7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
1/30
Economic Well-being of the
Filipino Elderly*
GRACET. CRUZ**
* Paper presented in a poster session at the 1998 Population Association of AmericaAnnual Meeting held on April 2-4, 1998 at the Hyatt Regency Chicago, Chicago,Ilinois.
**Assistant Professor at the Population Institute, CSSP, UP (Diliman). She is also the
secretary of the Demographic Research and Development Foundation (DRDF). Sheis an active researcher on the older people and adolescent sexuality where she hasauthored several articles. At present, she is working on her dissertation for herdoctorate degree in Sociology at the University of the Philippines, Diliman.
ABSTRACT
Sa resulta ng 1996 Philippine Elderly Survey (PES),ang unang pambansang sampol na kumakatawan sa mga
nakakatandang mamayan ng ating bansa ay nagpakita ngpagkakaroon ng mga nakakatandang Pilipino ng mababangestadong pang-ekonomiya. Ang karamihan ay nag-aalala sakanilang kalagayang pinansiyal. Sa kabila ng pagkakaroonng hindi lamang iisang pinagkukunan ng kita, ang kanilangkita ay mababa lamang at nagkakaroon pa sila ng malakinggastos at pagkakautang. Sapagkat ang karamihan sakanilay tumatayo pa ring tagapamahala ng kanilang mgatahanan, patuloy pa rin silang nag-aambag ng makabuluhang
bahagi sa panggastos sa tahanan.Ang mga tulong mula sa mga anak at mga kamag-
anak ang tinatayang pinakaimportanteng pinagkukunan ngkita ng mga kababaihang nakakatanda samantalang angkita sa trabaho at bukid ang pinagkukunang naman ng mgakalalakihan. Kaunti lamang ang nakakatanda at karamihanpa ay mga lalaki ang may mga di-nanggagaling sa pamilyana pinagkukunan ng suporta katulad ng pensyon. Sa kabilang pagkakaroon ng mababang kita, ang mga Pilipinong
nakakatanda ay nagreport ng mataas na bahagdan ng pag-aari ng mga lupat bahay. Ang pagkakaroon din ng ibangari-arian tulad ng alahas at iba pang kasangkapan aykaraniwan din.
source: http://www.journals.upd.edu.ph/index.php/pssr/article/view/1280/1617
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
2/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
42
INTRODUCTION
The United Nations has declared 1999 as the International Year ofthe Older People. This is significant considering that past attention onthe younger sector of the population has somehow deflected attentionfrom the older cohort relegating most of them to the margins of life.Associated with infirmities and low productivity, the elderly are oftenconsidered the surplus of the world that need to be shut in institutionsto give way to the young which society admires and celebrates. Ironicallytheseare the people who are most in need of care and attention giventheir waning health and their increasing withdrawal from the economic
sphere.
In line with this international mandate, the Philippine governmenthas initiated efforts to address the broad interests of the Filipino olderpeople. A valuable step towards this end is the Philippine Plan of Actionfor the Older People. Along with this government effort are academicresearches on the elderly which has given impetus to the infantileresearch on the elderly in the country. One such research is based onthe 1996 Philippine Elderly Survey (PES), the first to derive a nationally
representative sample of elderly in the country. This paper is apreliminary attempt to bring to fore findings of such study focusing onthe economic well-being of older persons. It presents economiccondition, vulnerabilities and preferences of the elderly with the hopeof their being appreciated and integrated in society. The paper hopesto provide direction in terms of the necessary preparations needed inthe face of a burgeoning elderly population.
DATAAND METHODOLOGY
This paper is based on the data provided by the 1996 PES which wascollected by the University of the Philippines Population Institute (UPPI)/Demographic Research and Development Foundation (DRDF). Thesample consisted of 2,285 respondents aged 50years old and older, ofwhom 1,131 were aged 60 years and older. The study was part of acomparative study on the elderly and near-elderly in four Asian countries(Philippines, Singapore, Taiwan and Thailand) aimed at investigating howrapid demographic change in these societies has affected the welfareof the elderly. For purposes of the study, the elderly (alternatively referred
to as older person in this paper) includes those who are aged 60 yearsand over following the UN definition while the near-elderly includes thoseaged 50-59.
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
3/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
43
The general difficulty of collecting income data, exacerbated by theage factor in the 1996 PES necessitated the need to look at multiple
dimensions of economic security of the elderly to be able to come upwith a valid assessment of their economic well-being. To a certain extent,this has been achieved in the 1996 PES which collected a whole rangeof indicators including the sources and level of income and expendituresof the elderly. Other economic assets including ownership of currentresidence and the land where it stands, real estate, cash savings, jewelry,appliances and the like were likewise looked into. The study likewiseexplored the economic sufficiency of the elderlys social base gauged interms of household (HH) income and the number of income earners (otherthan the elderly). Intergenerational transfers which include gifts of foodand non-food or cash items between the elderly and his/her children andother relatives were likewise noted.
The study also gathered information on expenditures (or disbursements)in the elderlys HH and the manner in which these were managed i.e.were they pooled or do different HH members take care of assignedexpenses? The elderly were asked about debts they incurred as well astheir perception insofar as the sufficiency of their household income vis-
a-vis expenditures were concerned. Given its relevance in assessing theircurrent economic status, the elderlys practice and plans insofar as thetransfer of their properties or assets to their children or desired heir werealso looked into.
The study faced certain limitations however among which was thesubjective nature of the information. Data was also limited by recall biaswhich was further complicated by the age factor. Anticipating suchproblems, the study employed certain strategies to enhance data quality
such as the use of bracketing to assist in the recall. Different time frameswere likewise utilized to estimate the various aspects of expenditures tominimize retrieval problems. For instance, weekly food consumptionexpenditure was gathered while expenditure on HH operating expenseswere taken on a monthly basis.
Despite these measures intended to improve reporting accuracy, therewas still a high level of refusal rate for income data. Results of the studyindicate at least 4.4 percent of all respondents who either declared theydid not know or did not have any response to the question on the level
of their income in the year preceding the survey. The proportion increasedwith age (3 and 5.5 percent for ages 50-59and 60+, respectively), andwas higher among urban resident and female respondents (Table 1). Note
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
4/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
44
that that number of cases are not stated in the tables since consistentlythe same number of respondents are used in the analysis of this paper.
ELBAIRAV detropeRohW%
INroKD
oNdetropeRohW%
emocnI
LATOT 4.4 6.5
sutatSlatiraMdeirraMreveN
deirraM
dewodiW
detarapeS/decroviD
-
0.4
6.5
8.1
7.81
3.1
3.31
5.41
egA
95-05
+06
0.3
5.5
1.3
2.7
ecnediseR
nabrU laruR 7.7 5.1 1.7 5.4
xeS
elaM
elameF
9.3
8.4
0.3
9.7
TABLE 1TABLE 1TABLE 1TABLE 1TABLE 1
LEVEL OF REPORTING INCOME VARIABLELEVEL OF REPORTING INCOME VARIABLELEVEL OF REPORTING INCOME VARIABLELEVEL OF REPORTING INCOME VARIABLELEVEL OF REPORTING INCOME VARIABLE
(%WHO CLAIMED DK OR NI)(%WHO CLAIMED DK OR NI)(%WHO CLAIMED DK OR NI)(%WHO CLAIMED DK OR NI)(%WHO CLAIMED DK OR NI)
Unit of AnaIysisUnit of AnaIysisUnit of AnaIysisUnit of AnaIysisUnit of AnaIysis
Although the study included both the elderly and their successors (ages
50-59), this paper will mostly focus on the former with the data on thenear-elderly employed only for comparative purposes. Generally, income,assets and expenditure data in the study were collected separately forthe respondent and spouse (elderly couple). Other information particularlyon income received in the previous year, share in household expenditures,debts, ownership of other assets were collected using the couple as theunit of analysis. Sources of income, home and land ownership weregathered separately for the respondent and spouse although these werestill reported from the perspective of the respondent.
