Misery index worsens in March, highest in nearly two years

The Philippines’ adjusted misery index soared to a 23-month high of 20.8% in March from 18.7% in February. It was the worst reading in nearly two years since it logged 21.8% in April 2024. The worsening of the index was driven by inflation accelerating to a 20-month high of 4.1% and underemployment reaching 12.3%. The index incorporates adjusted underemployment rate* alongside inflation and unemployment rates and offers a broader measure of economic discomfort. Originally developed by economist Arthur Okun, a lower misery index typically signals better economic health while a higher level suggests worsening economic conditions.