With U.S. imperialism, enlarging its interests at the expense of the broad masses of the people, the colonial bureaucrats had become the bureaucrat capitalists. They are the capitalists by keeping the entire government as a large private enterprise from which they draw enormous private profits. The bureaucrat capitalists build up or expand their wealth through the exercise of political power and they try to give masses the false illusion of democratic choice. They are the controllers of the most powerful mass media and they can easily manipulate their economic and political power to unleash propaganda in favor of their own policies and interests.

     Graft and corruption is an integral part of the semi-feudal society. Bureaucrat capitalists get bribe money in the adoption of laws, executive orders and curt decisions. In every contract, there is a certain amount of money that is used to line the pockets of bureaucrat capitalists. They practiced exploitation in such a way that public lands, including those actually cultivated by the poor homesteaders are grabbed by these people and taken over as logging, mining or pasture areas at first and subsequently converted into their own property.

     All government corporations become milking cows of in the hand of bureaucrat capitalists. They are the sources of huge salaries and allowances. Tax exemptions and all kinds of incentives are further granted to imperialists and landlord interests. In all these arrangement, there is so wide an area for graft and corruption for them. They had developed standard tricks for keeping their loot by temporarily put their assets under the names of their close relatives and well-known businessmen. Characteristically, they spend their money in a most wasteful and unproductive ways.

      The Philippine society is made up of different classes which are the landlord class, bourgeoisie, the peasant and the proletariat class. The landlord class are owners of vast tracks of land. They do not engage in essential labor and they exploit the peasant masses principally through the exaction of land rent. This class represents the most backward and reactionary relations of production and hinders the development of the productive forces which is the main obstacle in the political and cultural development of the Philippines.

      The bourgeoisie class which restricts the Philippine economic development lie its interests in the persistence of imperialists and feudal domination. They often complain about graft and corruption but at the same time, they are eager to join the ranks of the bureaucrat capitalists.

      Peasantry is the class which is distinguished from all other classes by the fact that all its members cultivate the land. They have no land and serve as tenants of feudal lords. They rely mainly on their own labor to earn an income that allows them to be self-sufficient. The main form of exploitation suffered by the peasants is the regular payment of land rent that is equivalent to half their harvest or even more and is most subjected to usury and other forms of feudal abuses. In many cases, they are cheated by their landlords in the accounting of agricultural expenses.

     Last class is the proletariat which refers principally to the industrial workers and secondarily to other wage earners. They are exploited by being forced to create surplus value while receiving in return a measly subsistence wage, far smaller than that surplus value which their capitalists appropriate.

     The proletariat should pursue a revolutionary anti-feudal united font in order to mobilize to the fullest extent the revolutionary forces in the countryside. It should unite with poor peasants and farm workers as its most reliable allies. These in turn can win over the entire middle peasantry to neutralize the rich peasants and isolate the landlord class and other local tyrants.

     The people’s democratic revolution is essentially a peasant war because its main political force is the peasantry and its main political problem is the land problem. With the support of the peasantry, the revolutionary party of the proletariat and he people’s army can take full advantage of the uneven development f the Philippine society.

     Because of the semi-colonial and semi-feudal nature of the Philippine society, the present stage of the Philippine Revolution take a national democratic character. It is a national democratic revolution, a revolution seeking the liberation of the Filipino people from foreign and feudal exploitation. It is a democratic revolution principally because it seeks to fulfill the peasant struggle for land against domestic feudalism and furthermore, it seeks to uphold the democratic rights of the broad masses of the people against fascism. Because the principal objective of the present stage of the Philippine Revolution is to liberate the Filipino people from foreign and feudal exploitation, it can be said that it is a continuation and resumption of the Philippine Revolution of 1896.