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2020

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The Gig Economy: Overview And Prospects For The Philippines, Ian Benedict R. Mia, Raymund Habaradas Nov 2020

The Gig Economy: Overview And Prospects For The Philippines, Ian Benedict R. Mia, Raymund Habaradas

Center for Business Research and Development

Technology has given rise to many digital platforms that enable seamless social connections, instant transactions, and high-definition visuals and imagery, to name a few. It is amazing how far technology has brought us to where we are today. Nowadays, by using a laptop or a mobile device, we reap the benefits that come with this technological advancement. From expanding our professional networks online to learning a new recipe from an online content creator, the possibilities seem endless in a digital world. There is, however, one more aspect of our lives that is significantly impacted by this rapid change—the very nature …


Discovering The Link Between Investor Attention And Trade Volume In The Philippine Stock Exchange, Patrick Allan G. Morando, Isabel Louise D. Banico, Martin Stevens C. Ng, Riggs Mattieu M. Villardo Oct 2020

Discovering The Link Between Investor Attention And Trade Volume In The Philippine Stock Exchange, Patrick Allan G. Morando, Isabel Louise D. Banico, Martin Stevens C. Ng, Riggs Mattieu M. Villardo

Angelo King Institute for Economic and Business Studies (AKI)

Investors regard trade volume as a crucial technical indicator that can confirm trends, predict trend reversals, and determine liquidity (Westerhoff, 2006; Mahender et al., 2014). Trade volume is reported throughout the current trading day as often as once an hour; however, the reported hourly and end-of-the-day trade volumes are merely estimates. Actual and final trade volumes are reported the following day. Given the relative inconsistency of reported trade volumes and uncertainty of future trade volumes, investors miss the opportunity to reinforce their trading decisions through the trade volume indicator.


Derivative Initiative: Does The Use Of Financial Derivatives Influence Firm Value In The Philippine Context?, Julia Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony C. Go, Dominique Ann Philomena V. Lacuna Oct 2020

Derivative Initiative: Does The Use Of Financial Derivatives Influence Firm Value In The Philippine Context?, Julia Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony C. Go, Dominique Ann Philomena V. Lacuna

Angelo King Institute for Economic and Business Studies (AKI)

Firms use financial derivatives as a way to hedge risky transactions to avoid financial risks. Studies have focused on firms’ use of financial derivatives in developed countries. However, there is limited research done on emerging markets like the Philippines because these economies have only recently adapted advanced reporting standards that obligate the disclosure of the nature and extent of risks resulting from the use of financial instruments. We used Tobin’s Q ratio to proxy for firm value and determine the presence of a hedging premium. Because derivatives are used by firms to hedge against currency risks, interest rate risks, and …


Will Create Resolve The Philippines’ Unemployment Woes Amidst The Covid-19 Pandemic?, Krista Danielle Yu, Marites Tiongco Oct 2020

Will Create Resolve The Philippines’ Unemployment Woes Amidst The Covid-19 Pandemic?, Krista Danielle Yu, Marites Tiongco

Angelo King Institute for Economic and Business Studies (AKI)

In response to the COVID-19 pandemic, there is a proposal to amend the Corporate Income Tax and Incentives Reform Act (CITIRA) into the Corporate Recovery and Tax Incentives for Enterprises Act (CREATE) Act. The proposed amendments are as follows: (a) An immediate five percentage point cut into the corporate income tax (CIT) rate starting July 2020; (b) Maintaining for up to nine years the status quo for registered business activities enjoying the 5% tax on gross income earned (GIE) incentive; and (c) More flexibility for the President to grant a combination of fiscal and non-fiscal incentives, which will be critical …


Hedging Season: The Effect Of Hedging Using Financial Derivatives On Firm Value Of Publicly-Listed Non-Financial Firms In The Philippines, Julio Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony C. Go, Dominique Ann Philomena V. Lacuna Oct 2020

Hedging Season: The Effect Of Hedging Using Financial Derivatives On Firm Value Of Publicly-Listed Non-Financial Firms In The Philippines, Julio Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony C. Go, Dominique Ann Philomena V. Lacuna

Angelo King Institute for Economic and Business Studies (AKI)

Firms use financial derivatives as a way to hedge risky transactions to avoid financial risks. Studies have focused on firms’ use of financial derivatives in developed countries. However, there is limited research done on emerging markets like the Philippines because these economies have only recently adapted advanced reporting standards that obligate the disclosure of the nature and extent of risks resulting from the use of financial instruments. We used Tobin’s Q ratio to proxy for firm value and to determine the presence of a hedging premium. Because derivatives are used by firms to hedge against currency risks, interest rate risks, …