One possible limitation of gathering information for both the respondentand spouse however is the possibility of a response bias arising from
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
5/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
45
income reporting between male and female respondents as reflected inthe study. Gender consistency of income report in the study was examined
by comparing the income reports of married respondents (Tables 2 and3). Although results are not very consistent, evidence tend to showhusbands reporting higher income than wives. Sociological studies suggestthat this can happen in cases where there is no full disclosure ofinformation by the husband who does not report extra income to theirwives and use this to support their vices. Hollsteiner (in Medina, 1991)reveals that if the husbands income is not fixed, he may choose towithhold some of it for his own independent spending. Such findingsuggests some gender issues particularly on the issue of transparencywith regard to financial matters.
EFIWFOEGA
)RfoesuopS(
)R(DNABSUHFOEGALATOT
45-05 95-55 46-06 96-56 +07
45-0595-55
46-06
96-56
+07
LATOT
808,96-
*
*
*
036,64
560,14568,73
150,62
*
*
246,43
592,83862,19
404,54
463,61
*
032,25
*666,02
211,91
093,52
*
483,02
**
683,61
947,92
999,34
292,63
733,15681,65
889,13
731,62
579,14
106,04
EFIWFOEGA
)R(
)R(DNABSUHFOEGALATOT
45-05 95-55 46-06 96-56 +07
45-05
95-55
46-06
96-56
+07LATOT
894,13
*
*
*
*160,23
175,56
571,24
*
*
*673,93
263,44
331,33
076,03
*
*479,24
*
282,81
695,83
090,74
*479,74
930,81
037,12
264,42048,32
022,14
403,73
572,13
423,13
945,93709,63
* < 10 cases
* < 10 cases
TABLE 3TABLE 3TABLE 3TABLE 3TABLE 3
MEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEAR
AS REPORTED BY MARRIED FEMALE RESPONDENTSAS REPORTED BY MARRIED FEMALE RESPONDENTSAS REPORTED BY MARRIED FEMALE RESPONDENTSAS REPORTED BY MARRIED FEMALE RESPONDENTSAS REPORTED BY MARRIED FEMALE RESPONDENTS
TABLE 2TABLE 2TABLE 2TABLE 2TABLE 2
MEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLMEAN INCOME (FOR ELDERLY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEARY & SPOUSE) FOR THE PAST YEAR
AS REPORTED BY MARRIED MALE RESPONDENTSAS REPORTED BY MARRIED MALE RESPONDENTSAS REPORTED BY MARRIED MALE RESPONDENTSAS REPORTED BY MARRIED MALE RESPONDENTSAS REPORTED BY MARRIED MALE RESPONDENTS
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
6/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
46
FINDINGS
Income levelsIncome levelsIncome levelsIncome levelsIncome levels
A small yet significant proportion (5.6 percent) of elderly in the studydeclared to have absolutely no income and expenditure (Table 1). Thisphenomenon is more preponderant among females, those who are notmarried, older and urban residents. What seems surprising however isthat some 16.1 percent of this cohort declared they did not have anyother member of their household who received income (data not shown)although a quarter among them (24.2 percent) incurred some debts whichcould be the source of their sustenance. While the same group isconsistent in admitting that they did not contribute any amount for theirHH expenditures what seems difficult to imagine is their claim of zerocost of HH operating expenses to include food expenditures. Althoughcomprising a negligible proportion of the sample, this finding suggestthe difficulty of gathering accurate and truthful income data.
While almost nine out of ten older people reported some income (moremales than females), a low level of median income was reported coupledby a considerable level of indebtedness. Aggregate income level was
measured using median rather than average given the high variabilityof income level reported which ranged from zero (no income) to as highas two million pesos. Results indicate that in the year prior to the survey,the elderly and spouse registered a median income amounting to P12,000compared to P20,000 registered by their near-elderly counterparts. Themale elderly, those in intact marital union and living in urban residenceshad a clear income advantage (Table 4). The urban edge may notnecessarily translate to a better economic well-being however, consideringthe higher cost of living in urban areas which could erode its relative
advantage. The widowed who exhibited the lowest income at P7,200had incomes much lower than the 1994 per capita poverty threshold(P8,885) which represents the annual per capita income required or theamount to be spent to satisfy nutritional requirements (two thousandcalories) (1996 Philippine Statistical Yearbook). The low income reportedby the widowed confirms that there is a large reduction in family incomewhen the husband dies since the man is usually the breadwinner of thefamily.
The health and wealth of the elderly are positively correlated with eachstep down the income ladder clearly associated with lower health status.The elderly with positive health assessment are more likely to report
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
7/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
47
higher income levels which seems logical considering that the healthierones are more able to work and work for extended hours compared withtheir counterparts with poorer health. On the other hand, those withunstable health conditions are less likely to work and if ever, choose typesof work which will not strain their delicate health condition. Their poor
health translates not only to lesser income but lower savings and higherhealth expenditures which could further deplete their already precariousfinancial resources. This is particularly so in the Philippines where healthcare expenditures comes out of pocket for the majority of the population.
The marginalized economic state of the older person is significant notonly as it correlates with their physical health but their psychological stateas well. In the study, inquiries were made about the emotionalexperiences of the elderly the week preceding the survey to measure
despondency. This included asking their attitudes or reaction towardsstatements which have economic implications such as: I felt I was aburden to others, I worried about my financial status and I worried/
SELBAIRAV EMOCNINAIDEM
)sosePnI(
egA.1
95-05
+06
000,02
000,21
xeS.2
elaM
elameF
931,41
000,01
sutatSlatiraM.3deirramreveN
deirraM
dewodiW
decroviD/detarapeS
000,01
000,51
002,7
000,01
ecnediseR.4
nabrU
laruR
000,51
000,01
htlaeHfotnemsessa-fleS.5
tnellecxE
doogyreV
dooGriaF
rooP
462,81
000,51
000,51000,01
000,7
TTTTTABLE 4ABLE 4ABLE 4ABLE 4ABLE 4
LEVEL OF INCOME OF ELDERLLEVEL OF INCOME OF ELDERLLEVEL OF INCOME OF ELDERLLEVEL OF INCOME OF ELDERLLEVEL OF INCOME OF ELDERLY AND SPOUSEY AND SPOUSEY AND SPOUSEY AND SPOUSEY AND SPOUSE
BY SELECTED BACKGROUND VARIABLESBY SELECTED BACKGROUND VARIABLESBY SELECTED BACKGROUND VARIABLESBY SELECTED BACKGROUND VARIABLESBY SELECTED BACKGROUND VARIABLES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
8/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
48
was saddened that my children did not have economically better lives.Results presented in Table 5 indicate that the elderly with lower incomes
were more likely to have such emotional experiences. Although it isdifficult to establish the direction of the causal chain, it is likely that suchdespondency has been precipitated in part by the their economic state.This finding is significant in the light of a high prevalence of poverty inthe country particularly among the older people.
STNEMERUSAEMYCNEDNOPSED 95-05 +06
srehtootnedrubsawItlefI
seY
oN
000,51
008,02
349,8
894,21
sutatslaicnanifymtuobadeirrowI
seY
oN
000,02
000,03
000,01
000,51
nerdlihcymtahtdeneddassaw/deirrowI
sevilrettebyllacimonoceevahtondid
seY
oN
002,91
928,82
000,01
000,51
The economic deprivations of the elderly mirrors the poverty of thesocial milieu where they are embedded. In the study, the average elderlylives with a large HH where he/she is most likely the HH head (HHH)
(Table 6). The high headship rate signifies the high esteem accorded tothe old in our Philippine culture. Such position accorded them also givesolder people an important position in defining the overall economic well-being of the HH where they belong. It is evident that despite their lowincomes the elderly and spouse are most likely the highest income earnersin their HH. The high rate of dependence on the elderly is exhibited bythe significant proportion claim (42.2 percent) which reveals that theyare the lone breadwinners in their HH. A lower proportion (31.8 percent)reported having another member of the HH besides them receiving
income which usually includes a son, daughter or son-in-law. This findingsuggests that it is usually the economically dependent children whocontinue to live with their elderly parents.
