agaiinst the existing slrstem of tnrealth d.istribution. iiith the exception of urban centers, such a.s lvranila, Llebu, and rloiLo, there is still the same feurLalistic structure vrhich existed during the Spanlsh rule. In point of fact, the mald.istribution of populatj-on, land, and rveeilth is greater novr than it l,vas then.59 L,he social and econoluic structure nlay be conpared. to a pyrani_d: at the top of it wil-.} be found a snafl group of lendourrers arid buslnessmen, mainly Americanr fipanish, uhi-nese, and part-iipanish, rmmediate-

are the compradores -,ho thrive oq an intensive duty-free lrrith the United States. Then, there 1s a bureaucra,cy of govern:nent emproyees and finally, a. negrigibre miclcil-e cr-ass. These groups, formlng a tiny tr3ction of the tota.r population, received the bullc of the benefits thet cane froil Americi:n rule' roday, they r-ive in the ci-ti-es, operate the ne"'v"spapers, organize and manipurate the private
belor,r them


pressure orgeinj-zations, dominate ancl control philip_

pine politics. lrt the base of the pyra*id is the vast majority of the l'ilipinos- peasants commonly 59. -ii'or an exhaustive ciiscussion of rhir-ippine economy, see the- ..lpCl4-Report of 19BB (t/ashirri:t.;, Iiayden, 1]he philippines: A Stud.y in ira{ionif l?3?]; leveJ-opment ; hra cariiig, social probl_ems- (tutanil"li-e2g . I; urisis in the-phitippines fol!"I, fisZlj; seeman and satisburv, pdtii;;i"E"
oross-Lrurrents 1i- trre


-43cal1ed I'magsasakatt- who have derj-ved. comparatively l1tt1e benefit from the American tutelage, They

rights; and in a great nu:nber of places, " d"o not ovrn the land. they till or the primitive, one-room nipa shzrcks in vrhich titey live, Francis B. Sayre, reporting in \94I as Iligh Commissioner, stated.; tt. . . neither a sizable independ.ent middLe nor an irrfLuent.ial public opinion has developed. ,fhe 6ulk of the newly created j-ncome has gone to the goverrunent, to landlords, and to urban at:eas, and has served but l_ittl-e to arr:.e1j_oreite the li"ving conditions among the al_rrrost feuda.l- peasantry. o . . .iriaLdistribution of po_ pulation, of land, and of wealtn in many forns continue".j. . . and social unrest has reached serlous propor_ tions..,n60 l{ewspapers and political agitators, dominated. by entrencired lrea:lth, c1o not tell the tEro that the festering sore i-s ttbig businessrr or rrcaciquj-smrr. i/ith abrost universaL unanimityr the one target has
been rChinese dominationr. The irrel-evernt scapegoat- the average uhi_ nese retailerserves a usel'ul purpose. The frus-

have had f evr eff eetj-ve political

tratlons of econorrric adversity thert increasingly affect country ancl average clty-d.r^rel-l_er can be exploited in political- actj_on. The hatreci of the corLril0n nan for the snart Inegocianter (speclalist
si oner, 1940-1941.

60. Report of' the United fjtates frigh



on barga.ining), r,rhose marurrers and tastes are ciifferentt

can be best displaced upon the td'1rty Chinese'
The sensational details of 'lnmigration scandal-sf and rsurplus d.ea1st, in l',hich the Chinese trad'er is

hopelessly invol-ved, merel-'z nd'd to ihe spotlight th1o""ryr" upo:j I ri,c-ial minority vtht::e fq'bure is ind.eed dark.

...TI..61 lv.snecttonaximizethebasicvalues'HgCaUS we knor^,, that the coergive process is expensive and' d.estructive, the probl-em posed to us is clear in its equlurgency: yJe nrust seek the best means to distribute tablytherepresentaiiveva]-uesof',vealth,d,eference, polverr securityr enllghterunentt rectitude' skillt and preluell-bej-ng through consent' In the ligbt of our ference, tI|ei.t:r negotiations constitute a very inrportant meensofgettingtheresultswed.6siretoachl".,".
A.'The 'Lreaty of A mily BetlYeen the ItritiPPines ernd' L'hina ' The 'rreaty of Anity cortcludeci' between the ijhiLippines ancl uhina on llpril 30, L9+7, barely a year after the establlshinent oi' tire l-iiiliirpine itepublic, is a' forIrr,raTd step in the rvhole context of Fhilippine-uhines
on s r

spelled ottt referred to are 6l-. -i;The ba.sio Val-ues 'Flducation and J-egal and tricDougal, ta.ssr,\rell the in Training P1'ofessional tuffi" tsolicy: (1943)_ 205t rubl1c lnter"est , 52, Yale laYi Journal il g, >ee also i.aswe}l, ;inalysis of Politicalt:ehaviour (1948).

The agreement, so says the prea-nible,


"animated by the desj-re to strengthen and perpe_

tuate the friendly relations so happiry exi-stlngr? ',betvreen the two lovernments, The treaty goes further than a florid declaration of high and noble inte:rti-ons. -After stipulating that 'rthere shalL be pe::petuel- peace and everlasting amity'r betl^,,een the tvro coniractlng parties, tire treaty initiates a significant precedent by providing that_
r?Should any dispute arise between the two nigh uontracting parties

diation or arbitration, the partles shall not use I'orce t'oi settlenent, but ehall refer the dispute to the' international uourt of Justice for final adjudication. rr 6Z
'ihose vrho fervently desire
gence of' a

rvhich ennnot .satisfactorily be adiristgd by diplomacyr or through ue_

to see the


real rn;orld commu'ity r,rith appropriate institutions basecl on conse't rather than coercion, lvill see in this provision an encoltreging pros_ pect.65 A unilaterar declaratio' by party that 'ne the cloctrine rebus sic stantibus appries lrith respect to a particular treaty provision or, rvhat ls more slveeping, to aLl- the provisions of the treaty,
62,. t,reaty of Anity, articl_e tlr i'>ee rvro.Jr, J:g4 Z lssLre or.' vfficiar ,*azeti;6 (Bureau oi-rii"ting, Manila,l 63a uee the narvard. in iniernationarLalv' llraft vonvntion on xeseareh the .larv of Treatiesr-iri-ir,. J. rnt. tr. supp. i1935 ); cf . i-aut*""o"i il ?he .runctlop of law ln the tnternational uorrnunity {ilfg ) ZVT; J es_ suPr e i,iodern tar,v of Nations (lg48) la$_146.



suffice; it must subrnit tlre interpretation to the final dispositj-on of the world court' Anlr allegation of breach eannot of itself excuse one from perfonnance of the assumed obligation. r'he f,aot of breach must be ultimately determined by tiie internationaL tribunalr if the other modes of peaceful settlement have been exhausted. Praetica.lly all the touchy aspects of Philippine'"Chinese relations are dealt tuith in the
agreement in broad. language. AlL the provisions, horseverr &Te subject to the qualificration that

the most favored. nat-ion clause, suctr as is found here, shall ttnot extend" to advantages which are
no\r accorded

or vrhich may hereafter be accorded, by the Hepublic of the Phil-ippines to the united.

States or its r:ationals ,"64 An1, s.mparlson must be macle v,rlth reference to any alien other than tire inationals i of the United States.
The provisions

of the

agreernent may be bet-


if categorized. in accordance lvith the values referred" to before. After a discussion of physical access to the territory, an inguiry shall- be melde into the nature and scope of access t,o each of those values.



1. -vhysical access to territory:The Treaty provision regarding this particular

64. -Lbid., .r\rticle lX,

- -



point was roundly criticized. in the uenate and

influential i-nstnunents of publ1c opi_ :rion.'" The feeling was that the Uhinese com_ *unity in the rhilipplnes gave the xepublic a l;;:r:1;N.'1 tiroblem to soLve; to ad.d to the membersrrir o1' that comrnuni_ty rvould., they argued, make
i-n nrany

the rvhole problem insoLuble. -lt v,ras pointed out that the reeiprocal provision to the effect that:

nlgh uontracting larties shall be at llberty to enter or Ieave, to travel or reside in tire territories of tire uther upon ttle same temrs as the na_ tionals of any third country 1n accord,ance'rrrith the lalvs ancl regulations of the uther. " 66 ,lv111 aetua.lly operate to the exclusive aclvantage of the vhinese. Filipinos, o.s a rulb, do not ni_ grate to thina.67 rhe argument lvould be theoretically valid if the legislative arm of tjre rhillppines 1,/ere totally stayed from enacting any im_ rnigration restrictions respecting all al-iens. rhat, of course, is not eontemplated by the treaty pro65. See .g. statement of uenator V. Francisco. m3lorilV -eLoor, i! lp lau4lers lournal (Ig4T j 4I7,_419! anq the editorial comm-ents published on uay 1, 1947 in the riruraila uhronlcle and uaniLa ,r,irnes. 66. J-bld, trti_cle V. 67. To date-,.there are less than 500 l.lJ-lpino i-nmigrants in.uhina, most of r.rhom are enploye-O i,n the coast cities as bandnenbers. t,here is no evidence that they haye offered. any conpetition in other fields of businssr

rt The nationaLs

of each of the

.t : ,j



il il







r] i:




]I *






ft tl il




. vision.



the fulr- import of t-tre provi_ sion as it is made to operate at present, lt is ne'1'O

tilre '

1t merely stipur-ates is tirat the \,hinese sha.ll not be singled. out as a racial group in the legi.slatlon or administration of any restr'cmeasure .



know sorle aspects


tion ralnr'' co"qonwear-th Act ,vo. 6.r-5, vrhlch consti_ tutes the basic i-rrmi-gration legisration, .ivides aliens into tlvo general divisions: ad.rni-ssible
inadrnissible ariens. r ferrr exarnples of the latter



class are: icliots or ihsan" p*r,"or", ancl persons lvho have been insane; persons afflicted rvith r-oathsorae


t I


dangerous contagious disease,

ancl beggars; persons

of a crime invorving moral turpitud.e; prostitutes, or procurers or persons coning for any imuoral purposes; persons likelSr f,e become a public charge; paupers, vagrants,
practicing polygalryl and per_

persons rvho have been convi-cted

or epilepsy;-

sons vdth subversive tend.encies. -Lhose persons vrho do uot I'au- u' any o1' tn@ d,isqualil,ications are cLassil'ied. as edmissiol-e a.Liens. admissible ali-ens are clivid'ecl into tr'o classes: inrmigrants and non_ irrnni-grants. rrmigrants are iiefined as those lv'o corne for the purpose of establishing pernanent re_ sidence in tne thil-ippines; non-i-nunigrants are those vrho cone nerely for ternporary

sojourn.uu _*iurants

68' oecti-on g o'



act ,',".-iii-;;;--


imare furtner subdivid'ed into non-quota and vlho may rnigrants. The statute enun'erates tire persons iu:rrribe ad:nittecl into tire rhil ippines as non-quoter gratits, wtthout limitation as to quantity employ(+) an alien coming- to a prearranged" has vlsa a ot' issuance flte mentr-;; *ito* sco 20

with ui,iiori"uo in accordance his urunarried' and. rvife, his or tirl*""a 21 years of agr if accomcnilcfren, rinaerj'f join pil;iie--i.i-__ot - ^f6llowing -to the him d'ate fTgT years 2 of perj'oa within"a as the ririlippines lnto of his ao-foission

an inmigrantl

meratesthepurposesforv'rhichaperson.desiringto as a'non-inmigrant'

ue-acittea from any- place outsj-d'e "AIi;;-aepartl-ng for the rhilippileg ' who the rhil-:-ppinesl-aesiined and who qualify within one otft"riui""-*&-i""1b1e """ folLovring categories, may be admitted. as nonoi-tnu imnigrants : ..,J -_ -- 6^ for business or visitor coming Gi a temporary or for reasons of health; t'or pleasure --i;j * p"r"on in transit to a destination outside the -i.l-,YhiliPPlnesI servlng as such on a vessel ar""i,irun tire ririllppinert 3Td seel(irl; to riving at a port of' enter temporarify itt the pursult of iris calling as -"*'""14) a peTson seelci,ng to enter the llrilippines_ sole}yto"u'"v_ontradebetrveerrtnerhilippirresand' is a national, iris wifet the foreien sllte-of lvhicn ne 2'L years 01' age' 1f and. hj.s ltt**t"i"O chililren und'er join. suoj ect to !t" . lito' accollpanJrtt g o"-iollor^ring to rfrilippines und'er siconditlon that citlzens or tnealike privileges in accorded. ;ii;-rorraitiorru are lvhich 1s a nationall person sucir si;t"-of the foreig" -i;i"; p;;;on-previouslv into admitted 1awfu1lv u"l"t
d 6oman .

the.phi1ippiliesforpermanerrtresid'ence,vfhoisT9turnirrgfromate'rrporaryvlsi.tabroad.toanunrel.inlhilippines; ^?ttd o"i"nuii residence ";-;i;;""t i* the o*'"""Tf *"g+:. suf flcient for his havi'ng ) rvh'o is ' ec.ucatior. "nd-""ppoit in tlre Phil-lppines' "!. -r,o the rb1enter and, ';,'ho seeks least 1S years-oi^*guand solely for the purpose- 01' iippines temporaril! other institution of learning study at " =i,roor oi' for-such alien stuclents by the uorn1-rissioller
"pprb""a oi'- rnr:nigration.


(b) the r,vife of the husband or the rurnr.a*ieo. ctr1ld. und er 21 of age oI. a r-jrillp_ plne, eitlzen, f! u.""omp*nii"e ing to join such citiz-enl" -- or fotlory_

child of arien.parents born during the visit abioad oi {t ruother, the xlgll.T having been previously " larcfufiy'"a_ rnitted into the. phiiippit u"-for perrnanent residence, if the chiiii iu-u..orpanying o1 coqilg to joil- u p",r*ot u.r,o appries ' l'or a&iisDr-uiJ. within- s years rrot-ir.u date " of its birth i (d) q child born subsequent to the issuance of the immlgration riisa oi-tl acconipany_ ing parent, the visa ,rJt-frrrirrrg " expired.; (e) a. wonan rnrho was a citizen oI, the lhil-in_ pines an. who Lost irer-cit:.r"""iiip,ffi;il;" o{ 1.", marriage_!9_an ,fien-or by reErson of the toss of phitippines--cit1r6"ufri;"nu her hrrsbancl, and her n*iu=t,:"La chi]d der pl years oI..age, it, o."orup""ying un_ or I'ol-Lowing to goin*n6r; (f ) the vrife or the husbancl 0r u*a*ied child under pl vears of alerthe of an atrien Iar,{u1ly adrnittlo. into tnE inifippines for penna.nent resio.enc"-piii" to the ciate on lr''rhich this *rct. oeco*";- er:i.ective and v'irro ls reslclent tnereinl"ii'i.,"r. wife or husbandr or child uppii6,r-ioi o*orssloir. r#r-uu.r_ir a perlod 9j. l-y"u"*-ioff*"i;;-;il" d'ate on v,'hi-ch this efl,ective.69



rendar y"o".70

fixes a quota or. b00 1,or any one nationar-ity or *ithout natiorr.aritv, for any o'e ca_ rt

t,he statute

_hinese end the daparlese v'rourd be preventeci by placing all nations upon a basis 01' equality in the

t'oug't t'at frictlon ivith the



69. The :rct took Bfi.ect oUrre {f , l.ggg, 70, Sec. 13, vorrlmor.Wealth .ilot rO.


inunigration. uuch oDiect was further inplemented by the provislon that any alien in the vhil-ippines at the tinre or the passage of the act may lega.Lize liis resi-d.ence in tne colmtry oy applying to tt]e r,orrriiiissloner 91' lmmigratiori wlthin one year 01 tne d.ate upor whicn tne law became efI'ective. oince .,hinese and. oap&flse lYere 'ttre only ferciaL groups before the war in 1941 vrhose anrrual r-!rmigration had oeen in excess or.' tltat numDer- especially ttre r,hj-nese lvho since 1918 .nave eiltered.

tne rhllrppiaes a.t tne rirte of about 4000 per year

over Frii e>-crusion raw vrhich granted. thern no quota

at al-I- the cry of 'd.iscrimination, was inevitably raiseo by their representative".?1 rod.ay, the only sizeable racj-al- group, aslde t.ront the .nmericans who by 1aw enjoy a privileged. status, are tne -hinese. r'hereI'ore, the so-ealled most favored. nation clause in the rreaty does not really provide any serious obsteicle, dt any rate theoretically, to cliscrlminatory legislation directeo. in fact,

7I. t'he local r,hinese in the -rhillppines chose to see the quota linitation as aimed at their nationaLs ratirer tharn at the Japanese. The Chinese protests in l,ianila l/yere, if anything, stronger than those of the Japanese. (Porter, Crisis in the philippines, 1942, 95). 'rThe reeently passed. bil-L'? vrote a prominent Japanese in 1940, t'Iurst be d.escribed as anti-Japsrrese, because, high-sounding pretexts put forth by those concerned, to justify it, common serlse would. reveal it in no other light. It is an open challenge to Japanese patience and tolerancet' I'forrl, Conteunporary Japan,


not in formalistic language, a.gainst the

uhines e.