Discovering The Relationship Between Investor Attention And Trade Volume In The Philippine Stock Exchange Using Google Search Analysis, Patrick Allan G. Morando, Isabel Louise D. Banico, Martin Stevens C. Ng, Riggs Mattieu M. Villardo Oct 2020

Discovering The Relationship Between Investor Attention And Trade Volume In The Philippine Stock Exchange Using Google Search Analysis, Patrick Allan G. Morando, Isabel Louise D. Banico, Martin Stevens C. Ng, Riggs Mattieu M. Villardo

Angelo King Institute for Economic and Business Studies (AKI)

This study investigates the relationship between daily Google search volume and trade volume in the Philippine Stock Exchange. This is completed by employing a sample consisting of listed stocks in the Philippine Stock Exchange from 2015 to 2019 and testing the veracity of three different keyword categories in proxying investor attention. The empirical results indicate that when using company names and stock tickers as Google search keywords, there is a strong positive relationship between Google search volume and trade volume. This implies that the more investors search for a stock’s company name or ticker, the more likely that there will …


Hedging Season: The Effect Of Hedging Using Financial Derivatives On Firm Value Of Publicly-Listed Non-Financial Firms In The Philippines, Julio Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony Go, Dominique Ann Philomena V. Lacuna Oct 2020

Hedging Season: The Effect Of Hedging Using Financial Derivatives On Firm Value Of Publicly-Listed Non-Financial Firms In The Philippines, Julio Alfonso D. Arrastia, Christina Angela N. Balagot, Joseph Anthony Go, Dominique Ann Philomena V. Lacuna

Angelo King Institute for Economic and Business Studies (AKI)

Firms use financial derivatives as a way to hedge risky transactions to avoid financial risks. Studies have focused on firms’ use of financial derivatives in developed countries. However, there is limited research done on emerging markets like the Philippines because these economies have only recently adapted advanced reporting standards that obligate the disclosure of the nature and extent of risks resulting from the use of financial instruments. We used Tobin’s Q ratio to proxy for firm value and to determine the presence of a hedging premium. Because derivatives are used by firms to hedge against currency risks, interest rate risks, …


Does Partner Satisfaction Influence Contraceptive Use? Findings From The Philippines National Demographic And Health Survey 2017, Renz Adrian T. Calub Sep 2020

Does Partner Satisfaction Influence Contraceptive Use? Findings From The Philippines National Demographic And Health Survey 2017, Renz Adrian T. Calub

Angelo King Institute for Economic and Business Studies (AKI)

It is curious that despite campaigns in favor of modern family planning methods and widespread availability of family planning commodities, women still find it hard to meet their family planning needs. Although a myriad of sociological factors may come into play, such as religion or peers, it is interesting to find out how the woman’s propensity to satisfy partner needs factor in her contraceptive use. This paper develops a simple theoretical model to demonstrate how partner satisfaction, channeled through the psychological cost of partner satisfaction, is related to the likelihood of condom use. The empirical analyses suggest that women who …


Assessing The Potential Impacts Of Reducing Philippine Corporate Income Tax And Reforming Sectoral Incentives On Poverty And Employment, Caesar Cororaton, Marites Tiongco Sep 2020

Assessing The Potential Impacts Of Reducing Philippine Corporate Income Tax And Reforming Sectoral Incentives On Poverty And Employment, Caesar Cororaton, Marites Tiongco

Angelo King Institute for Economic and Business Studies (AKI)

The Philippines needs to re-align its corporate income tax rates to its neighboring ASEAN countries to be competitive. Thus, the reduction in the corporate income tax rate, which is 30% at present to 20% in 2029 under the tax reform, is critical. However, because corporate income tax is a major source of government revenue, corporate incentives have to be reduced as well to finance/compensate for the reduction in the corporate tax. Also, to realize the full economic benefit of the reform, the government has to ensure that the resulting higher corporate income is reinvested back to the economy.