TTTTTABLE 5ABLE 5ABLE 5ABLE 5ABLE 5
MEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY DESPONDENCYY DESPONDENCYY DESPONDENCYY DESPONDENCYY DESPONDENCY
MEASUREMENTS BY AGEMEASUREMENTS BY AGEMEASUREMENTS BY AGEMEASUREMENTS BY AGEMEASUREMENTS BY AGE
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
9/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
49
Sources of IncomeSources of IncomeSources of IncomeSources of IncomeSources of Income
The Filipino elderly derive their income from multiple sources with eachelderly citing an average of almost two (1.7) sources (Figure 1). The maleelderly exhibits a slight advantage in this regard. Significant differentialsis also observed between the elderly and near-elderly in terms of thestability of their income sources. While both are highly dependent on
their children, the younger and better educated near-elderly relies moreon their work, farm and family business while their older counterpartsare more dependent on their children and other relatives (Table 7). Such
TNECREP
dlohesuoHfodaeHeraohWylredlEfotnecreP.1
elaM
elameF
3.78
6.44
emocnItsoMehtsnraEohWHHs'ylredlEehtforebmeM.2
)ylredle(R
esuopS
noS
rethguaD
2.73
7.31
2.91
8.01
noisiceDehtfotsoMsekaMHHehtniohW.3
sgnihTrehtOdnatnepSebdluohSyenoMehtwoHtuobA
secnaniFotdetaleR
ylredlE
esuopS
noS
rethguaD
2.84
1.12
6.7
8.21
esuopSdnaylredlEsediseBHHnielpoePfo.oN.4
emocnIevieceRohW
0
12
+3
2.24
8.133.81
8.7
esuopSdnaylredlEsedisebHHehtnielpoePrehtO.5
emocnInraEohW
noS
)s(rethguaD
)s(rethguad+)s(noS
wal-ni-)s(noS
nerdlihcdnarG
sretsis/srehtorB
wal-ni-)s(nos/)s(rethguaD
noitanibmocrehto/srehtO
5.53
2.41
6.8
3.11
5.4
8.0
9.7
2.71
TTTTTABLE 6ABLE 6ABLE 6ABLE 6ABLE 6
ELDERLELDERLELDERLELDERLELDERLYS HOUSEHOLD INCOME STYS HOUSEHOLD INCOME STYS HOUSEHOLD INCOME STYS HOUSEHOLD INCOME STYS HOUSEHOLD INCOME STAAAAATUSTUSTUSTUSTUSAND HEADSHIP RAAND HEADSHIP RAAND HEADSHIP RAAND HEADSHIP RAAND HEADSHIP RATESTESTESTESTES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
10/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
50
0
0,2
0,4
0,60,8
1
1,2
1,4
1,6
1,8
Both Sexes Male Female
FIGURE 1FIGURE 1FIGURE 1FIGURE 1FIGURE 1
MEAN NUMBER OF INCOME SOURCESMEAN NUMBER OF INCOME SOURCESMEAN NUMBER OF INCOME SOURCESMEAN NUMBER OF INCOME SOURCESMEAN NUMBER OF INCOME SOURCES
OF THE ELDERLOF THE ELDERLOF THE ELDERLOF THE ELDERLOF THE ELDERLY BY BY BY BY BY SEXY SEXY SEXY SEXY SEX
7205
106072
40073
25709
10000 10000
21273
0
20000
40000
60000
80000
100000
120000
Earnings from workPension
Rentals, Savings, Real Estate, StocksFamily BusinessFarmIncome from children and other Relatives within the countryIncome from children and other Relatives outside the country
FIGURE 2FIGURE 2FIGURE 2FIGURE 2FIGURE 2
MEDIAN ANNUAL INCOME OF ELDERLMEDIAN ANNUAL INCOME OF ELDERLMEDIAN ANNUAL INCOME OF ELDERLMEDIAN ANNUAL INCOME OF ELDERLMEDIAN ANNUAL INCOME OF ELDERLYYYYYAND SPOUSE BAND SPOUSE BAND SPOUSE BAND SPOUSE BAND SPOUSE BY MOST IMPORY MOST IMPORY MOST IMPORY MOST IMPORY MOST IMPORTTTTTANTANTANTANTANT
SOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOME
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
11/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
51
shifts could be a reflection of their withdrawal from the productive sectorand other economic opportunities as a result of the age restrictions in
the workplace as well as health factors. The foregoing findings is consistentwith the common expectations where care for the aged is a domesticrather than a state concern and that children are expected to care andsupport their ageing parents.
Among the varied sources of income for the elderly, income fromchildren/relatives within the country (29.9 percent), earnings from work(26.5percent) and income from farm (22 percent) are considered mostimportant (Table 8). Compare this with their younger counterparts where
almost half (46.3 percent) consider their work as their most importantincome source. The multiplicity of sources may be due to the low incomesderived from each source (Figure 2). Except for the few elderly whodepended on pensions, rentals, savings, real estate and stock where adecent level of income was exhibited, all other income sources registeredinsubstantial levels.
Gender differentials are likewise apparent. A greater proportion of malesconsider their work, farm and pension as their most important sources
of income while more females depend on transfers particularly fromchildren and other relatives. The male advantage in pension is reflectiveof the historic male edge in the formal employment sector due to theireducational advantage although this may alter in the future consideringthe changing configuration of the education profile in favor of women.
The elderly in stable husband-wife family situation are economicallybetter off is reflected by the high proportion among them who declaredearnings from work and farm, as their main sources of income. Whilechildren/other relatives were cited as significant sources they are
secondary in importance. For their counterparts not in a husband-wifefamily arrangements (widowed and separated), they depend more ontransfers from children and other relatives. Quite expectedly, rural elderlyare more likely to rely on their farm for income support than their urbancounterparts (Table 8).
The foregoing income configuration confirms the elderlys greaterdependence on familial rather than non-familial support. This is likewiseapparent from the low proportion relying on pensions. Although about a
tenth of the elderly, received some form of pension, a lower proportion(7.6 percent) stated that it is their major source of income (Tables 7 and8). This low proportion is also telling of the limited impact of existingpension and retirement benefits in the country.