In spite of this evident manipulatlon that

the i-ntegrity of the treaty provision, a leading f i6urc in the senate voicecl his opposition .l:y
J-.i r.t<

cnn be done without apparently doing vior-ence to say-

.:--. .

as it is nor^r- draftecil wL woufA be tying not only our trinOs and feet but also the hands ana-ieet. who wlLl suc c eed. r.." . ii - 7r- - - oi-Jio"u

set_f_n'eqor_ . .. . to limii-urri""";'fr:"migration into trre -pnii;tti;;";ith_ out regard.-to other f;;"j-a;-"rtii"l-t";;;;"at_itles. rl -? ratify-ii,i;


succeed.lnq us -may d.eem ly nec""siry for th;i;

" It is possible that



0bviously, the senator .id not pause to consider vihat i^rour'd be the consequences of an im'0ng-term migratlon 1aw specifically and expressly ruling out the uhines".?3 But he and the
trymen have reason

to be aLarmed. the fear arlsing from this problem has been expressed. long &Bo. The lhilippines is geographically a part of Asia; its inhabitants are esi.etic in origin an. racial a'ffinity' their religion, much of their ',ut culture, and virtua'ry all of their pollticar ins_

rest of his coun_ In point of fact,

;il; i"*Iirlfi'... porrerful as the United"Stat""_aouiA maintainea its exclusive inraigrg!ion irnni --^rr --_ over e tong period "*"ir*irro years oit' ^poii ry in the r.nce of-the i;;"*'i"*t?iiui---1lt"lrtf**

f:"ill*f have

i.sotiteO ano. 4Dvr..r-uecr :*Sr."3 ura as

{t::eqii;:?;qil;;i;r;;;;-;;;;;;;Ip r.aqyers Journal egLzi'Ltz, 4LB. of Asiatic affairs has If; ti"l^f:ul^:lug:1!. "iiri, ,_lgl::..;sri$.

?2' see


i it.



titutions are lTestlrlo rour hundred' years of iiestern doltinatj,on and tutelage had the effect of wel-d'ing these inh.abitants of uriental bacllgrouncl into e typicelly !';estern nntion-state. During this same ::.::*i,r{i, uhina has beco.,-e fiercely nationalistic and 'r:,nsciously tAsiatict. tsy nass enigration, tbe uhi-

r-lfioffiod. nrxtber of rrel-l--meaning apologistshave sought to solve the problen of tovercrorvd'ingt v,hich is alleged to be arr acute one. The rvhole si,-r""


tuation requires carel'ul- hand.ling, and $erves nere.Llr to uear ou1, 'uxe point that there can be no alternative, in the ultfuiate analysis, to a scientific planning from tire point of vierv of ti:.e demands a;rd expectations of the rvorLd conmunity. As matters stand, a short-term alternative, as far as the tvro governments are concerned, t''iould be to d.raft and. i-nrplement by concertecl effort population policies based on the broader eonsiderati-ons of soclaf and economle rveLL-being of the tt'ro npeoples.'* It is clear that sucir spttbols as roverr7

terness which that policy has aroused, lrlovrhere has this resentment been d.eeper than in China and .tapan. To believe that either of these nations will- accept similar treatment from another Aslatic people . , . for one mlnute longer than it has to is to betray an absence of loowledge, not arerely of Asiatic, but '


hulnan psychology.

(Lg5O ) ;iYright, Population and. Peacer l939; Thompson, Population Problems (1950); Angel], Rarv, I',iateri-als, Fopulation Pressure and. V/ar (l-936).

b1em, see .Ei.B,Reuter, Fo:'.,tlrt:,o:i Probleres, L923; carr Saund.ers, I',lor1d ?opulation: Past Grotrbh and Fesent Trends, 1936; Norman Ha.rrls I'l&orial I'oundation,

. 727 . 74. !'or valuable i-nvestigations into the proHaydenr op. clt




popul-ationt, runderpopulationt, or texcess populatlont tossed. ebout, both by laynen and specialists in the use of slogans, without careful inquiry into relevant facto^s, leck of reI'erence to which
t.he terms become meaningless, top-leve1 abstrac-

L:i^ns. One can properly speak of overpopulation

underpopul-ation only


in relatlon to nunbersr rsources, technolog)', and standard.s of living, tn the context of this treatment, runderpopulationr 'i,,ioul-d rel'er t9 situation in rvhich the nrunber of people available to exploit the natural resources of a given corrurunity is too felr for the most profitable exploitatiori possiOle, uonverselyr roverpopulationt would refer tgA situati-on in iriiiich there is sufi'icient pressure of population on the cornrriunlty

to cause a rectuction o1' llvlng standard.s or to retard their improvement. the ability to sustaln a glven population vrill not rnerely clepend. on the resources of tlre conmunity; much r,vill
rvealth resources

the development 01' tec.turological rlevices enployed I'or utllizing those resources. population groirv-bh v,riIl be oeterririneo not by a simple correladepend on

reproduction and resources, but by these factors: 1. the birth rarte, as influencecl by biologica;l I'actors and by social habits and noresl 2, the d.ertth rater BS affected by normal and abnormaL fa.ctors, such as lvars and epidanics; 3. the




at the comrnancl of a given populationr.which interact upon the birth rate and death ratel and 4. the level of' techr:.ologlcal clevelopment, which has a great beerrj-ng r:Tron aLl tire f irst three factors,75 The tv'ro goverrunents, through a scientif ic study of those relevant factors, and consiclering the larger needs of the world conununi-ty, can erlm to implement a rational policy aimed at securlng rvithin thelr bord"ers t'an economic optimum populationtrn that is to s&yr a population of such size in relation to resources ancl technoLogy that all of its members can enjoy the highest possibl-e standard of livJ-ng, It 1s true thett tire uhinese governrnent has,
conrnunity wealth resources

through certain legisl-ative ancl adninistrative measures, made it increasingly d"iI:ficult for 1ts ci_-

tizens to Leerve the country and n,igrate to other _76 places. But these measures rvill_ not be enough. Its nationaLs u'iI1 continue to mi-grate legally or illegally, to other s.reas o1' the ',,rorl-cl r^rhere living standarcls are higher tha.n the ba,re subsistence level that'prevails in uhina, It may be reasona.bly expected the.t an intprovement in technology rviJ-l make it possible f'or this area to sustain even a greater population on a higher stanclartr of livlng than is possible on a lorver teehnological 1evel,
75; See supra, note 74, 76. This phase of.,ivang. the problem. vril-J. be touched.

in detail by v,r. Chi

-57naturel- resourcee.TT Their exploitation and. cleve_ lopn.ent i-s limited to .uilipino ci.bizens or to cor_

or associ-aticr:s at sixty per centor,,'neci



trre cerpital 0f 1,:iich is

by such citi-


:; :J



than the-deveropmeni of. vreiter poiuer, in rvhich use ruav be the m"a"ire tn" iiroit :?";ir"o;l:li:l.t

t'his constltutionar provlsion v/as intencled. to e'rbody the policy that the rard and otrrer natura.l- resources of the phllippines shour_d be the r exclusive heritage of the r:ilipino nati.oo. | 78 ----::-------'/'/. artlc'e sec. I of the yhilippi'e 0onstitir.ti on ^fff , All aqricultural, tlrnber, ancl mineral lands of 'rthe public clonain, watur*, petroleun, nncr other rninerar ;ii;;'"Ti mineral-s, coal, of po_ tential e:ier"Ey, and other naturat'resources '.orces of the lhitippirr*.s beiong to *re siai;;*;;";heir disposi_ tio', exnl0i!3tion, deveiopmentr or utirization shal1 be limited to eltizens of the 1..'ifippines, or to corporations or associe-t1or" ri'r"."t sixty per centum of the capital of whlch is-"t*; by such c1tizen:r, subject to- *rry u*irii"e-"iii;;;" grant, or concession at the time t[e ii"ue"i.ti;; rease. ;i];e 91 esta"blished the uonstitui;i";. ;Eiurur resources, vrith the exception of puori. .e"i""rii"ur rand, shall not be at-ienated,- and no ti.?";;_";-;;;;;"uion, or leas e f or the , exptoltat'on , a"v"i6prir;;;; or utiliza_ tion of any of tire naturar resources sha.r-r be granted for a perlod exceeding 25 years, rene\^/eble for anot'er p5 years, ercept as tg-water right"*ioi"i"tr;;* tlon, v/ater supply, flshe"iu= r or industriaL uses other


78. Lrhief Ivioran in the trrivenko case, infra, calls it Justi-ce't. trre pofi_gJ. ol '""Ciorrilizarron,. ,?The purpose of the constitutibnal p"o"i"io;;,.he ?'is the conservation of-ir," says, tr"ii.otrur-f"t"i,'orry. .iands, ninerals, forests, end otrru" national-ru"ou"au" cons_ titute the exclusiv* n"tit"gu of the r, nati.on. They shouLd therefore ne-preservecl for-tirose unc'er. the sovereign authoritl, o1' tt rt t1ation ,rO io" their pos_ terity.?r cf . perfe'cto's ofinion-il ;il; luo,u case. see al-so Sinco, philippine poiitieal lar,v (1941 ) SSe.





