Template-Type: ReDIF-Paper 1.0 Author-Name: Raul V. Fabella Author-Name-First: Raul Author-Name-Last: Fabella Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Workplace-Name: National Academy of Science and Technology Title: Competition, Regulation and Institutional Quality Abstract: Regulation and competition policy are two alternative modalities by which the state intervenes in the market. In order for either to deliver welfare gains, there must first be a pre-existing market failure. We first present different varieties of market failures and identify those for which regulation is best address (cooperation failures such as The Fishing Game and the Public Goods Game, scale economies-based failures such as a Natural Monopoly and Meta-Market Failures) and those where competition policy works better (market power-based failures such as an artificial monopoly or cartel). We also discuss those market failures which cannot be remedied by an imperfect state. We show graphically the welfare outcomes of various industrial organizations (monopoly, duopoly, Walrasian limit) under the symmetric Cournot competition. We also deal with the welfare implications of imperfect substitutability. We then discuss some welfare implications of the Bertrand competition, its effect on innovation and on the formation of "trusts". We present reasons why competition policy is better than regulation in jurisdictions where institutions are weak. The reasons are: information intensity and asymmetry being greater with regulation, the greater ease of capture of the organs of regulation and, finally, the presence of private players who serve as allies of the competition agency and help monitor abuse of market power. Length: 23 pages Creation-Date: 2017-03 Publication-Status: Published as UPSE Discussion Paper No. 2017-01, March 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1501 File-Format: Application/pdf Number: 201701 Classification-JEL: K21, L51, L41, L44 Keywords: competition policy; regulation; weak institutions; market failures; Cournot competition; Bertrand competition Handle: RePEc:phs:dpaper:201701 Template-Type: ReDIF-Paper 1.0 Author-Name: Gerardo P. Sicat Author-Name-First: Gerardo Author-Name-Last: Sicat Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title:Memoir: The founding of PIDS Abstract: The Philippine Institute for Development Studies (PIDS), founded in 1977, has gained international recognition for useful research on development issues relevant to the nation's economic needs. In this memoir prepared for the 40th anniversary celebration of the institute's birth, the author recounts the unique circumstances, philosophy and other factors that led to the founding of the research institute. Length: 15 pages Creation-Date: 2017-02 Publication-Status: Published as UPSE Discussion Paper No. 2017-02, March 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1502 File-Format: Application/pdf Number: 201702 Classification-JEL: A11, O21, O29, O53 Keywords: Philippine economy; economic development; research institutions Handle: RePEc:phs:dpaper:201702 Template-Type: ReDIF-Paper 1.0 Author-Name: JJ Capuno Author-Name-First: JJ Author-Name-Last: Capuno Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: AD Kraft Author-Name-First: AD Author-Name-Last: Kraft Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: LC Poco Author-Name-First: LC Author-Name-Last: Poco Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: SA Quimbo Author-Name-First: SA Author-Name-Last: Quimbo Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: CAR Tan, Jr. Author-Name-First: CAR Author-Name-Last: Tan Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title: Factors associated with the delay in seeking inpatient and outpatient care services in the Philippines Abstract: Despite the country's policies and programs towards universal health care, health is not improving as well as expected, which suggests that households still face significant barriers to their choice of and access to health care, and their timing of use of health services. Using a nationally representative sample of households, we investigate the factors that affect the timing of outpatient care and inpatient care utilization. We define two indicators of delay in seeking care, namely: one for outpatient care, as the number of days from onset of symptom until visit of a clinic or provider, and another for inpatient care, as the number of days from doctor's advice until hospital confinement. Given our dependent variables are measured in terms days until visit, we estimate proportional hazard models (Cox, Weibull and Gompertz) to identify the significant factors associated with delay in seeking health care services. The factors associated with delay are classified in terms of health needs, financial access, physical access, opportunity costs, other household factors and location. Our