1. GATT, International Trade 1980/81 (Geneva: GATT, 1981), p. 2, table 1.

2. Ibid. From 1948 to 1971, world trade (volume) grew at an average annual rate of 7.3 percent, while from 1958 to 1978, the average annual growth rate for manufactured exports was between 9.5 and 10 percent (UNCTAD, Secretariat, Trade and Development Report 1981 [Geneva: UNCTAD, 1981], p. 2, table 4; GATT, Networks of World Trade , 1978, cited in Vijay L. Kelkar, "Post-War Growth in World Trade in Manufactures," Economic and Political Weekly [April 7, 1984]: 596, table 1).

3. GATT, "International Trade in 1981 and Present Prospects," GATT Press Release , GATT/1313, March 23, 1982, p. 2, table 1.

4. The figures compared are year-over-year declines (GATT, "International Trade in 1981," pp. 1 and 2, table 2).

5. World Bank, World Development Report 1979 (New York: Oxford University Press, 1979), p. 17.

6. Calculated from IMF, Annual Report of the Executive Board for the Financial Year Ended Apri1 30, 1981 (Washington, D.C.: IMF, 1981), p. 8, table 1. In the decade before 1975, the rate was 5 percent (World Bank, World Development Report 1978 [New York: Oxford University Press, 1978], p. 9).

7. IMF, World Economic Outlook: A Survey by the Staff of the IMF , Occasional Paper 9 (Washington, D.C.: IMF, 1982), p. 31.

8. OECD report, cited in International Herald Tribune , May 4, 1982.

9. Ibid.

10. Jan Tumlir, director, GATT economic department, quoted in International Herald Tribune , January 25, 1982.

11. United States, Council of Economic Advisers, Economic Report of the President (1982), quoted in International Herald Tribune , February 26, 1982.

12. On the "new protectionism," See Robert McNamara, Address to the United Nations Conference on Trade and Development, Manila, Philippines, May 10, 1979 (Washington, D.C.: World Bank, n.d.), pp. 6-9; Douglas R. Nelson, The Political Structure of the New Protectionism , World Bank Staff Working Paper 471, July 1981; Bela Balassa, The Newly Industrializing Countries in the World Economy (New York: Pergamon Press, 1981), p. 113. See also Robert E. Baldwin, The Inefficiency of Trade Policy , Essays in International Finance 150 (Princeton, N.J.: International Finance Section, Department of Economics, Princeton University, 1982), p. 20. This essay was presented as the Frank D. Graham Memorial Lecture, Princeton University, October 7, 1982.

13. OECD official, quoted in International Herald Tribune , January 25, 1982.

14. Hollis B. Chenery and Donald B. Keesing, The Changing Composition of Developing Country Exports , World Bank Staff Working paper 314, January 1979, p. 42. Cf. World Bank, Philippines: Domestic and External Resources for Development , Economic Memorandum for 1979 Consultative Group Meeting, Report 2674-PH, November 12, 1979, p. 26; McNamara, Address to UNCTAD, 1979 , p. 6.

15. In early 1982, the Multi-Fiber Arrangement Controlled four-fifths of textile and apparel world trade ( International Herald Tribune , April 16, 1982). For more on the MFA, see John Cavanagh, "Northern Transnationals Can Use New MFA to Sew Up Markets," South (May 1982): 70-71; Diana Tussie, "GATT and the MFA: Counter to 'Free Trade,'" South (January 1982): 21; and Malcolm Subhan, "Alive But Struggling,'' Far Eastern Economic Review (January 1, 1982): 34-35; "Coming Apart at the Seams," Far Eastern Economic Review (March 19, 1982): 52-54; Malcolm Subhan, "Not Quite Sewn Up," Far Eastern Economic Review (April 30, 1982): 44-46. With special reference to Asia, see almost any early-1980s issue of Textile Asia .