t I


l.ThenaturaLresourcesofthecountry' lviththeexceptionofpublicagricu}turalland.s, -notbesoldtoar.T;]erson,irrc}ud-ingcitizetrs i]'*} fhilippines, but may on}y be granted' by


ol.easeor].icenseforaperiod.notexceed.ing25 yeers, llerlelvable for another 25 years' 2'. The right to d'evelop water power elicluslvellr belongs to the state' itov/ever, irl cases ofrrraterrightsrotherthanthed'evelopmentofv'rater povrer, such leerses or licenses may last as long as such water right-s are devoted. to tbeneficialuses l. S. xights to natural resources acquired' by private individ-ua]s under laws existing pt"rriorr" to the establislunent of the Uonnoffivealth Government in 19F5 are preserved. -b'or example, a mining claim perfected before the inauguration of the uolnmonweal-th was held to be no longer part of the publie dornain and title to it may be grantecl to a private party even a.fter the uonstitution has come into ful-I force and effect.BO 4. Save in ca'ses of hered"itar;' succession,

?g. Article 15, Philippine uonstitution' BO. GoId Creek l,iinlng uorporation v' xulogio ltodriguez, G.R. 45859r Septeniber 29, 1958'


no private agrlcul-trtraL la::cl shal.l- be transferled.


,; :*

+ ,ii
,{ ,! J !

-r assigned. e;rcept to indiviciua-l-s, corpora.tions, or associltj-ons qualified to acquire or hol-c1 lernds r:, t.he public doraain 1n the .Philippios.
which attractecl a great In one recent "ouu8f clea-] of publicity, the lssue presentecl rvas lvhether oi nut an alien, under tire above constitutional provision, nay acquire iresidential land r, The facts 'rvere not in d.ispute. Iki-venko, a Hussian, purchased. a residential lot in 1941-. lts registration rvas interrupted by trvar. In il,Iayr,1945, he sought to reglster the land., but the negister of ueed.s of i,iianila refusecl his petition on the ground that being an alien, he could not acquire lanc1 in the lhillppirrsr A d.ivided court (6-4) sustained the action or- trre Register of ueed.s, the majority holding that the phrasu rprivate agricultural land' found. in the uonsti-tutional provisio:r ';nust oe eonstrued as includ,ing res j-d.ential land.s'r, and justified. the construction thus given by sayirrg that that rveis the tecirniceil- meiining of the tern Isror,,m to the mernbers o1' the uonstitutional uonvention. -said. the court: r It is ivell to note at this juncture that in the present case lnre have r1o choice. tite are construing the uonstltution as it 1s ancl not as \re ney desire it to be, terhaps tire effect of our construction is to preclude aliens, BL. xri-venlco v. itegist er of



30 ,

1 aa-r7


IrIo .


',ing tlons and their geographieal and occupationa-l clis"1,:'ibutionr their habits and mores, ancl the envirorrr;entr:L f'aci,ors vrhlch shape their attitucles; it wii.l demand an ez;tensive surveJr of the vreaLtil reof tlre colriirunitles invol-ved-, and etn investi-gition of v,,'ays a.rrcl neans calculatect to briug about a progressive technological d"eveloprirent. -u'or the present, tne r,vhol-e problem is leI't to be solved by technical forrrrulations lvhich erre largely d.icta-ted by porver consid erations ancl by innur,rerable prejudices, iniribitions, ancl oosolete nationalistic tneories which, irr many areas of tire r'';orld, haye prod"ucecl persecution of ra.cia,l- nlnorities, revolt, iriternational conl'Iicts, anct even l,ver. I-here is notlring in the traclitional d.octrines of inter:rational l-alv to prever:t b. sta,te I'rou pursuing an irrational policlr respecting irrntigration ancl nationality ial^/s. .but an imational lolicy, such as is f ound in extrenel-y parochiaL measures, nlay bring in its vrerke undesi-rable consequences.

This approach suggests tlre necessity of maan j-ntensiver comprehensive stud-y of popula-

2. Aocess to Wealth:By a categoricerl provislon of the lhilippine r,onstitutlon, tne sta.te 1s the ol^noer of alilands of the pu011c d.ouain a.s l'rel-l as al-l- natural

freely into tne r'hilippines, from sites where."they may build their .illt if this is the solemn rnandate of the vonstitutionr w rvill- not conpronlse 1t even in the name ef ernity or equity. i't 8r satisfi.ed, holvever, tirat aliens are not completely excluded" by the uonstitution from tbe use of lands for residential purposes. Since their residence 1n the lhilippines 1s terdporary, they may be granted" temporary rights such as a lease contract rvhich j.s not forbiclden by the uonstitution. should they desire to reraaj-n here forever arii share our fortunes and misfortunes, citizenship is not impossible to
ovrning homes.


Settlng asitte r'or the nroment the valloity of the courtts decision on tne merits of the case, the majority d1d not explain r,vhy everyone shouLd. be persuad.eo. to oelieve in the supposecl timelessne,ss 01' concepts, even grantit.,: Lhat they correctly lnterpreted rruhat was in the tulnd of tne authors of tire vonstit[tion. luhen tne court peremptorily o.isurj-ssed. the contention o1' the p'alntiff-petitioner r.dth tne 'rvve-x.ave-1Lochoj-ce,. language, the rnajority fell lnto v,rhat Ruskin rightly considers to be the pathetic fallacy of speak1ng of rLavrt as though 1t rvere a super-entity independ.ent of the r'oLk who make and. apply it. rhe dissenters tore apart the presuppositions of the majority and , shorvi-ng the inconsistencj-es to rvhich the construction trrould. l-ead, observed that the uourt shouJ-d fiave rer'Lected ,rupon the conflicting politico-cooo&ic philosophies of those who advocaie national isolation agalnst international cooperati-on, and vlc-vTSB-1rr One dissenter suggested.:

-61tt lltre could also clelve lnto several aspects necessarily j-nvolved'' to wlt:

rr (a) Wnetner the Prohibition in curtailthe uonstitution opere-ted !o tne ireedom to dispose o{ land'orwrers at the tlnre of its ad"oPtion i rr (b) Wnat consequence vrould' a ruupon our ling adverse to aliens have the united. oosrtion ana cornmitments in. our treeupon ang r'ioi:-o"" Organiza'tion, lrith other naty-laa.tring iegotiations tj^ns of the vlorfd.'t Az

is unl,or1,urrate, irrcLeed., for rvhile it invol-ved- a -Russian citizen, the noldiiig of the majority seeur to foreclose an1r questlon as to the scoPe of its apPlication' nside from tlre llmitat'ions already noted, ther,e are severa.l uonstitutional provisions \vhlch restrict
The i(riv-enj<o case

I "i


of allens to the

cornrnunity's r^realth resources:


i ;l




3T"T:e3ii:l'" lands iu*i", or hold public agricultural nor may any in excess of 1024 hectaresr by purchase inaiviOu"f accluire such l"ands hectares, or in in "*"""" of I++ox in exof lQZ4, by hoTestead' to glaadaptecl "*""uu of 24 hect'arsr land's may hectares, """" Lrng, not exceerling 2000 private corpo- be teaJ6a to ari inclividuaL, rat,ion, of association.rr 85

agricul-tural l-and \nrhich indivioirar,s, corporations, oI .assQci-ations mav acquire and hold, subject to rlghts existirig prior to enactment of such lalr' "84 3, ris to erpr-opriation:- t'The uongress of the }iJ.Per.BengzoTl,.J.rid.'1'hereleva.ntprovisiols in Article 5t of the Unj.ted-r-vufioni uharter are found55 (c).of article r,trapter 1, r,hapter 9, particularly tnat cnapter. 85. sec. 2 Artiole 15

ffioi pri""te

-iE?,?rl:"f;i"i:y"ln!n!i, "


' aa-m#+ffi

tshilippines may authorize, upon palanent of just compensr,tion, the expropriation of lands to be subd.ivided into snral-l lots and conveyed- at cost to ind"lvldus.l-s." Bb

of auth.orization for the operation of a public utillty shal_l be granteci except to cliizens of the l-hilippines or to corporatlons or other entities orga.ni_zeA unOer the l-alus of the Philippines, 60 per of the capltal of v.ihlch is o$med by citizens of the },hilippines, nor shaLi such I'ranchise, certificate, or a.uthorizatio$ De exclusive in cha,racter or i,or a longer period than 50 yearsr r,,io franghiqe or right sha1l be granted to any i-ndividual, firm, or corporation, excbpt uncler the condition that it shall be subject to 11[e]1ci.ii1ent, alteration, or repeal by tJre uoniress of tne lhij-ippines lvb.en puotic interest so requires.i' 86


An ope}lly socia.listic provision is found i* .""t

ion 6 ot' articl-e rg of the ririlippines uonstltution,


ivhich provid es:

state rnay, in the interest of neitional vrelfare and defense, establish and operate industries and means of transportation and commrnication, and, upon pay:nent



There is no doubt that wrd,er this provision, the ruling elite inay, in the name of national- vrelfarer x'i

'-t I '.*






propriate any privete enterprise dorlinated o], alien businessrden, rhe. only requirement is that r just coui84. 86.


