Factors Affecting Emigration in the Philippines

Abstract

This study was conducted to determine and examine the factors affecting emigration in the Philippines. Secondary data coming from World Bank, International Monetary Fund (IMF), and Commission on Filipino Overseas (CFO) were utilized in the research. The time frame of the study is 27 years, from the period of 1990 to 2016. In order to address the primary concern of the study, the Ordinary Least Square Regression Analysis (OLS Method) was employed using the statistical software packages, Gretl and STATA. The findings disclosed that for the past 27 years, Philippines' total number of emigrants had an upward trend. Also, based on the obtained data, the country's exchange rate, GDP per capita, migrants' remittance inflows, and tax rate have increasing trends. On the other hand, inflation rate and unemployment rate were found out having decreasing trends. Moreover, the analysis unveiled that the emigration in Philippines is positively related with exchange rate and migrants' remittance inflows. Thus, these two factors are statistically considered as push factors of emigration in the country. The variables found to be negatively related with emigration are tax rate, and unemployment rate therefore, pulling Filipinos to remain in the Philippines. It was further found out that the country's emigration is not significantly affected by inflation rate. Based on the research results, it is important that migration policies concerning the protection of Filipino emigrants should be further strengthened. Meanwhile, the government should provide investment guidance such as investment in the shape of remittance to Filipino emigrants which will encourage growth in the micro level as well as in the economy as a whole.