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
12/30
52
EMOCNIFOSECRUOS
EGA +06GNOMA
95-05 +06 LATOT
+05
XES ECNEDISER
ELAM ELAMEF NABRU LARUR REVEN
DEIRRAM
krowmorfsgninraE 6.35 5.92 3.04 4.63 7.42 3.62 0.23 0.13
noisneP 9.3 7.9 1.7 3.41 3.6 4.41 2.6 3.01
roytiunnamorfemocnI
yapecnareves 0.1 7.0 8.0 2.1 4.0 1.1 4.0 -
laer,sgnivas,slatnermorF
kcots,etatse 8.4 7.5 3.5 3.6 3.5 3.8 9.3 3.01
ssenisubylimafmorfemocnI 7.01 4.7 9.8 1.8 0.7 7.11 2.4 9.6
mrafmorfemocnI 5.43 0.13 6.23 6.83 6.52 4.22 6.73 7.6
rehtoronerdlihcmorfemocnI
ehtnihtiw,HHedistuosevitaler
yrtnuoc
8.04 3.65 4.94 8.25 8.85 7.25 0.95 0.13
rehtoronerdlihcmorfemocnI
seirtnuocrehtomorfsevitaler 6.01 2.81 8.41 4.61 5.91 6.12 6.51 8.31
TTTTTABLE 7ABLE 7ABLE 7ABLE 7ABLE 7
PERCENT WHO RECEIVED INCOME FROM THE FOLLOWINGPERCENT WHO RECEIVED INCOME FROM THE FOLLOWINGPERCENT WHO RECEIVED INCOME FROM THE FOLLOWINGPERCENT WHO RECEIVED INCOME FROM THE FOLLOWINGPERCENT WHO RECEIVED INCOME FROM THE FOLLOWING
BBBBBY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VARIABLESARIABLESARIABLESARIABLESARIABLES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
13/30
53
TNATROPMITSOM
EMOCNIFOECRUOS
EGA+06GNOMA
XES ECNEDISER
95-05 +06 LATOT
+05 ELAM ELAMEF NABRU LARUR
REVEN
DEIRRAM
krowmorfsgninraE 3.64 5.62 5.53 8.03 2.32 0.42 3.82 43
noisneP 3.2 7.7 2.5 3.01 7.5 5.01 6.5 31
yapnoitarapeS/ytiunnA 1.0 4.0 2.0 4.0 3.0 - -
slatneR 2.1 0.2 6.1 6.1 4.2 9.2 5.1 8
ssenisubylimafmorfemocnI 3.6 0.5 6.5 3.5 9.4 8.7 9.2 8
mrafmorfemocnI 1.52 0.22 4.32 9.62 1.81 2.51 9.62 4
sevitaler/nerdlihcmorfemocnI
yrtnuocehtnihtiw 0.41 9.92 7.22 2.02 5.73 2.03 8.92 03
sevitaler/nerdlihcmorfemocnI
yrtnuocehtedistuo 7.4 5.6 7.5 5.4 0.8 6.8 9.4
LATOT 0.001 0.001 0.001 0.001 0.001 0.001 0.001 001
TTTTTABLE 8ABLE 8ABLE 8ABLE 8ABLE 8
MOST IMPORMOST IMPORMOST IMPORMOST IMPORMOST IMPORTTTTTANT SOURCE OF INCOME AMONG RESPONDENTS BANT SOURCE OF INCOME AMONG RESPONDENTS BANT SOURCE OF INCOME AMONG RESPONDENTS BANT SOURCE OF INCOME AMONG RESPONDENTS BANT SOURCE OF INCOME AMONG RESPONDENTS BY SELECY SELECY SELECY SELECY SELEC
ABLESABLESABLESABLESABLES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
14/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
54
Children as sources of old age securityChildren as sources of old age securityChildren as sources of old age securityChildren as sources of old age securityChildren as sources of old age security
In an agricultural setting, high fertility tends to be the norm as childrenare viewed as a source of security during old age. This holds true amongthe Filipino elderly where high fertility and high dependence on childrenfor economic support are apparent. While a direct link between theirfertility and expectations of economic support from children cannot beclearly established in the data, indirect associations tend to point towardsthis direction.
The study reveals that 64.3 percent of elderly with at least 1 livingchild derived income from their children with 36.3 percent claiming their
children to be their main source of income (Table 9). Besides themonetary flow, children are also sources of non-monetary support (suchas food, clothing etc.) for the elderly. There appears to be a positive(though not monotonic) relationship between the number of livingchildren and the proportion of elderly who derive income from them. Athreshold level is observed (two living children) before which theproportion of support from children dramatically increases after whichno significant increase is apparent. Whereas the proportion who derivedincome from children is 32.1 percent among those who have only one
living child, the proportion jumped to 59.4 percent among those withtwo living children. Similarly, the proportions who cited their children astheir most important source of income do not seem to vary significantlyafter the second living child. This threshold level has significantimplications on the fertility levels. It implies that one does not have tobear more than two children since economic returns beyond this numberis not substantially rewarding. Although this perception assumes a veryeconomic approach to the value of children, it may not be totally validin the Philippine culture where non-economic value of children prevails.
Generally, the study projects a very active flow of exchange betweenthe elderly and their children in both monetary and non-monetary terms.Although not quite pronounced, intra- rather than inter-householdexchanges seem more pronounced. The elderly regardless of sex aremore likely to receive support from their co-resident children as comparedwith their non-co-resident children (Table10). The female elderly are alsothe more likely recipients of monetary and non-monetary support fromtheir children compared to the male,- a finding which corroborates the
findings in a study in Singapore (Chan, 1997). This finding may reflectthe perception among children that their mothers are in need of moresupport than their fathers.
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
15/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
55
REBMUN
GNIVILFO
NERDLIHC
EVIREDOHW%
MORFEMOCNI
NERDLIHC
RIEHTREDISNOCOHW%
RIEHTSANERDLIHC
TNATROPMITSOM
EMOCNIFOECRUOS
DEVIECEROHW%
*YRATENOM-NON
MORFTROPPUS
NERDLIHC
1
2
3
4
5
6
7
8
+9
LATOT
1.23
4.95
1.75
8.75
8.26
5.96
3.37
7.26
2.17
3.46
5.72
9.63
2.23
9.92
2.93
5.53
0.93
0.04
1.73
6.63
2.17
1.78
4.39
3.88
5.97
0.19
1.09
1.68
1.98
3.78
XES SEXESHTOB
ELAM ELAMEF TNECREP REBMUN
nerdlihCtnediseR-oC.A
morfyenomdeviecerohw%-
nerdlihctnediser-ocyna
tnacifingisynadeviecerohw%- tnediser-ocynamorftnuoma
yratenom-nondeviecerohw%-
tnediser-ocynamorf*troppus
nerdlihc
9.38
5.42
2.48
1.88
4.42
1.29
3.68
4.42
7.88
)657(
)412(
)777(
nerdlihCtnediseroC-noN.B
morfyenomdeviecerohw%-
nerdlihctnediseroc-nonyna
tnacifingisynadeviecerohw%-
tnediseroc-nonynamorftnuoma
yratenom-nondeviecerohw%-
tnediseroc-nonynamorf*troppusnerdlihc
8.47
8.02
1.77
2.28
2.12
6.68
5.08
1.12
5.28
)1511(
)4511(
)4511(
* Food, Clothes
* Non-monetary support includes food, clothing or small items
TTTTTABLE 9ABLE 9ABLE 9ABLE 9ABLE 9
MONETMONETMONETMONETMONETARARARARARY AND NON-MONETY AND NON-MONETY AND NON-MONETY AND NON-MONETY AND NON-MONETARARARARARY SUPPORY SUPPORY SUPPORY SUPPORY SUPPORT FROM CHILDRENT FROM CHILDRENT FROM CHILDRENT FROM CHILDRENT FROM CHILDREN
BY NUMBER OF LIVING CHILDRENBY NUMBER OF LIVING CHILDRENBY NUMBER OF LIVING CHILDRENBY NUMBER OF LIVING CHILDRENBY NUMBER OF LIVING CHILDREN
TTTTTABLE 10ABLE 10ABLE 10ABLE 10ABLE 10ELDERLELDERLELDERLELDERLELDERLY SUPPORY SUPPORY SUPPORY SUPPORY SUPPORT FROM CHILDRENT FROM CHILDRENT FROM CHILDRENT FROM CHILDRENT FROM CHILDREN
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
16/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
56
Ownership of Home, Land and other AssetOwnership of Home, Land and other AssetOwnership of Home, Land and other AssetOwnership of Home, Land and other AssetOwnership of Home, Land and other Asset
The study reveals a high rate of home and land ownership amongthe Filipino elderly This is significant since it represents not onlypossession of fixed assets but an additional source of income particularlyamong the urban poor communities where it is a common practice torent part of their space to generate income.
Table 11 reflects the home ownership among the elderly by selectedbackground variables. Data reveal a high rate of home ownership withalmost three quarters (74.3 percent) declaring ownership of their current
place of residence. This level is net of those who declared joint-ownershipwith their children. Children of the elderly also reflect a high rate ofownership (13.1 percent) of the elderlys current place of residence.Another 10 percent of the elderly claimed ownership of a house otherthan their current place of residence. This high level of home ownershipamong the old is a phenomenon apparently shared by other countriesin the region such as Thailand where the corresponding figure is 89percent.
Elderly males, rural residents and those who are married exhibit higherlevels of ownership of their current residence than their counterparts.The rural advantage may be a reflection of the relative availability andaccessibility of housing materials in these areas not to mention theabundance of land to build it on.