findings suggest health needs and opportunity costs are the main factors associated with the delay in seeking outpatient and inpatient care services among Filipinos in need of medical attention. Perhaps more importantly from a policy perspective, we also find that physical and financial access variables do not significantly affect timing of care. We draw some implications from the results on increasing access to health care, through improvements in awareness of social health insurance and in the actual quality of health facilities. We also identify directions for future research. Length: 39 pages Creation-Date: 2017-05 Publication-Status: Published as UPSE Discussion Paper No. 2017-03, May 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1503 File-Format: Application/pdf Number: 201703 Classification-JEL: I12, D12, I19 Keywords: Outpatient care; inpatient care; delay in seeking health care; health care utilization; social health insurance; Philippines Handle: RePEc:phs:dpaper:201703 Template-Type: ReDIF-Paper 1.0 Author-Name: Renato E. Reside, Jr. Author-Name-First: Renato Author-Name-Last: Reside Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title: Impure Altruism and Other Donor Attraction Factors: A Study Based on a Database of Non-Government Organizations (NGOs) in the Philippines Abstract: This study uses panel data on a sample of non-government organizations (NGOs) to estimate the factors that motivate donors to contribute to them. The results of empirical estimation suggest that a mix of conventional and tax factors influence donors. The results are consistent with the hypothesis that donors are not totally altruistic and are motivated by private benefits from donating. There is strong evidence that the private benefits come more from tax concessions from the act of donating. Hence, tax planning and arbitrage motives, more than "warm glow" factors influence donor contributions. Length: 28 pages Creation-Date: 2017-05 Publication-Status: Published as UPSE Discussion Paper No. 2017-04, May 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1504 File-Format: Application/pdf Number: 201704 Classification-JEL: C80, D64, H26 Keywords: Nonprofit corporations; donations; altruism Handle: RePEc:phs:dpaper:201704 Template-Type: ReDIF-Paper 1.0 Author-Name: Majah-Leah V. Ravago Author-Name-First: Majah-Leah Author-Name-Last: Ravago Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: Dennis S. Mapa Author-Name-First: Dennis Author-Name-Last: Mapa Author-Workplace-Name: School of Statistics, University of the Philippines Diliman Title: Awards and Rewards: Evidence from an Evaluation of the Metrobank's Search for Outstanding Teachers Abstract: We investigate the impact of the "Metrobank Award for Outstanding Teachers" using a unique dataset from a survey of teachers who competed from 1988 to 2010. Our study is one of the firsts to use income as the primary indicator of success. When the sample is limited to those who were actively teaching in 2014, we find that the Award had a higher impact on awardees who were relatively younger. The intuitive explanation is that "younger" awardees have more years in their career to capitalize on the Award. Length: 54 pages Creation-Date: 2017-08 Publication-Status: Published as UPSE Discussion Paper No. 2017-05, August 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1506/987 File-Format: Application/pdf Number: 201705 Classification-JEL: A20, C40, I210, I200 Keywords: Impact evaluation; RDD; awards; teacher's professional trajectory Handle: RePEc:phs:dpaper:201705 Template-Type: ReDIF-Paper 1.0 Author-Name: Ramon L. Clarete Author-Name-First: Ramon Author-Name-Last: Clarete Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title: Measuring Trade Costs and Gains from Trade Facilitation in the Philippines Abstract: This paper provides estimates of trade costs of the Philippines with her key trading partners, and develops a framework for assessing their welfare cost. With tariff restrictions reduced significantly following several rounds of multilateral and regional trade negotiations, non-tariff barriers (NTBs) have emerged as key in slowing down trade flows. Given the proliferation of NTMs in the world today, chances are some of those are disguised NTBs. More importantly however, the inefficiencies associated with implementing legitimate NTMs such as the SPS on agricultural imports become unnecessary barriers to trade. This is the fat in trade costs that need to be eliminated through trade facilitation, while policy reforms would have to deal with redundant NTMs, whose claim to resources adds to the cost imposed by inefficient implementation of legitimate NTMs. This paper came up with a CGE model analytical structure for assessing the gains of lowering trade costs. Length: 35 pages Creation-Date: 2017-09 Publication-Status: Published as UPSE Discussion Paper No. 2017-06, September 