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Transcript of Philippine Poverty Leland Joseph R. Dela Cruz Development Studies Program School of Social Sciences...
Philippine Poverty
Leland Joseph R. Dela CruzDevelopment Studies Program
School of Social SciencesAteneo de Manila University
Outline of the Presentation
1. Poverty Measurementsa. Income Measuresb. Perception-based Measuresc. Basic Needs Measures
2. Causes of Poverty3. Poverty Sectors
When is a person considered poor? A poor person is someone who
earns income below the official poverty line or poverty threshold.
The poverty line measures the income needed to obtain basic and non-basic needs for one year.
How does the government compute for the poverty line?1. The government constructs a menu per
region that satisfies basic nutritional requirements. The government computes for the cost of that menu. (ex. P43, Y104)
2. The government computes for the proportion of income that is budgeted for food using survey data. (ex. 66%)
3. The figure obtained in #1 is divided by the figure obtained in #2. (ex. P43 / 66% = P65, Y157)
What is the NCR poverty line (2008)?
P328.77Y798.20
Family/ day*
P10,000.00Y24, 278.75
Family/ month
P120,000.00Y291,345
Family/ year*
P65.76Y159.64
Individual/ day*
P2,000.00Y4,855.75
Individual/ month*
P24,000.00Y58,269.00
Individual/ year*
*Unofficial, self-computed
What is the Philippine poverty line (2006)?
P206.29Y500.78
Family/ day*
P6,273.99Y15,232.08
Family/ month*
P75,287.85Y182,785.00
Family/ year*
P41.26Y100.15
Individual/ day*
P1,254.80Y3,046.41
Individual/ month*
P15,057.57Y36,557.00
Individual/ year NSCB
*Unofficial, self-computed
Poverty incidence 2006, NSCB
32.9% or 27.6 million Filipinos are poor. 32.9% of Filipinos earn less than
P15,057.57 a year (Y36,557), P1,254.80 a month (Y3,046) and P41.26 a day (Y100.15).
26.9% or 4.6 million Filipino families are poor. 26.9% of families earn less than P75,287.85
a year (Y182,705), P6,273.99 a month (Y15,232.08) and P206.29 a day (Y500.78).
Poorest Provinces (2006) NSCB
Poverty Incidence
Tawi-Tawi, Mindanao 78.9%
Zamboanga del Norte, Mindanao
63.0%
Maguindanao, Mindanao 62.0%
Apayao, Northern Luzon 57.5%
Surigao del Norte, Mindanao 53.2%
Lanao del Sur, Mindanao 52.5%
Northern Samar, Visayas 52.2%
Masbate, Southern Luzon 51.0%
Abra, Northern Luzon 50.1%
Misamis Occidental, Mindanao
48.8%
Least Poor Provinces (2006) NSCB
Poverty Incidence
Batanes, Northern Luzon 0%
Rizal, Adjacent to NCR 6.4%
Bataan, Luzon 6.8%
Cavite, Adjacent to NCR 7.8%
Benguet, Luzon 8.2%
Pampanga, Adjacent to NCR 8.3%
Bulacan, Adjacent to NCR 10.0%
Laguna, Adjacent to NCR 10.6%
Nueva Vizcaya, Luzon 12.7%
Quirino, Luzon 15.9%
Philippine Poverty Incidence: Families (Percentage) NSCB
0
5
10
15
20
25
30
35
40
45
1988 1991 1994 1997 2000 2003
%
Philippine Poverty Incidence: Individuals (Percentage) NSCB
0
10
20
30
40
50
60
1988 1991 1994 1997 2000 2003
%
Gini Coefficient
Country Gini ratio Country Gini ratio
Denmark 0.247 Hong Kong
0.434
Japan 0.249 Philippines
0.445
Italy 0.360 Mexico 0.461
India 0.368 Guatemala
0.551
U.S.A. 0.408 Namibia 0.743Philippine data: UNDP, 2004 as cited in Wikipedia
Self-Rated Poverty Pulse-Asia
June 2004
October2004
March 2005
Philippines
70% 70% 70%
Class ABC
37% 21% 35%
Class D 68% 68% 69%
Class E 84% 87% 82%
Self-Rated Poverty Pulse-Asia
June 2004
October2004
March 2005
NCR 52% 41% 48%
Luzon 69% 69% 66%
Visayas 71% 82% 80%
Mindanao 80% 79% 81%
Rural 73% 83% 82%
Urban 66% 57% 58%
Summary
Official Statistics
Perception-based measure
Poverty Incidence
25% 50-70%
Poverty threshold
P6,273.99 (Y15,232) a month
P10,000 (Y26,623) a month
Access to basic needsIndicator % of
population
With access to safe drinking water
80.2%
With sanitary toilet 86.2%
With access to electricity 79.7%
With own house and lot 64.9%
With children 6-12 years old in elementary
91.2%
With children 13-16 years old in high school
36.1%
Outline of the Presentation
1. Poverty Measurementsa. Income Measuresb. Perception-based Measuresc. Basic Needs Measures
2. Causes of Poverty3. Poverty Sectors
Outline of the Presentation1. Poverty Measurements2. Causes of Poverty
a. Inequalityb. Inflationc. Weak Human Capitald. Absence of Employment Opportunitiese. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Outline of the Presentation1. Poverty Measurements2. Causes of Poverty
a. Inequalityb. Inflationc. Weak Human Capitald. Absence of Employment Opportunitiese. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
The Economy Has Been Growing
-1
0
1
2
3
4
5
6
7
8
91
99
7
19
98
19
99
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
GD
P/ G
NP
Gro
wth
Ra
tes
GROSSDOMESTICPRODUCT GROSSNATIONALPRODUCT
The Economy Has Been Growing But poverty has not substantially
