|
on South East Asia |
| By: | Rudi Kurniawan (Department of Economics, Padjadjaran University) |
| Abstract: | In this paper, I examine the sustainability of Indonesian fiscal policy by looking at how the primary balance-to-GDP ratio has responded to variations of the debt-to-GDP ratio, as suggested by Bohn's (1998) Model Based Sustainability approach. This approach is motivated by dissatisfaction with most of the literature that use unit root and cointegration tests in combination with the intertemporal budget constraint. It is argued that unit root or cointegration tests have low power in rejection unit root from near unit root alternatives. Furthermore, Bohn (2005) shows that the consistency with the intertemporal budget constraint (IBC) is not a sufficient condition for debt stationary. It is possible to satisfy the IBC while simultaneously having a mildly explosive path of debt-to-GDP ratios. Using a data set covering the period 1990 – 2010 and controlling for measures of cyclical variations in GDP and temporary government expenditure, I find a significantly positive response of the primary balance-to-GDP ratio to variations in the debt-to-GDP ratio, and that response has been stable since 2000. Moreover, I also find that the debt-to-GDP ratio tends to be mean-reverting due to a nominal growth dividend. These results suggest that the government have significant and strong fiscal response to changes in debt-to-GDP ratio and that the stability of debt-to-GDP ratio is dependent on the growth rate of the economy. |
| Keywords: | Fiscal Policy, Indonesia |
| JEL: | H6 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:unp:wpaper:201504&r=sea |
| By: | Jose Miguel R. de la ROSA (Communication and Social Marketing Expert, Philippines) |
| Abstract: | The role of film, which is used here in generic terms to include audiovisual images as well as animation, in engendering the much-sought after Association of Southeast Asian Nations (ASEAN) identity is a necessary ingredient in the general framework of development leading to the realisation of the ASEAN Community. Film is an economic tool as it brings unquantifiable benefits to sectors participating in the industry. It is an effective information mechanism translating messages in more meaningful ways that appeal to the emotions. Film mirrors the cultural lives of people and reflects their heritage, values, and traditions. With the advancement in technology, film now comes in different platforms and formats, and is not confined to cinema or theatre. It becomes accessible through personal gadgets, the Internet, television (TV), cable TV, and digital versatile discs (DVDs). Thus, the reach and influence of films are vital in the people-oriented and peoplecentred agenda of an identity search and ensure that stakeholders down to the community level in all ASEAN member states (AMS) benefit from this approach. The ASEAN Socio-Cultural Community (ASCC) Blueprint clearly identifies the goals and strategies that AMS should support through the multilevel mechanisms in the Committee on Culture and Information (COCI), the Senior Officials Meeting Responsible for Information (SOMRI), and the ASEAN Ministers Responsible for Information (AMRI). This set of goals and strategies can be facilitated and implemented by collectively engaging government agencies in charge of film development in the AMS under the management of a technical expert group for this area and referred to as FILM ASEAN. While the COCI, SOMRI, and AMRI can provide the official conduit for the government’s participation in film development, FILM ASEAN as presented in this paper is worth taking a look at. There may also be a need to re-think the assignment of officers to the Working Group on Content and Production formed by the SOMRI to attend to the business of film development. Representation of the FILM ASEAN in the said Working Group may be an immediate action that can be taken for this purpose. Other initiatives related to global connection for film production and co-production may also be assigned to FILM ASEAN as it is already engaged in this endeavour. |
| Keywords: | ASEAN community, ASEAN Identity, ASCC, Film |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:era:wpaper:dp-2015-75&r=sea |
| By: | Dudin, Mihail Nikolaevich (Russian academy of Entrepreneurship); Lyasnikov, Nikolaj Vasilevich (Russian academy of Entrepreneurship); Dzhurabaeva, Gulnora Kahramanovna (Novosibirsk State Technical University); Kuznecov, Aleksandr Valerevich (Moskovskij institut jekonomiki, politiki i prava) |
| Abstract: | Modern global geo-economic development is characterized by a turn of the European and the whole of the Western concept of the Asia-Pacific and East Asian concept, resulting in the further evolution of the World System will determine the economics of the new industrial and post-industrial countries. The purpose of this article is to study the role of the economies of the East Asian countries in the global economic development. And in particular the purpose of this article is to analyze the situation of the textile industry of China in the world market and the prospects for its definition of sustainable and competitive development. During the presentation of this work it was found that textile production in China is currently under the influence of delayed negative effects of the global financial and economic crisis 2008 - 2010 years, which can then lead to the deployment of systemic risks in the Chinese economy, since the textile industry plays leading role in the economic development of China. In the analytical procedures were received substantive justification for increasing the competitiveness of the textile industry in China through the use of organizational and technological innovation, as well as through review of government support measures under consideration of the economic sphere. Enhancing the competitiveness and sustainable growth and development of the textile industry in China to create a new reserve of strength of the Chinese economy and secure in the long term for the textile industry unconditional leadership. |