16 . Jonathan Power, "A Rich-Poor Alliance Against Protectionism," International Herald Tribune , February 26, 1982.

17. Tussie, "GATT and the MFA," p. 21.

18. As a result, these products were taxed at a 16 percent rate ( Asia Monitor 5 [Third Quarter 1981]: P-5-305).

19. See IMF, Philippines: Recent Economic Developments , July 18, 1980, appendix, p. 51, table 9.

20. Robert McNamara, Address to the Board of Governors, Washington, D.C., September 30, 1974 (Washington, D.C.: World Bank, 1974), p. 12.

21. World Bank, Philippines — Country Program Paper , March 26, 1976, p. 6. In 1980, Philippine exports and imports accounted for 43 percent of GNP ( Business Day [Manila], May 6, 1981).

22. McNamara, Address to UNCTAD, 1979 , p. 6. See also World Bank, The Philippines: Country Economic Memorandum , Report 1765-PH, October 26, 1977, annex A, p. 12.

23. Barend de Vries, Transition Toward More Rapid and Labor-Intensive Industrial Development: The Case of the Philippines , World Bank Staff Working Paper 424, October 1980, p. 19.

24. Statement of Andreas Abadjis, senior adviser, Asian Department, IMF, and head of IMF delegation to 1979 Consultative Group meeting, in World Bank, Meeting of the Consultative Group for the Philippines, Washington, D.C., December 13 & 14, 1979 — Report of Proceedings by the Chairman plus Annexes , PHL—80-1, March 20, 1980, annex 5, p. 2. See also World Bank, Philippines: Domestic and External Resources for Development , p. 26; World Bank, Industrial Development Strategy , October 29, 1979, vol. 1, p. 32; IMF, Philippines: Recent Economic Develop-merits , p. 34; IMF, Philippines — Request for Standby with Supplementary Financing , EBS/80/25, February 5, 1980, p. 19.

25. See, for example, World Bank, Report and Recommendation , August 21, 1980, p. 31; World Bank, World Development Report 1978 (New York: Oxford University Press, 1978), p. 32.

26. B. de Vries, Transition Toward Labor-Intensive Industrial Development , p. 17; World Bank, Philippines — Country Program Paper , 1976, p. 14; and World Bank, Industrial Development Strategy , October 29, 1979, p. 2. See also, for example, World Bank, Report and Recommendation , August 21, 1980, p. 30; and World Bank, Staff Appraisal Report on the Industrial Finance Project , Report 3331-PH, April 7, 1981, p. 11.

27. Interview with Power, October 29, 1980; and Romeo Bautista, John H. Power et al., Industrial Promotion Policies in the Philippines (Manila: Philippine Institute for Development Studies, 1979), pp. 74-75. For more on Power and Bautista's book and involvements, see Chapter 4, above. Cf. IMF, Philippines — Staff Report for 1982 Article IV Consultation , March 24, 1982, p. 19.

28. Chenery and Keesing, Developing Country Exports , p. 43.

29. B. de Vries, Transition Toward Labor-Intensive Industrial Development , p. 17. Similarly, Balassa, in his April 1980 Frank D. Graham Memorial Lecture at Princeton University, shared optimistic projections concerning the growth of LDC-manufactured exports to industrial countries even with the ''maintenance of the Multi-Fiber Arrangement." The catch is that the MFA was not simply being maintained, as Balassa suggested; it was being tightened (Bela Balassa, The Process of Industrial Development and Alternative Development Strategies , Essays in International Finance 141 [Princeton, N.J.: International Finance Section, Department of Economics, Princeton University, 1980], p. 25).

30. World Bank, Report and Recommendation , August 21, 1980, p. 31.

31. Vice-President and Secretary, World Bank, Summaries of the Discussions at the Meeting of the Executive Directors of the Bank and IDA, September 16, 1980 , SD80-52, November 20, 1980, p. 8.