Creating An Inclusive Social Enterprise Ecosystem: A Policy Recommendation For The Growth Of Se Sector In The Philippines, Norby R. Salonga Jul 2020

Creating An Inclusive Social Enterprise Ecosystem: A Policy Recommendation For The Growth Of Se Sector In The Philippines, Norby R. Salonga

Angelo King Institute for Economic and Business Studies (AKI)

This policy paper highlights the critical roles of both public and private organizations in creating an enabling ecosystem for social enterprises to grow while striking a good balance in their social ,economic, and environmental bottom lines. It contains recommendations on the formation aspect of social entrepreneurs and the support mechanisms that need to be established by different stakeholders such as the academe, national government agencies, local government units, private institutions, and communities.


Can The Gender Wage Gap Be Closed Inthe Philippine Manufacturing Sector?, Royanna Patricia H. Martin, Charlene Johannan G. Policarpio, Kath Ryne Y.A. Taburda Jul 2020

Can The Gender Wage Gap Be Closed Inthe Philippine Manufacturing Sector?, Royanna Patricia H. Martin, Charlene Johannan G. Policarpio, Kath Ryne Y.A. Taburda

Angelo King Institute for Economic and Business Studies (AKI)

In recent years, women in the Philippines have made strides in integrating into formal employment, attaining higher educational status, and claiming their social and economic autonomy. However, the gender wage gap persists in the labor market, especially in the manufacturing sector. This wage gap does not look at their willingness to join the manufacturing sector. The National Economic Development Authority (NEDA, 2019) found that, between the two sexes, the manufacturing and services sectors were highly concentrated with females. For services specifically, they report that the high participation may be linked to “inflexible hours,” or work hours that do not go …


Towards A Flexible Learning Ecosystem In Philippine Tertiary Education, Robert C. Roleda, Ador R. Torneo, Raymond R. Tan Jul 2020

Towards A Flexible Learning Ecosystem In Philippine Tertiary Education, Robert C. Roleda, Ador R. Torneo, Raymond R. Tan

Angelo King Institute for Economic and Business Studies (AKI)

The Philippines has responded to the COVID-19 pandemic by implementing a lockdown in an effort to suppress the spread of the disease. This measure has led to unprecedented disruption in many sectors of the economy. Educational institutions have similarly been affected. As schools are the ideal breeding ground for “super spreader” events, the suspension of face-to-face instruction is an important control measure from a public health perspective. Physical closures may need to be maintained even after the lockdown is eased. This situation poses a challenge on how to maintain the continuity of the Philippines’ human capital development during the pandemic.


Can Innovation Save Us? Understanding The Role Of Innovation In Mitigating The Covid-19 Pandemic In Asean-5 Economies, Jerk Joshua Meire G. Layos, Paul John M. Peña Jul 2020

Can Innovation Save Us? Understanding The Role Of Innovation In Mitigating The Covid-19 Pandemic In Asean-5 Economies, Jerk Joshua Meire G. Layos, Paul John M. Peña

Center for Business Research and Development

The novel coronavirus (COVID-19) pandemic raises the question of whether innovation can save humanity. Indeed, innovation is the path towards finding solutions such as vaccines, treatments and policies that mitigate the further spread of the virus. Since the announcement of a global pandemic on March 12, 2020, countries with relatively high levels of innovation remain high on the world rankings on new cases and deaths while countries considered relatively lower in innovation are not. We test the relationship between innovation systems and the ability of its pre- epidemic state to address the pandemic. We use a two-step System Generalized Method …


In Women’S Hands: Why The Philippine Response To The Covid-19 Pandemic Is Wanting, Emily Sanchez Salcedo Jun 2020

In Women’S Hands: Why The Philippine Response To The Covid-19 Pandemic Is Wanting, Emily Sanchez Salcedo

Center for Business Research and Development

On April 9, 2020, the United Nations released a policy brief calling immediate attention to the exacerbated impacts of the COVID-19 pandemic for women and girls “across every sphere, from health to the economy, security to social protection... simply by virtue of their sex” (UN Women, 2020). From the outset, women are overrepresented in service jobs most severely affected by mass lay-offs as the retail, hospitality, and tourism industries ground to a halt upon the imposition of various forms of community lockdowns. Jobs in the informal economy severely affected by the lack of mobility are also dominated by women who …


Recommending A Patient-Level Study To Confirm That Bcg Vaccination Accounts For The Relatively Low Covid-19 Mortality Rate In The Philippines, Amulfo P. Azcarraga May 2020

Recommending A Patient-Level Study To Confirm That Bcg Vaccination Accounts For The Relatively Low Covid-19 Mortality Rate In The Philippines, Amulfo P. Azcarraga

