Economic context

• Jose Rizal was born in a time of significant economic changes in the Philippines, influenced by four key historical elements
• The Galleon Trade between Manila and Acapulco (Mexico)
• Galleon Trade was the major source of income for the Spanish government in the Philippines from 1565 to 1815.
• This trade route made Manila a central trading hub, attracting Chinese merchants and facilitating cultural exchanges.
• GT also introduced political and liberal ideas to the Philippines.
• The trade ended in 1815 when Mexico gained independence from Spain, leading to economic adjustments in the Philippines.
• GT marked a shift in the Philippine economy and opened the country to new economic activities.
• The exposure to international trade and ideas increased, fostering a sense of national identity and awareness among Filipinos, eventually leading to a desire for independence.
• The Suez Canal, opened in 1869, connects the Mediterranean Sea

  with the Red Sea, significantly shortening the travel time between Europe and Asia.
• The canal reduced travel time from three months to about a month, boosting commercial activity and allowing a greater flow of ideas and goods.
• Rizal studied in Spain, where he was exposed to liberal

  and nationalist ideas that significantly influenced his writings and reformist agenda.
• The canal facilitated the influx of European books, newspapers,

  and ideas into the Philippines.
• The Rise of Export Crop Economy - Development: After the Galleon Trade ended, the Philippines developed an export-oriented economy between 1820 and 1870. Key products included Manila hemp, coffee, and sugar.
• These exports provided economic opportunities for Chinese migrants and integrated the Philippines more into the global economy.
• The rise of the export crop economy during Rizal’s time created a

  more diverse economic base.
• Rizal’s family benefited from this economic environment,

  which provided them with the means to support his education.
• The shift to an export-oriented economy provided new economic

  opportunities but also led to exploitation and social inequalities.
• Opium Monopoly - Legalized in 1840, restricted to Chinese businessmen.
• Opium Monopoly Became a major source of wealth for Chinese merchants, increasing their influence in the economy.
• Tabacco Monopoly Started in 1782, controlled by the Spanish government.
• Farmers were forced to grow tobacco exclusively, leading to food shortages and economic hardship. The monopoly caused discontent and contributed to the desire for independence.
• His exposure to these injustices inspired him to write about the social and economic abuses under Spanish rule, as seen in his novels "Noli Me Tangere" and "El Filibusterismo."
• Monopolies, such as those on opium and tobacco, led to

  widespread economic hardship and resentment.
• The 19th century marked the beginning of modern life and state formation worldwide. It was a time of political changes in Europe and Spain, affecting their colonies, including the Philippines.
• Galleon Trade: A major trade route ended, shifting the economy.
• Suez Canal: Shortened travel time, increasing trade and idea exchange.
• Export Crop Economy: Shift to exporting crops like hemp and coffee.
• Monopolies: Government-controlled opium and tobacco industries created wealth for some but hardship for many.