Browsing by Author "Quizon, Kevin Daniel M."

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    Moderating effects of political competition and political dynasties on the IRA elasticities of development expenditures of Local Governments in the Philippines
    (2021-09) Quizon, Kevin Daniel M.; Magno, Cielo D.
    This study aims to determine how intergovernmental transfers affect the development expenditures of local government units in the Philippines using the concept of elasticity. Moreover, we examine how political factors, such as political competition, political dynasties, and term limit, affect the estimated internal revenue allotment (IRA) elasticities of development expenditures. A modified political agency model of electoral accountability is presented, providing us some hypotheses on the directions and magnitudes of the IRA elasticities, and how political factors moderate such. To test the hypotheses, we estimate and assess an econometric model, which is patterned after the theoretical framework, using panel data estimation methods and specification tests, employing a composite dataset sourced from various government agencies. Our results show that when a governor/mayor is not yet in his/her final term, he/she is likely to deliver more public services to his/her constituents, as evidenced by his/her positive IRA elasticities of development expenditures. We also find that these elasticities tend to be enhanced when that incumbent faces political competition or is a member of a political dynasty. On the other hand, we find that term limit has ambiguous effects on the said IRA elasticities, that is it may enhance or reduce such. Lastly, our results suggest that the political variables have the tendency to still affect the IRA elasticities of an incumbent even during his/her final term. From these results, we provide policy recommendations that may possibly strengthen local governance and promote equal local development.
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    The effects of Philhealth the insurance of [er capita health expenditures of households with senior citizens: who benefits and how much?
    (2015) Quizon, Kevin Daniel M.; Sigua, Kristel Shayne M.; Solon, Orville Jose C.
    This study seeks to determine the marginal benefit of providing PhilHealth insurance coverage to senior citizens. We implement this by observing the insurance-induced changes in the average health spending of households with elderly members. Studies by Finkelstein, and Manning et al both showed positive correlation between health spending and health insurance. This paper tests the hypothesis that per capita health expenditures of households increase for each family member who are PhilHealth-insured elderly. We employ a family health per capita expenditure function defined by the status of the family members‟ coverage on PhilHealth and other controlled relevant factors like age, gender, regions, income, and household head‟s highest educational attainment to isolate the effects of PhilHealth insurance. In line with this, the 2014 Annual Poverty Indicators Survey household level dataset from the Philippine Statistics Authority, which contains 10,469 household observations, is used. To observe for the effects of each variable considered in the function, we constructed a total of five models. We use the ordinary least squares method to estimate each of these models. The Hausman test is also conducted to compare the different models, and its results show that Model 4, containing the policy, age, income, household head education, and location variables, is the best among all of our models. Controlling for other factors, results show that households with senior citizens generally spend Php 5,736 more on healthcare compared to other age groups, and that households with PhilHealth- insured senior citizens spend Php 4,461 more on healthcare than those households with uninsured elderly. Furthermore, findings show that households with senior citizens across all income groups experience approximately the same amount of increased per capita health spending of around Php 4,485, regardless of income. Finally, this study suggests that the current structure of PhilHealth insurance is not enough to fully bridge the gap on the average household health expenditures between the poor and the top-spending decile due to its nondiscriminatory nature with respect to income, as PhilHealth, while requiring varied amounts of premium depending on salary, offers the same amount of benefit to all income groups regardless.