Compared to homeownership, a much lower proportion declaredownership of the land where their current residence stands (Table 12).Only about 64.9 percent of the older people claimed ownership to boththeir house and the lot where their residence is located (Table 13). Quitea significant proportion (about 18 percent) can be categorized as de factosquatters since their current residence is located either on a governmentor private property. This group represents a very vulnerable group ofelderly population who confront the perpetual threat of eviction and fearof losing their home.
As in the case of Thailand, the remarkably high ownership rate ofresidence can be explained by the common practice of transferringproperty after the death of the owner. Almost 9 out of 10 elderly in the
study have not yet divided up their property and other assets amongtheir heirs at the time of the survey which could also reflect the elderlysneed to hold on some tangible source of security in their old age (Figure 3).
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
17/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
57
FIGURE 3FIGURE 3FIGURE 3FIGURE 3FIGURE 3
STSTSTSTSTAAAAATUS OF PROPERTUS OF PROPERTUS OF PROPERTUS OF PROPERTUS OF PROPERTY AND ASSETSTY AND ASSETSTY AND ASSETSTY AND ASSETSTY AND ASSETS
OF ELDERLOF ELDERLOF ELDERLOF ELDERLOF ELDERLY AND SPOUSEY AND SPOUSEY AND SPOUSEY AND SPOUSEY AND SPOUSE
As the results suggest, there is a very low transfer of property as parentsage which tends to highlight both the economic and emotional valueattached to inheritance in general. It is worthwhile to mention that inthe context of the Filipino culture, it seems unethical for a child to sellan inherited property particularly when the parents are still alive. Evenafter their parents death, it is a common practice to keep the propertyfor sentimental reasons and may not be disposed off unless one isconfronted with compelling financial constraints.
Besides house and lot, the study inquired into the elderlys ownershipof other assets. Like income data, asset data were gathered using thecouple as the unit of analysis. A relatively low level of ownership is notedwith 41.3 percent (data not shown) of respondents having no other assetat all. For those who reported ownership of asset, a multiplicity ofownership is shown with each owning 1.3 assets on the average (Table14). The elderly showed high ownership of jewelry and appliances (40.7percent) followed by real estate properties (36.9 percent) (Table 15). Thelow ownership of cash savings with the male exhibiting an advantageaugurs well with the low income levels reported by the elderly.
Ownership of other assets is closely related with income level andsource (Tables 14 and 16). Results show that those who own other assets
5,8 4,8
89,4
Not Yet Divided
All Divided among children or other relatives
Partly Divided
89.489.489.489.489.4
4.84.84.84.84.85.85.85.85.85.8
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
18/30
58
FORENWO
ECNEDISERTNERRUC
EGA
+06GNOMA
XES ECNEDISER
95-05 +06 LATOT
+05 ELAM ELAMEF NABRU LARUR
REVEN
EIRRAM
tnednopseR
esuopS
esuopSdnatnednopseRhtoB
nerdlihcdnaesuops,tnednopseR
sgnilbisro/dnastneraP
rethguad/noS
rotsecna/nalc/sevitalerrehtO
*srehtO
8.22
0.3
9.65
9.1
2.5
3.2
5.3
4.4
9.33
7.1
7.83
0.3
7.1
1.31
2.3
7.4
9.82
3.2
8.64
5.2
2.3
3.8
3.3
7.4
1.03
1.1
2.05
1.2
1.1
3.9
7.2
4.3
5.63
2.2
4.03
7.3
0.2
9.51
8.3
5.5
2.33
0.2
2.43
8.3
3.3
1.11
9.4
5.7
4.43
5.1
1.24
4.2
4.0
7.41
1.2
5.4
2
2
3
1
LATOT 0.001 0.001 0.001 0.001 0.001 0.001 0.001 01
esuohrehtonanwoohw% 8.11 0.01 8.01 0.11 5.9 7.01 6.9
TTTTTABLE 11ABLE 11ABLE 11ABLE 11ABLE 11
OWNERSHIP OF CURRENT RESIDENCE BOWNERSHIP OF CURRENT RESIDENCE BOWNERSHIP OF CURRENT RESIDENCE BOWNERSHIP OF CURRENT RESIDENCE BOWNERSHIP OF CURRENT RESIDENCE BY SELECTED BACKGROUY SELECTED BACKGROUY SELECTED BACKGROUY SELECTED BACKGROUY SELECTED BACKGROU
* Includes government or employer; son-in-laws, non-relatives, donations etc.
** 82.8% of elderly claimed to have built their own house 71.6% of elderly can either sell or mortgage house currently residing
% renting in urban areas = 5.1%
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
19/30
59
DNALFORENWO
NOSEVILREREHW
EGA
+06GNOMA
XES ECNEDISER
95-05 +06 LATOT
+05 ELAM ELAMEF NABRU LARUR
REVEN
DEIRRAM
tnednopseR esuopS
esuopS&tnednopseR
nerdlihc&esuops,tnednopseR
rethguad/noS
sthgirhtiwdenwotnemnrevoG
sthgirtuohtiwdenwornemnrevoG
toltnacav/etavirP
gnitneR
srotsecna/nalC
rehto/sevitalerrehtO
9.51 7.6
3.23
3.0
9.0
7.1
7.5
9.9
9.6
9.4
8.41
1.42 8.4
2.42
0.1
5.7
5.2
7.5
7.9
7.4
6.3
2.21
5.02 6.5
8.72
7.0
5.4
1.2
7.5
8.9
7.5
2.4
4.31
2.02 8.3
6.13
6.0
9.4
1.2
3.5
5.01
2.4
8.3
0.31
9.62 6.5
0.91
4.1
2.9
7.2
0.6
1.9
2.5
3.3
6.11
2.32 0.6
6.12
1.1
7.7
3.3
6.6
9.7
0.8
7.2
9.11
9.42 8.3
3.62
0.1
3.7
7.1
0.5
1.11
1.2
2.4
6.21
3.6 -
-
-
-
-
4.9
3.6
3.6
5.21
2.95
LATOT 0.001 0.001 0.001 0.001 0.001 0.001 0.001 0.001
TTTTTABLE 12ABLE 12ABLE 12ABLE 12ABLE 12OWNERSHIP OF LOWNERSHIP OF LOWNERSHIP OF LOWNERSHIP OF LOWNERSHIP OF LAND WHERE R LIVES ONAND WHERE R LIVES ONAND WHERE R LIVES ONAND WHERE R LIVES ONAND WHERE R LIVES ON
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
20/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
60
particularly cash savings are more likely to exhibit higher income levels
compared to those who declared not owning assets. Those who reportedrentals and family business as their most important source of incomealso exhibit the highest ownership of other assets while those relying onchildren/relatives for their subsistence exhibited the lowest rate of otherasset ownership while owning one asset on the average. This presentsthe diversity in the income levels of the elderly with some economicallybetter off sector although the majority are generally experiencingeconomic deprivation.
Debts and ExpendituresDebts and ExpendituresDebts and ExpendituresDebts and ExpendituresDebts and ExpendituresGiven the tight financial state that the elderly find themselves in, it is
not surprising to note that a good number of them registered somefinancial liability. The elderly are less likely to incur debts compared totheir near-elderly counterparts. Whereas 38.7 percent among the elderlyclaimed to have some debts, the corresponding figure is 57.6percentfor the near-elderly (Figure 4). Differential analysis also reveals theeconomically better-off sector of the elderly population are more likelyto be indebted. While the reverse pattern may be expected, the findings
seem more rational in the sense that those with higher income and assetsare more creditworthy and thus are more likely to be given access toloans and credits.