85. oOC. +




Article rrticl.e rrrticle





matter to be detenrrinect by i,he f,ormer, he rnader oust hovr I'eir this provision can be manipufciert r','as rr,emonstrated 1"tefy rvhen t,,;o alien-dominate,i :'uhr r-c utility corr:.paaiesrBT enjoying vlrtual morlC 'i" V'rere required to state l,,rhy tney shourcl not i.:e trai-lcferr'ea to public or,,,n:ership. ,-r.he J-eglslators pointedly accused. them of "failure to render satisfactory servicrri .t.t 1s interest:-rrg io uote that the

pensation r

tvro companies are American-cmrned and. Amerlca'-operated. t'he action caused considerable disquiet emoltg *nrer1_ can businessme' who saw in the legislati-ve luvestiga_

tion some portentous significanee. The Chalrman of the u.s.-philippines vriar Damage c;ornrnis"ionSS (which, in_ cidentally, has more than $rsoro00r0o0 to d.isburse in the next flscar. year) took up the battre against nrhat he termecl rultra-nationarisrtrr. He decrared g11 that Americen capital luanted. rvas r r a fair competltive po-

sition, free of discrimirratlenrr. The .Anerican Cha_urber of cornrnerce Journar8g bruntry assertecl that :rmerican capital hesitated to invest in the philippines because of the fear that "Filipino readers palci only lip servj-ce to free enterprisrr. The journal said. a survey of limericarn businessmen shoryec they nbellevecl the go_
verruuent l'rers seeking


to enter the profitabLe fields

----::-B'/, ii.ianila trrectric Rair-road._and Light company, a. col'porstion ov,leri by Associated. c""J-Frrilippine"' long Distance Telephone compa.ny. combined pre-war assets of the t1n'o companies amountea t-.o nore thern 50 nrillionr. d o11ars. 88. -h'ra.nk l,Tering j-n ein -add,ressthe phiLippine government radio, Ividnila, Iviay -egl"f over ga8. -f6urnar 89. Arrrerican- charnber'of boriin6rce (Iday, lg48) .

-64t t
fi' *:


t il
Lil' b:

private enterprise and" that the courts had veered av/ay frorn establishecl principles of jurisprud.ence l,';i-" rei:pect to propert]/ rights and 90

Tl:e action against Americans t'/ho, by (;onstitu-




in &. F"-




tional amendment, are given the seme rights as .t'llipinos in t]:e exploitetion and development of ihe natural_ resources of the country did- and, ought to- cause anxietl. to uhinese businessmen ancL traclers rvho c1o not enjoy that lteesure of economic opportunity. The constitutional restrictions just noted. are not in the l-east affected by the rnost favored nation clause containeti in paragraph z of /+rticle vrrr, rvhlch provi-d es that "the nationnl-s of each of the lJ.1gh. Llontracting tsartie.s sha1l have the rigl-lt to accluire, inherit, possess, lease, occupy, e.nd- clispose of by sale, testame.rit, donntion, or otherr,vj-se any kind of movable or ininovable property' einu to engage. in trarj.e and other
peaceful and lalo,'ful pursuits throu-ghout the r,uhole extent of the temitories of tire Other upon the snme terns as the nertionals of alny thirci country in accord.nnce


with the constitution, lo."rvs, erncl regulations of the Other.'t As previously pointed out, ttre usefulness of the treeLtlr provision is quite dribious. The reasons are evident. +\perican naiionals, ihe onl-,' other sizeabLe racial- group, are adequately, if not entirelyr pro_ tectecl by the Llonstitutionel amenciment. There is no., other notev/orth racial- grouj) to l^rlr.ich reference :lay be
i-d. , suprs note 89.


resortecl for purposes of cornparison. The felv spanish nationEils rt:|o have accurnulated. lveall,h in the country

long ngo embraced

Philippine citizenship.
and. pOlvef



r.-lili*-ie:'a' bus:inessmen

in high respect


tifns have fo]lovred. suit , but to the many Chi:rcse residerits, Inerchants, and traders in the yhllrppines, naturalization proceecLings do notr o[ account of the grea.t expense a.nd d.elay they usually ent,eril, furnish






lt ,!


decisions.T' The degree of such participation Uy a grollp is the measure of its access to the pov/er processes of the comr'runitY. By lvhat is admltteilfy a rule of thtutb, the right of suffrage is lirrilteci. to ihe citizens of the 94 Philippines. uitizenshiPr as a general rule, is a necessary prerequlsite to office-holcring- 1n the na.tional, 95 provincial, or rnunicipal goverrlrlient.'1 . I'he Pres ident, 97 vb ttre vj-ce-Presid.ent, and mqobers of uongress must be tnaturaL born cltizenst of the Philippines. 1\o person''t oa-rr 6e eippointed member of the Supreure uourt unless h.e 9B has been five years a citizen of the lhil-ippines. 91. lVell-Isrown examples: Andres Soriano, B.[ avid -!'ranco synrpathlzer and ovarer of t&+ ois san lvilglrel j:rewery; the l;lizalcle ,urothers, eas11y the rj-chest Spanish f?nri3y in the Fhilippinse 9P,, Promi-nent members of the uhit:ese uhember of oommerce heve done $e, including the by0ip brothers and the

5. Access to Power Processes:Fovrer is here cl.efirted as I'participation 1n or to participeite in the naking of iltportant the ai:ility ord






555" fot'an tirrde-r'st,t-nr'lino of },hi,l'innine nattr-

See uom: Act +zS, &s amended. by

-6 6-

No detailed., analytical stucllr has as yet been


of thc irrfluence 01' the talieut population upon i::',. f'esr:-Lts of I'hilllplne eli:ctions- nationelr Provincj-n1r end- nuniciilal. bu-t the last presiclential elc:tiori in the irhili]-'pines gerve rise to nany asse:ti,rns thrit the Ohinese ernc'L tne Spanish elenents in ihe corn:,:unit-rr contributed r.Lerivil;' to tne election <:o1'1'ers o1' the tlr'o car.ndid^ertes. It lvas cr rnatter of corfinon knorvledge thart tlte Chinese corurunity favored. Osmeia; tire ,:jpanish population supported Hoxas in
eYery lvay possi-ble.

'l'he Uhinese 1,hentse1ves, as has alreacy been








'i? ..'*

contributed F.r. great cleal to the bel_ief rvidely held that they can influence the decisions of those j-n power positions by resorting to illegal practices. So pervacling ire.s this oelier' been tha.t every chiet executive has found it necessarTr to proclnim,
shov,'n, harve



upon assu:Li-ng the po'lvers of goverruuent, that one pa-"



_# ,tii ]t!


ramount objective of his aclmlnistratj-on rvouLd be to 100 rid the goverrunent of graft and 'coruuption. Un-

:i ri:




:r :i

: :

doubtectly, the f ear that they iriight be subjected. to devastatlng suspicion has stayed the efforts of many,'*,;

,1 '|




95. l,esslvell end i,cDougal, Legal .frueation ancl ,tublic l'oJ.icy: Frofessional t'1ai_ning ln tire iublic Lnterest, 52 Yale t,.J. (a943) eOr, Zlg, 94. Sec. 1, i\rt, v, Phillpnine uonstitu-bion. 95. ibic., sec. 3 article vII. 96. id.. 97, ibj-d. , sc r 4 of Article VI. 98. ibid,, seo. 6 of Artlcle VIII. 99. the conflclentiaL report of Gen. Oboza as provost


-67honest aclnihistrators in aiirerorating the l_ot of the uhi-nese. rt is not uncommon today to hear responsi-

ble L:hinese decl-are that ,tsome .uiripino offlcials, if talien care^of , wouLd not resort to d.iscriminatory
practi ces. rt

object it is to infr-uence pov/er clecisi-ons. The Ohinese uh'_mber of conurerce, d'rairing support f'rolr lnriividuar nerchants, firms, end various trade associati-ons, has vigorously anci consistentry i'ought elrr anti-thinese roeasures.