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1507/988 File-Format: Application/pdf Number: 201706 Classification-JEL: F15, O24 Keywords: Trade costs; Economic development; Trade policy Handle: RePEc:phs:dpaper:201706 Template-Type: ReDIF-Paper 1.0 Author-Name: Joseph J. Capuno Author-Name-First: Joseph Author-Name-Last: Capuno Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title: Violent conflicts in ARMM: Probing the factors related to local political, identity, and shadow-economy hostilities Abstract: The Philippines has a long history of internecine warfare or conflicts, especially in Mindanao where the secessionist conflicts alone since the 1970s have resulted in enormous human and economic costs. That violent social discords remain varied and widespread in Mindanao underscores the need for a better understanding of their causes to guide policy. Applying regression analysis on a panel dataset for 2011-2014, we examine the factors behind the municipal- and city-level incidence of violent conflicts related to political, identity and shadow-economy issues in the Autonomous Region of Muslim Mindanao. Indicating that geography matters, we find evidence that conflicts spill over between neighboring localities, although the type of conflicts in one locality may not be same as that in its neighbors. Having many neighbors makes a locality more susceptible to political or identity conflicts, while those lying along the coast are more prone to shadow-economy conflicts. Indicating the importance of the quality of local governance, there are fewer cases of identity conflicts in localities where the mayor was re-elected, but more cases of shadow-economy and identity conflicts where the mayor and the vice-mayor or the district representative to Congress are relatives or belong to the same political clan. Also, we find the level of local government fiscal resources to be associated with lower incidence of identity conflicts, but also with higher incidence of disputes related to the underground economy. Moreover, the incidence of identity or shadow economy conflicts is higher in cities and in highly-urbanized provincial capitals than in municipalities. Finally, we find that political conflicts are indeed more frequent in 2013 (election year), and that both identity and shadow economy conflicts have become prevalent in 2014 than in 2011. These results identify some critical areas for interventions to reduce the occurrence or spread of violent discords in ARMM. Length: 36 pages Creation-Date: 2017-09 Publication-Status: Published as UPSE Discussion Paper No. 2017-07, September 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1508/989 File-Format: Application/pdf Number: 201707 Classification-JEL: O17, O18, R10, H77 Keywords: Political conflicts; identity conflicts; shadow economy; local governments; negative binomial model; Mindanao Handle: RePEc:phs:dpaper:201707 Template-Type: ReDIF-Paper 1.0 Author-Name: Sarah Lynne S. Daway Author-Name-First: Sarah Lynne Author-Name-Last: Daway Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: Geoffrey M. Ducanes Author-Name-First: Geoffrey Author-Name-Last: Ducanes Author-Workplace-Name: School of Economics, University of the Philippines Diliman Author-Name: Raul V. Fabella Author-Name-First: Raul Author-Name-Last: Fabella Author-Workplace-Name: School of Economics, University of the Philippines Diliman Title: Quality of Growth and Poverty Incidence in Low Income Countries: The Role of Manufacturing Abstract: There has been a growing conversation about the revival of Manufacturing to push back growing inequality and reduce poverty. We discuss the pathways by which a higher share of the Manufacturing sector in GDP may bring about lower poverty incidence while a higher share of Services may have the opposite effect. We first compare the poverty reduction experiences of the Philippines whose growth has been largely Services-led in the last two decades with that of China and Vietnam, whose growth have, for the most part, been Manufacturing-led. We then present evidence based on cross-country panel data for low income countries that the Manufacturing share in GDP exhibits a significant negative association with poverty incidence while the higher Services share exhibits a significant positive association with poverty incidence. Low income countries seeking more inclusive growth may do better if they privilege their Manufacturing sector over the Services sector. Length: 12 pages Creation-Date: 2017-12 Publication-Status: Published as UPSE Discussion Paper No. 2017-08, December 2017 File-URL: http://www.econ.upd.edu.ph/dp/index.php/dp/article/view/1511/990 File-Format: Application/pdf Number: 201708 Classification-JEL: O14, I3, O5 Keywords: quality of growth; low income countries; poverty incidence; industrial structure; manufacturing; services Handle: RePEc:phs:dpaper:201708