{"title":"What Drives Bilateral Remittances to Pakistan? A Gravity Model Approach","authors":"J. Ahmed, I. Martínez‐Zarzoso","doi":"10.2139/ssrn.2445370","DOIUrl":"https://doi.org/10.2139/ssrn.2445370","url":null,"abstract":"Formal remittance flows to Pakistan have shown noticeable growth over the past decade. Using bilateral remittance data for 23 major source countries, this study examines the external and internal factors driving these remittance flows during the period 2001-2011. We estimate a gravity model for bilateral remittance flows using a variety of panel data techniques suitable to control for unobserved heterogeneity as well as simultaneous bias existing between remittances and migrant's stock. The main novelty with respect to the existing literature is the use of transaction costs of remittances as a superior alternative to geographical distance to proxy for remittance costs. We find that several factors have a significant effect on remittances, such as improved economic conditions in the receiving country, Pakistani migrant's stock in the source country, and financial development and political stability in the recipient country. Geographical distance, economic conditions and the unemployment rate in the source countries, however, do not appear to play a substantial role. We also find that geographical distance seems to be a poor proxy for the cost of remitting. This can be better understood in terms of migrant networks and improvements in receiving and source country financial services. While the effect of transaction costs of remittances' on remittance flows is found to be negative, its significance is not robust to changes in the specification of the estimated models.","PeriodicalId":166265,"journal":{"name":"PSN: Patterns of Emigration (Topic)","volume":"51 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-06-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115402675","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Remittances and Child Labour in Africa: Evidence from Burkina Faso","authors":"O. Bargain, D. Boutin","doi":"10.2139/ssrn.2406329","DOIUrl":"https://doi.org/10.2139/ssrn.2406329","url":null,"abstract":"This paper explores the effects of remittance receipt on child labour in an African context. We focus on Burkina Faso, a country with a high prevalence of child labour and a high rate of migration. Given the complex relationship between remittance receipt and household time allocation decisions, we instrument remittances using economic conditions in remittance-sending countries and explore heterogeneous effects across different types of potential remitters. While remittances have no significant effect on child labour on average, transfers reduce child labour in long-term migrant households, for whom the disruptive effect of migration is no longer felt. We find no gender difference but remittances seem to affect mainly the labour market participation of younger children.","PeriodicalId":166265,"journal":{"name":"PSN: Patterns of Emigration (Topic)","volume":"25 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2014-03-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123767621","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Reversing the Brain Drain: Is it Beneficial?","authors":"S. Hussain","doi":"10.2139/ssrn.2152200","DOIUrl":"https://doi.org/10.2139/ssrn.2152200","url":null,"abstract":"This paper investigates costs and benefits of calling back expatriates of a developing country. I employ a life cycle model with a rich and poor country with endogenous migration and return migration. Cost of bringing back a worker is the compensation that is paid to him while the benefit is the increased output because of his higher skill level and positive externalities, which are empirically estimated, from him resulting in higher skill levels for local workers. Results show that welfare gains are maximized when workers with skill levels 1.28 standard deviations above the domestic mean skill level are called back.","PeriodicalId":166265,"journal":{"name":"PSN: Patterns of Emigration (Topic)","volume":"2 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2012-09-15","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129757465","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Risk Sharing in the Middle East and North Africa: The Role of Remittances and Factor Incomes","authors":"Faruk Balli, S. Basher, R. Louis","doi":"10.2139/ssrn.2294755","DOIUrl":"https://doi.org/10.2139/ssrn.2294755","url":null,"abstract":"This paper investigates welfare gains and channels of risk sharing among 14 Middle Eastern and North African (MENA) countries, including the oil-rich Gulf region and the resource-scarce economies such as Egypt, Morocco and Tunisia. The results show that, for the 1992--2009 period, the overall welfare gains across MENA countries are higher than those documented for the Organization for Economic Cooperation and Development (OECD) nations. In the Gulf region, the amount of factor income smoothing does not differ considerably when output shocks are longer-lasting rather than transitory, whereas the amount smoothed by savings increases remarkably when shocks are longer-lasting. By contrast, both factor income flows and international transfers respond more to permanent shocks than to transitory shocks in the non-oil MENA countries. The results also show that a significant portion of shocks is smoothed via remittance transfers in the economically less developed MENA countries, but not in the oil-rich Gulf and OECD countries. Finally, for the overall MENA region, a large part of the shock remains unsmoothed, suggesting that more market integration is needed to remedy the weak link of incomplete risk-sharing.","PeriodicalId":166265,"journal":{"name":"PSN: Patterns of Emigration (Topic)","volume":"135 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2012-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122909003","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"An Analysis of Interstate Migration in Mexico: Impact of Origin and Destination States on Migration Patterns","authors":"Hiroshi Fukurai, J. Pick, E. Butler, S. Nag","doi":"10.2307/1051813","DOIUrl":"https://doi.org/10.2307/1051813","url":null,"abstract":"This paper examines two theories of interstate migration in Mexico as explanations of interstate migration patterns: (1) a comparative economic opportunity thesis and (2) economic segmentation (or dual economy) model. The economic opportunity thesis argues that factors such as employment opportunities and salaries arc major considerations in any decision to move. Thus, internal migration is held to he an important way by which workers respond to changing economic opportunities and thereby redirect the spatial allocation of labor toward a more optimal pattern. The economic opportunity thesis, thus, assumes that rural-urban migration is primarily caused by higher paying jobs in urban sectors and shifts the analytical scope onto pull factors affecting rural exodus.The economic segmentation thesis, on the other hand, contains two components. First, micro-social factors (i.e., opportunities and salaries) do not determine the pattern of internal migration but, rather, a dual economy based on differential organizational development is the major determinant of migration patterns. By creating both labor market and economic opportunities, laborers are spatially allocated to meet the changing economic organizational structure. Second, the model also points out the importance of analyzing structural factors at both origin and destination of interstate migrants. While pull factor influence urban migration, structural factors in sending states also may affect urban exodus as well, i.e., organizational development, job availability, and the distribution of occupational reward structures. In general, the economic segmentation theory analyzes how the intrusion and penetration of modern capitalist social relations into the countryside triggers waves of rural migrants to receiving states in spite of the fact that there arc few opportunities (such as jobs and housing). The theoretical tenets of the economic opportunity and economic segmentation theses arc explored more fully in the next section.","PeriodicalId":166265,"journal":{"name":"PSN: Patterns of Emigration (Topic)","volume":"257 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"1987-03-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123421327","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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