32. Ibid. See also World Bank, Philippines — Country Program Paper , 1976, p. 9.

33. This paragraph and the preceding one are based on the World Bank's World Development Report 1981 (New York: Oxford University Press, 1981), pp. 10-11; and World Development Report 1978 (New York: Oxford University Press, 1978), pp. 26-29, quotation from p. 32. Earlier projections also appeared in Chenery and Keesing, Developing Country Exports , p. 36.

34. See, for example, World Bank, China: Socialist Economic Development , vol. 1: The Main Report , Report 3391-CHA, June 1, 1981, p. 169. In this instance, the World Development Report 1981 high-assumption scenario was used with only the caveat that this assumed that protectionist barriers would not increase "significantly."

35. Interview with Ortaliz, January 19, 1981. Similar sentiments were expressed by Sicat in a speech presented at Policy Conference on Tariff Reforms, April 22, 1981; by Minister of Labor Blas Ople speaking on a 1980 Philippine television program (quoted in Business Day [Manila], December 5, 1980); by Bince, December 2, 1980; and by a Ministry of Finance staff member (anonymity requested), May 19, 1982.

36. Sicat, speech presented at Policy Conference on Tariff Reforms, April 22, 1981.

37. See World Bank, Progress Report on Structural Adjustment Lending , SecM84-461, May 23, 1984, p. 7, table 3, and Pierre M. Landell-Mills, "Structural Adjustment Lending: Early Experience," Finance and Development 18 (December 1981): 19, table 1.

38. Interview with Bank of Thailand official (anonymity requested), Bangkok, Thailand, July 1979.

39. World Bank, Thailand: Toward a Development Strategy of Full Participation , Basic Economic Report 2059-TH, September 1, 1978; World Bank, Industrial Development Strategy in Thailand , June 5, 1980; World Bank, Thailand: Coping with Structural Change in a Dynamic Economy , August 1980; Santi Mingmongkol, "The World Bank and Thailand: New Wine in an Old Bottle," Southeast Asia Chronicle , no. 81 (December 1981): 20-24; Bangkok Bank Monthly Review (November 1980): 401-6 and (November 1981): 434-49; and Far Eastern Economic Review (May 23, 1980): 40-46; (February 13, 1981): 40-44; and (June 4, 1982): 56-61.

40. See, for example, World Bank, Indonesia: Selected Issues of Industrial Development and Trade Strategy , Report 3182-IND, October 29, 1980, annex 1: The Structure of the Manufacturing Sector ; and World Bank, Chile: An Economy in Transition , Report 2390-CH, 3 vols., June 21, 1979, vol. 1: The Main Report ; vol. 2: The Annexes .

41 . The similarities are detailed further in Robin Broad, "Behind Philippine Policy Making: The Role of the World Bank and International Monetary Fund," Ph.D. dissertation, Princeton University, 1983, pp. 469-97.

42. Quoted in Christian Science Monitor , September 18, 1980.

43. Advertisement by Investment Promotion Division of the Greater Colombo Economic Commission, Colombo, Sri Lanka, in Far Eastern Economic Review (October 16, 1981): 71.

44. Interview with government official on Interagency Committee for SAL reforms (anonymity requested), April 22, 1981. Similar phrase used by Bautista, December 15, 1980.

45. Interview with Bince, December 2, 1980.

46. Interview with Manila-based TNC executive (anonymity requested), February 13, 1981.

47. Chenery and Keesing, Developing Country Exports , p. 47.

48. World Bank, Report and Recommendation , August 21, 1980, p. 31.

49. World Bank, Industrial Development Strategy , October 29, 1979, vol. 1, p. 2.

50. Quoted in John Kelly and Joel Rocamora, "Indonesia: A Show of Resistance," Southeast Asia Chronicle , no. 81 (December 1981): 16.

