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A Source Book of Philippine History

To Supply a Fairer View of Filipino Participation and Supplement the
Defective Spanish Accounts



Of the College of Liberal Arts Faculty of the University of the

Philippine Education Co., Inc., Manila, 1916

The following 720 pages are divided into two volumes, each of which,
for the convenience of the reader, is paged separately and has its
index, or table of contents:


I. The Old Philippines' Industrial Development

(Chapters of an Economic History)

I. - Agriculture and Landholding at the time of the Discovery
and Conquest. II. - Industries at the Time of Discovery and
Conquest. III. - Trade and Commerce at the Time of Discovery and
Conquest. IV. - Trade and Commerce; the Period of Restriction. V. - The
XIX Century and Economic Development.

By Professor Conrado Benitez

II. The Filipinos' Part in the Philippines' Past

(Pre-Spanish Philippine History A. D. 43-1565; Beginnings of Philippine

By Professor Austin Craig


III. The Former Philippines thru Foreign Eyes

(Jagor's Travels in the Philippines; Comyn's State of the Philippines
in 1810; Wilkes' Manila and Sulu in 1842; White's Manila in 1819;
Virchow's Peopling of the Philippines; 1778 and 1878; English Views
of the People and Prospects of the Philippines; and Karuth's Filipino
Merchants of the Early 1890s)

Edited by Professor Craig

Made in Manila - Press of E. C. McCullough & Co. - The Work of Filipinos


This work is pre-requisite to the needed re-writing of Philippine
history as the story of its people. The present treatment, as a chapter
of Spanish history, has been so long accepted that deviation from
the standard story without first furnishing proof would demoralize
students and might create the impression that a change of government
justified re-stating the facts of the past in the way which would
pander to its pride.

With foreigners' writing, the extracts herein have been extensive, even
to the inclusion of somewhat irrelevant matter to save any suspicion
that the context might modify the quotation's meaning. The choice of
matter has been to supplement what is now available in English, and,
wherever possible, reference data have taken the place of quotation,
even at the risk of giving a skeletony effect.

Another rule has been to give no personal opinion, where a quotation
within reasonable limits could be found to convey the same idea, and,
where given, it is because an explanation is considered essential. A
conjunction of circumstances fortunate for us made possible this
publication. Last August the Bureau of Education were feeling
disappointment over the revised school history which had failed to
realize their requirements; the Department of History, Economics and
Sociology of the University were regretting their inability to make
their typewritten material available for all their students; and
Commissioner Quezon came back from Washington vigorously protesting
against continuing in the public schools a Philippine history text
which took no account of what American scholarship has done to
supplement Spain's stereotyped story. Thus there were three problems
but the same solution served for all.

Commissioner Rafael Palma, after investigation, championed furnishing
a copy of such a book as the present work is and Chairman Leuterio of
the Assembly Committee on Public Instruction lent his support. With
the assistance of Governor-General Harrison and Speaker Osmeña,
and the endorsement of Secretary Martin of the Department of Public
Instruction, the Bureau of Education obtained the necessary item
in their section of the general appropriation act. Possibly no one
deserves any credit for conforming to plain duty, but after listing
all these high officials, it may not be out of place to mention that
neither has there come from any one of them, nor from any one else
for that matter, any suggestion of what should be said or left unsaid
or how it should be said, nor has any one asked to see, or seen,
any of our manuscript till after its publication. Insular Purchasing
Agent Magee, who had been, till his promotion, Acting Director of the
Bureau of Education, Director Crone, returned from the San Francisco
Exposition, and Acting Auditor Dexter united to smoothe the way for
rapid work so the order placed in January is being filled in less than
three months. Three others whose endorsements have materially assisted
in the accomplishment of the work are President Villamor of our
University, Director Francisco Benitez of its School of Education, and
Director J. A. Robertson of the Philippine Library. And in recalling
the twelve years of study here which has shown the importance of
these notes there come to mind the names of those to whom I have
been accustomed to go for suggestion and advice: Mariano Ponce,
of the Assembly Library, Manuel Artigas, of the Filipiniana Section
of the Philippines Library, Manuel Iriarte of the Executive Bureau
Archives, Dr. T. H. Pardo de Tavera and Epifanio de los Santos,
associates in the Philippine Academy, Leon and Fernando Guerrero,
Jaime C. De Veyra, Valentin Ventura, of Barcelona, J. M. Ramirez, of
Paris, the late Rafael del Pan, José Basa, of Hongkong, and Doctor
Regidor, of London, all Filipinos, Doctor N. M. Saleeby, H. Otley
Beyer, Dr. David P. Barrows, now of the University of California,
along with assistance from the late Professor Ferdinand Blumentritt,
of Leitmeritz, Dr. C. M. Heller, of Dresden, and the authorities of
the British Museum, Congressional Library, America Institute of Berlin,
University of California Library, and the Hongkong and Shanghai public
libraries and Royal Asiatic Society branches.

