THE CONTRIBUTION OF MUSIC INDUSTRY TO THE

ECONOMY OF THE PHILIPPINES

By: Katrin Leigh Lim & Niña Kathrina Victorino
Fourth Year Economics Students, College of Commerece
University of Santo Tomas
Adviser: Rosemary Dinio & Amparo Pamela Fabe

ABSTRACT

The Philippine music industry makes a vital contribution to economic

growth. First it provides veritable range of employment to music performers,

recording artists and technical assistants. Second it remits a regular tax

contribution to the national government coffers. Third, it provides

wholesome entertainment to the local populace. This research study attempts

to capture the contribution of the music industry to the levels of the Gross

Domestic Product, employment and tax payments. This study concludes with

three salient points. One, 2.39% of the changes in the Gross Domestic

Product is brought by the Gross Sales of the recording industry. Two,

14.46% changes in the national employment can be explained by the

employment generated by the recording industries. And three, 14.64% of the

changes in the National Tax Collection by the government are brought by the

tax paid by the recording companies.