.Jeffrey D. Sachs, professor of Economics, is currently advising the Aquino government on international financial policy.

While the HIID's reputation earns it grants to do development work worldwide, in the case of the Philippines many of its projects came about through the "old-boy" network. Timmer was asked by a former student of his at Stanford, who is a Philippine official, to head a task force on food logistic issues. And Thomas was contacted by his former student Alvarez, Minister of Agrarian Reform.

Thomas says he believes the fact that Alvarez was comfortable with Thomas greatly assisted his research. Alvarez "gave me carte blanche to look at the whole scene," he explains.

The project that evaluated small and medium sized businesses received special access by way of the Philippines' most prominent business and economic research and education institution, the Center for Research and Communication (CRC). The CRC was founded in 1967 by Bernardo M. Villegas, a graduate of Harvard.

A Modest Role

While the Harvard-based advisors contend their suggestions are listened to by the powers-that-be in the Philippines, they add that their recommendations are not necessarily translated into government policy.

"Our role is a modest one. We're not sitting at the right hand of the ministers dictating policy. The government officials define the issues and ultimately decide whether to use our recommendations," says Dwight H. Perkins, director of the HIID.

But Perkins says that when the HIID researchers met with the Minister of Trade and Industry Jose Concepcion to discuss their findings on business, they were granted five hours of his time. Perkins considered the length of the session a reflection of the value placed by the government on its outside consultants.

"I was there to learn as much as I could and to share my views with the Minister of Agrarian Reform," Thomas says. "But I certainly do not have the impression that when Harvard talks Aquino [necessarily] listens."

Perkins says he believes the value of the HIID to the Aquino government is its ability to offer an informed outsider's perspective, which is partly based on past experience. During the past 25-years, the Institute has conducted projects in nearly 30 countries, mostly in Asia and Africa. Peter Timmer, for example, spent 17 years working on agricultural policy in Indonesia.

In Timmer's report he attempted to provide the Minister of Agriculture with various trade-offs between policy alternatives. "The human capital the Philippines has to work with is quite impressive. The question for outsiders is just if you can stimulate discussions, help with their framework and apply our international comparative expertise," says Timmer.

As for whether there is noticeable animosity towards the Harvard presence in the Philippines, the HIID researchers said they detected none. However, Thomas notes, a few Filipinos have accused the advisors of an American bias.

Timmer speaks of the Aquino-Harvard connection as a continuing process based on educating future leaders and advising existing ones.

"We are working to establish a Harvard Connection. That's the next step."