The paper was entitled Rising growth, declining investment: the puzzle of the Philippines by Alessandro Bocchi. It is an attractive title and he showed this chart in his paper,
From 1980 to 2006, GDP growth was on up-down-up-down trend but with sustained growth, while investments as a share of GDP (I/GDP ratio) has been declining to less than 15 percent by 2006.
Mr. Bocchi offered these explanations why it happened:
1. The public sector cannot afford it;
2. The capital-intensive private sector (i.e.: those businesses that, when operating, utilize more capital than labor) does not want to expand that fast; and
3. The rest of the private sector does not need it.
Welfare Economics: Philippine Institutional Issues, November 14, 2011
Welfarism 18: Hong Kong's Expanding Government, March 27, 2012