51. Barbara Ehrenreich and Annette Fuentes, "Life on the Global Assembly Line," Ms. Magazine (January 1981): 58.

52. World Bank, China: Socialist Economic Development , vol. 1, p. 168. China, a fledgling member of the Bank and the Fund, is a good example of a country trying to move into light-manufactured exports in its free trade zones, although it is not yet a would-be NIC:

53. See, for instance, UNIDO, Global and Conceptual Studies Branch, Division for Industrial Studies, Restructuring World Industry in a Period of Crisis — The Role of Innovation: An Analysis of Recent Developments in the Semiconductor Industry , UNIDO/15.285, December 17, 1981, p. 225.

54. John Cavanagh, "Textile Multinationals: Profiting from Protectionism," Geneva, 1981, p. 4 (mimeographed). See Textile Asia (August 1981): 87.

55. On South Korea, for example, see IMF, Korea — Recent Economic Developments , SM/82/70, April 15, 1982, pp. 54, 56, and appendix, p. 93, table 20, and p. 94, table 21; Hyan-Chin Lim, "Dependent Development in the World-System: The Case of South Korea, 1963-1979," Ph.D. dissertation, Harvard University, 1982; and Far Eastern Economic Review (February 19, 1982): 40-41.

56. "The 'Four Dragons' Lose Fire," Business Week (March 28, 1983): 64.

57. W. Arthur Lewis, Development Economics: An Outline , University Programs Modular Studies (Morristown, N.J.: General Learning Press, 1974), p. 10.

58. George L. Hicks and Geoffrey McNicoll, Trade and Growth in the Philippines: An Open Dual Economy (Ithaca, N.Y.: Cornell University Press, 1971); Douglas S. Paauw, "The Philippines: Estimates of Flows in the Open, Dualistic Economy Framework, 1949-1965," draft, Washington, D.C.: National Planning Association, Center for Development Planning, 1968; Douglas S. Paauw and Joseph L. Tyron, "Agriculture-Industry Interrelationships in an Open Dualistic Economy: The Philippines, 1949-1964," in Growth of Output in the Philippines , ed. Richard W. Hooley and Randolph Barker (Manila: School of Economics, University of the Philippines, and International Rice Research Institute, 1967).

59. See, for instance, World Bank, Poverty Report 2984-PH, vol. 1, p. 20; World Bank, Staff Appraisal Report on Industrial Finance Project , p. 10; and World Bank, Philippines — Country Program Paper , August 29, 1980, p. 7.

60. World Bank, Philippines — Country Program Paper , 1976, p. 13.

61. Statement of Shahid Husain, cited in World Bank, Meeting of the Consultative Group for the Philippines, Washington, D.C., November 30 & December 1, 1978 — Report of Proceedings by the Chairman , 1979; p. 66.

62. Roberto V. Ongpin, "A. New and Revitalized Ministry of Trade and Industry," Fookien Times Philippines Yearbook 1981-1982 (1981), p. 118.

63. "Export Processing Zone Authority—An Agent for Development," Export Processing Zone Authority advertisement for Bataan Export Processing Zone, 1979.

64. Ibid.

65. Interviews with Ortaliz, April 13, 1981; Noriega, Apri1 20, 1981; Licaros, April 1, 1981; and Bince, December 2, 1980, among others.

66. World Bank, Philippines: Domestic and External Resources for Development , p. 29; World Bank, Staff Appraisal Report on Industrial Finance Project , p. 4. See also World Bank, Industrial Development Strategy , October 29, 1979, p. 13.

67. CACP [Citizens' Alliance for Consumer Protection] Journal (Manila) 1 (Second Quarter 1981): 29.

68. Mary Soledad Perpiñan, R. G. S., "Women and TNCs: The Philippine Experience," Manila, March 1981, p. 6 (mimeographed).

69. World Bank, Industrial Development Strategy , October 29, 1979, p. 32. According to the Textile Mills Association of the Philippines, the value added under Republic Act 3137 (the so-called Embroidery Law, which allows garment manufacturers to import, on consignment, duty-free raw materials for local processing and subsequent re-export) was only 30 percent (Ibon Databank, Primer on Garment Industry [Manila: Ibon Databank, 1981], p. 19).