DNALFORENWO
NOEVILYLTNERRUC
ESUOHFO)S(RENWO
esuopS,R
htoBro
esuopS,R
nerdlihC&
/noS
rethguaD LATOT
htoBroesuopS,tnednopseR-
nerdlihCdnaesuopS,tnednopseR-
sthgirhtiwdenwotnemnrevoG- sthgirtuohtiwdenwotnemnrevoG-
gnitneR-
tnacav/etavirP-
srehtO/sevitalerrehtO-
9.46
8.2
8.1 5.5
1.3
9.9
0.21
4.74
5.81
6.2 6.2
9.7
5.01
5.01
5.42
9.24
5.6 8.4
0.3
5.6
8.11
1.35
4.8
4.2 7.5
7.4
6.9
1.61
LATOT 0.001 0.001 0.001 0.001
TTTTTABLE 13ABLE 13ABLE 13ABLE 13ABLE 13
PERCENT DISTRIBUTION OF ELDERLPERCENT DISTRIBUTION OF ELDERLPERCENT DISTRIBUTION OF ELDERLPERCENT DISTRIBUTION OF ELDERLPERCENT DISTRIBUTION OF ELDERLY BY BY BY BY BY OWNERSHIP OF HOUSEY OWNERSHIP OF HOUSEY OWNERSHIP OF HOUSEY OWNERSHIP OF HOUSEY OWNERSHIP OF HOUSE
CURRENTLCURRENTLCURRENTLCURRENTLCURRENTLY LIVE ON AND THEIR LY LIVE ON AND THEIR LY LIVE ON AND THEIR LY LIVE ON AND THEIR LY LIVE ON AND THEIR LAND LIVE ONAND LIVE ONAND LIVE ONAND LIVE ONAND LIVE ON
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
21/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
61
EMOCNIFOECRUOSTNATROPMITSOM TNECREP REBMUNNAEM
STESSAFO
krowmorfsgninraE
noisneP
yapnoitarapes/ytiunnA
slatneR
ssenisubylimafmorfemocnI
mrafmorfemocnI
yrtnuocehtnihtiwsevitaler/nerdlihcmorfemocnI
yrtnuocehtedistuosevitaler/nerdlihcmorfemocnI
5.65
2.87
0.57
7.59
5.98
7.76
4.74
7.67
2.1
8.1
4.2
4.2
4.2
5.1
9.0
6.1
LATOT 7.16 3.1
TTTTTABLE 14ABLE 14ABLE 14ABLE 14ABLE 14
PERCENT OF ELDERLPERCENT OF ELDERLPERCENT OF ELDERLPERCENT OF ELDERLPERCENT OF ELDERLY WITH AY WITH AY WITH AY WITH AY WITH AT LEAST ONE T LEAST ONE T LEAST ONE T LEAST ONE T LEAST ONE OTHEROTHEROTHEROTHEROTHER ASSET ASSET ASSET ASSET ASSET
OHWYLREDLEFOTNECREP
GNIWOLLOFEHTEVAH
STESSA"REHTO"
XES
ELAM ELAMEF
etatselaeR
sgnivashsaCseirehsifromraf,ssenisubanitseretnI
secnailppa,yrleweJ
9.63
3.218.02
7.04
2.33
7.82.91
6.04
TTTTTABLE 15ABLE 15ABLE 15ABLE 15ABLE 15
OTHER ASSETS OF ELDERLOTHER ASSETS OF ELDERLOTHER ASSETS OF ELDERLOTHER ASSETS OF ELDERLOTHER ASSETS OF ELDERLY OF THE FILIPINO ELDERLY OF THE FILIPINO ELDERLY OF THE FILIPINO ELDERLY OF THE FILIPINO ELDERLY OF THE FILIPINO ELDERLY BY BY BY BY BY SEXY SEXY SEXY SEXY SEX
FIGURE 4FIGURE 4FIGURE 4FIGURE 4FIGURE 4
PERCENT WITH DEBT BY LEVELPERCENT WITH DEBT BY LEVELPERCENT WITH DEBT BY LEVELPERCENT WITH DEBT BY LEVELPERCENT WITH DEBT BY LEVEL
AMONG ELEDERLAMONG ELEDERLAMONG ELEDERLAMONG ELEDERLAMONG ELEDERLY AND MEAN ELDERLY AND MEAN ELDERLY AND MEAN ELDERLY AND MEAN ELDERLY AND MEAN ELDERLYYYYY
Pe
rcentwith
debt 38,7
57,6
0
10
20
30
40
50
60
Elderly Mean Elderly
38.7
57.6
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
22/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
62
Sources of debts indicate the elderlys greater dependence oninformal rather than formal sources. This is reflected by the popularityof the sari-sari store as their credit source (Table 17). Sourcespersonally known to them including relatives and friends are likewiseapproached in times of financial want. Only a few have access tothe formal sources such as banks (6.4 percent), GSIS/SSS (0.5percent) or cooperatives (2.5percent) which may be due to the difficulty ofsecuring the necessary requirements and the need for some collateral.That some elderly are more likely to approach a usurer (3.1%) thanthe formal sources of credit is a clear indication of the inaccessibilityof the latter as a source of support. It is significant to mention that asubstantial proportion of the elderly rely not just on one but acombination of these financial sources.
The study inquired about the level of expenditures and how these werehandled in relation to available income. Although income andexpenditures have different time frames with the income variable takenannually, expenditures was estimated on a monthly basis. Adjustmentswere made to make them comparable. Another limitation of theseestimates was that income was taken for the year prior to the survey
while expenses refers to the year the survey was conducted. Estimateswere likewise affected by the seasonality of expenditures which couldaffect the figures provided.
STESSA.FFEHTFOPIHSRENWO ELAM ELAMEF
etatselaeR
nwO
nwotoN
000,02
000,01
004,41
000,9
sgnivashsaC
nwO
nwotoN
718,84
000,21
425,34
000,01
yrehsifromraf,ssenisubaniteseretnI
nwO
nwotoN
829,42
000,21
992,61
000,01
selbaulavrehtodnasecnailppa,yrleweJ
nwO
nwotoN
000,42
000,01
082,71
485,6
TTTTTABLE 16ABLE 16ABLE 16ABLE 16ABLE 16
MEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLMEDIAN INCOME OF ELDERLY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY AND SPOUSE BY OWNERSHIP OFY OWNERSHIP OFY OWNERSHIP OFY OWNERSHIP OFY OWNERSHIP OF
ASSETS AND SEX OF ELDERLASSETS AND SEX OF ELDERLASSETS AND SEX OF ELDERLASSETS AND SEX OF ELDERLASSETS AND SEX OF ELDERLY AGEY AGEY AGEY AGEY AGE
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
23/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
63
Generally, pooling of HH resources is the most acceptable mode ofmanaging HH resources with no apparent differential across certainbackground characteristics (Table 18). About 45 percent of the elderlypool their family income while 28.6 percent manage expenses using acombination of pooling and assigning expenses among HH members.Pooling is particularly more apparent in rural and intact HHs. Malerespondents are also more likely to claim pooling their resources. Lesspooling is observed among HH members of never married and divorcedrespondents. Compared to the elderly, the near-elderly HH are morelikely to pool their resources rather than cover assigned expenses. Thismay be due to the fact that the former are more likely to have childrenwho have reached employment ages and therefore are ready to assumecertain economic responsibilities.