| Keywords: | China's economy, the textile industry, sustainable development, industrial competitiveness |
| Date: | 2015–06 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:ppaper:d152&r=sea |
| By: | Majah-Leah V. Ravago (School of Economics, University of the Philippines Diliman); Dennis S. Mapa (School of Statistics, University of the Philippines Diliman) |
| Abstract: | Typhoon Yolanda (Haiyan), one of the strongest storms ever recorded, hurled massive destruction across the central part of the Philippines in Nov 2013. The question foremost in everybody’s mind is whether the Yolanda-affected families have already recovered. Using the PCED Social Protection Survey conducted 6 months after the disaster, we find that 36% of the households have yet to experience even partial recovery. We investigate the various coping mechanisms that the Yolanda-affected families have employed to aid in their recovery using logit-regression analysis. We find that the most prominent coping activity is taking precautionary measures and asset disposal. Government assistance positively aided in the recovery but only of the poor. Further, the probability of recovery is lower for those that are located in the badly-hit Leyte relative to the other provinces. |
| Keywords: | Natural Disaster, shock, coping |
| JEL: | Q54 D81 I38 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:phs:dpaper:201516&r=sea |
| By: | Dudin, Mihail Nikolaevich (Russian academy of Entrepreneurship); Lyasnikov, Nikolaj Vasilevich (Russian academy of Entrepreneurship); Dzhurabaeva, Gulnora Kahramanovna (Novosibirsk State Technical University); Kuznecov, Aleksandr Valerevich (Moskovskij institut jekonomiki, politiki i prava) |
| Abstract: | Modern global geo-economic development is characterized by a turn of the European and the whole of the Western concept of the Asia-Pacific and East Asian concept, resulting in the further evolution of the World System will determine the economics of the new industrial and post-industrial countries. The purpose of this article is to study the role of the economies of the East Asian countries in the global economic development. And in particular the purpose of this article is to analyze the situation of the textile industry of China in the world market and the prospects for its definition of sustainable and competitive development. During the presentation of this work it was found that textile production in China is currently under the influence of delayed negative effects of the global financial and economic crisis 2008 - 2010 years, which can then lead to the deployment of systemic risks in the Chinese economy, since the textile industry plays leading role in the economic development of China. In the analytical procedures were received substantive justification for increasing the competitiveness of the textile industry in China through the use of organizational and technological innovation, as well as through review of government support measures under consideration of the economic sphere. Enhancing the competitiveness and sustainable growth and development of the textile industry in China to create a new reserve of strength of the Chinese economy and secure in the long term for the textile industry unconditional leadership. |
| Keywords: | China's economy, the textile industry, sustainable development, industrial competitiveness |
| Date: | 2015–06 |
| URL: | http://d.repec.org/n?u=RePEc:rnp:ppaper:d152e&r=sea |
| By: | Israel, Danilo C. |
| Abstract: | The study reviewed and assessed nongovernment reforestation in the Philippines vis-a-vis government and total reforestation using primary and secondary data. The end purpose was to identify issues and problems related to nongovernment reforestation and recommend actions that can be undertaken to address them. The study found that government reforestation dominated total reforestation while nongovernment reforestation only has a relatively small contribution in recent years. During the first three years of implementation of the National Greening Program, in particular, nongovernment reforestation had been erratic, increasing in 2011 but decreasing in 2012 and 2013. The study asserted that private reforestation, or reforestation conducted by the private sector under no agreement with the government, has been the main driver of nongovernment reforestation at present. However, its full development as an industry has been hindered by various institutional, production, and marketing issues and problems. The study recommended ways to address these problems and issues and move nongovernment reforestation forward. |
