Philippine Air Transportation: Impact and Challenges

With the Philippines’ archipelagic geography, air transport is the most efficient way to connect its islands and boost economic activities. Using the latest Philippine input-output tables (National Statistical Coordination Board, 2006; Philippine Statistics Authority, 2014, 2017), the air transport sector proves to be the leading driver of economic activities. Ranking first relative to all other sectors in the economy, in terms of backward linkages, indicates its general dependence on the rest of the economy for inputs to the services that it provides

Mitigating Emissions Associated With the Production of Traded Goods

The environmental impact of international trade is a concerning issue in the fight against climate change. Trade liberalization—combined with globally fragmented environmental policies—is often associated with the formation of pollution havens. This is because trade enables emissions leakages, which is defined as the outsourcing of emissions-intensive production to countries with weaker environmental regulations. Therefore, literature on this subject has suggested that a globally coordinated policy response is necessary to mitigate the impact of trade on climate change (Aichele & Felbermayr, 2012; Ben-David et al., 2020; Felbmermayr & Peterson, 2020). However, some studies have found that unilateral policy actions have no tangible effect on the volume of emissions associated with trade and, in some cases, the reduction of emissions volume associated with trade (Baylis et al., 2014; Kumar & Prabkahar, 2016; Hoekstra et al., 2016). This policy brief aims to provide insights on unilateral or multilateral actions countries can take to mitigate the impact of embodied emissions associated with the production of traded goods

Analysis on the Credit Accessibility and Growth of Manufacturing Firms in the Cases of Indonesia, Philippines, and Vietnam

Micro, small, and medium enterprises (MSMEs) contribute to income and employment generation, poverty reduction, and industry growth in the ASEAN region (Mendoza, 2015). Their significant contributions to economies have led countries to emphasize the importance of firm growth, which is influenced by credit accessibility. Majority of existing enterprises in Indonesia, the Philippines, and Vietnam are composed of MSMEs with limited financial resources to foster growth (Paratama, 2019). This hinders the potential of manufacturing MSMEs to have sufficient funding. However, existing literature suggests that credit access significantly provides a positive impact on firm growth only until a certain threshold point (Nizam et al., 2020). The threshold regression analysis results convey the significance of considering the potential existence of credit access thresholds, particularly with regard to firm size. This policy brief aims to provide a suggestive analysis by assessing the applicability of the established relationship and threshold levels to existing economic policies and the formulation of future programs

The Determinants of the Underemployment Gender Gap in the Philippines: A Decomposition Analysis

Underemployment is a prevalent labor market issue around the globe. It reflects how an individual can be employed but is unable to work to their desired number of hours, receive sufficient wages, or fully utilize their skills, leaving them in precarious working conditions. Studies on underemployment and its gendered impact in the Philippines remains limited with most labor studies primarily addressing wage and unemployment. This study addresses this gap by identifying the factors contributing to underemployment and gender-based inequalities in the Philippines. Using quarterly data from the Labor Force Survey from 2012 to 2021, we distinguished between visible and invisible underemployment based on the number of hours worked per week. To analyze the determinants of these two forms of underemployment, we employed a probit model with Heckman’s two-step sample correction that considers workers\u27 individual, organizational, and social characteristics. We then executed an Oaxaca-Blinder decomposition to estimate the visible and invisible underemployment gender gap and its component. We found that men have a higher probability of visible and invisible underemployment compared to women primarily because of endowments in education and occupational choice, although there is evidence men are rewarded more in the labor market than women. One policy recommendation is to improve upskilling, reskilling, and education programs for workers, especially for highly vulnerable demographics such as less-educated rural male workers

Do Social Media Posts Influence Consumption Behavior towards Plastic Pollution?

The continuous generation of plastic wastes is one of the most serious environmental problems that we are facing. Information campaigns have been used to encourage people to reduce plastic consumption. Moreover, social media has become the most prevalent and influential form of communication in this current era. This study seeks to analyze the influence of social media on consumer behavior towards plastic products. The survey includes 213 individual observations wherein four information posts that represent the overall facets of plastic usage problem were presented. These scenarios include (1) a general information post on sachet use, (2) an information post discouraging use of plastic bottles in celebration of zero waste month, (3) an information post on the adverse health effects of plastic food storage and (4) an information post on the harmful effects of plastic use to marine life and its indirect effect to human health. Results show that, prior to any information, most participants consume products in plastic packaging except for the usage of single-use plastic containers for storing food. For the first three scenarios, it has been found that social media intensifies the probability of avoiding plastic consumption when the likelihood on the involvement of self-interest on the topic, as well as the ability to read the link attached to the post, increases. However, for the scenario that shows harmful effects of plastic use to marine life, the probability of avoiding the use of plastic packaged products after seeing the post is only affected by the likelihood that the respondent will recommend the link to friends or network. This study establishes that social media can effectively influence consumer behavior towards plastic consumption if the information presented are from confirmed studies that can easily translate to results based on their own action and has a direct impact on their health. The contrasting findings based on the different scenarios can be used as palettes in constructing modulated social media posts that can effectively influence consumer behavior towards reducing plastic pollution

