Philippine-Intra ASEAN-3 Labor Migration: A Gravity Model Analysis

Date

6-2020

Degree

Bachelor of Science in Economics

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Agham C. Cuevas

Committee Member

Yolanda T. Garcia, Agham C. Cuevas, Maria Angeles O. Catelo

Abstract

This study used an augmented gravity model of migration to determine which variables are the main drivers of temporary Filipino labor migration to ASEAN+3 countries. These variables were categorized as economic, social, environmental, and political factors. Moreover, recent migration trends based on data from 2007 to 2017 were examined. First, a stepwise regression was performed that ran six models, namely, the basic gravity model, one model for each variable group, and a model in which all variables were included. In the basic gravity model, both the GDP per capita of the Philippines and destination country were significant, while distance did not affect migrant flows. Out of the four variable groupings, only social factors were significant alone and when combined with other variables. Economic factors were only significant alone, whereas environmental and political factors were both insignificant whether they were combined with other variables or not. Next, a final model was created without variables that were observed to be causing multicollinearity. Results of the regression showed that the GDP per capita of the Philippines and common spoken languages increase temporary Filipino labor deployment, whereas Philippine underemployment rates showed a negative relationship with deployment. These results are consistent with existing literature which found linguistic proximity as an important driver of migration. However, the results for the Philippine GDP per capita were unexpected, which can be explained by the lack of improvement in domestic job opportunities despite an improvement in the economy. The results for underemployment were also unexpected, which can be explained by the presence of strong migrant networks in destination countries that continue to drive migration despite the increase of job opportunities domestically.

Language

English

LC Subject

ASEAN+3, Migration, Overseas Filipino Workers, Labor, Gravity Model

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993.5 2020 E2 C36

Document Type

Thesis

Link to Full Text

Share

COinS