Pooling of resources indicates a more cooperative way by which theHH needs are met. Such approach seems a logical coping mechanismfor an economically unstable group since economically dependentmembers can benefit from the support of the economically better-offmembers. Elderly respondents who claimed to pool their HH incomereported a median pooled income of P3,000 which is just enough to
cover their monthly cost of operating the HH (data not shown). Mostof the HH expenditures (about 89 percent) are spent on food implyingthat incomes are so low that they are mostly dedicated for the satisfaction
MORFYENOMDEWORROB 95-05 +06
evitaleR
dneirF
erotsiras-iraS
)xis-evif(rerusU
knaB
SSS/SISG
evitarepooCseirogetacevobaehtfoynafonoitanibmoc/srehtO
4.11
9.9
9.92
1.4
5.7
0.3
9.43.92
3.21
6.9
0.83
1.3
4.6
5.0
5.26.72
LATOT 0.001 0.001
TTTTTABLE 17ABLE 17ABLE 17ABLE 17ABLE 17
PERSON FROM WHOM ELDERLPERSON FROM WHOM ELDERLPERSON FROM WHOM ELDERLPERSON FROM WHOM ELDERLPERSON FROM WHOM ELDERLY BY BY BY BY BORROWED MONEYORROWED MONEYORROWED MONEYORROWED MONEYORROWED MONEY
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
24/30
64
GNIGANAMFOEDOM
*EMOCNIDLOHESUOH
6GNOMA
XES XES
95-05 +06 LATOT
+05 ELAM ELAMEF NABRU LARUR
EVEN
RRAM
emocnIlooP
sesnepxedengissarevoCdengissaemosdnagniloopemoS
9.94
6.915.03
8.14
6.926.82
1.54
6.524.92
5.64
1.924.42
8.83
0.032.13
9.63
8.823.43
8.54
6.036.32
LATOT 0.001 0.001 0.001 0.001 0.001 0.001 0.001 1
TTTTTABLE 18ABLE 18ABLE 18ABLE 18ABLE 18
MODE OF MANAGING HOUSEHOLD INCOME TO MEET HOUSEHOLMODE OF MANAGING HOUSEHOLD INCOME TO MEET HOUSEHOLMODE OF MANAGING HOUSEHOLD INCOME TO MEET HOUSEHOLMODE OF MANAGING HOUSEHOLD INCOME TO MEET HOUSEHOLMODE OF MANAGING HOUSEHOLD INCOME TO MEET HOUSEHOLBBBBBY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VARIABLESARIABLESARIABLESARIABLESARIABLES
* Asked only of respondents where there are other income earner in the HHbesides Respondents and Spouse.
P3,000 - median monthly pooled household income.
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
25/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
65
of the most basic necessity. Contrast this with the 1994 Family Incomeand Expenditure. Survey (FIES) which reported a 47.8 percent share of
total food expenditures to total expenditures for the entire country. Thedifference is clearly an indication of the the relatively lower economicstanding of older people vis- a-vis national standards.
A significant proportion of the elderly contribute to the HH of theoperating expenditures. While in absolute terms, their contribution maybe considered low, in relative terms this is substantial. Their monthlymean contribution of P1,517 cover more than half (53.8 percent) ofthe monthly HH operating expenses while the corresponding figures
for the near-elderly are P2,052/month and three quarters (75.1percent), respectively (Table 19). Clearly, even with low incomes, theolder people are still bringing in significant help and assistance for thesustenance of their HH.
The amount of contributions that the elderly make for their HHexpenditures is associated with age and their source of income. Elderlycouples contribute significantly less than their near-elderly counterparts(Table 19). Contribution to HH expenditures is also dependent on their
most important source of income. Those with very stable incomes (e.g.annuity and family business) reported the highest levels of financialcontribution while the less financially well-off groups such as thosewho depend on their children reported the lowest level of contribution(Figure 5). What is significant to note is the latters ability to contributedespite their apparently low and unstable incomes. Perhaps thisprovides a glimpse of the Filipino elderlys notion of well-being whichis not only limited to his/her personal welfare but encompassing thatof the entire family or HH. This concept seems to explain the active
intergenerational flow of resources observed in the elderly HHs. Suchnetwork of support likewise reflects the elderlys role as a mechanismor conduit for the redistribution of family income in order to maximizeoverall family well-being. In a sense, the elderly by serving as achannel for family resources serves as an economic broker for theentire family.
When the elderly were asked about their perception regarding theirHH financial status, they seem to project a poor economic condition.Majority claimed to be facing considerable difficulty in meeting their HH
expenses. About 30 percent declared to have just enough means tofoot their bills while a low proportion (8.9 percent) reported relativeease in meeting their HH expenditures (Figure 6).
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
26/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
66
EGA snoitubirtnoCnaeM
)P(htnoM/esuopS&Ryb
ybedaMnoitubirtnoC
HHotesuopS&ylredlE
gnitarepOylhtnoM
)%(sesnepxE
erutidnepxEylhtnoM
fon'porPasadooFno
gnitarepOHHlatoT
HHs'RnierutidnepxE
95-05
+06
07.150,2
62.715,1
1.57
8.35
7.88
1.98
LATOT 32.098,1 18.36 9.88
TTTTTABLE 19ABLE 19ABLE 19ABLE 19ABLE 19
ELDERLELDERLELDERLELDERLELDERLYS CONTRIBUTION TO HOUSEHOLD EXPENSESYS CONTRIBUTION TO HOUSEHOLD EXPENSESYS CONTRIBUTION TO HOUSEHOLD EXPENSESYS CONTRIBUTION TO HOUSEHOLD EXPENSESYS CONTRIBUTION TO HOUSEHOLD EXPENSES
Farm
Family Business
Rentals/Savings
Annuity
Pension
Work
0 500 1000 1500 2000 2500 3000 3500 4000
FIGURE 5FIGURE 5FIGURE 5FIGURE 5FIGURE 5
ELDERLELDERLELDERLELDERLELDERLYS MEDIAN CONTRIBUTION TOYS MEDIAN CONTRIBUTION TOYS MEDIAN CONTRIBUTION TOYS MEDIAN CONTRIBUTION TOYS MEDIAN CONTRIBUTION TO
HOUSEHOLD EXPENDITURES BHOUSEHOLD EXPENDITURES BHOUSEHOLD EXPENDITURES BHOUSEHOLD EXPENDITURES BHOUSEHOLD EXPENDITURES BY MOST IMPORY MOST IMPORY MOST IMPORY MOST IMPORY MOST IMPORTTTTTANTANTANTANTANT
SOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOMESOURCE OF INCOME
C o n s i d e r a b l
e d i f f ic u l t y
in m e e t in g
e x p e n s e s
3 8 %
J u s t e n o u g h
t o p a y
e x p e n s e s
w i th n o
d i f f i c u l t y
3 0 %
T h e r e ' s
e n o u g h
m o n e y
l e f t o v e r
8 , 9 %
S o m e
d i f f i c u l t y i n
m e e t i n g
e x p e n s e s
2 3 , 1 %
FIGURE 6FIGURE 6FIGURE 6FIGURE 6FIGURE 6ELDERLELDERLELDERLELDERLELDERLY PERCEPTION REGARDINGHOUSEHOLDY PERCEPTION REGARDINGHOUSEHOLDY PERCEPTION REGARDINGHOUSEHOLDY PERCEPTION REGARDINGHOUSEHOLDY PERCEPTION REGARDINGHOUSEHOLD
INCOME AND EXPENDITURESINCOME AND EXPENDITURESINCOME AND EXPENDITURESINCOME AND EXPENDITURESINCOME AND EXPENDITURES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
27/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
67
The extent of the financial burden of the elderly is likewise picturedin the high proportion who claimed some concern about their finances.About 80 and 67 percent of the near-elderly and elderly, respectivelyworried about their financial status (Table 20). Despite the elderly males
income advantage, a greater proportion among them expressed concernregarding their financial status compared with their female counterparts.This could be an expression of the pressure they feel as the mainbreadwinner of the families. A higher proportion of ruralites as well asthe divorced/separated were also noted to feel a greater financial pinch.