70. Calculated from World Bank, Philippines: Domestic and External Resources for Development , p. 61, table 3.5, and p. 64, table 3.8.

71. Calculated from United Nations, Statistical Office, 1977 Supplement to the World Trade Annual Report: Trade of the Industrialized Nations with Eastern Europe and the Developing Nations , vol. 5: The Far East (New York: Walker, 1979), pp. v-554, v-579.

72. UNIDO, Restructuring World Industry , p. 250. The figure would, however, have to be closer to the lower estimate if the World Bank's aggregate average value-added figure of 25 percent is to hold. Clearly, none of these three estimates is a precise calculation, but they provide useful approximations.

73. See Ibon Databank, Primer on Garment Industry , p. 18.

74. World Bank, Philippines: Domestic and External Resources for Development , p. 4.

75. "Coming Apart at the Seams," Far Eastern Economic Review (March 19, 1982): 52; "Tough Year Ahead for Textile Talks," South (June 1982): 72; John Cavanagh, "Northern Transnationals Can Use New MFA." On subcontracting, See Chapter 3, above.

76. World Bank, Country Economic Memorandum , annex A, p. 11. The Banks 1979 projections for Philippine import payments of intermediate goods destined for export-processing industries likewise indicated that overall import dependence was expected to remain high (World Bank, Philippines: Domestic and External Resources , p. 29).

77. This refers to total tariff item 806.30/807 imports to the United States.

78. Paragraph based on UNIDO, Restructuring World Industry , pp. 237, 244-51; quote is from p. 249. See also United Nations, Centre on Transnational Corporations, Transnational Corporations in the International Semiconductor Indus try, 83-45443, 1983.

79. See J. Rada, The Impact of Micro-electronics: A Tentative Appraisal of Information Technology , United Nations, International Labour Organization, World Employment Programme Study, 1980.

80. James A. Norling, international manager for Motorola's semiconductor group, quoted in Business Week (March 15, 1982): 38.

81. UNIDO, Restructuring World Industry , p. 237. On this question of employment, see Chapter 6, above; and United Nations, International Labour Organization, Employment Effects of Multinational Enterprises in Developing Countries , 1981, p. 82.

82. Walden Bello, David O'Connor, and Robin Broad, "Export-Oriented Industrialization: The Short-Lived Illusion," in Walden Bello et al., Development Debacle: The World Bank in the Philippines (San Francisco: Institute for Food and Development Policy, 1982), p. 153.

83. Peter Evans, Dependent Development: The Alliance of Multinational, State, and Local Capital in Brazil (Princeton, N.J.: Princeton University Press, 1979), pp. 314-15.

84. "Manila Export Zones Lure Business," Christian Science Monitor , September 18, 1980; Peacemaker (Manila) I (September 1981): 7. The Bataan Zone cost $192 million to build in 1973, earned only $82 million in ten years of operation, generated only half of the predicted direct employment, and had a negative net present value (Peter G. Warr, Export Processing Zones in the Philippines [Kuala Lumpur and Canberra: ASEAN-Australian Joint Research Project, 1985]). See also Judy S. Castro, The Bataan Export Processing Zone , United Nations, International Labour Office, Asian Employment Programme Working Paper, September 1982. The $2.1 billion was nearly $1 billion higher than had been projected in the plant's 1976 agreement. In the immediate aftermath of the April 1986 accident at the Chernobyl nuclear power plant, the Aqnino government decided to "mothball" the Bataan plant.

85. Philippine government estimates. For a discussion of the impact of such infrastructure investments, see Ibon Facts and Figures , no. 60 (February 15, 1981).

