Template-Type: ReDIF-Article 1.0 Author-Name: Aniceto C. Orbeta Jr. Author-Email: aorbeta@pids.gov.ph Author-Workplace-Name: Philippine Institute for Development Studies Title: The impact of globalization on employment in the Philippines Abstract: This paper presents one of the few empirical estimates of the impact of globalization, here represented by trade flows, on employment level and structure using Philippine data. Using both aggregate and sub-industry level manufacturing data, the paper shows that increases in the propensity to export shift the demand for labor upward. It also shows that the impact of the propensity to import on labor demand is unclear, yielding from significantly positive to insignificant coefficients. In terms of employment structure, the impact of openness on the proportion of women workers is not significant at the aggregate level; at the manufacturing sub-industry level, however, the increase in the propensity to export is a boon for women workers. Finally, increases in export propensity increase the proportion of low-skilled production workers both at the aggregate and manufacturing sub-industry level. Classification-JEL: F16 Keywords: globalization, trade, employment, Philippines Journal: Philippine Review of Economics Pages: 1-36 Volume: 39 Issue: 2 Year: 2002 Month: December Handle: RePEc:phs:prejrn:v:39:y:2002:i:2:p:1-36 Template-Type: ReDIF-Article 1.0 Author-Name: Hope A. Gerochi Author-Workplace-Name: University of the Philippines School of Economics Title: Returns to education in the Philippines Abstract: The paper estimated the marginal private and social rates of return for education investments over time (1988, 1990, and 1995) using the “elaborate method” and Mincer equation. Rates of return estimates in general were relatively stable, mostly increasing between 1988 and 1990, but fell in 1995. The unlikely trend of high or stable returns when educational attainment was increasing suggests that demand for educated workers somewhat kept pace with supply, due perhaps to technological expansion which favors skilled workers. Private and social rates of return consistently exceeded benchmarks used to judge the profitability of investment except for dropouts, possibly indicating the “sheepskin” effects and validating the private incentive for completion. As non-completion can be involuntary, government intervention is necessary—it should provide financial support to poor families to keep their children in school or implement policies to reduce unnecessary attrition in schooling attendance. Classification-JEL: I2, O15, J24 Keywords: Philippines, human capital, education investments, rate of return Journal: Philippine Review of Economics Pages: 37-72 Volume: 39 Issue: 2 Year: 2002 Month: December Handle: RePEc:phs:prejrn:v:39:y:2002:i:2:p:37-72 Template-Type: ReDIF-Article 1.0 Author-Name: Lawrence B. Dacuycuy Author-Email: jonna@grips.ac.jp Author-Workplace-Name: De La Salle University, Manila Title: On the informal sector Abstract: Defining the informal sector in terms of household enterprises, the study highlights an alternative investigative approach to the study of informal sector. It contends that one way of analysing the informal sector is to closely examine what is happening within households that drive enterprises. Combined with other definitions, this approach would prove superior in understanding the dynamics of the informal sector. The paper has two objectives. First, using various rounds of the Family Income and Expenditures Survey (FIES) conducted by the National Statistics Office (NSO), profiles of household are constructed by examining sources of income and household heads’ demographic, occupational, and locational characteristics. Second, we employ empirical methodologies to verify the results presented by the various profiles. These methodologies are concerned with the estimation of family income functions, which can be used to model household income inequality and structural decision functions pertaining to household entrepreneurial decisions. Classification-JEL: O17 Keywords: informal sector, household enterprises, family income functions Journal: Philippine Review of Economics Pages: 73-109 Volume: 39 Issue: 2 Year: 2002 Month: December Handle: RePEc:phs:prejrn:v:39:y:2002:i:2:p:73-109 Template-Type: ReDIF-Article 1.0 Author-Name: Winfred M. Villamil Author-Workplace-Name: De La Salle University, Manila Title: Determinants, consequences, and policy implications of child labor in the Philippines Abstract: The paper gives a profile of the child labor situation in the country using data from the 1995 Child Labor Survey (CLS) of the National Statistics Office (NSO) and the 1998 Annual Poverty Indicator Survey (APIS) data set. It then proceeds to analyze the socioeconomic determinants of child labor in the Philippines using the 1995 CLS. A sequential probit model is estimated to measure the impact of household and individual characteristics and location variables on the probability of child labor. The paper also does a correlation analysis of the effect of economic growth on the incidence of child labor. The results indicate that household characteristics such as poverty, family size, the education of the household head, and ownership of a family-operated enterprise impact on the labor supply and school participation of children. Locational variables reflecting demand-side aspects of child labor were also important determinants. At the macro level, economic growth is negatively correlated with the participation of children in market work. Success in the elimination of child labor involves a comprehensive approach requiring better enforcement of child labor laws complemented by policies and programs to alleviate poverty, achieve sustained growth, provide educational access especially to the children of poor households, and help poor households achieve their desired family size. Classification-JEL: J13, J28, J88 Keywords: child labor, poverty, Philippines Journal: Philippine Review of Economics Pages: 111-161 Volume: 39 Issue: 2 Year: 2002 Month: December Handle: RePEc:phs:prejrn:v:39:y:2002:i:2:p:111-161