rt should be said, in passing, that a good nunber o1' prouinent urinese have legitimizeci their par_ ti-cipation in political controversies by obtaining naturalization c ertificat es. As far as can be ascertalned., there are in_
Chi-nese organizationsr r,..hose

in tire-wnore rristory or. Philippine poritics uhinesu been uore i'terestecr in r-ocar- er-ections as "*tioirr" tire recent ones. t,he reason for this is tireir 1'err that ,,.Tns, thgy r,'voul-d lose sorle concession extenclecrif ]ioxas ir.Lio by the trsmena administratlon. r'or instance, uncler ro*ra tlrey -par"tlcuf stand to lose the retail business, ari;, in public markets.Il rndceq' this vras frrbreurt:-ih; r,hinese have recently been evicted from trre puoiic-m"rr."i". -i""Igis, when the questi-on of its height. Llhi'ese nationars, alonfi-oqtn "ori"noratioi-vrio'lt it;;r;i"uio left_ruing et ernei.rts inarched io;il; ihe then l'resioer:t osr,refra to ueintain_ a""j"ilirlior."o stricil -ir"o*promlsins poricv to'"varrds dapenese'.orriuJ;;i;;i,'and,puppets;, t'he pa::ticipelig*-!r tne L:rrinese-"uiil".r" the d.emors_ tration r';a'q bitterly eitieisgd by trre-rocarin press. 100. bee | . g. , President ,lu]-rino ,J sta.tement in the i,.anj-l-a Tirrtes, issue ol, i_Drif fB, Lg4B. l_Ot. naydenr op cit.,-og5l*ia6",, A0;:

irlarstiar- Gerlerar- to the uomirission on grections, dated 2o, L946 contains the rorrowing--uGr.iricant pas*personabl sages: 0bservrrtion ohinese discrosecl th*t lrever a*ti dontrct v,,iilr 10cal



feveloping out oi' a chinese somrnerciaL uouncil rbrganized in L904, the cheuober contains tvro types of member':r: ihe rrcore of' trade guilds (such as rice merchernts, gr(rc*:-s, secorlcr-hanc1 d.eal.ers, tobacco manufacturers)

the chinese business cornnunity is aivlcied, erncl uhi-ncse bnsiness firrus ancl individua,ls. The uhamber of comfterce he,s sievera] hund.rea m.mber$, l^ihose cr.ues ancl contribntions, roughly proportionate to thelr respective


incomes, provi-r1e a substerntiar operating revenue. Tradltio'all-v, the uhamber hers been controllecr by 1ts o1_ cier rrre,rbers. lts reaclers are arlong the prolrinent

figures in the i.hij-ippines. ,Ihe vride activlties o1' this pol',;erful organizatlon are ci"iviclecr into trvo .cate_ gorles: business and civic. under the first hea.ding, the uhamber collects ancl d.issemineites info'nation about trade conditi-ons l recomnends or intr.oouces chinese


noss inen I'ith proper crecrentials; provides for the e:rhioi' 61ooc1s i' 0pinal conoucts resei-rrch in the pro,oltion blerns er:rci i,iei;hod.s; of bu-cinessl and. in einy crisis

or cri_



period i' ousiness afI'oros a rorur,r t.or discussion and the niachinery for eLction. 0n the civic sicr.e, the uhamber is ain instrunentality r'or: tjre col-j_ection of .I.*nds flDr, I'hilippine public causes, such as the Red uross, hospi_ tai- and cheritable organi-zaiions anc cale.mitSr relie.f . t'he uhinese uharmber of uonmerce arso provictes meens of action in pubric affair,s ilre.t concern ihe uhinese ,o*- .,. mu'ity as a '"'hoie. Jt organized end financed tne r.ight








8,.;:iinst the Boojceeping lal'rr of l-921' culrninatiitg 1n 102 the famor.ts crse of Yu Con -Eng v. Triniclad', 53pg'

1, j. .r t,h e chi eL' 8 gel1c)r through v,'hich uhines

e resid ents

i1-r oveli the l,hil-ippines are able to eI'fectively col]ba'b j)-llovincial- and rnunicipal regulations they deein unjust and ciiscriminatory. It has at its Oisposalskilled specialists in slaubols erncl in interpersonal 1CI3 relations.
ldot as well orga.nized, but more militant

natj-onalistic in its aims is the local luomj-ntang partlr, along vrith the vhinese vhamber of voIl[rTC1 it influencect the public to boycott,oapanese Soods long before i;ire outbreak of the vrar in l-941. rt conduureu. (] $y$teiriauic pl'c)pcrgal1d.a to tt'arn theif fellovl i.rsiatics of the ryellorv perili, and obtained. substa.ntial- contributions rfrom the natives to the nationerlist move.ment in ,,hina. -L'he members of this party are closely bound by active family ties and business interests rrith the homeLand. 'r'heir acti-vities in the yhilippines are dictated by their loyalty to the .,hj-nese'rotiohalist la.rty.
Through the vhinese consulate in lta.n1}a, the

of these


organizations and o1' the interests

l-uZ. note 33. 103. rhe uhamber has a vast netrvork of rmiters ancl nervspapermen all over the achipe.S-ago and, possibly, in nany other countries. rn its fight aga.inst the r",ookkeeping .t,, for example, it employed skilled. counseland. publicists who ntarshaled public opinion against the measure in the Fhllippines, in ultina, and. ln the


they seek to protect are offlcla.lly presented. to the F'hilippine goverrrruent. iiome of the firnetions formerly a-ssurnecr b;r the -onsulate


ho.ndled by

of :imity declares:

the chinese ambassador. t,he iree.ty


nolv be

lach of the i:ig[ uontracting yartjes shall have the. ri.ghi-'i"*"""A to, and receive frorn the b'il";; dipronatic

ffffi!5tji:f_,;*"+:idiirffi 1H: ;:;_ r_ "ii ;a;;; ;;Jff1!13:""1f "##lii accord

ed unOer- g_eneialtr il.ogrrized "3; or


*""'fi6"i ri*-",iJ

ffdf:::u i.;nrui";;;;" their "**.,i shatl enjoy the privilegei leciioi" :.mrouiril*.J accorded to officers._of "no. !1."i, "tui,il"*re in accordance-with_in: "i"I!".aly rank ac_ . ul_t^"9. prin c ipl l_aly and u"*gu-,i",=^ gf int ernat ional
,:;uch consular

such r)-L&eee nd r^^-upol ny tire--r-i*i.r;il;"",Xrti*

ancl voil_ sgrar ;,gents, .rvho, -,i.ce_uons"I;; b-*ilg"friy p"o.rided rvrrh exequato", resj_de in the terri.torici - "rrarr_Ee*iti,oirred to of the other

"Iach of the ajg[, uontracting .r:orties shalt have ,nu-I!uli.;;rllrlu to, arrd receive froru. trr.e.otrrei Ji"."ui* Lien_. eral, r,oos[l;.


resid'es tJiese organi-zati-ons,


Dee rreyden,

:::::ll::1:1, uhj.nese ylit ea. ;t*t e;:-;#;;;-;;--l:Y; 3,i;,;lliff;;;'i*I":":i:ffi "13: ffx;fi,' ff" *" ;tates,,,orri*,-i";i#;; #f:#i -iudJ*r*,
oF. cit,

there is torlay a vi.sorous


lj l i

104' ir rticle rrr of rregaldi_ng es'"i^l!lyilJ*s" il".,r,r_eatjr. di;i;#;iJ' reprusrl_ in internati-onri"ralrr :i ee. narvard l3lir"" L)Lct! u uonveniion on .r_,,ip'ornatic_ rtes earch nuLrit i es ( ts'? r s-r5i;-;;q^ ^ " rr3iviiuJ"" and rnr_ r_ +t; see also -uetl"r-""6 iilh"or, tiru" ui n,3p,_ t:rii"e"u*pf;i. ,ii,rofi,,tr. sutar rarvs and uon_ -*egui"rio"J, e vor".-i:-6igl;anct Deak,

u {l::";irii;";li:". 23, supre.

. unnuniti


press composeo of five dail-ies ancl 0ne r,reekly r^rhich airls in integrating the conuLrunity in thought s:rrd aiction. 'r'hough there is no exact data regarding the nature and extent of their present circur_ation, it vrould seem to be a fair assumption that the 19BB
stand.ards have been surpassed.

lomatic ;,gents,

ulasslficaii.on, rrmunites,

r s. ca,l_. r.