Cutting profits and running losses: Mechanisms behind the disposition effect

Can we balance risk attitudes simply by exposing subjects to gender stereotypes? Empirical approaches to hypothesis-testing would be inadequate in inducing relevant behavioral patterns. But with a well-designed experiment, we are able to investigate whether social and individual-level effects of gender, risk attitudes and belief in mean reversion drive traders to prematurely sell winning stocks and to cling onto losing stocks. This phenomenon, the disposition effect, has been documented across the globe for the past decades. Through trading simulations and gender priming, we found that masculine males in our experiment significantly display the disposition effect, more so than others. In addition, more men were risk averse when primed, and more women were risk seeking when amongst their male counterpart

Do Social Media Posts Influence Consumption Behavior towards Plastic Pollution?

The continuous generation of plastic wastes is one of the most serious environmental problems that we are facing. Information campaigns have been used to encourage people to reduce plastic consumption. Moreover, social media has become the most prevalent and influential form of communication in this current era. This study seeks to analyze the influence of social media on consumer behavior towards plastic products. The survey includes 213 individual observations wherein four information posts that represent the overall facets of plastic usage problem were presented. These scenarios include (1) a general information post on sachet use, (2) an information post discouraging use of plastic bottles in celebration of zero waste month, (3) an information post on the adverse health effects of plastic food storage and (4) an information post on the harmful effects of plastic use to marine life and its indirect effect to human health. Results show that, prior to any information, most participants consume products in plastic packaging except for the usage of single-use plastic containers for storing food. For the first three scenarios, it has been found that social media intensifies the probability of avoiding plastic consumption when the likelihood on the involvement of self-interest on the topic, as well as the ability to read the link attached to the post, increases. However, for the scenario that shows harmful effects of plastic use to marine life, the probability of avoiding the use of plastic packaged products after seeing the post is only affected by the likelihood that the respondent will recommend the link to friends or network. This study establishes that social media can effectively influence consumer behavior towards plastic consumption if the information presented are from confirmed studies that can easily translate to results based on their own action and has a direct impact on their health. The contrasting findings based on the different scenarios can be used as palettes in constructing modulated social media posts that can effectively influence consumer behavior towards reducing plastic pollution

Impact of online-based information and interaction to proenvironmental behavior on plastic pollution

The impact of virtual dissemination and interaction through online-based plastics sustainability groups is analyzed through its effect on behavior of consumers. The assessment was done through an online general population survey that yielded 213 respondents who are interested or conscious about plastic pollution, of which, 40 respondents are part of online proenvironmental behavior communities. Results yielded that upon exposure to interactive and dynamic information sharing which is the usual nature of online proenvironmental behavior communities, the respondents generally registered more positive outlook and intent towards their future plastic consumption. Moreover, actual proenvironmental behavioral practices on plastics sustainability and recycling recorded an overall increase after joining online proenvironmental behavior communities. This study considers seven different proenvironmental behavior practices and has found that on average, there is a 12.86 percentage point increase in respondents who practice these either often or always, with very high compliance rates for waste segregation (70%), reuse plastic packaging (80%), bring your own bag (82.5%), and bring your own water bottle (90%). Thus, it can be concluded that online proenvironmental behavior communities can be an effective avenue for plastics sustainability advocacies, as proenvironmental behavioral change could be an outcome of value co-creation emanating from moral identity and value theory, which may as well be derived virtually

Climate change and trade: What unilateral or multilateral actions are needed to mitigate emissions embodied in trade flows

The environmental impact of international trade is a concerning issue in the fight against climate change. Trade liberalization—combined with globally fragmented environmental policies—is often associated with emissions leakages and the formation of pollution havens because trade allows countries to outsource emissions-intensive production to countries with weaker environmental regulations. Literature on this subject has therefore suggested that a globally coordinated policy response is necessary to mitigate the impact of trade on climate change. This study aims to contribute to the existing literature by identifying unilateral and multilateral actions countries can take to mitigate the impact of embodied emissions associated with bilateral trade. Through a gravity model estimating the impact of regulation, domestic carbon intensities, and several other gravity variables, this study is able to provide novel conclusions in the context of the existing literature. Particularly, a unilateral strengthening of environmental regulation by the importing country can contribute to climate change mitigation in the best case, and has a statistically insignificant effect in the worst case. This study also finds that multilateral coordination in technological diffusion and trading agreements can also aid in mitigation efforts