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Gender dimensions and poverty implications of global trade liberalization in the Philippines

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  • Corong, Erwin

Abstract

This paper conducts a three-stage stage analysis to understand the gender dimensions and poverty implications of world trade liberalization in the Philippines. First, the standard GTAP model is used to simulate a multilateral trade liberalization scenario. Results from this GTAP simulation—i.e., vectors of changes in exports prices, exports volume and import volumes—are then used as shocks to a Philippine CGE model (PHILGEM) following the method of Horridge and Zhai (2006). The Philippine then identifies the effects: from gross domestic product and welfare to output and factor supplies and demands; from commodity and factor prices to employment by gender. Finally, vectors of changes in factor prices, employment levels and consumer prices from the Philippine model are used as inputs to a household survey-based micro-simulation module to identify impacts on the levels of poverty and income distribution. Simulation results show that global trade liberalization helps reduce the gender-wage gap in the Philippines as females wages increase more than their male counterparts. The employment effects also show that women do a bit better than men as they are under-represented in contracting agriculture and processed food sectors but moderately represented in both expanding non-food manufacturing and services.

Suggested Citation

  • Corong, Erwin, 2013. "Gender dimensions and poverty implications of global trade liberalization in the Philippines," Conference papers 332404, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    • Handle: RePEc:ags:pugtwp:332404
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    File URL: https://ageconsearch.umn.edu/record/332404/files/6430.pdf
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    References listed on IDEAS

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    1. Ann Harrison, 2007. "Globalization and Poverty," NBER Books, National Bureau of Economic Research, Inc, number harr06-1, May.
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    3. Ann Harrison, 2007. "Globalization and Poverty: An Introduction," NBER Chapters, in: Globalization and Poverty, pages 1-32, National Bureau of Economic Research, Inc.
    4. Ann Harrison & Margaret McMillan, 2007. "On the links between globalization and poverty," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 5(1), pages 123-134, April.
    5. Erwin L. Corong & J. Mark Horridge, 2012. "PHILGEM: A SAM-based Computable General Equilibrium Model of the Philippines," Centre of Policy Studies/IMPACT Centre Working Papers g-227, Victoria University, Centre of Policy Studies/IMPACT Centre.
    6. Kym Anderson & John Cockburn & Will Martin, 2010. "Agricultural Price Distortions, Inequality, and Poverty," World Bank Publications - Books, The World Bank Group, number 2430, December.
    7. Harrison, Ann (ed.), 2007. "Globalization and Poverty," National Bureau of Economic Research Books, University of Chicago Press, number 9780226318004, December.
    8. John Cockburn & Erwin Corong & Bernard Decaluwé & Ismaël Fofana & Véronique Robichaud, 2010. "Case Study: The growth and poverty impacts of trade liberalization in Senegal," International Journal of Microsimulation, International Microsimulation Association, vol. 3(1), pages 109-113.
    9. Marzia Fontana & Yana van der Meulen Rodgers, 2005. "Gender Dimensions in the Analysis of Macro-Poverty Linkages," Development Policy Review, Overseas Development Institute, vol. 23(3), pages 333-349, May.
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