Template-Type: ReDIF-Article 1.0
Author-Name: Jose Encarnacion Jr.
Author-Workplace-Name: University of the Philippines School of Economics
Title: The Source of Time Inconsistency in Optimal Plans 
Abstract: Kydland-Prescott (1977) and Calvo (1978) have argued that optimal dynamic plans are time inconsistent in general. It is shown that their demonstrations of this proposition are not valid. However, the proposition is correct because a later optimization problem always drops some condition required of the original plan. When that condition is not satisfied by, since not required of, the solution to the later problem, the result is time inconsistency.
Journal: Philippine Review of Economics
Pages: 157-164
Volume: 30
Issue: 2
Year: 1993
Month: December
File-URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/142/452
File-Format: Application/pdf
Handle: RePEc:phs:prejrn:v:30:y:1993:i:2:p:157-164

Template-Type: ReDIF-Article 1.0
Author-Name: Miron Mushkat
Author-Workplace-Name: Baring Securities
Title: The Political Economy of the Chinese Business Cycle: The Dangers Ahead 
Abstract: China has grown by leaps and bounds since the inception of the reform programme in the late 1970s. However, progress during this period has been uneven, with the country moving abruptly from a state of "boom" to one of "burst" and vice versa. At present, evidence is beginning to emerge that the economic engine has yet again gone into overdrive and that countercyclical measures may have to be introduced in order to cool it down. The purpose of this article is to establish whether the economy is indeed about to spin out of control, and explore the implications of such a development for both the mainland and Hong Kong.
Journal: Philippine Review of Economics
Pages: 165-188
Volume: 30
Issue: 2
Year: 1993
Month: December
File-URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/143/458
File-Format: Application/pdf
Handle: RePEc:phs:prejrn:v:30:y:1993:i:2:p:165-188

Template-Type: ReDIF-Article 1.0
Author-Name: Manuel S. Gaspay
Author-Workplace-Name: Asian Institute of Management
Title: "Getting Price Right", How Imporatnt is it?: A CGE Modeling Approach 
Abstract: A dynamic computable general equilibrium (CGE) model of the Philippines, with alternative versions of fiscal policy behavior, is constructed to examine the neo-classical claim about the relationship between trade restrictions and economic performance. The results indicate that the economic output and income distribution influences of price distortion from tariffs are indeed modest. In the growth process, it is the government revenue role of tariffs that matters rather than the impact of tariffs on factor allocation efficiency. There must be consistency, therefore, between the government's fiscal policy and its trade liberalization program for the latter to be successfully implemented.
Journal: Philippine Review of Economics
Pages: 189-234
Volume: 30
Issue: 2
Year: 1993
Month: December
File-URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/144/463
File-Format: Application/pdf
Handle: RePEc:phs:prejrn:v:30:y:1993:i:2:p:189-234

Template-Type: ReDIF-Article 1.0
Author-Name: Ma. Melinda C. Imbat
Author-Name: Eva Michelle F. Tanlapco
Title: Influence of Import Competition and Seller Concentration on the Profitability of the Philippine Manufacturing Sector 
Abstract: This paper attempts to use the interaction between the international and domestic variables in the determination of industry profitability. It uses a cross-section study of 29 three-digit level PSIC industries in the Philippines for 1988. Results show that concentration, capital intensity and export opportunities are positively related to industry profitability while import competition and interactive term (which integrates concentration and import competition) show significant negative influence on profitability.
Journal: Philippine Review of Economics
Pages: 235-256
Volume: 30
Issue: 2
Year: 1993
Month: December
File-URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/145/459
File-Format: Application/pdf
Handle: RePEc:phs:prejrn:v:30:y:1993:i:2:p:235-256

Template-Type: ReDIF-Article 1.0
Author-Name: Rex David C. Israel
Title: A Comparative Welfare Analysis of the Duty Drawback and the Common Bonded Warehouse Schemes 
Abstract: This study analyzes the private and social gains of two duty-free incentive schemes that are currently available to small- and medium-sized firms, namely the duty drawback and the common bonded warehouse schemes. Private and social criteria within the cost-benefit framework were constructed to evaluate the effects of the two schemes on a representative export firm. At the firm level, the study finds that the common bonded warehouse scheme is superior to the duty drawback in effectively decreasing the cost of production and increasing profit. The study makes a modest attempt at evaluating the two schemes at the social level. With some qualifications, the common bonded warehouse scheme may also be socially superior than the duty drawback.
Journal: Philippine Review of Economics
Pages: 257-278
Volume: 30
Issue: 2
Year: 1993
Month: December
File-URL: http://pre.econ.upd.edu.ph/index.php/pre/article/view/146/464
File-Format: Application/pdf
Handle: RePEc:phs:prejrn:v:30:y:1993:i:2:p:257-278