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

Erwin Corong

No 332404, Conference papers from Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project

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.

Keywords: Labor and Human Capital; Food Security and Poverty (search for similar items in EconPapers)
Pages: 13
Date: 2013
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