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    Inequality, Education, and Occupational Change in the Philippines

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    Despite significant progress in reducing poverty, the Philippines continues to face high inequality, which stayed elevated in the early 2000s as the economy grew. Although inequality has gradually declined since 2012, it remains among the highest in Southeast Asia. This paper examines how changes in education levels and occupational structure have shaped the wage distribution over the past two decades, particularly how changes in the relative supply of skills and the structure of employment have influenced wage gaps in recent years.Using two decades of labor force survey data, the paper examines the wage premium and the supply of skilled workers in the Philippines, finding that the slow growth in college-educated workers has sustained high wage premium for skilled workers. Unconditional quantile regressions reveal that returns to both college education and high-skill occupations increase monotonically over the wage distribution, contributing to the persistence of inequality. Changes in occupational structure have also influenced income distribution. Low- and middle-skilled jobs saw relative wage gains from 2002 to 2012, but middle-skilled occupations experienced the highest growth from 2012 to 2016—a key driver behind falling wage inequality. Employment trends followed a similar pattern, with middle-skilled job growth peaking in 2012-2016. Recent trends suggest a shift away from middle-skilled jobs, though it remains uncertain whether this reflects structural changes in the labor market or temporary disruptions

    Social Defaults and Plan Choice: The Case of Spousal Following

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    This paper studies how couples in the Medicare Part D program choose an insurance plan. Over 70 percent of enrollees choose the same plan as their spouse. Even among those with differing health care needs, well over half do so. Discrete- choice models suggest that beneficiaries place a value of more than $1,000 per year on being on the same plan as their spouse. Using a regression-discontinuity design, the paper shows that younger spouses disproportionately follow their older spouse’s plan choice. Joint plan choice contributes modestly to overall overspending, but increases costs substantially for couples with different cost-minimizing plans

    Catalyzing Transformation: Financial Sector Resilience and Innovation-Led Growth

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    The Seoul Center for Finance and Innovation (SCFI) Trust Fund, established in collaboration with the Ministry of Economy and Finance of the Republic of Korea, aims to support financial sector stability, resilience, and private sector–led growth and innovation in the East Asia and Pacific region. This report evaluates the effectiveness and outcomes of the SCFI Trust Fund Phase 3, which was implemented from July 2020 to December 2023. US$10.9 million was allocated to support financial and private sector development programs in seven countries in the East Asia and Pacific region: Cambodia, Indonesia, Lao People’s Democratic Republic, Mongolia, the Pacific Islands (Fiji, Kiribati, and Samoa), the Philippines, and Viet Nam. The SCFI Trust Fund, through the generous support of the Ministry of Economy and Finance of Korea, offered technical assistance, advisory services, and capacity building with Korean partners in thematic areas that the SCFI covers. The report spotlights the achievements in Cambodia, Indonesia, and the Philippines; the report also highlights the other beneficiary countries: Lao PDR, Mongolia, Pacific Island Countries (PICs), and Viet Nam. The three spotlight countries were selected by the SCFI team because they were some of the largest recipients of the SCFI Trust Funds under review and because they highlight a good mix of the World Bank Group’s work on the advisory and lending operation sides

    Mongolia Public Finance Review, June 2025: Making this Time Different - Fiscal Reforms for Stable, Sustainable, and Inclusive Development

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    After three difficult years, a new phase of mining-led growth that began in late 2022 has helped Mongolia emerge from a period of acute macroeconomic imbalances. Despite improvements in fiscal and macroeconomic outcomes, some vulnerabilities persist. Mongolia has experienced repeated boom-bust cycles in the past - but can this time be different? Mongolia’s economic stability, resilience, and development depend critically on fiscal reforms to reduce macroeconomic volatility and rebuild fiscal buffers to protect against future shocks. Alongside reforms to address macro-fiscal vulnerabilities, enhancing the equity and efficiency of both public spending - especially of physical and human capital - and revenue mobilization is crucial for achieving Mongolia’s NRP and Vision 2050 objectives. The country remains vulnerable to volatility due to its dependence on mining revenues - around one-fifth of the total - and faces ongoing challenges related to efficiency, equity, and the broadness of its tax base. To address these challenges, the report identifies the following priority areas for action: (i) reinforcing the fiscal framework; (ii) enhancing the efficiency of human capital spending - particularly in social protection, health, and education; (iii) improving the prioritization and value for money of public investment; (iv) strengthening the poverty and distributional impact of the fiscal system; and (v) improving revenue mobilization by enhancing the efficiency, progressivity, and simplicity of the tax system while reducing reliance on volatile mining revenues. The measures identified in this report can be used to rebuild fiscal buffers while also supporting higher economic growth, equity, and human capital outcomes

    Two Settlements, Two Diverging Paths: Jobs and Labor Market Outcomes for the Displaced Rohingya Population

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    This report presents a comparative analysis of labor market outcomes for the Displaced Rohingya Population (DRP)1 in two distinct settlement contexts in Bangladesh: the long-established camps of Cox’s Bazar and the more recently developed, geographically isolated site of Bhasan Char. Drawing on harmonized data from the 2022 Bhasan Char survey and the 2023 Cox’s Bazar Panel Survey (CBPS), the analysis highlights how location, legal constraints, and program design shape employment opportunities and economic self-reliance for displaced populations. Despite legal prohibitions on formal employment, both settlements have seen the growth of informal economic activity, with humanitarian programs providing limited livelihood opportunities that support community resilience. However, employment rates remain low overall; only about one-third of working-age DRP were employed in the year preceding the surveys. Cox’s Bazar offers relatively better outcomes, with more diverse livelihood options and lower unemployment, while Bhasan Char’s isolation and limited economic infrastructure constrain opportunities and increase reliance on aid-supported work. The report also finds that education is a key determinant of access to skilled humanitarian roles in Bhasan Char, while in Cox’s Bazar, even educated DRP are often confined to low-skilled informal work. Earnings are generally higher in Cox’s Bazar, particularly in non-humanitarian roles, and employment tends to be more sustained throughout the year. Yet, the lower earnings for the self-employed, relative to those in wage-employment, also highlight the need for augmented interventions to support the productivity of household enterprises within the camp-economy