A deeper understanding of the elderlys poor self-assessment withrespect to their economic well-being seems to be an expression of thefamilys economic condition. Such altruistic nature of the elderly is
again reflected in the high proportion (64 percent) among them whoexpressed concern that their children did not have better economiclives. This finding is consistent with the altruism hypothesis advanced
SELBAIRAV
EDUTITTA/NOITPECREP
asawItlefI
srehtootnedrub
ymtuobadeirrowI
sutatslaicnanif
deneddas/deirrowI
tondidnerdlihcymtaht
yllacimonoceevah
sevilretteb
egA
95-05
+06 +05latoT
3.81
4.52 2.22
4.08
2.76 2.37
1.46
2.46 1.46
)+06(xeS
elaM
elameF
9.22
1.72
2.07
2.56
3.26
5.56
)+06(ecnediseR
nabrU
laruR
5.42
2.62
9.46
0.96
3.26
5.56
)+06(sutatSlatiraM
deirraMreveN
deirraMdewodiW
detarapeS/decroviD
3.93
2.225.82
3.23
0.06
4.768.66
4.77
-
2.563.36
3.35
TTTTTABLE 20ABLE 20ABLE 20ABLE 20ABLE 20
ELDERLELDERLELDERLELDERLELDERLY PERCEPTION/AY PERCEPTION/AY PERCEPTION/AY PERCEPTION/AY PERCEPTION/ATTTTTTITUDE TOWTITUDE TOWTITUDE TOWTITUDE TOWTITUDE TOWARDS THEIR ECONOMICARDS THEIR ECONOMICARDS THEIR ECONOMICARDS THEIR ECONOMICARDS THEIR ECONOMIC
STSTSTSTSTAAAAATUS BTUS BTUS BTUS BTUS BY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VY SELECTED BACKGROUND VARIABLESARIABLESARIABLESARIABLESARIABLES
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
28/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
68
by Becker (in Lillard and Willis, 1997) which posits that family membershave altruistic feelings towards one another as a key ingredient in
explaining many aspects of family behavior. The feeling of being a burdento others may also be related to economic concerns. While in the contextof the Philippine culture children are expected to take care of theirparents in their old age, some parents do not seem very comfortablewith such an arrangement as manifested by their feeling of being aburden to their children.
CONCLUSION
Demographic transitions in our country, the historical decline in mortalityand fertility have fashioned an irreversible future scenario marked by anincreasing number and proportion of elderly population in the Philippines.Besides this quantitative change, the future generation of elderly willalso project a different qualitative profile than their forebears. As aconsequence of past policies towards expanding educationalopportunities, the incoming cohort of elderly will be better educated andthus are expected to be more active in the labor force. Concomitantwith this is the expected gains in health condition marked by their
increasing longevity. Thus the future elderly will be expected to outlivetheir predecessors. While the improved longevity particularly amongwomen is a reason to celebrate, it nevertheless poses serious healthimplications knowing that health needs progress with advancing age.
These quantitative and qualitative shifts are important to recognizeinsofar as they impinge on the economic well-being of our elderly.Current data indicate that despite the seemingly structural advantageof the Filipino elderly(e.g., almost a universal proportion are intimatelyconnected with their families either by living together or via monetaryand non-monetary support) they are in a precarious economic condition.In the 1996 PES, they reported very low levels of income, much lowerthan the poverty threshold reported in the country for the same period.This outcome is quite expected considering that most of them dependon transfers from their children for their main source of income. Earningsfrom work and farm, albeit also an important source of revenue to manyappears secondary in importance. Only about a tenth were recipients ofpension pay which validates the fact that care for the elderly in thecountry rests largely in the hands of the family than that of the state.
Faced with economic constraints, a good number of the older personscontinue to eke out a living to support not only themselves but other
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
29/30
ECONOMICWELL-BEINGOFTHEFILIPINOELDERLY Grace T. Cruz
69
members of their HH. Except those working in the formal sector whoare severed from the labor force involuntarily, it is likely that many of
them especially those in the primary sector will continue working perhapsuntil such time that an alternative mechanism of support is available.While their sustained participation in the LF has its gains, its impact ontheir health condition must not be overlooked. This assumes significancein the face of an apparent lack of health care safety nets for the elderlyin the country, indexed further by the lack of available gerontologicalhealth facilities as well as low health insurance coverage.
The active inter-generational exchange support noted in the study is
proof that the elderly is not only a recipient but a provider of support aswelltheir low economic status notwithstanding. The significantproportion among them remain in the position of HH head makes theolder person occupy a central position in the web of familial exchangeof support. Indeed, this proves the elderly to be an economic asset ratherthan a burden as they are normally pictured. It would seem thatcontinuous and selfless investment that the elderly pour on the otherHH members is at the same time a preparation for their old age. Byinvesting on the younger generation in terms of good relationship and
service, the elderly are provided with a sense of security about their future,trusting that the goodness they sow will be reaped in their twilight years.In this way, the elderly can find and derive meaning in the state of lifethat they find themselves in.
This view of the elderly as assets in society should not distract usfrom the not so rosy economic condition that a majority of them findthemselves in. This is primarily because the study shows how theeconomic woes are linked with despondency. This suggests that so much
more has to be done to give our elderly a satisfying life. Providinganswers to their economic vulnerability is just the initial step towardsthis end. The results of this study depicting the economic burden facedby the elderly therefore provides a challenge primarily to the governmentin terms of making the necessary preparations to face the increasingneeds of our future ageing population. As the world in general(particularly the developed world) is poised to meet the needs of thisemerging demographic phenomenon, the Philippine government (andNGOs as well) response should be no less. This is important particularly
since the study notes that the economic burden is closely interrelatedwith other elderly concerns such as health, psychological and socialfactors which are essential elements in defining overall well-being.
7/26/2019 Cruz 2009. Economic Wellbeing of Felipino Elderly
30/30
vol. 56 nos.1-4, jan-dec 1999 PHILIPPINESOCIALSCIENCESREVIEW
REFERENCES
Al Ju, Chen and Paul P.L. Cheung. The Elderly in Singapore.
Asis, Maruja Milagros et al.. Living arrangements in Four Asian Countries:A Comparative Perspective. JourJourJourJourJournal o f Cross Cultural Gerontologvnal o f Cross Cultural Gerontologvnal o f Cross Cultural Gerontologvnal o f Cross Cultural Gerontologvnal of Cross Cultural Gerontologv.....Vol 10 (1995).
Bulatao, Rodolfo A. On the nature of the transition in the value of children.Papers of the East-West Population Institute No. 60-A. Honolulu.
Chayovan, Napaporn. Thailands Elderly population: A Demographic andSocial Profile Based on Official Statistical Sources. Compara tive Studyof the Elderly in Asia: Research Report N o.92-14. Ann Arbor: Population
Studies Center, University of Michigan.
Christenton Bruce A. and Albert I. Hermalin. Comparative Analysis of theChanging Educational Composition of the Elderly Population in Five Asiancountries: A Preliminary Report.
Comparative Study of the Elderly in Asia: Research Report N o.91-Il.Ann Arbor:Population Studies Center, University of Michigan.
Concepcion, Mercedes B. Emerging Issues of Aging in the ASEAN Region.Econom ic and Socia l Im pl icat ions of PEconom ic and Socia l Im pl icat ions of PEconom ic and Socia l Im pl icat ions of PEconom ic and Socia l Im pl icat ions of PEconom ic and Socia l Im pl icat ions of Popu la t ion Ag ing .opu la t ion Ag ing .opu la t ion Ag ing .opu la t ion Ag ing .opu la t ion Ag ing . New York,UN, 1988.
Domingo, Lita J., Imelda Z Feranil et al. Socio-econom ic Consequences ofthe Aging Population: Insights from the Philippine Experience.Quezon City:Demographic Research and Development Foundation, 1990.
_____________.The Family and Welfare of the Filipno Elderly. Bold.Bold.Bold.Bold.Bold. Vol 6No.4(1996).
Kinsella, Kevin and Yvonne J. Gist. Older Workers, Retirement , and Pensions: AComparative Internat ional Chartbook. IPC 95-2. Washington.
Lillard, Lee A. and Robert J. Willis. Motives for Intergenerational Transfer:
Evidence form Malaysia. Demographyvol. 34 no.1, February, 1997: 115-134.
Medina, Belen T. G. The Filipino Family: A Text with Selected Readings.QC:UP Press 1991.
Population Reference Bureau, Inc.19 96 World Data SheetPhilippineStatistical Yearbook, 1996
United Nations. Demograph ic Yearbook Special Issue.New York, 1993.
United Nations. The Sex and Age Distribution of the World Populations: The 1994
Revision.New York, 1994.