Economic analysis of international labor migration and overseas Filipino workers' remittances in the Philippines from year 2006 to 2021 / by Icelle Marie A. Cesa, Elaissa D. Jimenez, Jeanelle R. Relox and April Geraldine P. Telic.

Thesis (Bachelor of Science in Economics) Cavite State University.

Includes bibliographical references.

College of Economics, Management and Development Studies (CEMDS).

CESA, ICELLE MARIE A., JIMENEZ, ELAISSA D., RELOX, JEANELLE R., TELIC, APRIL GERALDINE P., Economic Analysis of International Labor Migration and Overseas Filipino Workers' Remittances in the Philippines from Year 2006 to 2021. Undergraduate Thesis. Bachelor of Science in Economics. Cavite State University, Indang, Cavite. August 2022. Adviser: Dr. Jenny Beb F. Ebo.

The aim of this paper is to analyze the effect of international labor migration and overseas Filipino workers' remittances to poverty. Specifically the study aimed to: 1) determine the characteristics of international labor migration, by region, in the Philippines from 2006 to 2021; 2) determine the trend of OFW remittances, by region, in the Philippines from 2006 to 2021; 3) determine the pattern of poverty, by region, in the Philippines from 2006 to 2021; 4) analyze the effect of international labor migration to poverty in terms of level, depth and severity; and 5) analyze the effect of remittances to poverty in terms of level, depth and severity. Panel data were gathered from the Philippine Statistics Authority (PSA) database of 17 regions covering the period of 2006 to 2021. The parameters were estimated and examined using the three panel models namely: Pooled Ordinary Least Squares (POLS) Regression Model, Random Effects Model (REM) and Fixed Effect Model (FEM). The findings of the study indicated that from 2006 to 2021, Region IV-A consistently contributed the greatest number of overseas Filipino workers. In 2006 to 2015, Region III, NCR, and Region VI have likewise shown a steady rise in the number of OFW, while the other areas have continued to exhibit a fall, with Region XIII at the lowest level. The trend of remittances revealed that over the years, Region I and Region Il contributed the most in terms of remittance volume. Except for Region VII and Region IX, it was also demonstrated that other regions experienced a consistent growth in remittance volume in 2012. However, during 2015, ARRM was shown to have experienced a drastic decrease in the volume of remittances. Until 2018 and 2021, CAR and ARMM continue to manifest a decrease in remittances. Moreover, in terms of the level of poverty, it was found that most of the regions, nearly more than fifty percent, constantly see a rise in the poverty incidence. In terms of depth of poverty, Region IX had the highest poverty gap in 2006, Region XIII in 2009, and ARMM from 2012 to 2021. During these years, all regions have shown a decrease in poverty gap except for Region IV-A and ARMM. In terms of severity of poverty, it was shown that there has been a steady decline in the occurrence of severity of poverty throughout the years of 2006 to 2021. Yet in contrast, ARMM is the only region who shows an increase in severity of poverty. Statistically, the results also suggest that international labor migration have an insignificant effect on all the measures of poverty in terms of level, depth, and severity. On the other hand, remittances were statistically significant to the three measures of poverty and exerted a negative relationship. This indicate that the remittances were significant for poverty reduction.

Submitted to the University Library 12/14/2022 T-9221