    Technology Sophistication across Establishments

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    This paper examines technology sophistication in establishments. To comprehensively measure technology sophistication, a grid is created that covers key business functions and the technologies used to conduct them. Analyzing data from over 21,000 establishments in 15 countries, the authors find that the most widely used technology is usually not the most sophisticated available in the business function. There is significant variation in technology sophistication across and within countries, explaining 31% of productivity dispersion and over half of the agricultural productivity gap. The sophistication of widely used technologies is more relevant for productivity than the most advanced technologies. More sophisticated technologies are appropriate for both developed and developing countries

    Baseline Report

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    Causal evidence on the effectiveness of refugee labor market integration programs remains limited. This report presents baseline findings from a randomized controlled trial evaluating such a program for Syrian refugees and Turkish nationals with limited labor market attachment in Türkiye - the world’s largest refugee host. The program consists of Turkish language instruction, job readiness training, and subsidized, short-term, on-the-job training in formal enterprises, with a mandated requirement that employers retain a predetermined share of trainees, and expedited work permit processing for selected refugee participants. The evaluation sample includes 2,834 individuals – 79 percent Syrian refugees, 46 percent women, and 39 percent youth - randomly assigned to treatment and control groups, resulting in statistically balanced and evenly sized samples. The baseline findings confirm the successful initial implementation of a credible evaluation design and provide a strong foundation for estimating the program’s causal impacts

    Volume, Risk, Complexity: What Makes Development Finance Projects Succeed or Fail?

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    This study presents a quantitative analysis of the determinants of success—and failure—of bilateral development finance projects, based on a unique database covering 5,608 project evaluation results. Linking project success ratings to a comprehensive and partly novel set of explanatory factors along the project life cycle, four research hypotheses are investigated, finding that (I) development finance projects with comprehensive financing are (slightly) more successful, in particular budget funds show a significant positive correlation; (II) the project structure does not significantly influence project success; (III) more-complex development finance projects are less successful, in particular in terms of technical complexity and longer implementation duration; (IV) riskier projects are significantly less successful

    Guinea Ecuatorial Actualización Económica 2025: Gestión de la Riqueza de Guinea Ecuatorialpara un Crecimiento y Desarrollo Sostenibles

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    This is the third edition of the Economic Update for Equatorial Guinea. This World Bank report presents recent economic developments in Equatorial Guinea as well as the medium-term economic outlook and risks as well as structural challenges (Chapter 1), followed by a detailed exploration of a specific topic (Chapter 2). This edition provides policy options to maximize Equatorial Guinea’s forest wealth in order to promote sustainable growth. In particular, it discusses measurements of national wealth and links with indicators such as Gross Domestic Product. It examines Equatorial Guinea’s asset portfolio including physical, human and natural capital and how these could shape development in the country, with a focus on forest ecosystem services accounts. The chapter emphasizes the importance of comprehensive wealth accounting, including forest ecosystem, and provides insights on how to sustainably use and leverage the country’s rich forest assets.Esta es la tercera edición del informe Actualización económica de Guinea Ecuatorial. En este informe del Banco Mundial se presentan los últimos acontecimientos económicos de Guinea Ecuatorial, así como las perspectivas económicas y los riesgos a mediano plazo, así como los desafíos estructurales (capítulo 1), seguidos de una exploración detallada de un tema específico (capítulo 2). En esta edición se presentan opciones de políticas para maximizar la riqueza forestal de Guinea Ecuatorial a fin de promover el crecimiento sostenible. En particular, se analizan mediciones de la riqueza nacional y vínculos con indicadores como el producto interno bruto. Examina la cartera de activos de Guinea Ecuatorial, que incluye el capital físico, humano y natural, y cómo estos podrían influir en el desarrollo del país, con especial atención en las cuentas de servicios ecosistémicos forestales. En este capítulo se hace hincapié en la importancia de la contabilidad integral de la riqueza, que incluye el ecosistema forestal, y se proporcionan ideas sobre cómo utilizar y aprovechar de forma sostenible los ricos activos forestales del país

    Boosting Access to Opportunities and Strengthening Resilience

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    Despite decades of strong growth, Moldova remains one of the poorest countries in Europe. As the EU opened accession negotiations with Moldova in December 2023, the country is looking for new ways to support its ambitions of faster convergence of incomes and standards of living. This report assesses Moldova’s progress towards sustained poverty reduction only up to the period 2022. The report evaluates trends and drivers of poverty reduction and shared prosperity against the backdrop of macroeconomic developments. This report situates Moldova’s progress relative to that of the EU-27 against the backdrop of the European Council opening EU accession negotiations with Moldova. It considers two periods: 2014-2018 and 2019-2022. The report provides an in-depth look at persistent structural problems that continue to impede poverty reduction, while shedding light on other vulnerabilities that have increased in prominence amidst recent crises

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