GOVERNANCE IN THE PHILIPPINES – EVIDENCE FROM GOVERNANCE

GLOBAL INDICATORS

By

Allenz Jerome M. Malabanan

Clifford Jhon D. Sese

The Contemporary World (GED105)

Mapúa University
January 2020
 INTRODUCTION

The objective of this paper is to asses the state of governance in the Philippines by

comparing it with other countries utilizing nine indicators relating to political, economic and

social governance. The indicators relating to political and legal governance used in this study are

(I) the Worldwide Governance Indicators, it’s one of the indicator that can analyze the political

governance of the country like the control of corruption and will the test of measurement(Kraay

&Djankov, 2009). (II) the Corruption Perception Index, this will know the index of corruption in

the certain country like in the Philippines that have a 34 in 2017 and have increase in 2018 by

two which is 36 (Bueza, 2019) and (III) the Legal Structure and Property Rights Index of the

Economic Freedom of the World Index, it’s the index that monitor the economy of the country

that shows the data of the country (The Heritage Foundation, 2019). The indicators relating to

economic governance are (I) the Macroeconomic Environment Index (Pillar 3) of the Global

Competitiveness Indicators, it’s an indicator that can show the improvement of the economy of

the country and on how to improve it more for the future (Schwab, 2018). (II) An average of

areas 1, 3, 4 and 5 of the Economic Freedom of the World Index, it will know the freedom of the

country when it comes to trading and the index or data of the economy when trading (Gwartney,

2019). (III) the Macroeconomic Stability sub-index of the Economic Resilience Index, it’s an

index that gives them the idea on their economy, it have a four aspects which are macroeconomic

stability, microeconomic market efficiency, governance and social development (Briguglio,

2006). The title of these three indices does not directly refer to governance, but they are strongly

related to economic policy, which is itself associated with economic governance. It should be

noted that the economic indicators do not include GDP per capita or economic growth, as these

are considered to be outcomes of the policies utilized for the indices. The three indicators that
relate to social governance used in this study are (I) the Education sub-index of the Human

Development Index (HDI) it shows the data of the development of the country and shows the

commitment of the people to improve their economy(Klasen, 2018). (II) the health sub-index of

the HDI, it’s a index that can see the potential of the economy, on what the economy can do in

that index (UNDP, 2019). (III) the Gini Coefficient as compiled by the World Bank, it’s a

measurement that measures the distribution of income and to spread equally(World Bank Group,

2019). Again here, the titles of three social indices do not directly refer to governance, but they

are directly related to government policies associated with health, education and distribution of

income. It should be state here that there is some overlap between the nine indices presented in

this study, with some of them drawing on similar sources, but they all have a degree of

distinctiveness. The study also correlates these indices with GDP per capita and economic

growth, so as comment on the presumption that good political, economic and social governance

is associated with these two variables. The paper is organized in five sections. Following this

introductory section, a brief literature review is presented focusing on the connection between

governance and economic performance as well as the governance situation in the Philippines.

The three sections that follow will respectively examine the political, economic and social

indicators, focusing on the scores of the Philippines relative to other countries globally. Section 4

summarizes the main tendencies derived from the previous three sections. Section 5 concludes

the study and proposes a number of implications that emerge from the analysis, with reference to

the Philippines.
METHODOLOGY

The researchers have interview 5 respondents. All of the respondents are from Generation Y. The

researchers are using face to face question and answer, but we will only ask 1 question on 5

respondents and we expecting different response.

https://www.tandfonline.com/doi/abs/10.1080/00220380902952399?

fbclid=IwAR3fHKIAEMHYCqe6_5lxYwgRPPkrkdhbnmn8bcwxEnX-QcyeIa0fyxDsAmI

https://www.rappler.com/nation/222177-philippines-ranking-corruption-perceptions-index-2018

https://www.heritage.org/index/about

http://www3.weforum.org/docs/GCR2018/05FullReport/TheGlobalCompetitivenessReport2018.pdf

https://www.fraserinstitute.org/studies/economic-freedom-of-the-world-2019-annual-report

https://www.researchgate.net/publication/229039198_Conceptualizing_and_measuring_economic_resi

lience

http://hdr.undp.org/sites/default/files/klasen_final.pdf

http://hdr.undp.org/en/content/human-development-index-hdi

https://datacatalog.worldbank.org/gini-index-world-bank-estimate-1