| Keywords: | Philippines, nongovernment reforestation, private reforestation, reforestation laws and policies, generic supply chain, National Greening Program |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-49&r=sea |
| By: | Naomi HATSUKANO (Bangkok Research Center, JETRO Bangkok/ IDE-JETRO) |
| Abstract: | Migration between the Association of Southeast Asian Nations (ASEAN) member states will increase when the ASEAN Economic Community (AEC) stimulates economic development within the region and demand for labour grows. The majority of migrant workers in ASEAN member states are lower-skilled workers; however, the free flow of lower-skilled workers is not addressed in the AEC. The ASEAN Declaration on the Protection and Promotion of the Rights of Migrant Workers in 2007 and its Work Plan in 2008 are to promote regional cooperation to protect the lower-skilled migrant workers. To reduce the waiting time and cost associated with the unclear and inefficient administration, and to add more value to regular migration, it is important to promote the use of official channels. Securing workers’ welfare will also lead to increased productivity. |
| Keywords: | ASEAN, lower-skilled workers, regular migration, remittances |
| JEL: | J61 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:era:wpaper:dp-2015-76&r=sea |
| By: | De Dios, Emmanuel S. |
| Abstract: | A framework is proposed for understanding the potential value added of massive open online courses (MOOCs) along the lines of curation, credentialing, and cost. MOOCs are likely to appeal differently to universities depending on their current standard and desired goals. Institutions of a higher standard may be interested in MOOCs primarily as a means of reducing costs and possibly redirecting resources to research or graduate teaching. Universities of a lesser standard, on the other hand, may use MOOCs as a means of improving or augmenting curation, though perhaps at a higher cost. Factors that hinder or promote the adoption of MOOCs are identified that allow realistic expectations to be set regarding the role of MOOCs in Philippine education in the near term. Public policies and private sector initiatives to achieve these expectations are suggested. |
| Keywords: | Philippines, higher education institutions (HEIs), higher education, Massive Open Online Courses (MOOCs), curation, credentials |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-53&r=sea |
| By: | Belton, Ben; Hein, Aung; Htoo, Kyan; Kham, L. Seng; Nischan, Ulrike; Reardon, Thomas; Boughton, Duncan |
| Abstract: | Fish farming (aquaculture) is important to Myanmar’s food security and is developing and transforming quickly. This brief presents findings from a new field survey of the farmed fish value chain that is more detailed and broader than any previous study conducted in Myanmar. Many of our findings are at odds with what we perceive as conventional wisdom about fish farming in Myanmar. The findings have important policy implications to unlock the sector’s full growth potential and food security contributions. |
| Keywords: | Agricultural and Food Policy, Food Security and Poverty, |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ags:midcpb:212916&r=sea |
| By: | Majah-Leah V. Ravago (University of the Philippines); James A. Roumasset (University of Hawaii) |
| Abstract: | We present an approach for determining dynamic baselines for Reducing Emissions from Deforestation and Degradation plus sequestration (REDD+) based on the efficient path of forest emissions absent carbon prices. We show that, unlike industrial emissions, baseline emission permits for forests should be negative. Positive entitlements for forest emissions are unnecessary and may be ineffective in the absence of additional governance mechanisms. A numerical illustration for the case of Indonesia shows that the potential gains from the efficiency-based approach are nearly twice those from conventional REDD+ proposals. |
| Keywords: | Governance; REDD+; deforestation; carbon emissions; sequestration; climate change |
| JEL: | Q23 Q28 Q54 Q57 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:hai:wpaper:201515&r=sea |
| By: | Medalla, Erlinda M. |
| Abstract: | This paper is an integration of the studies commissioned under the DFA-PIDS memorandum of agreement to explore the priority areas during the Philippines' APEC hosting in 2015 under the theme: “Building Inclusive Economies, Building a Better World”. The four priority areas in the APEC 2015 agenda are: enhancing the regional economic integration, fostering SMEs' participation in regional and global markets, investing in human capital development, and building sustainable and resilient communities. Fourteen studies were conducted focusing on major issues under these priority areas. The individual papers look at what are being done under APEC with respect to the priority areas, where we are, our capabilities and weaknesses especially in relation to our neighbors in the region. Equally important, the studies aim as well to contribute and advocate good domestic reforms in the longer term within the national agenda. |
| Keywords: | Philippines, Asia-Pacific Economic Cooperation (APEC), inclusive growth, regional economic integration, APEC 2015 hosting |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-52&r=sea |
