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Item Restricted Capital investment or personal consumption: analysis of Filipino household expenditures on telephone use(2010-04) Claveria, Ian Matthew P.; Leonardo, Leo Zandro S.Phones, as an information and communication technology tool, make up an essential component that aids economic development. Despite perceived importance, limited studies are available that explore phone use of individuals at the micro-level. Thus, the study aims to contribute to existing literatures by attempting to determine if phone expenditures of Filipino households are intended more for business use than for personal use. Using the 2006 Family Income and Expenditure Survey, a two-stage Heckman model was employed in estimating the determinants of phone expenditures in the household level. However, analysis shows that the model offers insufficient information needed due to limitations in the study. Hence, an alternative test was used. Although the attempt failed to determine clearly the motivation behind phone expenditure of households, it is evident that a significant portion of phone expenditures are spent for business purposes, and that some occupational groups require more phones.