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The Impact of International Migration and Remittances on the Labor-Supply Behavior of Those Left behind: Evidence from Egypt

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Author Info

  • Christine Binzel
  • Ragui Assaad

Abstract

We analyze in this paper the impact of male-dominated migration and remittance income on the participation and hours worked decisions of adults left behind, including the hours spent by women in subsistence and domestic work. We differentiate between a 'pure' migration ("M") effect and the joint effect of migration and remittance income ("MR") and evaluate these effects for men and women separately. Additionally, we examine the labor supply behavior of wives whose husband migrated. We draw on the 2006 cross section using an instrumental variable approach as well as on the 1998/2006 panel of the Egypt Labor Market Panel Survey (ELMPS06). In line with the literature, women in MR households (albeit not in M households) tend to reduce their wage and salary work. We find evidence for both intra-household specialization and an increase in women's (and wives') total work load. Men are generally less affected. Our results suggest that it is important to differentiate between these two effects and between the different forms of market and non-market work as well as to consider the relationship between remitter and recipient.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.344323.de/dp954.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 954.

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Length: 35 p.
Date of creation: 2009
Date of revision:
Handle: RePEc:diw:diwwpp:dp954

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Related research

Keywords: migration; remittances; labor supply; time allocation; gender;

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Cited by:
  1. Herrera, Santiago & Badr, Karim, 2011. "Why does the productivity of education vary across individuals in Egypt ? firm size, gender, and access to technology as sources of heterogeneity in returns to education," Policy Research Working Paper Series 5740, The World Bank.

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