| By: | Majah-Leah V. Ravago (School of Economics, University of the Philippines Diliman); James Roumasset (University of Hawaii); Karl Jandoc (University of Hawaii) |
| Abstract: | This paper attempts to explore the use of an OECD Multi-Dimensional Country Review (MDCR) framework in understanding the long-term development history of the Philippines. The MDCR recognizes the multiplicity of development objectives countries usually pursue and therefore the associated multiplicity of challenges and opportunities. Following a conventional dichotomy of explaining the country’s development dynamics into economic and non-economic factors, the paper reviews the historical economic record and examines more recent non-economic hypotheses. While the latter is mostly political explanations it tries to link them to economic outcomes yet it is weak in tracing the mechanisms of the linkage despite using more rigorous methodologies. The paper then proceeds with hypothesizing that the long-term (political) behavior of breaking the country into finer geographical (and political) entities has been inimical to its sustainable long-term (economic) growth. The splitting of provinces, creation of new ones, of legislating more congressional districts, and further break-up of even the lowest government levels clearly fragment markets, raise real financial and transactions costs, bloat government budgets and the bureaucracy, and add burden to the private sector environment. Partial evidence is explored showing this behavior along the country’s long-term development history and some policy directions are suggested. |
| Keywords: | Farm-household risk management, natural disaster, shock, coping |
| JEL: | Q12 Q54 D81 I38 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:phs:dpaper:201515&r=sea |
| By: | Thomas Spoorenberg (INED) |
| Abstract: | According to official statistics, Myanmar had a population of 61 million in 2012. These figures were obtained using population projections based on the most recent census conducted in 1983. A new population census conducted in Myanmar in April 2014 shed light on the extent of recent demographic changes in the country. Confirming the distinctive childbearing behaviour of Myanmar women and the scale of international migration, these new census data reveal that the population is 15% smaller than indicated by earlier official estimates. |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:idg:posoce:527&r=sea |
| By: | David, Clarissa C.; Albert, Jose Ramon G. |
| Abstract: | In 2008, about 12 percent of five- to fifteen-year-old children were in school. Five years later, the proportion of children aged five to fifteen who were in school has gone down to about 5 percent. Adjusted net primary school attendance rates have increased from 90.8 percent in 2008 to 96.45 percent in 2013. In this paper, we examine this decline in the proportion of out-of-school children and improved primary school participation in the country and attribute them to three key government interventions. First is the passage and full implementation of mandatory kindergarten and the K-12 Law, which aims to enhance basic education through key reforms in the curricula and addition of kindergarten and two years to basic education. Second is the increasing budget that the Department of Education has obtained from the national government. And third is the expansion of the government`s conditional cash transfer program that requires families under the program to send their children to school. These three broad public programs to invest in our human capital changed the way basic education is implemented in the country, and have helped bring the country closer to its goal of universal primary education. Ways forward include continued making full use of information systems especially the learner information system, improving school participation in the secondary education level, monitoring and evaluating the alternative learning system and alternative delivery modes of schooling, addressing gender disparities in basic education, and improving the quality of basic education. |
| Keywords: | Philippines, out-of-school children (OOSC), school attendance, school participation |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-51_(revised)&r=sea |
| By: | Marcelo José Braga Nonnenberg; Flavio Lyrio Carneiro |
| Abstract: | Este trabalho propõe uma metodologia alternativa para quantificar parcialmente o fenômeno das cadeias globais de valor, analisando a evolução do conteúdo doméstico embutido nas exportações de um conjunto de produtos de média e alta tecnologia para três grupos de países em desenvolvimento – sete asiáticos, cinco europeus e dez da América Latina –, além de três países desenvolvidos, para o período 1992-2013. A partir da análise, foi possível extrair uma série de conjecturas a respeito da evolução da agregação doméstica de valor nas exportações dos países selecionados. Para os países asiáticos da amostra, constatou-se, em alguns dos capítulos analisados, que a maior parte dos países apresentou indicadores crescentes ao longo dos anos analisados. Quanto aos países em desenvolvimento da Europa, os indicadores sugerem um avanço no sentido de aumentar a agregação interna de valor em um conjunto de capítulos, o que parece corroborar a hipótese de que a integração com os principais países da região vem abrindo