Impact of remittances on household income, asset and human capital: evidence from Sri Lanka

De, Prabal K.; Ratha, Dilip

doi:10.1080/21632324.2012.719348

Cited by 125 publications

(110 citation statements)

References 34 publications

(36 reference statements)

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“…Many previous studies focus on the effect of remittances on poverty rates and development (Chami et al, 2005;Gupta et al, 2009;Anyanwu and Erhijakpor, 2010;Hatemi-j and Uddin, 2014). Fewer studies explore how households' or remittance receivers' investment or allocation of remittances are influenced by the brain drain effect (Adams and Cuecuecha, 2010;De and Ratha, 2012). There is growing evidence that remittances have a major impact on development through increasing human capital formation, stimulating income and employment growth (Anyanwu and Erhijakpor, 2010;De and Ratha, 2012;Arrow et al, 2012).…”

Section: Brief Literature Review: Remittance Amounts and Allocationsmentioning

confidence: 97%

“…Published remittance amounts underestimate actual remittances because some remittances are sent through unofficial channels that go unreported (Faini, 2007;De and Ratha, 2012). Jack and Suri 1 The African Union defines African diaspora as people of African origin living outside the continent irrespective of their citizenship and nationality and who are willing to contribute to the development of the continent and the building of the African Union.…”

Section: Background and Literature Reviewmentioning

confidence: 99%

“…Remittance amounts and their use depend on decisions of both the sender and the recipient; remittance amounts may be tied to specific uses (De and Ratha, 2012). Lucas and Stark (1985) indicate that reasons for people send remittances range from pure altruism to self-interest of the emigrant.…”

Section: Brief Literature Review: Remittance Amounts and Allocationsmentioning

confidence: 99%

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Remittance receipts and allocation: a study of three African countries

2015

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Remittances may influence household expenditures, poverty rates, development and investments in the receiving country. Using World Bank survey data from Ethiopia, Uganda and Kenya, the influence of remitters' and recipients' characteristics on remittance amounts and allocation is examined. Effects of the remitter-receiver characteristics on remittance amounts are generally similar between countries. Such similarities imply a potential similar effect of policies in these countries. Age, household income, frequency of communication, family relations with remitter and country the recipient resided in influence remittance allocation. Recipients in Ethiopia and Uganda are more likely to allocate remittance towards savings than those in Kenya.

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Section: Brief Literature Review: Remittance Amounts and Allocationsmentioning

confidence: 97%

Section: Background and Literature Reviewmentioning

confidence: 99%

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Remittance receipts and allocation: a study of three African countries

2015

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“…De & Ratha, 2012;Dey, 2015). Variation in the amount of remittances received by migrant households from migrants working in different destinations will have important implications on the utilization of remittances by households.…”

Section: Discussionmentioning

confidence: 99%

Remittance Received by Households of Western Chitwan Valley, Nepal: Does Migrant’s Destination Make a Difference?

Bhandari¹

2016

Dhaulagiri

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Studies on migration in Nepal primarily focused on the causes of migration, in general. While a few studies examined the remittances received or sent by migrants, there is little information about the variation in remittances received by households by migrant's destination. Thus, this exploratory study attempts to answer: Does the extent to which households receive remittances vary by migrant's destination? Using the data collected in 2013 from the western Chitwan Valley of Nepal, the findings from multivariate analysis reveal that net of controls, both the receipt (whether a household received any remittance or not) as well as the amount of remittances received by a household varied by migrant's destination. Evidence suggests that households are less likely to receive remittances from migrants working in India (a country of low earning potential) as compared to those working in Nepal. On the other hand, households received significantly more amount of remittances from migrants working in countries with high earning potentials (such as Middle East, East or South East Asia, and America, Australia and Europe) as compared to the domestic migrants who were working inside of Nepal but outside of Chitwan. Adjusting for other factors, the largest amount of remittances was received from migrants working in the East or South East Asian countries (e.g. South Korea, Malaysia, Japan) followed by those in America, Australia, and Europe and the Middle East. The insights gained from this exploratory study are discussed.

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“…Empirical research on the dynamics of use of international remittances (Adams and Page 2005;Airola 2007;Banerjee et al 2002;Castaldo and Reilly 2007;Cox-Edwards and Oreggia 2009). ; De and Ratha 2012;Mohanty et al 2014;Rapoport and Docquier 2006) is gaining increasing attention in recent years. However, understanding the relationship of poverty and migration is handicapped by data constraints, measurement issues, and the endogeneity of variables (Adams and Page 2005;Rosenzweig and Stark 1989;Sabates-Wheeler et al 2008;Skeldon 1997).…”

Section: Introductionmentioning

confidence: 98%

Does Employment-Related Migration Reduce Poverty in India?

Mohanty

Mohapatra

Kastor

et al. 2015

Int. Migration & Integration

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Using the unit data from the 64th round of the National Sample Surveys, 2007-08 on employment, unemployment, and migration, covering 125,578 households, this paper estimates the level, depth, and severity of poverty among nonmigrants and intra-state migrants, inter-state migrants, and emigrants in India. Based on the out-migration of any members of the household for employment at place of origin and using place of last residence definition, households are classified into intrastate migrants, inter-state migrant, emigrants, and non-migrant households. Economic well-being of migrant's households at the place of origin is measured by consumption expenditure (income). A set of poverty indices, the poverty headcount ratio, poverty gap ratio, and square poverty gap, are estimated from the household consumption expenditure to measure the level, depth, and severity of poverty among migration categories.indices. Descriptive analyses and logistic regression analyses are used in the analyses. Results suggest that the level, depth, and severity of poverty among migrant households is lower than that among non-migrant households; however, it varies across migrant categories. The poverty head count ratio was 41 % among inter-state migrants, 31 % among intra-state migrants, 20 % among emigrants, and 39 % among non-migrants in India. The poverty gap ratio and squared poverty gap were highest among inter-state migrants. Two broad patterns emerge from the state level analyses. Barring Kerala and Punjab that have a higher percentage of emigrants, inter-state migration accounts for a larger share of employment-related migration from the less developed states of Uttar Pradesh, Bihar, Jharkhand, Chhattisgarh, and Odisha while intra-state migration accounts for a larger share in the developed states of Maharashtra, Gujarat, Karnataka, and Tamil Nadu. Second, the level, depth, and severity of inter-state migrants from less developed states is higher than that of intra-state migrants and non-migrants; however, the pattern is reversed in the more developed states of India. Adjusting for socioeconomic correlates, the odds of poor among intra-state migrants are lower than those among inter-state migrant's households. The study supports the proposition that migration and remittances in India are not panacea to structural development constraints and that poor long-distance migrants need to be integrated in poverty alleviation programs.

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Impact of remittances on household income, asset and human capital: evidence from Sri Lanka

Cited by 125 publications

References 34 publications

Remittance receipts and allocation: a study of three African countries

Remittance receipts and allocation: a study of three African countries

Remittance Received by Households of Western Chitwan Valley, Nepal: Does Migrant’s Destination Make a Difference?

Does Employment-Related Migration Reduce Poverty in India?

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