The Philippines is peculiar in that a signifcant portion of its
population is dispersed globally, sending remittances that have
exceeded 8 percent of its gross domestic product (gdp) in
recent years. For the last two decades, the country has enjoyed
a steady fow of remittances from overseas Filipino workers,
which has not only provided an additional source of disposable
income to domestic households but has also served as a buffer
against economic downturns. This note shows that standard
gdp accounting and current labor statistics may inadequately
account for remittances and overseas migration, especially
their corresponding welfare consequences. A better valuation of
welfare and living standards requires alternative measures that
would better capture the migration phenomenon.