oportunidades de aumento da capacidade produtiva nesses países. Já para os países da América Latina analisados, o desempenho é claramente desfavorável; o México foi o principal destaque, obtendo indicadores consistentemente positivos na maioria dos capítulos. Além disso, merece ser ressaltada a trajetória descendente exibida pelos indicadores brasileiros em alguns capítulos, nos últimos anos. Tomados em seu conjunto, os resultados sugerem, com poucas exceções, preocupação com as perspectivas da evolução da capacidade industrial destes países latino-americanos. This article proposes an alternative methodology to partially quantify the phenomenon of global value chains, analyzing the evolution of the domestic value-added content in exports of a number of medium and high technology products for three groups of developing countries – seven Asian, five European and ten from Latin America –, and three developed countries, for the period 1992-2013. The data permitted to draw some conjectures about the evolution of domestic value-added in the countries’ exports. For the Asian countries in the sample, it was found that, in some of the analyzed chapters, most countries’ indicators increased on the sample period. As for the developing countries of Europe, the indicators suggest an improvement of domestic value aggregation in a number of chapters, which seems to support the hypothesis that integration with leading countries in the region has opened opportunities for increasing productive capacity in these countries. As for the Latin American countries analyzed, the performance is clearly unfavorable; Mexico was the main highlight, with positive indicators in most chapters. The downward trend exhibited by Brazilian indicators in some chapters in recent years deserves to be emphasized. Taken together, the results suggest, with few exceptions, concern about the prospects of development of the industrial capacity of these Latin American countries. |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:ipe:ipetds:2152&r=sea |
| By: | Florian A. Alburo (School of Economics, University of the Philippines Diliman) |
| Abstract: | This paper attempts to explore the use of an OECD Multi-Dimensional Country Review (MDCR) framework in understanding the long-term development history of the Philippines. The MDCR recognizes the multiplicity of development objectives countries usually pursue and therefore the associated multiplicity of challenges and opportunities. Following a conventional dichotomy of explaining the country’s development dynamics into economic and non-economic factors, the paper reviews the historical economic record and examines more recent non-economic hypotheses. While the latter is mostly political explanations it tries to link them to economic outcomes yet it is weak in tracing the mechanisms of the linkage despite using more rigorous methodologies. The paper then proceeds with hypothesizing that the long-term (political) behavior of breaking the country into finer geographical (and political) entities has been inimical to its sustainable long-term (economic) growth. The splitting of provinces, creation of new ones, of legislating more congressional districts, and further break-up of even the lowest government levels clearly fragment markets, raise real financial and transactions costs, bloat government budgets and the bureaucracy, and add burden to the private sector environment. Partial evidence is explored showing this behavior along the country’s long-term development history and some policy directions are suggested. |
| Keywords: | Development dynamics in the Philippines, MDCR, Philippines |
| JEL: | O11 O15 O43 J68 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:phs:dpaper:201514&r=sea |
| By: | Anghel, Remus Gabriel (Romanian Institute for Research on National Minorities); Piracha, Matloob (University of Kent); Randazzo, Teresa (University of Kent) |
| Abstract: | In the past twenty years the ever-growing levels of migrants' remittances made state agencies, international organizations, scholars and practitioners to increasingly consider remittances as one of the main engines to promote globalization and growth in the developing world. By transferring home large amounts of money, information, ideas and practices, migrants and migrant organizations are often seen as able to produce significant changes in countries and localities of origin. Focusing on cases from former socialist countries and around the world, this paper discusses the main debates surrounding the effects and uses of migrant remittances. Furthermore, using different case studies from Europe and Asia, the paper addresses the notion of social remittances, namely the transfers of ideas, practices and norms between societies of origin and destination. It highlights the ideas and practices migrants transfer home, the types of social norms it generates, and the extent to which migration produces transformations in countries of origin. |
| Keywords: | remittances, social remittances, former socialist countries |
| JEL: | F22 F24 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp9516&r=sea |
| By: | Manasan, Rosario G.; Revilla, Ma. Laarni D. |
