The number of Filipinos going abroad to work has increased dramatically overtime. Nowadays, these overseas Filipino workers are deemed to be the country’s new heroes because of their unconditional love and sacrifice for their families. In the economic aspect, these workers bring annual remittances in the country which is mostly spent in household consumption. In the macroeconomic level, according to Dr. Cayetano Paderanga (2010), “the most visible effect of remittances is in the peso appreciation and the rise in investor confidence on RP’s ability to pay its debt.”
In this study, annual remittances from 1989 to 2010 of two Asian countries, Singapore and Hongkong, are used (Table 1). The Asian region is chosen because of its booming economy. Moreover, it is to encourage Filipinos to work closer to home so that they may able to spend more time with their families. Singapore and Hongkong are because of their proximity to the country and more importantly, strong economic positions. Also, these two countries are hailed as top OFW destinations in 2009 by the Philippine Overseas Employment Office (POEA); Hongkong placed third while Singapore placed sixth (Ruiz, 2010). Current trends also show that the population of Filipino workers in these countries has augmented (POEA, 2010). Descriptive statistics and inferential statistics is used to analyze and investigate the given data. The data is from the Bangko Sentral ng Pilipinas.
Table 1. Annual OFW Remittances, Land-based
II. Descriptive Statistics
Through the use of Megastat, the characteristics of the annual land-based remittances from Singapore and Hongkong are obtained and as follows:
Table 2. Descriptive Statistics
Data from both countries covered 22 years from 1989 to 2010. The mean which is the average of the annual remittances from Singapore is 164,170.32 while from Hongkong is 196,144.59. Disparities from the mean are presented in the variance and standard deviation. Variance is “the arithmetic mean of the squared deviations from the mean” while the standard deviation is “the square root of the variance” (Lind, Marchal & Wathen, 2010, p.76). The sample variance of Singapore is 24,926,716,265.66 and the standard deviation is 157.881.97. In Hongkong, the sample variance is 14,511,209,146.16 and its square root is 120,462.48. Based on the standard deviation, the distance of the observations from the average is 157,881.97 for Singapore and 120,462.48 for Hongkong. The high standard deviation implies wide dispersion of the annual remittances. Singapore had the highest remittances in 2010 which amounted to 544,389 while it had its lowest in 1991 which was 7,592. Hongkong had 382,401 as the highest remittance which was 2006 and 10,250 as the lowest in 1989. Subtract the minimum value from the maximum value results to the range of the data. The range from for Singapore is 536,797 while for Hongkong is 372,151. Singapore had a higher range than Hongkong due to its higher maximum annual...