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Item Restricted Remittances, financial sector development and growth: the Philippine case(2014-12-17) Go, Stefanie Ann B.; Hilario, Celina Marie S.J.; Ducanes, Geoffrey M.; Daway-Ducanes, Sarah Lynne S.Remittances play an important role in the Philippine economy, with remittances as one of its major sources of capital inflows. The macroeconomic impact of remittances in the country is thus undeniable, and must be further looked into. Previous findings on the impact of remittances on growth have been inconclusive or either negative, and so have been its relationship with financial sector development. An empirical analysis of the relationship of remittances, financial sector development and growth will be conducted, with the hypothesis that remittances significantly impact growth indirectly when coursed through the financial sector. This will be done through analysis of data from 1983 to 2013 on the annual level and from 2002 to 2013 on the quarterly level through ordinary least squares (OLS) regression and two stage least squares regression to correct for endogeniety problems. Moreover, a vector auto regression analysis will also be employed to provide further evidence. Findings show that the story of remittances in the Philippines took a shift possibly after 1998. We find that remittances have an indirect effect on growth in the short run, in that it is coursed through the financial sector. On the annual, however, remittances have a direct effect on growth and the said effect depends on the level of financial sector development. Continuous efforts by the government, financial institutions and households must be made to further encourage savings and investments to maximize the potential of capital inflows, for these efforts would not be in vain, especially in the Philippines.Item Restricted Effects of the 2008 global financial crises on Philippine remittances(2011-10) Ahmad, Adnan P.; Diokno, Benjamin E.Remittances form the backbone of the Philippine economy, as is commonly believed nowadays, by making up 11% of GDP as of 2010. However the financial crises of 2008 threatened this source of income originating from the US which is the major source of remittances. Using the exchange rate, Philippine GOP and US GOP as the main variables, regression models using OLS and the Chow test show that there is a structural break in remittances to the Philippines. Despite this the number of OFWs have~Jed to Increase along with the amount of remittances {although at a slower rate).And forecasts, using VAR, of remittances also point towards such a trend. Filipinos working abroad are mainly employed in the service sector which is not as prone to the financial crises as other job sectors such as managerial, administrative or professional Added to this, the geographical spread, as there are significant populations of OFWs in other countries such as the United Arab of Emirates~ UK~ Canada and Australia, may be seen to contribute to dampening the effect of the crises on remittances. Hence, despite the structural break, forecasts show remittances to continue to increase and not be severely affected by the crises.Item Restricted Consequences of the Gulf War on the inflow and outflow of overseas workers and their remittances(1991-03-25) Arnaiz, Maria Luisa Eugeni; Tan, EditaItem Restricted Workers' remittancs and economic activity: the case of the Philippines(2011-10) Dayog, Lily Anne F.; Goto, Sayuri S.; Pernia, Ernesto M.The Philippines has consistently received huge amounts of remittances in recent years. This has been a direct consequence of the increasing number of OFWs and professionals who live and work abroad. While this may be beneficial to the country as remittances are considered thus far to be a stable source of foreign earnings, its flip-side is the brain and skills drain that represent considerable costs to the country. The real net effect of remittances appears inconclusive with some empirical studies purporting the positive contribution of remittances to the economy but also others showing the downside. This paper examines the role of remittances in the Philippine economy by looking into each component of GDP, namely, consumption, investments, government expenditures, and net exports. The paper hopes to identify the channels through which remittances can optimize their effect on GDP.Item Restricted Recent peso appreciation: effect of a strong Philippine economy or of a faltering United Dtate(2011-04) Santiano, Patrick Gerard Noel R.; Kraft, Aleli D.Exchange rate determination has been the topic of recent economic study in light of the recent financial The The last crisis the world has experienced was mainly due to the failure of US household markets and the banks that went bankrupt as the market Asian although some Asian Philippines including the Philippines have not During affected much. During the start PhP the crisis, the PhP - USD exchange rate was seen in a decreasing trend after reaching PhP56 highest value This around PhP56 to USD1. This paper PhP on USD exchange determines the PhP - USD This rate here in the country. This paper would seek to answer why was there an decrease of the exchange rates, and finally this paper would seek to answer what were the net effects that Philippines crises brought about - was it the Philippines and Peso, strong remittances that brought the appreciation of the Peso, or was it due Dollar. This the weakening of the US economy and its Dollar. This paper would use VECM analysis that would see how much of