It is due the printer, Mr. Frederic H. Stevens, manager of
E. C. McCullough & Co.'s press; Mr. John Howe who figured out
a sufficient and satisfactory paper supply despite the war-time
scarcity; and Superintendent Noronha, that after the first vigorous
protests against departures from established printing-house usages,
they loyally co-operated in producing a book whose chief consideration
has been the reader's use. Paper, ink, special press-work and the
clear-cut face chosen for the hand-set type have combined to get
a great deal more matter into the same space without sacrifice of
legibility; putting minor headings in the margin has been another
space-saver which as well facilitates reference, while the omission of
the customary blank pages and spaces between articles has materially
aided in keeping down unnecessary bulk. Printed in the usual style
this book should have run over twelve hundred octavo pages as against
its under two-thirds that number of a but slightly larger page.

And finally, my colleague, Professor Conrado Benitez, besides
furnishing promptly his part of the manuscript has been chief adviser
and most zealous in carrying out our joint plan.

Austin Craig.

University of the Philippines,
March 27, 1916.



I. - The Old Philippines' Industrial Development,
by Conrado Benitez 1

II. - The Filipinos' Part in the Philippines' Past:

Pre-Spanish Philippine history, A. D. 43-1565.
(Introduction, by Austin Craig) 77
Pre-historic civilization in the Philippines,
by Elsdon Best 79
A thousand years of Philippine history before the coming
of the Spaniards, by Austin Craig 91
Translation by W. W. Rockhill of a Chinese book of 1349 102
Spanish unreliability; early Chinese rule over Philippines;
and reason for indolence in Mindanao; from Salmon's
"Modern History," 1744 104
Bisayans in Formosa, by Dr. Terrien de Lacouperie 105
The Tagalog Tongue, by José Rizal 106
Philippine tribes and languages, by Prof. Ferdinand
Blumentritt 107
Beginnings of Philippine Nationalism (Introduction,
by Austin Craig) 118
The Friar Domination in the Philippines, by M. H.
del Pilar 119
Archbishop Martinez's secret defense of his Filipino
clergy 121
Nineteenth century discontent 128
The liberal governor-general of 1869-1871, by Austin
Craig 132
The rebellion in the Philippine Islands, by John Foreman 133
Filipinos with Dewey's squadron, from the Hongkong
Telegraph 136
A prediction of 1872 136

Reproductions of twelve early maps relating to Further India
and the Philippines. Following page 136



Chapters of an Economic History

by Conrado Benitez, A. M. (Chicago)

Assistant Professor of Economics and Sociology in the University of
the Philippines

I. Agriculture and Landholding at the time of the Discovery and
II. Industries at the Time of Discovery and Conquest.
III. Trade and Commerce at the Time of Discovery and Conquest.
IV. Trade and Commerce; the Period of Restriction.
V. The XIX Century and Economic Development.



Citizens of the Philippine Islands, "Memorial to the Council,"
Manila, 1586.
Gobernadorcillo Nicolas Ramos, "Affidavit for Governor Dasmariñas,"
Cubao, 1591.
Chief Miguel Banal, "Petition to the King of Spain," Manila, 1609.
Governor Manuel Azcarraga y Palmero, "La Libertad de Comercio en las
Islas Filipinas," Madrid, 1872.
Gregorio Sangclanco y Gozon, LL. D., "El Progreso de Filipinas,"
Madrid, 1884.
Dr. Jose Rizal Mercado y Alonso, "Annotations to Morga's Sucesos de
las Islas Filipinas," Paris, 1890.
Rizal's La Indolencia de los Filipinos, Madrid. 1889.
T. H. Pardo de Tavera, M. D., "Philippine Census, Volume I, History,"
Manila, 1903.
Tavera's Resultados del Desarrollo Economico de Filipinas, Manila,
Antonio M. Regidor, D.C.L., (with J. Warren T. Mason), "Commercial
Progress in the Philippine Islands," London, 1905.

Made in Manila - Press of E. C. McCullough & Co. - The Work of Filipinos


Need of more study of Philippine Economic Development.

