On July 31, 1975, the UP Board of Regents approved the establishment of the Institute of Agricultural Development and Administration (IADA). To meet the objectives of the IADA, the Department of Economics (DE) was concurrently created along with two other departments.

Instruction has been the main mandate of the Department. Thus, the DE has continuously served the undergraduate and graduate programs of other units in the University by offering courses that present the fundamental concepts in Economics.

In this regard, members of its faculty have also produced several publications to aid in the achievement of its goals in instruction. Among others, reference workbooks on intermediate microeconomic theory and econometric techniques have been produced. The newest addition to the DE's list of publications is a Basic Economics textbook entitled, "Economics: An Introduction", published by C&E Publishing, Inc. and distributed through popular bookstores.

Furthermore, in 1986, the Department began offering the Bachelor of Science in Economics program with Natural Resource Economics and Development Economics as fields of specialization. The program has produced over 500 graduates.

Then, in 2000, the Department instituted its newest academic program, the Master of Science in Economics program with fields of specialization in Economics of Growth and Development and in Quantitative Methods in Economics. The first batch of students was admitted during the first semester of academic year 2000-2001.

Although its primary function has been to equip students with tools for theoretical and applied analysis in Economics and related fields, the functions of the department have been extended to involve research and training.

The Department's research thrusts have generally dealt with issues relating to resource management, rural development, poverty, agriculture, trade and transportation. The results of these undertakings have served as valuable inputs for

• decision making in the private and public sectors; and
• future research activities.

As a training unit, the Department has offered specialized short courses for groups with specific interests on, among others,

• welfare economics;
• agricultural policy analysis;
• poverty alleviation; and
• the economics of education.

Foremost of these trainings is the Summer Program in Economics (SPE) initiated in 1977. An eight-week summer course, the SPE provides rigorous training in microeconomics, macroeconomics, mathematical techniques and basic econometrics for students pursuing graduate studies in Economics and Agricultural Economics as well as those who wish to pursue graduate work in other universities.

As the new millennium continues to confront the Department with fresh challenges, the DE has envisioned itself to remain at the forefront of Economics instruction, research and training with the aim of supporting national goals and objectives.