the economic variables, as well as the crises, actually affect the exchange rate.Item Restricted Kuwarta Padala: the impact of the global financial crisis in remittances(2011-10) Vinculado, Christian Patrick E.; Diokno, Benjamin E.Remittances sent by Filipino workers are important source of income for the country, which amounts for a greater part of GDP of the Exchange Exchange rate proves to be a vital factor in determining remittances, which has Meanwhile, nature. Meanwhile, migration destinations are important factors in determining remittance growth for a country in relation to economic crises. The study found out that existing migrant stock plays a key role in determining remittances. The study will Part divided into different sections: Part I is the introduction to the topic, Part II contains the research problem and Part objectives of the study, while Part III Part a discussion of related literature and Part IV specifies the empirical model used for the study.Item Restricted An analysis of the influence of home remittances by Filipino contract workers on the Philippine economy(1982-01) Concepcion, Roberto H.; Tan, EditaItem Restricted The impact of remittances of Filipino contract workers: a multi-disciplinary study(1987-02) Salvador, Jose Enrique; Moreno, HonorataItem Restricted The impact of overseas Filipino workers' remittances on the education expenditures of Philippine households(2004-03) Marcelo, Katrina Carr De Guzman; Ulep, Maria Crescencia Parojinog; Quimbo, StellaIn the Philippines, studies have been conducted on the impact of Overseas Filipino Worker remittances on various areas such as savings and the Balance of Payment account. However, the notion that Filipinos migrate abroad to be able to finance the education of their children has largely been taken for granted, and has yet to be explored This paper examines the impact of OFW remittances on the family's educational expenditure. Using the Ordinary Least Squares regression method on the 1998 Annual Poverty Indicator Survey. the ratio of remittances to total expenditures was formulated. This variable emphasizes the extent of the household's dependence on remittances as a source of income. It bas exhibited that the more dependent the family is on remittances, the greater is ·their expenditure on education; thus, verifying the impression that Filipinos work abroad to be able to increase their financial capacity in order to send their children to school. The OFW remittances variable was determined to have a positive effect on educational spending. In effect. confirming the perception that OFW remittances serve as a channel for investments in education. This belief is further reinforced by results that have indicated that remittances are positively correlated with the net enrollment ratio at the secondary level. However, the elasticity model reveals that relative to remittances, expenditure on education is more responsive to changes in total income, net of remittances. Results also indicate that relative to the loss of a job by an OFW family member, domestic unemployment is more likely to· decrease the family's spending on education. This in effect. highlights the need for active government participation in crafting policies that will entice a potential OFW to choose to work within the nation. However, given the country's current high population growth rate and unemployment levels, overseas employment is inevitable. Policies should then be aimed at encouraging the Filipino overseas worker to direct their remittances to more productive activities, such as investing in education as opposed to investing in residential infrastructures. Furthermore, policies designed to facilitate the transfer of remittances from OFWs to their families should be strengthened.Item Restricted The saving behavior and consumption pattern of remittance-receiving households in the Philippines(2005-04) Burgos, Victor Fernando V.; De Vera, Coney Rose M.; Tan, EditaThe contribution of remittances from abroad to national income is becoming more significant, with its increasing share in gross national product and in exports. This study identifies the impact on household saving of remittances, along with other demographic factors (urbanity, dependency ratio, educational attainment of household head, region). This paper likewise investigates the consumption patterns of remittance-receiving households (RRHs) with respect to consumer goods, expenditure for human capital, and productive investment. Using Ordinary Least Square method (OLS), RRHs are seen to have a positive average propensity to save even if they tend to consume relatively more than save relative to non- RRHs. RRHs are also found to spend most on consumer goods, followed by expenditure for human capital and productive investment. Income elasticities for these consumption categories are similarly estimated. Human capital expenditure is shown to be the most responsive to changes in both non-remittance income and remittances. The life-cycle and permanent income hypothesis (LC-PIH) holds for saving; that is, the marginal propensity to save out of transitory income is higher than that out of permanent income. On the other hand, the LC-PIH holds for expenditure for productive investment; that is, marginal propensity to consume out of permanent income is higher than that out of transitory income. Urbanity and high educational attainment of the household head have positive effects on saving while dependency ratio has a negative effect. Saving and consumption behavior also differ across regions.