86. Business International, Briefing Paper , p. 33.

87. Ibid.

88. World Bank, Philippines — Country Program Paper , 1980, p. 5; World Bank, Staff Appraisal Report on Industrial Finance Project , p. 4. NEDA's Five-Year Philippine Development Plan, 1978-82 — Draft Revisions for 1981 and 1982 (December 1980, pp. 8-9) targeted $3.082 billion for 1982. See also Bulletin Today (Manila), February 19, 1981. The World Bank, however, slated the $3 billion current-account deficit mark for the following year, 1983 (World Bank, Philippines — Country Program Paper , 1980, attachment 3C).

The current account measures how much a country earns versus how much it spends internationally exclusive of borrowing and foreign investment; the balance-of-payments figure includes capital flows from abroad.

89. World Bank, World Debt Tables (Washington, D.C.: World Bank, 1986), pp. 226-29; and Philippines (Republic), Central Bank, "External and Financial Development in the Philippines in 1981: Year-End Report of the Central Bank of the Philippines to President of the Philippines on the State of the Economy and the Financial System," Manila, 1982.

90. This was from $1.2 billion (1980) to $2.05 billion (1981) (IMF, Staff Report , March 24, 1982, p. 4).

91. By World Bank estimates, the debt service ratio for 1979 was already at 21 percent (World Bank, Philippines: Domestic and External Resources for Development , p. 4).

92. World Bank, Philippines — Country Program Paper , 1976, p. 17. In the past, the Philippine government got around this limit by changing its definition of debt service ratio. See note 93, below.

93. IMF, Staff Report , March 24, 1982, pp. 13, 17, and appendix 1, p. 23. Debt service ratio, as calculated by the IMF, refers to the ratio of debt service net of IMF obligations and prepayments to the current year's current-account earnings. In other words, the IMF defines the debt service as payments on medium-term and long-term loans divided by the export of goods and services. The denominator of the World Banks debt service ratio calculation excludes transfers and investment income (which the IMF includes). The real discrepancy in calculations is not between these two, but between these and the Philippine government's calculation. The Philippine government uses total debt service as the numerator and the previous year's receipts on current and capital accounts as the denominator. By counting the proceeds from foreign loans as receipts, the Philippine governments calculation diminishes the ratio.

Passing from debt service ratios to the actual dollar terms behind them puts the Philippines' dilemma in starker focus. According to Business International, 1979 Philippine debt service payments totaled $1.56 billion ( Briefing Paper , p. 33). As the IMF calculated in 1980, debt service payments on loans with maturities over one year would hit $2 billion in 1982 (as against the previous year's gross export earnings of somewhat more than double that amount) and top $3 billion by 1985 (IMF, Staff Report , July 16, 1980, p. 14; Central Bank, "Economic and Financial Development in the Philippines in 1981").

94. Cited in Economist (November 27, 1982): 88. This figure includes interest and amortization of medium- and long-term debt plus short-term debt outstanding at start of year.

95. Interviews with Purita Neri, Central Bank of the Philippines, November 17, 1980; and with Central Bank staff member (anonymity requested), January 22, 1981; and E. S. Browning, "East Asia in Search of a Second Economic Miracle," Foreign Affairs (Fall 1981): 145.

96. Interview with officer of World Bank's East Asia Division (anonymity requested), December 15, 1980, by Walden Bello. The situation was exacerbated became the rapidly rising interest rates in the West bloated that portion of the debt borrowed on a variable-interest-rate basis, which embraced more than one—third of Philippine debt in 1981 ( Far Eastern Economic Review [December 12, 1981]: 50).

97. World Bank, Philippines — Country Program Paper , 1976, p. 8.

98. World Bank, Economic Perspectives. on Southeast Asia and Asia , April 19, 1978, p. 5.

99. World Bank, Philippines — Country Program Paper , 1980, p. 7.

100. These figures are from the Banks "high borrowing, high growth of GDP and manufactured exports scenario" for China (World Bank, China: Socialist Economic Development , vol: 1, pp. 175, 180-81).

