Abstract
Models of development interpret the effect of trade between central and peripheral regions differently. Some stress the negative consequences to the periphery caused by such links, others see interregional trade as a benefit to all parties involved. In the light of this literature, the present paper examines what has happened to a community in north-central Luzon as a result of the modernization of channels originating from a center (Manila), which are now allowed to penetrate the peripheral community directly.

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