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On the Use of Differing Money Transmission Methods by Mexican Immigrants

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Abstract

Interest on the factors shaping migrants’ use of a given money transmittal method has recently intensified following researchers agreement on the often inadequate infrastructure surrounding remittances transfers. This concern has also captured the attention of government officials, who appear more eager to promote more efficient and safe transfers of emigrant’s earnings given the potential that remittances hold for increasing resources at the disposal of receiving nations. This paper uses data from mexican immigrants who have resided in the United States to examine the various factors that shape migrants’ use of the various methods to remit earnings to Mexico. The analysis reveals that accessibility factors and migrants’ awareness of alternative remitting methods play a key role in explaining their use of the various money transfer mechanisms.

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Bibliographic Info

Paper provided by Centro de Estudios Andaluces in its series Economic Working Papers at Centro de Estudios Andaluces with number E2004/06.

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Length: 42 pages
Date of creation: 2004
Date of revision:
Handle: RePEc:cea:doctra:e2004_06

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Keywords: International remittances; money transmission methods; mexican immigrants.;

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References

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  1. Catalina Amuedo-Dorantes & Susan Pozo, 2006. "Remittances as insurance: evidence from Mexican immigrants," Journal of Population Economics, Springer, vol. 19(2), pages 227-254, June.
  2. Shy, Oz & Tarkka, Juha, 2002. "The Market for Electronic Cash Cards," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 34(2), pages 299-314, May.
  3. D. McFadden & J. Hausman, 1981. "Specification Tests for the Multinominal Logit Model," Working papers 292, Massachusetts Institute of Technology (MIT), Department of Economics.
  4. Anthony M. Santomero & John J. Seater, 1996. "Alternative monies and the demand for media of exchange," Proceedings, Board of Governors of the Federal Reserve System (U.S.), pages 942-964.
  5. Alejandra Cox Edwards & Manuelita Ureta, 2003. "International Migration, Remittances, and Schooling: Evidence from El Salvador," NBER Working Papers 9766, National Bureau of Economic Research, Inc.
  6. Elizabeth Handlin & Magrethe Krontoff & William Testa, 2002. "Remittances and the unbanked," Chicago Fed Letter, Federal Reserve Bank of Chicago, issue Mar.
  7. Edwards, Alejandra Cox & Ureta, Manuelita, 2003. "International migration, remittances, and schooling: evidence from El Salvador," Journal of Development Economics, Elsevier, vol. 72(2), pages 429-461, December.
  8. Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-18, October.
  9. Geoffrey R. Gerdes & Jack K . Walton II, 2002. "The use of checks and other noncash payment instruments in the United States," Federal Reserve Bulletin, Board of Governors of the Federal Reserve System (U.S.), issue Aug, pages 360-374.
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Cited by:
  1. Raúl Hernández-Coss, 2005. "The U.S.–Mexico Remittance Corridor : Lessons on Shifting from Informal to Formal Transfer Systems," World Bank Publications, The World Bank, number 7322, October.
  2. Mohammad Joarder & Uddin Saleh, 2010. "Estimating the economic model of Hundi using micro-level data," Asia Europe Journal, Springer, vol. 8(1), pages 61-75, June.
  3. de Haas, Hein, 2009. "Mobility and Human Development," MPRA Paper 19176, University Library of Munich, Germany.
  4. Simeon Karafolas & Nikolaos Sariannidis, 2009. "The Banking Network as a Transmission Channel of Migrant Remittances: The Case of Greek and Italian Banks in Albania," Transition Studies Review, Springer, vol. 15(4), pages 674-684, February.
  5. Simeon Karafolas & George Konteos, 2010. "Choice of Money Transfer Methods in the Case of Albanian Immigrants in Greece," Transition Studies Review, Springer, vol. 16(4), pages 962-978, February.

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