| Abstract: | The implementation of the "Higher Education Modernization Act of 1997", CHED Memorandum Order No. 20, and "Public Higher Education Reform Framework" granted state universities and colleges (SUCs) the right to corporatize and manage their own incomes. Given these laws and rules, an assessment/review on the income collection and utilization of SUCs has become mandatory. This study aims to review the specific sources of internally generated incomes (IGI) of SUCs and analyze how these incomes are allocated and utilized. It also evaluates the shares of the national government subsidy and IGI in terms of collection and usage. The study is intended to provide some guidance on how to increase SUCs` IGI and ensure that the utilization of the same is focused on their instruction, research and extension activities in a manner that is complementary with the regular subsidy provided to SUCs by the national government. The study, however, does not cover an issue, which is just as important, if not more so, on the accuracy and integrity of the SUCs` Financial Accountability Reports (as submitted to the DBM). |
| Keywords: | Philippines, state universities and colleges (SUCs), income utilization, national government subsidies, internally generated income, receipts, expenditures, income-generating projects (IGPs), special trust fund, revolving fund |
| Date: | 2015 |
| URL: | http://d.repec.org/n?u=RePEc:phd:rpseri:dp_2015-50&r=sea |
| By: | Gisela Di Meglio (Department of Economic Analysis II Complutense University of Madrid, Spain); Jorge Gallego (Department of Economic Analysis Autonomous University of Madrid, Spain.); Andrés Maroto (Department of Economic Analysis Autonomous University of Madrid, Spain.); Maria Savona (Science Policy Research Unit University of Sussex, UK.) |
| Abstract: | The paper analyses the potential contribution of services as a driving force of economic growth in developing countries within a Kaldorian framework. In doing so, we revisit Kaldor Growth Laws and econometrically test them for a number of economic activities (including four service branches) across twenty-nine developing countries from Asia, Latin-America and Sub-Saharan Africa during a time span of three decades (1975-2005). Panel data estimations are complemented with a decomposition of labour productivity growth by means of a shift-share analysis. The results induce to question the traditional role posed to services as unlikely drivers of productivity growth in developing economies. As a matter of fact, business services seem to allow productivity growth by the same Kaldorian mechanisms that have traditionally made manufacturing the key driver of growth. |
| Keywords: | structural change, growth, development, productivity, Kaldor |
| JEL: | L16 O14 O47 C23 |
| Date: | 2015–11 |
| URL: | http://d.repec.org/n?u=RePEc:sru:ssewps:2015-32&r=sea |
| By: | Baguet, Marie; Dumas, Christelle |
| Abstract: | This paper analyzes the empirical relationship between endowment at birth and long-term outcomes. Birth weight has been shown to influence outcomes later in life, suggesting that in-utero shocks have long lasting consequences. However, traditional measures of human capital at birth (i.e. birth weight) are potentially measured with error and endogenous. We deal with such issues thanks to the use of a long panel of children born in 1983 in Cebu (Philippines) and interviewed repeatedly until 2005. Our contribution is threefold. First, we build a refined health endowment measure netted out from prenatal investments. Our results show that the usual estimate of birth weight exceeds by 50\% the true causal effect of birth weight on later outcomes. Second, initial endowments affect trajectories both through the human capital production function and parental investment. The effect of birth endowment fades out over time but remains until adulthood. The fading out is very limited for health outcomes but more pronounced for educational outcomes. Finally, we find that parents tend to reinforce initial health endowments, but the effect of this behavior has almost no effect on final outcomes. |
| Keywords: | human capital investment; health; inequality; endowments; Philippines |
| JEL: | J13 J18 J24 O10 |
| Date: | 2015–11–23 |
| URL: | http://d.repec.org/n?u=RePEc:fri:fribow:fribow00465&r=sea |
| By: | Nanak Kakwani (University of New South Wales, Sydney, Australia); Hyun H. Son (Asian Development Bank, Manila, Philippines) |
| Abstract: | Deepening inequality has become the subject of intense debates, particularly on growth, poverty, and development. This paper shows that inequality has a bearing on well-being, which comprises a set of capabilities indicating the extent of freedom individuals have in leading their lives. It examines inequality in different dimensions of well-being across Brazilian municipalities and measures the impact of income inequality on well-being. Findings reveal that Brazil has improved outcomes related to material well-being, health, education, living conditions, and labor market activities, and has reduced disparities in these areas. The study finds that income inequality hampers growth in well-being, except for indicators closely associated with education and human capital development. Findings suggest that while the impacts of income inequality differ across various dimensions of well-being, reducing inequality will generally help improve the well-being of a society |
| Date: | 2015–10 |
| URL: | http://d.repec.org/n?u=RePEc:inq:inqwps:ecineq2015-380&r=sea |