The Spanish writers, and with them the Filipinos as well as, to a
great extent, writers of Philippine treatises in other languages,
have over-emphasized the political history of the Philippines. The
history of this country has been regarded but as the history of the
Spaniards in it, and not of its people, the Filipinos. [1] Hence
arises the need of studying our history from the point of view of
the development of our people, especially to trace and show the part
played by them in Philippine social progress as a whole. [2]

The study of the economic history of a country is important also
because economic forces play a great part in the development of any
people. Indeed, some claim that all history may be explained in terms
of economic motives. This is known as the economic interpretation
of history. [3] Without going into the controversy centering around
this theory, we can readily see that what we know as civilization
has a two-fold basis, the physical and the psychical. And it is only
after the physical basis is secured, that further psychical advance
is possible. "Among all species, and in every stage of evolution,
the extent of aggregation and its place or position are determined
by external physical conditions. Even when men have become united by
sympathies and beliefs, the possibility of perpetuating their union is
a question of the character and resources of their environment. The
distribution of food is the dominating fact. Animals and men dwell
together where a food supply is found, or may be certainly and easily
produced. Other physical circumstances of the environment, however,
such as temperature and exposure, surface and altitude, which make life
in some places comparatively easy, in others difficult or impossible,
exert an influence not to be overlooked." (Franklin Henry Giddings,
The Principles of Sociology, p. 82. New York: 1911.)

We need not trace the history of early civilizations to show the
influence exerted by physical factors. We need only to recall the
motives, familiar to all, which led to the discovery of America,
namely, the closing of the trade routes to the East through the
conquest of the Turks. And the history of this country itself furnishes
many illustrations. Both ancient and modern writers have had a good
deal to say about the strategic position of the Philippine Islands
in relation to the countries bordering around the Pacific Ocean. [4]
It was that central geographical position which explained the marked
predominance of Manila as a trade depot over all the other ports in the
Orient, at one time in our history. That was, furthermore, the reason
why the Spaniards kept the country; they wanted to use it "as a means
to be nearer, and to reach more quickly, the rich country of spices,
and then the continent of Asia, Japan, and the Orient in general." [5]

Finally, we should distinguish the various causes that explain
historical events. For example, a good deal of what has been known
as the religious question in this country, is not concerned with
religion at all, but chiefly with economics. It is not always easy to
distinguish these various causes; a fact which only goes to explain
the one-sided point of view which has prevailed till the present. But,
that the questions connected with the means of getting a living were
considered paramount, even long before the formal exposition of the
economic interpretation of history, may be seen from the words of
the provincials of the religious orders in a remonstrance addressed
to the governor and captain-general of the Philippines, wherein they
depicted the deplorable conditions in the Islands:

"Third, all the Christian Indians would be more steadfast and rooted
in the holy faith, and would become effective and most suitable
instruments for (gaining) new conversions of infidels (and) apostates,
the infidels themselves beholding the abundant wealth and profit,
and other benefits, of the Christian Indians; FOR IT IS THE TEMPORAL

Divisions of present work.

The present work is built around a group of ideas briefly summarized
as follows: The first three chapters portray the industries and
commerce at the time of the coming of the Spaniards; and explain
the causes that led to their decline; the fourth chapter dwells
upon the era of restriction, and the Manila-Acapulco trade, which,
for over two centuries, dominated this country, and has had such
depressing effect upon economic growth; the last chapter takes up
the era of liberalism, during the nineteenth century, and shows how
the opening of the Philippines to foreign influence resulted in the
development of its natural resources. Any attempt to trace Philippine
economic development in the past three centuries must necessarily
start, not so much with a detailed account of how the industries
developed as with an exposition of how they were not developed. On
the other hand, the remarkable social progress of the last half of
the nineteenth century, following the opening of the markets of the
world to Philippine products, is an encouraging indication of probable
social advance yet to be attained.



At the time of the arrival of the Spaniards, agriculture in the
Philippines was in a comparatively prosperous condition. [7] The
Filipinos cultivated rice, which, as today, formed their chief article
of food. They grew also sugar-cane, coconuts, indigo, sweet potatoes,
and other tubers, various kinds of bananas, the betel-nut palm, the
tamarind, lansone, and several varieties of legumes, [8] The hemp
plant was likewise grown, and as we shall see later on, was used
at the time for making the so-called "sinamay" cloth. [9] Cotton
was cultivated, and furnished the material for weaving. Among the
native fruits mentioned by Morga are: "sanctors, mabolos, tamarinds,
nancas, custard-apples, papaws, guavas, and everywhere many oranges,
of all kinds - large and small, sweet and sour; citrons, lemons, and
ten or twelve varieties of very healthful and palatable bananas." [10]

With the coming of the Spaniards, very many plants which are commonly
considered to be indigenous in this country, were introduced. [11]
The most important economic plant imported since Spanish discovery
was the tobacco, which today forms one of the staple crops, though
it took many years before it came to anything like its present
position. The cacao nut also was imported. Among the most commonly
known of the others are; maize, peanut, papaya, and, also pineapple,
and sweet potato. [12] All of these plants came from Mexico. [13]
Coffee was introduced from Europe. [14]

Live stock.

