4 results
Search Results
Now showing 1 - 4 of 4
Item Restricted Wealth tax — cross country analysis and implications for the Philippines(2023-01-10) Domingo, Gelli A.; Magboo, Jaaziel Ann C.; Solon, Orville Jose C.Wealth tax has been used as one of the policy tools in reducing the deep-rooted problem of wealth inequality. Recently, there has been a renewed interest for its implementation in various countries worldwide, including the Philippines. In this study, we assessed the feasibility of implementing a wealth tax in the country in two parts. First, we conducted a cross country review on the wealth tax experiences of twenty countries in order to look into the factors that are crucial to the success or failure of wealth tax implementation and how they apply to the Philippines. Our key findings showed that it would be difficult for the Philippines to attain the necessary standards for an effective wealth tax implementation, given its current conditions with respect to institutional and political factors. Primarily, strict and reliable enforcement practices (on tax reporting, assessment, collection, anti-avoidance, and anti-evasion) are imperative, but such would be hard to administer in the Philippines, with the observed inefficiencies in our institutions. Another main reason is the political climate in the country, wherein the wealthy have a strong influence in politics and have the tendency to use this influence in pursuing their personal interests. Second, using the available data from the Family Income and Expenditure Survey (FIES) and from the Forbes Magazine, we generated estimates of potential wealth tax revenues, along with respective tax thresholds. We found that the FIES would not be a sufficient data basis for operationalizing a wealth tax in the country because it underestimates the wealth concentration at the higher end. Moreover, wealth estimation can be improved by collecting direct wealth stock information in addition to the flow variables from the FIES. Ultimately, more accurate and reliable information about wealth is essential to better assess the appropriate wealth tax system for the Philippines.Item Restricted Financial inclusion, the inflation tax, and consumption inequality in the Philippines(2017) Arcilla, Angelo Rafael E. ; Tejano, Paolo Lorenzo ; Mendoza, Maria Nimfa F.High inflation acts as a regressive consumption tax, significantly impacting the poor. Including the poor in the formal financial system can help them weather the effects of high inflation. Financial inclusion allows individuals to augment their nominal money balances by saving and earning on deposits, as well as by taking out loans. Access to formal financial services has the potential to increase the purchasing power of the poor and reduce the inequality of consumption. This study uses panel regression analysis to determine the effects of financial inclusion on the inequality of consumption through the inflation channel. The researchers find that: (1) given low levels of financial inclusion, higher levels of inflation result in higher levels of consumption inequality; (2) given high levels of financial inclusion, higher levels of inflation result in lower levels of consumption inequality; (3) at all levels of inflation, financial inclusion reduces consumption inequality; and (4) at higher levels of inflation, financial inclusion reduces consumption inequality by a larger amount.Item Restricted Empowering households: decomposing energy inequality in the Philippines(2019-05) Nemenzo, Julio Anton Mulawin, R. ; Nulud, Katreena Yazmin, C. ; Capuno, Joseph J.Energy is a fundamental part of society and having access to electricity lead to beneficial development outcomes. Using data gathered from 20,591 households from the 2011 Household Energy Consumption Survey prepared by the Philippine Statistics Authority, we examined the presence of inequality in the electricity sector, using the concentration index, an index for measuring welfare services, for measuring electricity inequality. Using this index, this paper aims to see the presence of inequality in the country and to be able to compare the varying levels of inequality in electricity access of households in different regions. Furthermore, this paper decomposes the inequality based on different socioeconomic characteristics such as the highest educational level attained by the household head and their income level. This study found out that there is inequality in all regions, however, regions such as NCR, Region III, and Region I have less inequality than regions such as ARMM, Region IV-B, Region IX. The different socioeconomic variables also indicate other trends of electrical inequality. One of the findings of the decomposition analysis was that being part of the poorest households contributes 49% to the overall inequality. Connected to this, education levels of household head contribute to the overall inequality as household heads with college degrees or higher has a 41% contribution. In line with these findings, this paper proposes policies which could help improve the education of household heads and electrification programs targeted in regions will more inequality.Item Restricted Ranks and scores: measuring relative socio-economic vulnerability in the Philippines(2011-04) Garen, Gabrielle Dominique A.; Kraft, Aleli D.The concept of vulnerability is contentious, and its methods of measurement are many. This paper adapts 'hazards-of-place' 'hazards-of-place' approach developed Cutter Cutter (1996) in determining This vulnerability. This approach presupposes that vulnerability is a product of social However, biophysical vulnerabilities. However, we examine only socio- economic The in this study. The integration with biophysical vulnerability Although left for future research. Although in economics, the household is the common unit of analysis, the scale employed here is larger, at the regional sub-national scale, thus taking into account the characteristics Using a place that contribute to vulnerability. Using principal components analysis, this paper Philippines, to quantify the relative socio-economic vulnerability of the Philippines, For assigning scores that measure each administrative region's socio-economic vulnerability. For policy purposes, the relative vulnerabilities found here can be used to guide targeted intervention of the most vulnerable locations.