decreased This may be due to unequal
benefits from economic growth Unequal incomes Unequal assets
Income Distribution 2006, NSO
1.9 3 3.8 4.7 5.87.1 9
11.816.8
36
0
5
10
15
20
25
30
35
40
% o
f In
com
e
1st 3rd 5th 7th 9th
Decile
Unequal Asset Distribution: Land Distribution
449 Landowners
30 Landowners
50% of land area
50% of land area
Land Distribution
449 Landowners50% of
land area
25% of land area
25% of land area
29 Landowners
1 Landowner
Outline of the Presentation1. Poverty Measurements
2. Causes of Povertya. Inequality
b. Inflationc. Weak Human Capital
Education Health
d. Absence of Employment Opportunitiese. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Inflation: Rice Prices
20
25
30
35
40
45
Janu
ary
Febr
uary
Mar
chAp
rilMay
June Ju
ly
Rice Prices perkilo
Outline of the Presentation1. Poverty Measurements
2. Causes of Povertya. Inequalityb. Inflation
c. Weak Human Capital Education Health
d. Absence of Employment Opportunitiese. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Inadequacies at the Elementary Level
Source: Basic Education Information System, DepEd
SEATS NEEDED PUPILS PER TEACHER RATIO
CLASSROOMS NEEDED TO ACHIEVE 40 STUDENTS
PER CLASS RATIO Quezon City 101,317 Antipolo City 61.86 Quezon City 3,377 Kalookan 82,413 San Jose del Monte 60.00 Kalookan 2,244 Lanao del Sur 1 73,472 Las Pinas 53.74 Rizal 1,533 Manila 73,180 Maguindanao 52.92 Cavite 1,434 Maguindanao 69,934 Bayawan City 51.31 Manila 1,422 Camarines Sur 64,688 Muntinlupa 50.93 Antipolo City 1,193 Iloilo 57,128 Talisay City 50.17 Mal/Navotas 1,078 Davao City 53,885 Kalookan 49.30 Taguig/Pateros 996 Cavite 53,101 Rizal 47.87 Las Pinas 882 Bukidnon 48,771 Lapu-Lapu City 47.33 Maguindanao 808
SEATS NEEDED PUPILS PER TEACHER RATIO
CLASSROOMS NEEDED TO ACHIEVE 40 STUDENDS
PER CLASS RATIO Quezon City 62,749 Bayawan City 79.60 Quezon City 1,660 Iloilo 46,812 Antipolo City 77.58 Cavite 1,570 Rizal 43,305 Talisay City 77.05 Bulacan 1,107 Davao City 41,018 Danao City 76.07 Kalookan 1,093 Cavite 40,064 Lanao del Sur 1 72.34 Rizal 1,071 Cebu 39,877 Marawi 65.08 Laguna 1,043 Quezon 37,973 Lanao del Sur 2 61.56 Cebu 1,003 Manila 34,488 Sn Jose del Monte 59.32 Davao 997 Bulacan 34,160 Tanjay City 59.32 Pampanga 706 Camarines Sur 33,405 Cagayan de Oro 55.13 Quezon 697
Inadequacies at theSecondary Level
Source: Basic Education Information System, DepEd
Third International Math and Science Survey Grade 4 Test: Philippines ranked 3rd
lowest among 25 countries (Japan ranked 3rd highest behind Singapore and Hong Kong)
Grade 8 Test: Philippines ranked 6th lowest among 45 countries (Japan ranked 5th highest behind Singapore, Korea, Hong Kong and Taiwan)
Outline of the Presentation1. Poverty Measurements
2. Causes of Povertya. Inequalityb. Inflation
c. Weak Human Capital Education Health
d. Absence of Employment Opportunitiese. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Health Personnel by Location
Rural Urban
Midwives ~30% ~60%
Nurses ~20% ~80%
Dentists ~10% ~90%
Doctors62% migrate to other countries
~10% ~90%
Source: Dr. Merceditas Santos-Tuano, former Executive Director, Healthdev Institute
Child Delivery Attendants (2003, NDHS)
0
10
20
30
40
50
60
Doctor Nurse Midwife Hilot Others
UrbanRuralPhil.
Child Delivery Attendants by Income Quintiles (2003,
NDHS)
0
10
20
30
40
50
60
70
80
Doctor Nurse Midwife Hilot Others
LowestSecondThirdFourthFifth
Location of Child Delivery (2003, NDHS)
0
10
20
30
40
50
60
70
80
Govt Hospital Private Hospital Home
UrbanRuralPhil.
Location of Child Delivery by Income Quintile (2003, NDHS)
0
10
20
30
40
50
60
70
80
90
Govt Hospital Private Hospital Home
LowestSecondThirdFourthFifth
Outline of the Presentation1. Poverty Measurements
2. Causes of Povertya. Inequalityb. Inflationc. Weak Human Capital
Education Health
d. Absence of Employment Opportunities
e. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Outline of the Presentation1. Poverty Measurements
2. Causes of Povertya. Inequalityb. Inflationc. Weak Human Capital
Education Health
d. Absence of Employment Opportunities
e. Weak Agricultural Sectorf. Poor Governance
3. Poverty Sectors
Outline of the Presentation1. Poverty Measurements2. Causes of Poverty
a. Inequalityb. Weak Human Capital
Education Health
c. Absence of Employment Opportunitiesd. Weak Agricultural Sectore. Poor Governance
3. Poverty Sectorsa) Landless Rural Workersb) Indigenous Peoplec) Fisherfolkd) Small Farmerse) Microentrepreneursf) Laborers
Landless Rural Farmers
No productive assets of their ownForced to sell their labor to work on other people’s farmsLand reform has not really helped
Indigenous Peoples Official estimates
at 12 million Filipinos
A large proportion are in Mindanao, Cordillera Autonomous Region