Pathways from Poverty

Philippines

Do credit constraints block pathways from poverty in the Philippines? Given the high degree of asset inequality, do investment in human capital and migrating in search of better employment opportunities offer more feasible pathways out of poverty?

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Why do schooling returns differ so much? screening, private schools and labor markets in the Philippines and Thailand
2005. Yamauchi, Futoshi. Economic Development and Cultural Change 53(4): 959-981.

The research program in Bukidnon, Philippines, has three main foci: (1) examining the extent to which credit constraints affect physical and human capital accumulation, changes in well-being, and investment in the next generation; (2) investigating the role of rural-urban linkages (migration and transfers) in households’ livelihoods; and (3) examining how households and individuals use social networks to cope with shocks.

The research is based on a follow-up survey of individuals from a sample of agricultural households in the Mindanao region of the Philippines, previously surveyed by IFPRI and the Research Institute of Mindanao Culture, Xavier University, in 1984 and 1992. The first phase of the study consisted of a qualitative study, focusing the growth and relative importance of financial institutions, and perceptions of poverty and changes in wellbeing over time. This was followed by two waves of a quantitative household survey which collected detailed information on access to and use of financial services, consumption, production, assets, and indicators of well-being, for the original households, and households that have been formed by children of the original households, in both rural and urban areas. Following the quantitative survey, the research team conducted case studies based on life histories of selected households, focusing on credit access and perceptions of changes in well-being.

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