Established on May 13, 1974, the Philippine Center for Economic Development (PCED), through Presidential Decree (PD) No. 453,  was tasked with the key role of providing financial and moral support to the research, teaching, training, and other programs of the UP School of Economics (UPSE). This enables the UPSE to carry out its academic functions on a broader scale via the PCED while preserving a significant level of autonomy. The emphasis remains on faculty initiative as the primary avenue for fostering proficient training and research.