Angelo King Institute for Economic and Business Studies (AKI)

Medical researchers have pointed out wide differences in COVID-related death rates among countries; and several explanations have been offered such as the high number of old people in a country, number of tourists, number of immigrants, geographic location and climate, size of the population, etc. One possible explanation that deserves further study is that countries where the COVID death rate is low are those countries where mass BCG vaccination is in place, such as the Philippines. Indeed, compared to countries who have never had mass BCG vaccination, i.e. USA, Canada, Italy, Netherlands and Belgium, the death rate due to COVID-19 …


The Economic Impact Of The Metro Manila (Ncr) Enhanced Community Quarantine, Krista Danielle Yu, Kathleen Aviso, Raymond R. Tan Apr 2020

The Economic Impact Of The Metro Manila (Ncr) Enhanced Community Quarantine, Krista Danielle Yu, Kathleen Aviso, Raymond R. Tan

Angelo King Institute for Economic and Business Studies (AKI)

Metro Manila (NCR) comprises 37.5 percent of the Philippine gross domestic product (GDP) and the 30-day enhanced community quarantine (ECQ) will cause a significant decline in the national economy. This policy brief is based on a persistent inoperability input-output model to estimate two metrics: inoperability and economic losses. This takes into account the interdependent nature of the different sectors of the economy and considers the impact of the pandemic on the productivity of sectors directly affected by the ECQ such as the manufacturing, construction, trade, finance, private sector services, and transport sectors. Unlike previous model, PIIM results will provide insights …


Allowing Entry Of Foreign Health Professionals In Containing The Covid-19 Pandemic In The Philippines, Tereso S. Tullao, John Paolo R. Rivera, Cynthia P. Cudia Apr 2020

Allowing Entry Of Foreign Health Professionals In Containing The Covid-19 Pandemic In The Philippines, Tereso S. Tullao, John Paolo R. Rivera, Cynthia P. Cudia

Angelo King Institute for Economic and Business Studies (AKI)

In light of the risks posed by COVID-19 on Filipino health care professionals, this Angelo King Institute of Economic and Business Studies policy brief recommends short-term solutions that may support in containing the outbreak and at the same time mitigate the risks. Authored by Dr. Tereso Tullao, Jr., John Paolo Rivera, and Dr. Cynthia Caudia


Learning With Friends: A Rational View Of Remote Learning With Network Externalities In The Time Of Covid-19., Paul John M. Pena Apr 2020

Learning With Friends: A Rational View Of Remote Learning With Network Externalities In The Time Of Covid-19., Paul John M. Pena

Angelo King Institute for Economic and Business Studies (AKI)

The authors provide a rational view of the issue of online learning in the time of coronavirus and cite necessary conditions that must be considered to make remote learning optimal, inclusive and engaging for students and faculty. Featuring a model of human capital accumulation with network externalities, the policy brief maintains that "...in the time of coronavirus, learning need not be quarantined, too."


Preparing For Shortages Of Future Covid-19 Drugs: A Data-Based Model For Optimal Allocation, Charlie L. Sy, Kathleen Aviso, Christina D. Cayamanda, Anthony F. Chiu, Rochelle Irene Lucas, Michael Angelo Promentilla, Luis F. Razon, Raymond R. Tan, John Frederick Tapia, Ador Torneo, Aristotle T. Ubando, Derrick Ethelbhert C. Yu Mar 2020

Preparing For Shortages Of Future Covid-19 Drugs: A Data-Based Model For Optimal Allocation, Charlie L. Sy, Kathleen Aviso, Christina D. Cayamanda, Anthony F. Chiu, Rochelle Irene Lucas, Michael Angelo Promentilla, Luis F. Razon, Raymond R. Tan, John Frederick Tapia, Ador Torneo, Aristotle T. Ubando, Derrick Ethelbhert C. Yu

Angelo King Institute for Economic and Business Studies (AKI)

Drugs for the treatment of Covid-19 are currently beign tested, and those that are apporved for use are likely to be in short supply due to the global scale of the pandemic. This policy brief proposes a model for optimally allocating future Covid-19 drugs to patients to minimize deaths under conditions of resource scarcity. A linear programming model is developed that estimates the potential number of deaths that may result from Covid-19 under two scenarios: with antivirals and without antivirals. It takes into account patient risk level, the severity of their symptoms, resource availability in hospitals (i.e. hospital beds, critical …