Rov irgiiT-zo6egz;o.-

lrivireges of uip-

the civil drirnin"r-Jiii*oiction of the receiving sta.te. . or . . & consui is subject to the ial'r of th: receivi'g state L"""pi"in so far a.s he is entitlecl. to somu iugrr. advantage confeered. upon hlm. . .. by a specia.r- t"""iv-^ii-io""e betrveen the state en& the . . r.hough of .nationa.t practJ-"" or-r"ei,r", "iutu. point 1i_1{:"Tlty glves some evid.ence of acceptect interfiationat-1*u. -in and' general acceptance of r: provisior: bir_aterai treaties ,qives even better evidence, a perusal thi's mate:'ia1 i'ir.icates iirr,t comparativery felv of of the functions privil"g"" of consuls are esta'nc1 rrl_isheii bl' universal o"ui--f"*I, t_lppenhefua states tha.t ,,from theinteinati undoubteci oifi"i"f posltion of consuls, [o urli\rersi]-l-.-tr recognized privileges of ir;rportence rrers es yei 6"*r evolved.i, oppenhein, _Lnternationa1-!gw, voi. 1, 66b. o"u-ui"o r elLer ,,,, i-iinloroatlc o"& uonsur-ar il9 +ya*on, raws encr negulations (Lgzf).
106. In lgf8, the c jrculation rias gprUOO. ln l-94b, i-mrnediateiy upon;h; r-ioere.tion oi. r,r&..ir_a oiher key pointi or iir"-rhiii;;#";, t#;;" ?ld at teast were Zv uhinese puuii;;;i;;;.'", -Eor a pre-lyar sUrve]r of vhineSe joUr_

ru'. Article l.v of the rreaty. Days the narvard xesearch uraft-o3_lhe- legal ancl -cunctions o1'. \,onsuls' ?ub-589, in pa.ssim ',osition" i' "A consur is trggi) not accredited to a.-gover'rnent; 'he is-merer_y ins_ tructed by his ol',rr goverrunent io p""ior*, viith the perrnission of another goverruuent, certain furctions 1n the terribory of the l-atter. tJed' that a connul. ha.s no general: ;-ii'1s we]*l-_set_ immunitv either from either


nalisrn, $e g,-lotr.. "The-1re;eropmenf -Ji ,,trinese ouxraLism in ttre iiritippines r,, ttnni_I* 1' i-rJ" 1"" leb. 19, LgZg.




4. itcuess to, nspct, slcill the Other values.


to the other values, rr,'ith speci-al ref erence to r"osi:ect, has alreacly treen clealt rvitn lrrbhe pilgils. \,y shal-l onJ-y i-imit oursel-ves to the possibl_e effect the treaty provisions may nave on the sharing
01' bhesie other va.l-ues.

rticle vt of the .r.reaty provides: "'Ihe nationaLs of each (of the parties/ shall be rrccorded, in the teruitories of the uther, the 1ibertl. to establ-ish school-s for ihe equcation of their chil-dren, a_nd shall enjoy freedor:r of peaceI'ul assembly ancl associ-eition, of. publication, o1' rvorship and religion, of burial and_ building cerreteries, upon the silne terms as the natj_onal_s of any third country in accordance with the laws and reguletions of the other. " 0n the factual rever, thls provision is merely declaratory of the existing situation. rhe vhinese in the Philippines enjoy a great d.egree of latitutcle in the establisiunent anci nai-ntenance of their ovln schooLs end co1leges. -efore the outbreak of the .tacific r/ar in 1941-, there \vere f ive reputable uhinese schooLs operating in l,tanila aLone. by constitutional provi-sion, all schooLs are sub-ject to lhu supervislon ancl regula107 tion of the state. uovernrnent reguiations, hovreverr,'.1 rna-y not go to the extent of depriving unreasonably teachers end parents of their rig,nt to glve their chil_ dren the kind of education they should deem best for

107. *\rt.,r,IV, sec. b rhiJ.lppine uonstitutlon.



tirern. li-]<elvise, sueh regul-atory power Liay not be used to prohiDi'b in ef i'ect children frolr attending private 108 . school-s in orcler that they go to the publie school_s. t' ..o instance is k:tovln or recorcied r,'rhen a \,hinese ap*iicant, othen^rise qua.lifid, has been o.eniecl ad:nission tc any private scnooJ. or universlty, ov,rnetl by lilipinos, on account of his nationality. .r..he same observation .iroJ-d.s true as regard.s public schools ancl tlre state university. vhinese instruments of iLrass comrn.unication .trave as rlay oe gleaned earlier, enjoyed the blessings of free speech and press. ,.,hinese ne\vEpapers, r.or exainpre, irtrve Deen vigorous anci 1'ree in their criticism of goverrurent policles, particularly lvhen they aI,r.ectoirectly or lndirectr.y- the vhinese ccmmunity. lhe constitutional guaranty of ec1ual protection 109 of the lavrs applies to all persons, both cltizens ancl eil-i-ens. .r:ut 1t seems cl-ear that stletutes may varid._ l-y -lltnit to citizens exclusj_ve}1r the enjoyrnent of rights or privileges connected v,rith the public douai-n, the pu_ oLic lorKsr or the naturaL resources ot' the state. The traditionaL arg'nent is, that the rights and interests ' of the state in these things are not si;nply political ,i.' but el-so p'oprietary i-n na.turel hence, the ci-ti-zens tnay rarvl'ully be g_iven preference over eJ-iens 1n iheir 11CI .,,ut statutes discriminating agalnst :::_::_::j:f.""r. ----------: 1oB. "i;;;;-;;;-;;;:-;;;:---109. .nrticle IIf r- sec. 1 (f ), thll. volstitution.l, s^rt. JIf , par. P of tite I'reaty of rulity: "Tlie-""iion"fs of each. . sharl be accorded, ir tnJ-iei,ritori"r-oi-irru other, the sartre trer,tment i'iitr respect io the protection and security of their per$ons and propertvr as is accorded A.^, *' c rr. , .'' i *- T


aliens in ordinary private occupations are geJrr:!-1.r* 111 ,Jhe practice of the professi-on is, as held void.. a general rule, based on the principle of reciprocity.
rhe protection of the due process of Larr i.s liker^rise extended to every persorl r,,rithin the ter-

ritorial lirnits of the state, irrespective of race, color, or nationality, Al-iens, thereforer flaV invoke TTz this eonstitutional guarantee. -treliglous freedon is protected. not onllr oy specilic provlsj-ons oI' the vonstitution on religious I'reedonl, but al-so by the . 113 ctue process of lavr clause. rhe uhinese in the lhilippi-nes actually enjolr f,hs Oenefits of religious freedom. 'r'hey nave thelr o1"rn churces ancl exercise their rel"iglous
b el-

i ef s uilitolestec.


l rticle lrJ., sec. 1 (g) of tjre r,onstitution

I'ormally protects the uhinese against urireasonable
searches and. seizureg. "The right of the people to be secure in their persons, horlses, papers, ano

and selzures shall not oe violated and no vra.rrants shall lssue but upon pro_ bable cause, to be d.eterr,rinecr bj, lhe judge after exaninatlon under oatn or affinnation of the comptainant a_nd the 11O: J!.g. I the provisions o1. t'e ,,onstitution respecting natural resources. 111. see yu- uon $1g v., 2?l- u.s. 500; Yick r'/o v. llopki-ns, 116 U.S, 556. lLz. u,s. v. t,ing 5u j,an, L0 phil_. 104. 113. rirt. J_II, sec. 1 (? ): rfr\o l-aw shall be made rn establ-ishment o{ reli.gionr or prohibiting "."*pecting the free exercise thereof , and the i:ree exer;ise of ieliglous profession and rvorshi!, vd.tnout oiscri*itt.iill o, pref'erence shalt 10rever be aLlolved..,' 1l-4. oo r:.afdrr, op. cit., 698 et seci.

effects against urlf ccLsouabl_e searches


ticularllr oescrir.ring the place to rre searched, ancl the persons or things to 0e s eized.. .;

ii/itnesses he may produce, anci par-

is no adequate factual stud"y oI. tht* ::rcolen, it is a t'air assertion to state that :it is rngirly ooubtful i,,,'hetner the -hinese, exeenting rhose in nigh respect and power positions, actualry enJoy this protection. -L.he unwillingness of the average -hinese ro resort to courts of' justlce for the protection of this partrcuJar right has encou.ragecl a good ntunber of unrr,mrraateo invasi-onso1. their homes, papers, and. effects. 1'his u,,LS trlarticuraruy true
ihough there
o-uring the oplum and oookkeepiug scandals.

rhe i-,hape of _.hinns : -

t'uture aspects of rhilipprne__hluese relations, maillly in relati-on to the status of the ,.,hinese in the rhiJipprnes, i,n,ill be largely cieter_ uined by at Least I.ive factors: J. the nature and extent of the ciistriout,ion o' the'realth resources of the 10ca1 community among the corilponent memoers of society;


2' tne emergence or r.'n-em.ergence of certein lcey poiitlcal agitators in r,ne -thilippines vrho sin_ u*,r'J-$ or i,.s1ncerely espouse ultra-nationalistic
policies; B. the course of the war in Chlna, whether
tend'ing touard

unification or d.isintegration.




-? 6-

4. tne ulti$i:rte resrult of the present contest betr"re en tire trvo giant pol4/ers, the u.s,s.R. and the Uirrted Sta1,es, f or -s upremaclr. 5. 1,lte neir.sllre:j "lhich ntllr b': t'ilien' b-r' i tt organ:i:?r,:o ,,,,,or1c1 govermnent- esta.blished. either by consent oi coercion- in the interest of enforcing peace

meinta.ining security.