101. Interview with IMF official (anonymity requested), November 25, 1980.

102. Interview with Ministry of Finance staff member (anonymity requested), December 17, 1980.

103. Interview with Zialcita, January 21, 1981. Cf. Guillermo Soliven, quoted in "Bringing the Banks Up to Date," Euromoney (April 1979): 26.

104. Interviews with (among others) Zialcita, January 21, 1981; Corpus, February 11, 1981; and NEDA official (anonymity requested), December 5, 1980.

105. "Chairman's Opening Statement," in World Bank, Meeting of Consultative Group, December 13 & 14, 1979 , p. 17.

106. World Bank, Philippines — Country Program Paper , 1980, p. 5.

107. Philippines (Republic), NEDA, Five-Year Philippine Development Plan, 1978-1982 (Manila: NEDA, 1977), p. 26, table 2.5; Philippines (Republic), Philippines Development Report 1980 (Manila: Central Bank, 1981); interview with Ferdinand Marcos in Asian Wall Street Journal , February 21, 1981; Business Day (Manila), January 23, 1981.

108. Quoted in Business Day (Manila), January 23, 1981.

109. Interviews with staff economist (anonymity requested), Center for Research and Communications, Metro-Manila, Philippines, May 20; 1981; and with official (anonymity requested), Asian Development Bank, Metro-Manila, Philippines, March 20, 1981. "Certain foreign estimates put it [the 1980 growth rate] at only 3%" ( Far Eastern Economic Review [January 16, 1981]: 50).

110. World Business Weekly (August 24, 1981): 12.

111. Textile Asia (July 1981): 102, and (November 1981): 100. The total value "rose moderately" ( Textile Asia [August 1981]: 87).

112. NEDA, Five-Year Plan — Revision for 1981 and 1982 , preface. See also Bulletin Today (Manila), February 19, 1981. Once again, government figures did not always mesh. Business Day (Manila), March 3, 1981, claimed President Marcos's "revised" target for 1981 was 5.9 percent and that realized growth for 1980 was 5.7 percent:

113. IMF, Staff Report , March 24, 1982, p. 6.

114. Ibid. The 1980 population growth rate was 2.7 percent ( Euromoney [April 1982]: 27). On the population growth rate, see also World Bank, World De. velopment Report 1981 (Washington, D.C.: World Bank; 1981), p. 166, table 17; and Far Eastern Economic Review (July 16, 1982): 42.

115. Asia Monitor 6 (Second Quarter 1982), P-6-206; and Far Eastern Economic Review (April 30, 1982): 40. The average real growth for non-oil Asian LDCs was 5 percent in 1981 ( Far Eastern Economic Review [June 11, 1982]: 91).

116. Guy Sacerdoti, "Recession's Net Spreads," Far Eastern Economic Review (April 23, 1982): 88.

117. Central Bank of the Philippines, Annual Report 1981 , draft, cited in Sacerdoti, "Recession's Net Spreads," p. 90; Chemical Bank (January 1982): 27. The Central Bank figure cited is for sales including a component of receivables.

118. "Nontraditional exports increased by 14.2 percent in 1981, compared with 29.0 percent in 1980" (IMF, Staff Report , March 24, 1982, p. 11, n. 1).

119. Economist (November 27, 1982): 88; Institutional Investor (October 1982): 245-46; Philippines Daily Express (Manila), December 5, 1982; and Far Eastern Economic Review (November 5, 1982): 59.

120. The same, the Bank reported, was true for Thailand and Malaysia (World Bank, Economic Perspectives on Southeast Asia and Asia , pp. 21-22).

121. Interview with Ordoñez, December 9, 1980. Sentiments reiterated by other government officials during interviews.

122. World Bank, "Philippines—Random Thoughts on Rural Development," memorandum from David J. Steel to M. A. Gould and L. E. Hinkle, September 1, 1977, p. 5.