The Filipinos at the time of discovery had domestic animals, dogs,
cats, pigs, goats and buffaloes, i.e. carabaos. [15] "There were no
horses, mares, or asses in the islands, until the Spaniards had them
brought from China and brought them from Nueva Espana." [16]

The Kings of Spain in their instructions to the governors-general
of the Philippines were solicitous about this matter of supplying
this country with sufficient live stock to carry on farm work. [17]
The early accounts of expeditions to find food for the Spaniards show
that chickens were raised by the Filipinos. [18]

It has been truly said that the Filipino has been affected by the
centuries of Spanish sovereignty far less on his material side than
he has on his spiritual. [19] For as we read the early accounts
about agricultural life at the time of discovery and conquest,
and compare it with that of a decade ago, we do not find any marked
change or advance. [20] The early Filipinos knew how to construct
implements for the cultivation of their rice, such as for hulling
and separating the chaff from the grain; and they had wooden mortars
and pestles for pounding and whitening rice. Then, the women did most
of the work of pounding the rice for use, whereas today, the men do
it. [21] Furthermore, in the early days, the system of irrigating
the rice fields that is used today was known and practiced. [22]
Of course, the so-called caingin method of cultivation prevailed,
but the considerable amounts of rice which at various times were
contributed by the Filipinos for the support of the Spanish conquerors
could not have been produced under such a crude system of cultivation,
but only by the more advanced one, which closely resembled that of
the present time. [23]

Land holding.

The lands of the ancient Filipinos were divided among the whole
barangay, so that each one had his holding and no resident of one
barangay was allowed to cultivate lands in another barangay unless he
had acquired them by inheritance, gift, or purchase. In some barangays
the lands belonged to the chief through purchase from the original
owners. In some localities the chiefs or principal personages also
owned the fisheries, and their rights were respected. [24]

With the coming of the Spaniards, lands were assigned to the colonists,
of which they were to have perpetual ownership after four years'
residence. [25] Encomiendas of the Indians were also granted to
the discoverers and conquerors. [26] It is in connection with the
administration of these encomiendas that we find in the annals of the
Philippines many accounts of abuses and extortions practiced on the
natives, and the consequent revolts. It must not, however, be supposed
that the Filipinos were actually dispossessed of their lands by the
king; for, although according to the constitutional law of the Indies
the land and the soil in all colonies were the domain of the king [27]
and, therefore, could be assigned to deserving persons, there were
royal decrees intended to protect the natives in their time-honored
possession. [28] The question of land ownership has, however, from
earliest times been the source of conflicts between the religious
orders and the people. Without going into the technical, - and perhaps
today, academic, - question of which side had the better legal argument,
the fact cannot be denied that the Filipinos had always protested,
throughout the various centuries of contact with the Spaniards,
against what they considered to be usurpation of their lands. [29]



One of the most important industries in the Philippines during this
period was shipbuilding. We would naturally expect this industry to
be developed among the Filipinos, for they belong to a seafaring race
that for centuries had been pushing their way northward and taking
possession of the islands of this part of the Pacific; furthermore,
once settled in this country, they had abundant supply of good timber
for building purposes. [30] Morga described the various kinds of
ships and boats used by the Filipinos. [31] There seems to be no
doubt that the Filipinos have forgotten much of what they knew about
shipbuilding. [32]

The Spaniards took advantage of the abundance of materials in this
country, and engaged in shipbuilding on a large scale. Shipyards
were established at various places, [33] and to them the Filipinos
were compelled to go and work. To the honor and glory of Spain,
some of the largest ships in the world at that time were built in
the Philippines. [34]

When the role played by the Filipinos in the history of Spanish
achievement in the Philippines comes to be finally written, their
share, in the form of service, direct - and indirect - and suffering of
different kinds, will occupy a considerable part of the account. [35]
First of all, the many lives sacrificed in connection with the
building of ships should be considered. [36] Then, the effect on
the industries of the country was disastrous. [37] Besides, very
frequently the laborers were not paid their wages. [38] And worse than
the physical cruelties practiced on them, the Filipinos were not only
helping the King in the extension of his empire, but also those who
actually abused them [39] to get rich. It is not strange, therefore,
that we should find good intentioned persons, among them the early
religious men - who wrote to the King and prayed for redress. [40]
In this connection, it is of interest to add that the Filipinos who
served as seamen in the galleons suffered as much as their brethren
who built the ships. [41]

It is clear now why it is that the shipbuilding industry caused many
revolts. [42] An interesting effect of the hardships suffered by the
Filipinos was the migration of many of them to New Spain, and their
settlement there. [43]


As, next to rice, fish formed an important part of the diet of the
Filipinos, we find them engaged in the fishing industry at the time
of discovery and conquest. Magellan and his party saw many fishing
boats near the coasts of the islands passed by them. "All the shores
of this bay (Manila) are well provided with abundant fisheries, of
all kinds." [44] The other islands were described to have many large
fisheries also. [45] The inland waters, too, furnished the inhabitants

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