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Remittances and poverty : Who benefits in the household ?

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  • Safir, Abla
  • Lambert, Sylvie
  • de Vreyer, Philippe

Abstract

We use data from a newly designed household survey in Senegal to study intrahousehold allocation of remittances income. In this survey, households are split between sub-groups of individuals, in a way that is natural to households and that corresponds to the internal budgetary arrangements found in the extended families of Senegal. We find that remittances accruing to specific individuals in the household are not completely fungible with other sources of income. In particular the school enrolment of children aged 7 to 13 is found to depend on remittances income accruing to the sub-group he/she belongs to and not on the remittances accruing to other sub-groups. Looking at total expenditures, we also find that transfers received by a sub-group are a significant determinant of its own consumption, contrarily to transfers received by other groups. This is not true for food consumption, suggesting that households tend to satisfy the basic needs of all their members.

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Bibliographic Info

Paper provided by Paris Dauphine University in its series Economics Papers from University Paris Dauphine with number 123456789/5837.

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Date of creation: May 2009
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Handle: RePEc:dau:papers:123456789/5837

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Keywords: Économie domestique; Indicateurs de pauvreté; Envois de fonds; Revenu discrétionnaire; Senegal;

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References

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  1. Rosenzweig, Mark R, 1988. "Risk, Implicit Contracts and the Family in Rural Areas of Low-income Countries," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 98(393), pages 1148-70, December.
  2. Richard H. Adams, Jr. & John Page, 2003. "International migration, remittances, and poverty in developing countries," Policy Research Working Paper Series 3179, The World Bank.
  3. Alice Mesnard, 2004. "Temporary migration and capital market imperfections," Oxford Economic Papers, Oxford University Press, vol. 56(2), pages 242-262, April.
  4. Morduch, Jonathan, 1999. "Between the State and the Market: Can Informal Insurance Patch the Safety Net?," World Bank Research Observer, World Bank Group, World Bank Group, vol. 14(2), pages 187-207, August.
  5. Dercon, Stefan, 2002. "Income Risk, Coping Strategies and Safety Nets," Working Paper Series, World Institute for Development Economic Research (UNU-WIDER) UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  6. Stark, Oded & Taylor, J. Edward & Yitzhaki, Shlomo, 1988. "Migration, remittances and inequality : A sensitivity analysis using the extended Gini index," Journal of Development Economics, Elsevier, Elsevier, vol. 28(3), pages 309-322, May.
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Cited by:
  1. Isabelle Chort & Jean-Noël Senne, 2013. "Intra-household Selection into Migration: Evidence from a Matched Sample of Migrants and Origin Households in Senegal," PSE Working Papers halshs-00877071, HAL.
  2. John Gibson & David McKenzie & Steven Stillman, 2009. "The Impacts of International Migration on Remaining Household Members: Omnibus Results from a Migration Lottery Program," CReAM Discussion Paper Series 0920, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
  3. Abla Safir, 2009. "Who leaves, who moves in? The impact of positive and negative income shocks on migration in Senegal," Working Papers halshs-00585955, HAL.

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