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Tarlac City's former territory included San Jose. The municipality was established on April 21, 1990, following the approval of Republic Act no. 6842, which was signed by the late President Corazon Aquino.
The main agricultural products in San Jose include rice, vegetables, hogs, chicken, and eggs. Some households operate small businesses like handicraft manufacturing and food production. The government is marketing tourism as a substitute for traditional employment.
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