In the jmmecliate future, the first three f erctors, and. possibly the f ourtir, rnri1l be d ecisive. Concentration of vrealth in the hands of & ferv and the continued economic frustration of the ma.sses as a result of the feud.alistic structure rvhich still obtains in many parts of the Fhilippines, vri-11 most probably resuLt in an insistent demand. for more restrictlve, if not tota.ll;' "*.tuslonary, measures agaj.nst the Ohinese. Already, the recent enactment of the retail trade legis1ation which seeks to put the retail busi-ness vrholly in the hands of ,r'ilipinos in L954 presages the kincl of treatment the uhinese will have to expect in
the cornlng years, barring certain contingencies. tnstrunents of nass riiedia rnay be expectecl to put the spotlight on the increasing flornr, legal and ill-egaf.r of Chinese immigrents into the lhllippines. 'fhere is soxle degree of certainty in asserting that the nationaleleetions of 1949 l^.rill be decided partJ-y on the question of lrho eind r,vhat party is ntore nationa.listlc. Key polit-

ical ergitertors have already started. using strilcing


to arouse in-g:o up consciousness. slogans ancl symbols ntay be expected" to be more slveeping in l.anguage and clenuncj-ati-on. 'j'he indictment rvillr Bs is already obvious, include American interests and rney likevrise take to task a gooo nunber of Spanish businerss ellte rrrho have alIegedly taken up Philippine c:-tizenship for reasons of personal convenj_ence.
Flogaxs calcul-ated.

Dut the ruling class ruill watch u'ith keen lnterest the course of the ruar in China. A l,trealc, divided uhina lvill &s it tras provicled, added. courage to

vacillating agitators. A China. on the verge of unifica.tion rnay be suff icient r,arning to all but the urost reckJess. rt raay be doubte<L vrhether a cormr$nist-dominated. china ca.n be expected. to with complacency for eventua] relaxation of existing restrietive measures. The implications of an affj-rmatj-ve stand. quite cLear. A democratic uhina, infruenced. by the united. ste"tes, may be expected to urake use of the usual method.s for peaceful se'btlement of d.lsputes betrreen the two lsiatic conntries, before resorti-ng to any coerclve rnethod, But, ;hiither rLeniocratic or conimunisi-d.ominateo, a united t;hinr r','1r1 be in a strong position io give substanti-al raaterial- anci moral protection to its longneglecte,i nati-onals 1n the 1-hil1ppinsr rhere is, of course, the possibilitl' 1i.nt a peaceful United uhina nay eventually tr^rant to Leacl (as Dr. sun yat sen hers urged.)


the I'ar Eastern countries in some kind. of union for mutual benerit .i.rru plotection. .But tiris 'rJ.l.i cntail not only a heavy financial outlay but a qreat l1any Jrears of pre-organLz,abj-on:-L efforts,

at acconpJ-ishing tv,ro ob.jectives: (1) to dissipate feelings of suspicion ancl open hostility
ai-rilC tovrard any such scheme arnong peoples lrho
her"ve so

recentJ.y J.earned through




esiatic nation meant by such slogans as "Asia for the risiaticsril anci ttGreater -last J\sia Coprosperity opherei,, (Z) to convince and. inspire the leaders of these peoples tha.t such a uniori vri]l be for the good" anci benefit of their countries..
these'preliniinary obj ectives vril-l be attained. is difficult to preciict, consi-clerlng present sentiments end expressions of opinlon. Jf, however, some kino. of union is achieved., under t,hi-narg lead.ership, many anti-uhinese nleasures r,rlorird have to be throrv:r overboad, not orl1r 1n the tshirilrpines but in atl- southeastern



'recause of the present civir- l.rar that is ou;,, urits gain strategic strongholds, the industrialization progra:a of chirra has been and rvilL continue to be suspended.
T'he stand.ard

of living in vilina


even be Lolver than



than the bare subsistence ]eve1 of many years ago.

;;lthout sufficient material support'fron the Unitedute,tes, tire nationalist koverllment r,^ril] f 1ncl the task o:t'ir3inta.ining an ann}r at war end. at the se^Iire ti-me ic,:epii:.g perce ancl order vrithin tire a.reas i-ts control practi cally iarposs j-bl- e. There is a greri.t deal- to 0e sairi in fa,vor of the vier; ti'rr,rt the civrl--vrar in vhina rrrill be protracted. r,,,rrrile the t cold. trvari bett,'een the ancl the United States contj-nues indefinltely. rhis nrust be rnade subject to the qualification that the ,'ati-onalist Goverrunent obtains sufficient uraterial a.iC frolr the clemocracies. If such should be the situation, the probabilities on aur scaLe of observation are: 1. The uhinese rvil-l continue to migrai,e to diff erent areas of the vrorld urhere staad.ards of tiving are re.Latively higher. Since the industrialization program of uhina has been d"ismptect by 'vvar, inflation, and baslc shortagesr it is unlikely that tnere wiLr be rn tne ili.Lueoiate future any improvement on the economic leveL urhich can effectively deter enrigration. Presumably, stricter regulations may be laid dorm by the 0hinese goverrunent ai-n6d at oiscouraging nass eni-graiion. It is hard to concei-ve

-80however, hovr such regulations can be effectively

enf orc ed..

2, In the Philippines ' Chines e acti-viti es, chl efly economic, r^'ill be severely confined. to certain field,s. In'u:igration measures. ntay be mad.e nore stringent, and
the present natural-ization lan'r ma1' be period.ically a,mended as to make it quite d.ifficult, if not totally
lrnpracticable, for uhinese national-s to embrace i,hilippine citizenship. 3. J.f the Comrunists continue to gain ascendancy

in uhina by taking bver important coastal cities, 1t is eertain that there will energe in the philippines an elite schooled in the use of violence. Their opinion, in the height of ,tred.-scarer and ruj.despread panic, w1ll be received. rvith great respect. They irrill probably seelc the passage of new, a.nr1 the effective enforcement of exlstlng, antl-uomruunlst legislation, Since it is lcnovrn that there is a good nunber of uhinese coronunists opererting in the Fhilippines, both press and pl&tform will- conceiva.bly contribute to the existlng confusion by demanding that the government supervise &ore cl-osefy the a.ctivities of the uhinese, rvhether red.s or non-red.s. 'lhe argument ivill be that si-nce it i-s hard io determine v,'ho is a party nanber, it should be prudent to lratch
the ',1'hole group.

of this situation vrilL be depend.ent on the resul-t of the bipolar confLiet. so keenry
The continuance


predicted and anticiPated' bY many. 0n the supposition that the conflict is solved tir.rough agreement, it vroul-d seeln clear that a ne\Y China t born out of the travallof' war end a.nguish, would be ready at long l-ast to t:ssume the taslc of protectlng her

As pointed out earlier in this paper, ro tong-terur alternative is offereC. i:utsid.e of our in-

sistence for a rn'orld governaent r,nihose planning must b, if it is to be true to.its nailie a,nc1 purpose, on a glcrnal level . 1'he Chinese-Philippine problem is merely a part of the greater problem confronting peoples the r,'rorLd. over. 'j'he exlstlng tension 1n internationaL relations and politlcs is the result, B-s \Ye see it,

of mant s apparent Unr''lil-lingness to understand tha.t the C.isaster and misery he ha.s so recentl-y rrritnessed. have their cause in the kind" of political fragnrentation thiit still exists: the riivision of the lvorl-d. iirto rivail national states engeigecl in a d'angerous ' cornpetition fo.r pol\'er erncl mater"ieLl prestlge. A s a general observation, problens are being' solved today on a tribal scaile by those in high polver positions r"iho exploii- consciously or unconsciously- men and ln;omen r,'.,'ho are merely seeking refuge from fear ancl r,iant and i-nsecurity. Their soluti-ons, c.onsist-


ing of limited concessions ancl piecemeal ad justments, are not on.l-y superficial; thelr provide fer-

tile soil for future conflicts. In some respects, the Llhinese-I'hilippine Treaty of Amity is one clear

Our preference irnplles

a sol-ution vrhlch

a.ij'ects not only mants environment but man, the thinking being, himsel-f . Prod.uctive resources vri]l have to be utillzed ln lceeping vrith plans drafted
on a lnrorld scale. The goal

is the lvide distribu-

tion of oaslc values. This vril1 need a of many and statutes. l-t will mean a break with the past, Possibly, r1e1v definitions may emerge. rriationa.lity, if -hhe rn'ord is stiLl to be used., may no longer be a matter of rarce or of language, but of social, sentiments, ancl interests. External solutions v,ii-ll not suffice, horvever. Respect for hunan dignil,y rviLl- have to be buil-t 1n the mind.s ancl consciences of men and. r,iomen rvho are tormented today by what Toynbee calls the rschism in the soul r , erren as they hope f or the coming of a new day, pledged to enduring peace and prosperity.

q .t1,1


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