123. Statement of Barend de Vries in World Bank, Meeting of Consultative Group, December 13 & 14, 1979 , annex 7, p. 1.

124. See, for instance, World Bank, Philippines — Country Program Paper , 1976, p. 13; World Bank, Staff Appraisal Report on Industrial Finance Project , p. 10; World Bank, Meeting on Consultative Group, November 30 and December 1, 1978 , p. 66.

125. World Bank, Third Urban Development Project — Staft Appraisal Report , Report 2703a-PH, February 26, 1980, p. 3. See also U.S. AID, FY1982 Country Development Strategy Statement Philippines (Manila: AID, 1980), annex D. For more on World Bank loans to the Philippine urban sector, see Walden Bello and Vincent Bielski, "Counterinsurgency in the City," in Bello et al., Development Debacle , pp. 101-25.

126. See Business Day (Manila), March 17, 1981, and May 10, 1982.

127. See Vivencio R. Jose, "Re-Orienting Philippine Education," in Mort gaging the Future: The World Bank and IMF in the Philippines , ed. Vivencio R. Jose (Quezon City: Foundation for Nationalist Studies, 1982), pp. 128-58; World Bank, "Philippines to Improve Elementary Education with $100 Million Loan," Bank News Release , 81/129 (July 2, 1981); and Nationalist Resource Center, What's Behind the Education Act of 1982 ? ([Manila]: Nationalist Resource Center, 1982).

128. World Bank, Poverty Report 2984-PH, draft, p. 65; interview with World Bank official (anonymity requested), March 4, 1981; interview with professor (anonymity requested), Asian Institute of Management, Metro-Manila, Philippines, March 18, 1981; interview with Grace Goodell, International Rice Research Institute, Los Bañrios, Philippines; March 15, 1981; interview with Glenn Denning, International Rice Research Institute, Los Baños, Philippines, March 16, 1981; Far Eastern Economic Review (March 12, 1982): 39; and Rene E. Ofreneo, ''Modernizing the Agricultural Sector," in Mortgaging the Future , ed. Jose, pp. 98-127. These World Bank cash crop projects were alongside other Bank projects that furthered the counterinsurgency (or legitimacy) goal. See Walden Bello, David Kinley, and Vincent Bielski, "Containment in the Countryside," in Bello et al., Development Debacle , pp. 67-99.

129. See Walden Bello, "The World Bank in the Philippines: A Decade of Failures," Southeast Asia Resource Chronicle , no. 81 (December 1981): 3.

130. First post-martial law debate between Marcos's Kilusang Bagong Lipunan (KBL or New Society Movement), represented by Assemblymen Arturo M. Tolentino and Emmanuel Palaez, and opposition representatives Assemblymen Salvador Laurel and Francisco "Soc" Rodriguez, February 15, 1981. On this, see Bulletin Today (Manila), February 17, 1981. Cf. Asian Wall Street Journal , December 21, 1981; Bulletin Today (Manila), January 19, 1981.

131. Interview with Ministry of Finance staff member (anonymity requested), Metro-Manila, Philippines, January 15, 1981. Similar statement made by another Ministry of Finance staff member (anonymity requested), Metro-Manila, Philippines, December 17, 1980.

132. André Gunder Frank, Crisis in the World Economy (New York: Holmes and Meier, 1980); Raul Prebisch, "The Crisis of Capitalism. in the Periphery," speech presented at first annual Raul Prebisch Lectures, UNCTAD, Geneva, Switzerland, July 6, 1982; UNIDO, Restructuring World Industry .

133 . John Hein, Major Forces in the World Economy: Concerns for International Business , Conference Board Report 807 (New York: Conference Board, 1981), p. 8; and Business Asia (May 15, 1981): 106.

134. Jacques de Larosière, "The Need for International Economic Adjustment: The Role of the IMF," address to the Annual Meeting of the French-American Chamber of Commerce, Minneapolis, Minnesota, March 4, 1982, pp. 1-2.