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Labor Law I
Labor Law I
Questions
1) What are the provisions in the Constitution which would state that the
Philippines is governed by a Capitalist System?
2) What is Capitalism?
3) What are the characteristics of Capitalism?
What are the provisions in the Constitution which would state that the Philippines is
governed by a Capitalist System?
Art. II Sec. 19: The State shall develop a self-reliant and independent national
economy effectively controlled by Filipinos.
Art. II Sec. 20: The State recognizes the indispensable role of the private sector,
encourages private enterprise, and provides incentives to needed investments.
Art. III Sec. 10: No law impairing the obligation of contracts shall be passed.
Art. XII Sec. 1: The goals of the national economy are a more equitable
distribution of opportunities, income, and wealth; a sustained increase in the
amount of goods and services produced by the nation for the benefit of the
people; and an expanding productivity as the key to raising the quality of life
for all, especially the underprivileged. The State shall promote industrialization
and full employment based on sound agricultural development and agrarian
reform, through industries that make full of efficient use of human and natural
resources, and which are competitive in both domestic and foreign markets.
However, the State shall protect Filipino enterprises against unfair foreign
competition and trade practices. In the pursuit of these goals, all sectors of the
economy and all region s of the country shall be given optimum opportunity
to develop. Private enterprises, including corporations, cooperatives, and
similar collective organizations, shall be encouraged to broaden the base of
their ownership.
Art. XII Sec. 16: The Congress shall not, except by general law, provide for the
formation, organization, or regulation of private corporations. Government-
owned or controlled corporations may be created or established by special
charters in the interest of the common good and subject to the test of economic
viability.
What is Capitalism?
Capitalism is defined as “an economic and political system in which a
country's trade and industry are controlled by private owners for profit,
rather than by the state.”1